Fee Hinders Delhi’s Unauthorized Colony Residents from Legalizing Homes


NEW DELHI: The Municipal Corporation of Delhi’s (MCD) initiative to regularize properties in unauthorized colonies has seen a mere five applications in over two months. Officials indicate that a significant number of low-income residents are unable to afford the hefty sums, often amounting to lakhs, required for legalizing their homes, particularly since there is minimal urgency to expedite the process.

Launched on April 24, the MCD’s SWAGAM portal enables residents who have already achieved ownership rights under the Centre’s Pradhan Mantri Unauthorised Colonies in Delhi Awas Adhikar Yojana (PM-UDAY) to regularize their properties based on current conditions.

More than 40,000 PM-UDAY beneficiaries are eligible to apply. However, only five applications have been submitted to date, all of which are pending as the civic body seeks further clarifications or documents from the applicants.

“In one instance from Najafgarh, the applicant altered his name from ‘Kishan’ to ‘Krishan’ with a pen on the document. We requested the original document, but he has yet to respond,” a senior MCD official informed PTI.

Officials assert that incomplete applications aren’t the main issue behind the low number of submissions. Rather, residents perceive the high regularization fees as unjustifiable given the lack of immediate consequences for inaction.

“For a 100 square meter plot, the overall regularization cost is around Rs 3 lakh to Rs 4 lakh. Over 80% of the residents are working-class individuals. How can they manage such a one-time expense on a limited monthly income? And with no urgency, why would they prioritize this?” an official remarked.

The MCD is in discussions with the Delhi Development Authority (DDA) and the Delhi government about the potential reduction of regularization charges.

Another factor for the disheartening response is the absence of a set deadline for regularization. “Whether someone submits an application in two or four months makes no difference, as there’s no timeline in place. Thus, there’s little motivation to apply promptly,” an official added.

Moreover, occupants can continue living in their properties without fear of demolition or immediate repercussions for not applying.

The regularization cost is dictated by the Unified Building Bye-Laws (UBBL), 2016, which includes various fees.

Applicants must pay a building permit fee of Rs 10 per square meter when submitting their building plans. Additional charges apply under the SARAL scheme, which varies by colony category: Rs 5,000 for upscale A and B colonies, Rs 2,500 for C and D colonies, and Rs 1,500 for E, F, G, and H lower-income colonies.

In addition, applicants face levy charges of Rs 450 per square meter for any additional Floor Area Ratio (FAR) and a pre-occupancy fee of Rs 25,000 for residing in a building without a completion-cum-occupancy certificate.

These costs collectively make the regularization process unaffordable for many families in unauthorized colonies.

The ownership structure in these colonies also plays a significant role in the inadequate response. Many residents are tenants, while actual property owners may live nearby and are hesitant to pursue regularization.

The MCD maintains that despite the initial expense, regularization offers numerous long-term advantages. Once a property is regularized, it receives legal recognition, which diminishes ownership disputes typical in unauthorized colonies. Additionally, it allows owners to obtain home loans, as banks typically do not finance unauthorized properties, and facilitates legal transactions through valid conveyance deeds.

To enhance participation, the MCD has initiated several awareness campaigns since the portal’s launch.

Officials mentioned that the civic body has sent direct messages to all PM-UDAY beneficiaries, urging them to move forward with the regularization process.

“We have personally communicated with residents via text messages. Campaigns utilizing garbage collection vehicles have also been employed. Public announcements and jingles have been broadcast to spread awareness,” an official explained.

The MCD has enlisted around 711 architects to assist applicants in preparing and submitting building plans, alongside creating facilitation measures to simplify documentation and approvals.

The Delhi government has set October 31 as the deadline for residents of unauthorized colonies to apply for conveyance deeds and authorization slips necessary to establish ownership under the PM-UDAY scheme.

  • Published On Jul 8, 2026 at 05:00 PM IST

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