DEVELOPERS FEEL THE NEED FOR SINGLE WINDOW CLEARANCE SYSTEM
Noida: In the current real estate market condition where the customers have been continuously knocking the doors of the developers due to delay in commencement and possession of the projects; the developers are eager and hopeful from that the new government will provide solutions to their problems.
A medium sized project takes around 3-4 years to construct completely, taking into consideration the changing weather conditions, changing prices of raw materials, economic conditions, unforeseen happenings and upgradations in technology. Whereas it has been witnessed that many developers are not been able to deliver the same as per the promised time period. This adds to negative market sentiments and decrease in customer moral and confidence, which further decreases the demand in the sector.
At present,the real estate projects in India have to pass through various levels of clearances from different platforms in order to complete the construction work and hand them over to the public. According to several builders, they are expected to get clearance approvals from almost 40 agencies which takes at least 12 -18 months.
At present, there are 3 clearance levels:
- First phase is receiving approval from the urban local bodies regarding the project plan.
- Second phase involves sewerage and water connection along with fire clearance.
- Third phase requires civil aviation and environmental clearance from the central government level.
Mr. Ashok Gupta, CMD, Ajnara India Ltd. says “The current process involves approval from various government bodies and takes a very long time to get all the various levels clearances. This also largely adds to the possession delay in many cases apart from other construction related delays. If the single window system gets in place, there will be a lot of relief for the developers and ultimately the buyers”.
There is an urgent need for a single window system to get executed in NCR, as it will greatly reduce the time required to take approvals and hence, the timely execution and construction of the projects will take place. This will help boost the market sentiments, thereby help in shifting the demand graph to move north.
Mr. Deepak Kapoor, Director, Gulshan Homz says “The multiplicity of authorities in procuring clearances related to real estate projects is one of the major issues for delayed project delivery. The single window approval system will help the builders to get all the obligatory approvals collectively under one centre. Once the single window clearance system gets a green signal, builders can get clearances in a systematic time bound manner. This will bring down the average approval time to around 45 – 60 days; consequently the home buyers can get their homes on time. This will save the home buyers money, time and energy and also provides transparency in the real estate market”.