A new policy may be in the offing by the Telangana State government, aimed at making the transferable development rights (TDRs) more attractive to the property owners who are set to lose their land for various infrastructural projects such as road widening and lake development.

Chief Minister A. Revanth Reddy is reportedly keen on revision of the TDR policy, in order to make the offer irresistible to property owners. Official sources said he had mentioned it in multiple meetings as the only solution especially for development of lakes. As part of the policy, besides increasing the TDR values, the government could also make it mandatory for builders to obtain TDRs to get permission beyond certain number of floors.

Higher demand for TDRs would translate into reduced financial burden for property acquisition. With real estate prices skyrocketing, government is unable to acquire properties for infrastructure projects. Compensation prescribed by the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013 does not enthuse the urban property owners as it is mere fraction of the actual market value of the properties.

TDRs are issued in lieu of the compensation, and can be sold to builders, developers and even individuals who wish to raise additional floors beyond the permitted number in the purview of Greater Hyderabad Municipal Corporation and Hyderabad Metropolitan Development Authority.

As per the policy announced by the then State government in 2017, 400% TDR is applicable for road widening projects, 200% for sites affected under conservation and development of lakes, drains and other water bodies, and 100% for heritage sites. For a long time after the policy was introduced, the demand for TDRs had been very low.

Of late, the market for TDRs is looking up, in view of the increasing number of high-rises. Besides, the government has kept the issue of TDRs on hold, in order for the previous allottees to reap a decent price. Especially affected by this policy are the persons who own land in the full tank level and buffer zones of lakes. With the arrival of Hyderabad Disaster Response & Asset Protection Agency (HYDRAA) into picture, they are unable to dispose of their lake properties, and hence are desperate to monetise them through TDRs.

“Almost all lakes have private properties. If we are to give TDRs to all of them, the market will be impacted, and we will be back to square one in terms of demand,” shared an official under the condition of anonymity.

Further, the ownership issues are meddling with the government’s intentions to develop and beautify the lakes, officials say. While the erstwhile BRS government had handed over a number of lakes to various builders and corporate entities for beautification under Corporate Social Responsibility, very few such projects could actually be grounded due to protests by the land/plot owners.

HYDRAA chief A.V.Ranganath admits that private lands inside lakes are causing obstacles in lake development initiatives. Sunnam Cheruvu and Thammidi Kunta are a couple of examples where property owners approached the High Court for their rights.

“Private plot owners do create problems. For example, at Nallagandla Pedda Cheruvu too, the CSR agency could take up development only in Shikham land, leaving out the private patta land,” Mr.Ranganath said, and expressed hope that with the new TDR policy, the hurdles may be cleared.