Mumbai: Aaditya Thackeray Demands Rs 5,000 Crore Payment to BMC for Dharavi Redevelopment Project, Criticizes Adani’s Role

Mumbai, 8th October 2024: On Monday, Aaditya Thackeray, an MLA from Shiv Sena (UBT), called for a payment of ₹5,000 crore in premiums to be made to the Brihanmumbai Municipal Corporation (BMC), arguing that around 70% of the land designated for the Dharavi redevelopment project is owned by the civic body.

Thackeray criticized a clause in the project’s tender documents that states the premium should be paid to the Special Purpose Unit, rather than directly to the BMC or Maharashtra Housing and Area Development Authority (MHADA). The Adani Group has been awarded the tender for the Dharavi slum redevelopment, holding a majority stake in the Special Purpose Unit.

He stated in a letter to BMC Commissioner Bhushan Gagrani that, according to the Development Control Rules (DCR) 2024, the BMC is entitled to 25% of the land premium based on the Ready Reckoner Rate (RRR) and 70% of the net premium from this project. Thackeray estimated that the total amount due to the BMC from the Dharavi Redevelopment Project Pvt Ltd, regarding land and net premium, is about ₹5,000 crore.

Thackeray highlighted that the Dharavi Redevelopment Project Pvt Ltd is a Public Private Partnership (PPP) and is being executed by a private company with a 51% stake, not a public authority. He argued that exempting the company from paying premiums to the BMC is unjust.

The private firm has requested over 1,060 acres of land across Mumbai at no cost, from which it will generate revenue, while the BMC will be responsible for providing essential services like electricity and water, he claimed.

He questioned why the BMC and MHADA should forgo their premiums, especially when BMC employees face delays in salary payments and the BEST (Brihanmumbai Electric Supply and Transport) is under strain. Thackeray asserted that the BMC should receive ₹5,000 crore, while MHADA should get between ₹1,000 and ₹2,000 crore, cautioning that Adani would take this money for himself.

Thackeray also stated that if the Maha Vikas Aghadi coalition (comprising Shiv Sena UBT, NCP-Sharad Pawar, and Congress) returns to power, they will reconsider the Dharavi redevelopment project. He emphasized that the project should serve the people, not benefit corporate interests, noting that 23 land parcels have already been assigned to Adani and claiming that the government is continuously granting land to the corporation.

In July, Uddhav Thackeray, Aaditya’s father and former Chief Minister, announced that if his party regained power in Maharashtra, the contentious slum redevelopment project would be cancelled and new tenders issued.

Meanwhile, Dr. Manisha Kayande, a spokesperson for the Shiv Sena (Shinde faction), criticized the opposition for hindering development projects like the Dharavi redevelopment and Metro 3. She accused Aaditya Thackeray of delaying the metro project, leading to an increase in costs by ₹14,000 crore.

Dr Kayande remarked that Aaditya Thackeray, who has led a privileged life, is out of touch with the realities of ordinary citizens. She suggested that before questioning the government about the ₹1.5 crore Davos trip, he should address the ₹14,000 crore additional costs resulting from the Metro-3 delays during the previous government.

The ruling Mahayuti government (comprising BJP, Shinde Sena, and NCP-Ajit Pawar) has already dismissed the opposition’s claims that additional land concessions have been granted to Adani Properties.

The Dharavi project, which is expected to generate revenues of around ₹20,000 crore, aims to redevelop the extensive slum area in central Mumbai, close to the BKC business district. The tender was awarded to Adani Properties in November 2022 following a competitive bidding process that included other major real estate companies such as DLF and Naman Developers.