mumbai two prominent organizations representing builders on thursday supported civic chief subodh kumars decision not to charge premium for redevelopment projects the bmc had proposed this levy on redevelopment projects which was opposed by politicians and developers the maharashtra chamber of housing industry mchi the representative body of the real estate industry said the question of premium did not arise as all houses to existing inhabitants are given free of cost under redevelopment scheme covering old buildings or slums mchi had said that applying premiums under the proposed development control rules and restrictions on redevelopment projects in mumbai would defeat the scheme and lead to social injustice bmcs plan to levy a 100 premium on some areas like flower bed parking and balconies appeared to have been made under the premise that developers were indulging in commercial exploitation it said mchi president paras gundecha said the bmc and state should now rethink the move to levy a 100 premium on developers for compensatory fsi this premium is too high they should take a pragmatic and rational view he said mchi recommended a maximum of 25 premium on compensatory fsi and that this area should not be inclusive of balconies which should continue to be as per earlier policy the confederation of real estate developers associations of india credai national president lalit kumar jain said the commmissioners announcement is practical and a pragmatic step jain further called for the pune municipal corporation to take a cue from mumbai