Delhi Master Plan 2047 Brings New Infrastructure Funding Rules for TOD Projects
New Delhi, September 2, 2026: Delhi's proposed Master Plan 2047 is set to introduce a dedicated escrow mechanism for development charges collected from Transit Oriented Development (TOD) projects, aiming to ensure that developers' infrastructure payments are spent on facilities in the areas where the projects are located.
Under the proposed mechanism, levies collected from private developers will be deposited into dedicated escrow accounts. The funds will be ring-fenced for infrastructure such as roads, water supply and drainage, instead of being diverted to unrelated municipal expenses.
Seven Developers Have Shown Interest
According to the Delhi Development Authority (DDA), seven public and private developers have already submitted applications for TOD projects. Their proposals are scheduled to be considered by the TOD committee.
Once approvals are granted, the infrastructure-related charges will be collected and deposited directly into the designated escrow accounts.
The move is particularly relevant as higher development potential under TOD, including increased Floor Area Ratio (FAR), could put additional pressure on existing civic infrastructure.
Focus on Infrastructure Around New Development
Several parts of Delhi, including areas of Vasant Kunj, Dwarka and Narela, have faced concerns over inadequate basic services. The proposed funding mechanism is intended to ensure that new development is supported by corresponding infrastructure improvements.
For property owners and developers, better planning of roads, water supply and drainage around high-density development could influence the long-term usability and attractiveness of emerging residential and commercial areas.
MPD 2047 Takes Implementation-Focused Approach
The DDA has said the new master plan is being designed with greater emphasis on implementation compared with MPD 2021. The authority plans to put necessary regulations for policies such as land pooling in place over the next two to three months.
The plan also proposes allowing limited recreational activities such as green areas and parks on certain privately owned portions of the floodplain periphery. No such activity will be permitted on the floodplain section adjoining the river.
Further discussions on MPD 2047 are underway, with authorities considering suggestions that could improve the plan before its implementation.