Maharashtra Government to Grant OCs to 25,000 Housing Societies in Mumbai

In a significant move that could bring relief to 25,000 housing societies across Mumbai, the Maharashtra government is preparing to announce a new policy framework allowing these societies to obtain long-pending Occupation Certificates (OCs).

The Maharashtra government is working on a detailed resolution (GR), expected in the first week of October, that will outline the rules and processes for housing societies without an OC. Even before the official policy is released, a few important aspects are becoming clear, offering hope to many homeowners caught in a bureaucratic limbo.

An Occupation Certificate is an essential legal document issued by the municipal corporation that confirms a building has been constructed according to approved plans and is fit for occupation. Without it, homeowners cannot legally occupy the house. This document is crucial for various reasons, including obtaining bank loans, ensuring basic civic approvals, and facilitating redevelopment plans.

Media reports indicate that over 20,000 buildings in the city have full OCs, while more than 700 have partial OCs. Housing societies without OCs face numerous problems, such as difficulties in obtaining bank loans or mortgages, delays in redevelopment plans, and issues with basic civic approvals. These issues often stem from technical and legal hurdles that have long been impediments.

The state government is expected to roll out an amnesty scheme on October 2 to simplify the process of obtaining OCs by removing these technical and legal hurdles. According to a Hindustan Times report, penalties may also be waived for residents who apply within a stipulated period.

The amnesty scheme aims to help property owners regularise unauthorised constructions by obtaining an OC. The scheme will allow legalisation upon payment of penalties or charges, with applications accepted only within a fixed deadline. Penalties will vary based on the type, size, and extent of violations. The primary goal is to ensure all housing societies in the city obtain an OC.

According to Maharashtra government officials, the state plans to introduce this amnesty scheme to help property owners regularise unauthorised constructions. The scheme will allow legalisation upon payment of penalties or charges, with applications accepted only within a fixed deadline. Penalties will vary based on the type, size, and extent of violations. The aim is to ensure all housing societies in the city obtain an OC.

Gopal Shetty, a former BJP MP from North Mumbai and a member of the Maharashtra government's committee drafting the policy, said, “A detailed Government Resolution (GR) is expected in the first week of October, which will clearly define the policy. For now, some key points are already understood. Societies without a conveyance or CC will still be eligible to apply, and even those with FSI alterations or violations can apply as well.”

However, in cases where extra FSI or alterations have been carried out, the society will be required to pay a premium, though at a discounted rate. All of these aspects will be clarified in detail once the official policy is released in October, Shetty added.

This new policy is expected to provide a significant boost to the real estate sector in Mumbai, addressing long-standing issues and offering a clear path for property owners to regularise their constructions. The Maharashtra government's initiative is a step towards ensuring a more transparent and efficient process for obtaining OCs, ultimately benefiting homeowners and the real estate market as a whole.