G.O.(Ms).No.173, Transfer of Development Rights and Special Transfer of Development Rights, 2016

What the government order changes

Government Order (Ms.) Number 173 dated 18 October 2016, issued by the Housing and Urban Development (UD4-3) Department, directs Local Planning Authorities to notify variations inserting Regulation 7A on Special Transfer of Development Rights after Regulation 7 in specified Master Plan Development Control Regulations. It also directs them to add the annexed Transfer of Development Rights and Special Transfer of Development Rights guidelines as Schedules X and XI.

The variations apply to the Local Planning Areas of Erode, Vellore, Tiruvallur, Coimbatore, Madurai, Gummidipoondi, Kancheepuram, Salem, Chengalpattu, Tiruppur, Tiruchirappalli and Mamallapuram. The guidelines must also be followed in Tirunelveli and Tuticorin and must form part of the Master Plans to be approved for those areas.

Who may be affected

Government Order (Ms.) Number 173 may affect landowners, lessees, developers and Development Rights Certificate holders in the covered planning areas.

Key situations include:

• An owner surrendering land required for a purpose identified in Regulation 7(2), without monetary compensation or instead of monetary compensation.
• A developer providing alternative accommodation for eligible slum dwellers who must be resettled for safety, infrastructure projects or another public purpose.
• A person seeking to use or transfer Floor Space Index credit represented by a Development Rights Certificate.
• An owner or lessee surrendering land for road widening.

Main requirements

The Transfer of Development Rights guidelines attached to Government Order (Ms.) Number 173 provide that:

• A qualifying owner may receive Floor Space Index credit through a Development Rights Certificate and may use or transfer it.
• A certificate requires confirmation that the land is not affected by proceedings under the identified urban land ceiling and land reform laws.
• The required land must first be surrendered through a registered gift deed, after removing structures. It must be free from encumbrances.
• For road widening, the owner or lessee must reconstruct affected compound walls and gates at their own cost before receiving the certificate.
• Use or transfer of a certificate requires approval from the relevant planning authority or Regional Deputy Director, concurrence from the Director of Town and Country Planning, and an endorsement on the certificate.
• Floor Space Index credit depends on the surrendered area, the applicable Floor Space Index and, when used at another site, the relative guideline values.

Special Transfer of Development Rights may provide 30 square metres of floor area for each qualifying slum dwelling resettled by a private developer, subject to Schedule XI. The appropriate Planning Authority must prescribe forms and implementation principles within those guidelines.