Maha set to announce amnesty scheme for 25,000 housing societies’ pending OCs

In a significant development for thousands of homeowners, the Maharashtra government is poised to unveil a new policy framework aimed at resolving the long-standing issue of Occupation Certificates (OC) for housing societies across Mumbai. The move is expected to impact around 25,000 housing societies, many of which have been trapped in bureaucratic red tape for decades.

An Occupation Certificate is a crucial legal document issued by municipal authorities that certifies a building has been constructed in compliance with approved plans and is safe for occupation. Without this certificate, residents cannot legally occupy their homes, face difficulties obtaining essential civic amenities like water and sewage connections, and are often unable to secure home loans or pursue redevelopment projects.

Industry experts have long highlighted that the absence of OCs has created a morass of uncertainty for housing society residents, leaving redevelopment plans in limbo and banks hesitant to provide mortgages. In Mumbai alone, cooperative housing societies built several decades ago are caught in this predicament, preventing tens of thousands of residents from fully enjoying property rights.

According to a report by Hindustan Times, the Maharashtra government is finalizing a detailed Government Resolution (GR) that will lay down the rules and processes for housing societies seeking OCs. The resolution is expected to be officially announced in the first week of October, with a landmark Amnesty Scheme rolling out on October 2, 2025.

Under the proposed Amnesty Scheme, the state will simplify the OC acquisition process by removing longstanding technical and legal hurdles that have stalled approvals. Crucially, the scheme will allow the legalisation of unauthorised constructions upon payment of prescribed penalties or charges. These penalties will vary depending on the nature, size, and extent of the violation but are expected to be reasonable to encourage maximum participation.

Additionally, the government may waive penalties entirely for residents who apply within this stipulated time frame, giving many homeowners hope of finally resolving the issue that has hampered their lives for years.

“This is a much-needed step that will help unlock the potential of Mumbai’s aging housing infrastructure and provide residents legal clarity and peace of mind,” said a real estate consultant based in Mumbai. “With proper documentation, homeowners will now be able to access redevelopment opportunities, secure loans, and avail of essential municipal services without fear of legal complications.”

The government’s move is seen as part of its broader strategy to regularise urban housing and improve the quality of life for citizens by eliminating grey areas in property legality. However, housing societies are advised to act promptly once the scheme is announced, as the opportunity to apply under the amnesty will be time-bound.

This policy development comes at a crucial time as Mumbai continues to face increasing urban density challenges and a pressing need for infrastructure modernisation. The scheme is likely to encourage many long-delayed redevelopment projects, which in turn could boost the local economy and housing availability.

Residents and industry stakeholders alike are closely monitoring the upcoming announcement, anticipating a resolution to a problem that has impacted Mumbai’s housing sector for far too long.

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