Maharashtra Government Announces New Policy To Regularise Non-OC Buildings, Experts Raise Safety And Accountability Concerns

The Maharashtra government recently unveiled a policy to regularise buildings lacking an Occupation Certificate (OC) in Mumbai, citing reasons beyond residents’ control, such as land transfer delays or administrative lags.

While the move is expected to benefit lakhs of residents, experts caution that it may allow builders to escape accountability and absolve government departments that ignored rampant non-OC constructions for years.

Supreme Court Guidelines Highlight Risks

In fact, a Supreme Court order dated December 17, 2024, (in the case of Rajendra Kumar Barjatiya & others Versus U.P. Avas Evam Vikas Parishad & others, and Rajeev Gupta & others Versus U.P. Avas Evam Vikas Parishad & others, which laid down guidelines while dealing with a case related to illegal/unauthorised commercial constructions on residential plots) says that the state governments often enrich themselves through the process of regularisation by condoning/rectifying violations/illegalities, and are unmindful that this gain is insignificant compared to the long-term damage it causes to the orderly urban development.

It also states that the concerned authorities shall inspect the premises periodically and that the state should take disciplinary actions against erring officials. It also states that service providers should provide connections for electricity, water supply, etc., only after the completion/occupation certificate is issued.

Architects and Urban Planners Sound the Alarm

Senior architect and urban planner Chandrashekhar Prabhu said, “There is no system of periodic inspections. In many cases, the construction is beyond the approved Floor Space Index (FSI) or as per the approved design plan, the amount paid towards infrastructure development to the local authorities is not paid by the builders or there can be an unauthorised service connection. While in some cases, the mandatory open spaces are not given and the refugee flats are sold. There can be several reasons the OC is not given. These things that play with the safety of the residents.”

“The builder does the violations wilfully in connivance with the officials and politicians. All local authorities are aware of every construction underway in their area. In the new OC policy, will the government blacklist the defaulting builders for any future projects? This rule exists under the Real Estate Regulation and Development Act (RERA), but builders form a new company and find an excuse under the law. The simple rule is not to allow occupation in the building, even on a provisional basis, until full OC is granted,” Prabhu added.

Architect Ramesh Prabhu, chairman of Maharashtra Societies Welfare Association said, “Under the Maharashtra Ownership of Flats Act- the earlier law, the builder was not allowed to give possession unless there was an OC. It also stated that flat purchasers should not occupy without obtaining the OC. Under the RERA also the flat without an OC should not be given or taken possession. The law always existed. However, under soft possession, the developer used to handover and push the blame responsibility on the consumers for changing the flat design.”

“In case of redevelopment, the builders stop rent and the residents are forced to occupy. Now, if the government is coming up with a new policy, the builders should be taken to consumer courts for defaulting and recover the cost towards regularisation. The developers should be held accountable and allowed to go scot-free,” said Architect Ramesh Prabhu.

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Need for Accountability and Inspections

Prabhu also said that the local authorities, like junior engineers at the ward level and the building proposal department are ignorant towards inspections. “If officers conduct regular inspections and actions are taken against irresponsible officers, many problems will be eased.”

Practising engineers, architects and town planners association’s (PEATA) former president Manoj Daisaria said, “The new amnesty scheme for OC is for the buildings which are already occupied for years and all approvals are in place; however, for some compliances, the OC is not granted. Since the introduction of RERA, compliance with form 4A (the architect's certificate of completion) is mandatory and without OC possession is not given. Thus, occupation in non-OC buildings in newer construction does not exist.”