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Construction Ban: Real Estate Developers Voice Concerns

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By Rediff Money Desk, NOIDA   Nov 03, 2023 22:02

Naredco and Credai react to construction ban in Delhi-NCR due to pollution, raising concerns over project delays and livelihoods. Developers urge for exemptions and suggest pollution control measures.
Construction Ban: Real Estate Developers Voice Concerns
Photograph: Amit Dave/Reuters
Noida, Nov 3 (PTI) Amid a ban on non-essential construction in Delhi-NCR due to pollution, real estate developers' body Naredco on Friday extended support to the government but flagged concerns over delay in completing projects while builders' association Credai asked members to take anti-pollution measures at sites.

Naredco National President G Hari Babu said pollution concerns everyone and conscious corporate, real estate developers are actively taking measures to curb the menace.

The fraternity is with the government in fighting this menace, he said.

"But we should understand that stopping construction for one month delays the project by at least three months. Besides, it also impacts livelihood. Since the sector is one of the largest employers of unskilled labour in the country, the ramifications are huge," Babu said in a statement.

"Further, the developers also have obligations to financial institutions and to its customers for timely delivery, which, in case of delay leads to extra monetary burden on the realty companies.

"Also, all RERA-approved projects are mandated to strictly observe pollution-control measures, and therefore, should be brought under essential projects under public interests, and exemption from GRAP (Graded Response Action Plan) should be considered," he said.

The Naredco president said it is crucial to address these issues in the light of sustainable development and environmental preservation, taking into account the concerns of both sides in the "larger national interest".

Credai's NCR chapter President Manoj Gaur said the association has advised all its member developers to take necessary steps such as water sprinkling, green net covering as per the guidelines of NGT and Central Pollution Control Board.

"We expect the developers to follow the guidelines set by various government agencies during the GRAP period. Also the main source of pollution is vehicular pollution and the dust along the roads that needs to be controlled and managed," Gaur said.

He said the real estate industry acknowledges air pollution as a significant concern affecting the environment and construction activities and while the industry fully supports authorities to curb rising pollution levels, it does express certain reservations.

"For instance, a one-month construction ban is estimated to lead to delays of at least two to three months in project completion," Gaur said in a statement.

He said the stringent RERA registration process also obligates real estate developers to minimise their pollution footprint and despite these challenges, developers proactively undertake measures like regular water sprinkling and installing anti-smog machines and wind-breakers to mitigate pollution.

"It's important to note that the real estate industry is concerned that blanket bans while addressing pollution, may lead to increased project costs and affect the livelihood of construction workers," he said.

The Credai-NCR president said the industry believes authorities should adopt a case-by-case approach when implementing air pollution regulations and suggest that developers who diligently follow the guidelines should not face unnecessary restrictions.

"Additionally, the industry proposes that RERA-registered projects be considered public interest projects and be exempted from specific pollution control guidelines.

"This approach aims to balance environmental concerns with the need to sustain construction activity, safeguard project timelines, and protect the interests of both home buyers and construction workers," Gaur added.

The Centre's pollution control panel invoked the GRAP-III on Thursday, directing a halt on non-essential construction work, stone crushing and mining in Delhi-NCR, including Delhi, Gurugram, Faridabad, Ghaziabad, and Gautam Buddh Nagar.

The ban, however, exempts projects for railway services or stations, metro rail services and stations, airports, inter-state bus terminals, those of national security or defence-related activities or projects of national importance, hospitals or health care facilities.

Also exempted from the ban are linear public projects such as highways, roads, flyovers, over bridges, power transmission/distribution, pipelines, etc, sanitation projects like sewage treatment plants and water supply projects and ancillary activities, specific to and supplementing the above noted categories of projects.

Importantly for the real estate industry, certain non-polluting and non-dust generating activities such as plumbing, electrical works, carpentry-related works and interior furnishing or finishing or decoration (excluding painting, polishing and varnishing works) are permitted to be continued during GRAP III, according to CAQM.
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