BBMP fixes betterment fee for sites in illegal layouts

Those owning sites which have requisite land use conversion clearances but no clearances from civic agencies and those on parcels of land denotified by various government agencies will have to shell out a betterment fee. The Bruhat Bruhat Bangalore Mahanagara Palike (BBMP) council on Tuesday decided to implement differential betterment fee slabs based on plot areas.

The payment of betterment fee will enable plot owners obtain the ‘A’ khata. Currently, these owners have only the ‘B’ khatas which doesn’t entitle them to bank loans. These plots would not have approvals from civic agencies like BDA and BMRDA.

The cash-strapped civic body, however, is eyeing additional revenue mobilization of up to Rs 200 crore through betterment fees.The Palike has fixed two different slabs: Rs. 350 per square meter for properties up to 1,000 square meters and Rs 300 for plots measuring beyond 1,000 square meters. Most plots to benefit are located on the outskirts of the city and have been included in areas under the jurisdiction of BBMP.

The site owners will have the option of paying this fee in four installments. Those who want to pay through more than four installments should pay 1.5% interest per month.

The decision though is to be placed before the Karnataka high court, which had quashed two earlier notifications by the BBMP in this regard.

BBMP officials said the slabs were fixed based on the money spent and to be spent for the development of infrastructure in the newly added and core areas Bangalore. They said the sites should be carved out of lands which should have required permissions for non-agricultural use or those denotified by government agencies like BDA, KIADB, KHB and other government organizations.

BBMP deputy commissioner (revenue) I R Ramakanth said the betterment fee move will generate a revenue of Rs 200 crore for the Palike and it will make easy for people to build houses and to sell sites. “Most of the properties situated at the outskirts of the city are eligible to get the benefits of betterment fee scheme,” he added.


Betterment fee is not for revenue sites, but only for those which have land use conversion clearances. The earlier uniform betterment fee of Rs 550 was challenged in the high court. We’ll submit to the court within a week an affidavit about the revised fees and act as per its directions.

BS Sathyanarayana | mayor

How much to pay

Area — Betterment fee

For plots up to 1,000 sqmtr (11,000 sqft) — Rs 350 per sqmtr (10.8 sqft)

For plots more than 1,000 sqmtr (11,000 sqft) — Rs 300 per sqmtr (10.8 sqft)

Who will benefit

* Plots with land use conversion clearance but without layout plan approvals from civic agencies like BDA and BMRDA

* Plots on lands denotified by government agencies.

Who won’t

* Revenue sites or those that don’t have land use conversion clearances.

Source: TOI.


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