Fees could be imposed on owners of vacant plots of land following a proposal made yesterday (May 17) by the Muharraq Municipal Council in Bahrain.

Financial, administrative and legislative committee chairman Ghazi Al Murbati said many people buy large plots of land in residential areas in Muharraq and leave them unused, reported the Gulf Daily News (GDN), our sister publication.

This means less land available for people to buy and also an increase in land prices.

"Some people buy land as huge as 3,000 sq m in places like Hidd and Busaiteen and don't build on them, hoping that the land value increases," he said during a municipal council meeting yesterday.

"This causes a huge problem because the more these people buy, the less choices other people will have to live and the higher the cost is for them due to the demand."

Al Murbati said the fees, which could be around BD10 ($26) a month, will help increase income for the council which helps support some of their projects.

"Saudi Arabia has taken such a step and we are hoping to do the same," he said.

"Some might wonder why they should pay a monthly fee as they don't understand the municipality provides them with indirect services such as cleaning and removing waste, as well as improving the infrastructure, which of course benefits them."

However, Al Murbati added that land owners' financial situation will be reviewed before imposing fees on them as some might have bought land to build a house but don't have the funds required.

"Those who have land and are waiting for the right time to build on it due to financial problem will be excluded," he said.

"In general, we will review the conditions of all land owners to decide who must pay fees."

The proposal has now been referred to the Works, Municipalities and Urban Planning Affairs Minister Essam Khalaf. - TradeArabia News Service