Government New Policy to Speed Up the Approval for Housing Projects

February 17, 2016 | Last Modified: February 17, 2016 at 12:04 pm

To improve the easiness in the approval of urban infrastructure and housing projects, the government will launch a new policy in this regard. The new policy will help to improve the ease of doing business in the country.

In investment summit Indian, Urban Development Minister Venkaiah Naidu said that the government is keen on ease of doing business and is working on a scheme to facilitate quick approval of urban infra and housing projects.

A consultation for facilitating the approval process and quick clearances has been taken by minister from six other minister including Defence, Civil Aviation and Environment.

The minister asked in his statement that why should anybody come to Delhi for clearance, for NOC (no objection certificate) from the Airport Authority of India to have a house or building constructed in Hyderabad or in Thiruvananthapuram?

Further he added that within this month, during the Budget itself, we will be coming out with a scheme for early clearances for all these projects without referring them to Delhi. They can be decided by urban local bodies. The benchmarks are being decided and they will be announced shortly.

The Urban Development Ministry has also emphasized on the time limit for project clearance. The ministry has impressing upon urban local bodies to go for a time limit of 60 days for project approval. The real estate industry demanding a single-window for project approval.

On the real estate regulatory Bill, the minister said the proposed law would help in “development and not strangulation” of the real estate sector. Stating that quality issues and adequate infrastructure pull down GDP to some extent, he underscored the need for improvement of infrastructure for achieving inclusive and sustained growth of 9-10 per cent.

Some major challenges has been mentioned by Venkaiah Naid for infrastructure development including finance, land acquisition, inadequate regulatory framework, delay in clearance, uneven private sector participation and pricing of infra service, among others.

By focusing on the need for increase in private investment, the minister said that the 12th Five-Year Plan (2012-17) targets 50 per cent private participation in infra projects, up from 30 per cent in the 11th plan. An investment of 1 trillion USD has been estimated for building infrastructure and upgradation during the 12th Plan period.

Stating that infrastructure and housing projects require land, Naidu said: “Land is key for development. We cannot have projects without land acquisition.”

According to the source, a number of road project have been held up due to delay in land acquisition.