3 minutes of readingBombayUpdated: February 10, 2026 10:15 pm IST
The state cabinet on Tuesday approved a comprehensive land acquisition and allotment policy for the proposed “third Mumbai”, which will be built in the catchment area of the Atal Setu (Mumbai Trans Harbor Link).
The policy will apply to projects undertaken by the NavNagar Development Authority and the Bombay Metropolitan Region Development Authority (MMRDA) in the Atal Setu impact area. Land can be acquired by mutual agreement under the Maharashtra Town and Regional Planning Act, 1966, or under the land acquisition act, 2013.
The government has approved cash compensation, floor area index (FSI) or transferable development rights (TDR).
A 22.5 percent urbanized land return plan will be implemented. If the returnable plot is less than 40 m2, compensation will be paid in cash.
A “transfer” policy has also been approved for undeveloped areas. Under this, the owners will bear the cost of acquisition, registration charges and a 15 per cent administration charge payable to the MMRDA. The land will be assigned according to the state in which it is located. Any additional compensation subsequently awarded will be recovered from the successful bidder.
To attract foreign direct investment (FDI), industries that attract FDI will be given priority in land allocation. A minimum of 100 acres has to be acquired, with an investment of at least Rs 250 crore over a period of four years per 100 acres. The sale of non-developable land will not be allowed. Up to 25 percent of the developed area can be used for FDI-related activities. The MMRDA has been directed to lay down detailed land allotment rules and revenue model.
The Cabinet, chaired by the Chief Minister Devendra Fadnavisalso approved the transfer of 12.76 hectares of government land at Mouje Vikaswadi in Karveer taluka in Kolhapur for an international standard cricket stadium. The land will be delivered free of charge to the Department of School Education and Sports.
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The Cabinet also approved raising a loan of Rs 6,000 crore for land acquisition for the proposed Purandar airport in Pune district. The loan will be backed by a state guarantee.
Email notices in revenue hearings
In a move aimed at reducing delays in tax courts, the cabinet approved an amendment to the Maharashtra Land Revenue Code, 1966, allowing notices of tax hearings to be delivered by email. The decision came on the proposal of Finance Minister Chandrashekhar Bawankule.
Until now, notices had to be delivered by hand or by mail, a process that often caused delays when letters were returned, addresses were incorrect or parties claimed they had never received them. These disputes frequently resulted in repeated postponements of hearings.
With the change in law, a notice sent to a party’s registered email address will now be considered officially served. The government says this will help expedite thousands of pending land-related cases across the state.
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There are currently almost 12,000 such matters pending at the secretariat level, many of them held at the notification stage.
Bawankule said the change would make the system faster and fairer. “For years, hearings were delayed because people claimed they never received notifications. Once email notifications are recognized by law, this excuse will no longer be valid,” he said.
The amendment will take effect after formal notification and is expected to apply to new and existing revenue cases across the state.
