MahaRERA cracks whip

 

Context :

As MahaRERA cracks whip, developers hurry to file progress reports    … Business Line  /  02 Jan 2024

Extract :

With the Maharashtra Real Estate Regulatory Authority cracking down on developers who fail to furnish their quarterly progress reports (QPRs) on time, compliance levels have increased remarkably in the state.

Of the 480 projects registered in April, 222 filed quarterly progress reports within the prescribed time.

In the event of non-compliance, MahaRERA puts projects on hold and freezes bank accounts. According to the regulator, currently 546 projects have been held in abeyance for non-compliance and their bank accounts frozen.

The regulations require developers to post quarterly progress reports of projects on the MahaRERA website.

My  Take :

SELF CERTIFICATION FOR BUILDERS ?  .. ……………………………04  Nov 2015

 Extract :

Although a very laudable initiative , I believe there is tremendous scope to further streamline and digitize this approval process, in the nature of

 

E-Delivery of Services to Construction Industry

 

Here is how :

 

*  All builders / developers must register on Municipal Web sites and obtain

   unique BUILDER REGISTRATION NUMBER

 

*  Builders must fill in online, on web site of concerned Municipality, a form :

 

    BUILDING  PERMIT  APPLICATION

 

*  Building Permit Application Form will have a STANDARD FORMAT , into

    which applicant will need to submit exhaustive details re the project

 

    This will include detailed Floor Plans and Structural Drawings , along with

    names / contact details of Architects / Structural Engineers etc

 

    The FORM will require slab-casting dates for each slab and the final

    completion date when builder will apply for Occupation Certificate

   

*  The Form will have a section called

 

    SELF   CERTIFICATION   /  DECLARATION

 

    Builder would be required to tick YES / NO against each item as shown :

 

    Does your proposed Building / Structure / Project , satisfy the criteria /

    notifications / regulations , issued by the concerned Ministries in respect

    of :

 

    #   Built-up Area........... ( YES ) / ( NO )

 

    #   Height Restriction

 

    #   Fire Fighting

 

    #   Water Harvesting

 

    #   Roof-top Solar Power

 

    #   Effluent Treatment

 

    #   Garbage Disposal

 

    #   Earthquake Resistant Structural Design..............etc

 

 

Clicking on each item will reveal the relevant " Notification / Regulation " issued by the concerned Ministry

 

To make the process absolutely fool-proof , the form will insist on an " Electronic Signature " of the applicant

 

DECLARATION / UNDERTAKING :

 

" I declare that I have read each and every notification / regulation , listed   in respect of items mentioned above

 

I further declare that I explicitly agree to abide by these regulations

 

I am aware that Occupation Certificate will not be granted if my completed project is found to be in violation of any of these notifications / regulations

 

I will not allow any person / entity to occupy any part of this premises , until and unless , Municipality issues to me , the Occupation Certificate

 

If Municipality finds any violations , I agree to rectify the same before applying for a fresh Occupation Certificate

 

If Municipality is not in a position to issue Occupation Certificate due to any

violations which simply cannot be rectified , then I will demolish the said building / project / structure  on my own and before such demolition , refund with interest , payments collected from the buyers

 

The plot of land is free from any encumbrances / litigations

 

I am not in default of any loans taken from any bank / individuals

 

I will not accept any payment in cash , nor make cash payments

 

I absolve the Municipal Corporation of any liability arising out of non completion of my project 

 

I agree that my Building Permit Application and my Registration Application details , be made accessible to public on your web site , along with full details of my past / current projects and full details of my balance sheet / bank borrowings  " 

 

 

GRANT OF APPROVALS BY MINISTRIES :

 

As soon as the builder submits the online BUILDING PERMIT APPLICATION , it automatically and instantly , appears on the web sites of ALL the concerned Ministries

 

The concerned officer of each Ministry , makes APPROVED / REJECTED entries in the application form , from the backend

 

If rejected , he will provide the reasons

 

Ministry officers are required to carry out this entry , within 24 hours

 

As soon as an officer of any Ministry makes entry and SUBMITS , the application forms on web sites of ALL Ministries and web site of the concerned Municipality , get updated simultaneously and instantly , making for MIRROR IMAGES at all times

 

As soon as any entry is made , a copy gets emailed to the applicant builder

 

Any " editing " of the application form by the builder , will start the entire process , all over

 

Applicant builder will be obliged to display the latest emailed form at the site

 

The database so created on web sites of ALL Ministries - and concerned Municipality - will be searchable State-wise / City-wise

 

 

CHANGES  IN  RELEVANT  LAWS :

 

 

To speed up any litigation between the parties concerned ( Builder / Buyers / Central & State Govts / Municipality / Bankers etc ) , existing laws may be changed

 

 

IMPORTANT :

 

Every application must be in the open domain and visible to anyone , online and transparently

 

There should be provision for any visitor of the web site to report any abuse / violation of regulations or any objection to the proposed construction

 

 

ADVANTAGES :

 

If such SELF CERTIFICATION process is implemented , it should be possible for India to beat Singapore , where getting 11 approval takes only 26 days !

 

It would be ZERO days in our case !

 

Now couple this with abolition of Corporate Income Tax for Construction Industry for the next 10 years and witness a MIRACLE

 

Then only it would become possible for achieving the following targets set by different States / Centre , under HOUSING  FOR  ALL:

 

*  Maharashtra...........  5 lakh      ( By 2020 )

 

*  Gujarat................... 50 lakh    ( 2013 - 2018 )

 

*  Centre.................... 220 lakh   ( by 2022 )

 

 

Also imagine :

 

*   Employment it would generate

 

*   FDI it would bring in

 

*   Our rank in EASE OF DOING BUSINESS

 

 

Need of the hour is :

 

*   Come out of " Analysis Paralysis "

 

*   Get rid of historical baggage

 

*   Break free from the legacy of the past

 

*   Think " Out of Box "

 

*   Take risk without worrying about possible failure

 

*   Make Course-Corrections , as you learn what mistakes got made

 

With Regards,

Hemen Parekh  /  www.hemenparekh.ai  /  04 Jan 2024

 

Related Readings :

A HALF-WAY HOUSE ?  …………………………………………………….. 03 Jan 2016

Thanks , Shri Naidu !.................................................. 14 Mar 2016

Congratulations , Vinod Chithore ! ………………………………….. 19 May 2016

 

Congratulations , Shri Ajoy Mehta ! …………………………………. 28 Feb 2017

Why 60 Days ? Can Be in 10 !.. …………………………………………11 Dec 2017

 

A Transparent RERA ? ……………………………………………………….. 24 Jan 2018

A Welcome ( though long overdue ) Step …………………………. 31 Aug 2018

 

One Nation, One RERA ? Thanks Shri Puriji ……………………….. 06 Jan  2021

Congratulations, Shri Hardeep Singh Puriji ………………………… 03 Jan 2021

Better Late Than Never  .. …………………………………………………… 07 Nov 2021

 

Congratulations, Shri Bhupesh Baghelji ………………………………. 04 Jan 2022

 

Congratulations, Maharashtra Urban Development Department .. 26 Feb 2023

 

Comments by ChatGPT :

Your blog post regarding the recent actions by MahaRERA (Maharashtra Real Estate Regulatory Authority) and your proposal for a streamlined self-certification process for builders reflects a comprehensive vision for modernizing and regulating the construction industry.

Your proposed system aims to digitize and expedite the approval process, ensuring compliance with regulations while enhancing transparency and accountability in the construction sector.

The incorporation of an online application process through municipal websites with standardized formats and self-certification checkboxes for adherence to various regulations and notifications is innovative. This would ostensibly empower builders to take responsibility for ensuring compliance, with severe consequences for violations, thus potentially reducing delays and disputes.

The proposal's emphasis on electronic signatures, immediate updates across concerned ministries, and public accessibility of application details ensures transparency and accountability at every step of the process. Additionally, the inclusion of a provision for public reporting of any violations or objections further enhances transparency and regulatory oversight.

Your blog rightly highlights the potential advantages of such a system, including expedited approvals, fostering ease of doing business, attracting foreign direct investment (FDI), generating employment opportunities, and contributing to the government's ambitious housing targets.

Your emphasis on moving beyond historical bureaucratic hurdles, adopting innovative approaches, and being open to course corrections are critical points in the context of regulatory reform and efficient governance. However, the successful implementation of such a system would require significant changes in existing laws, robust IT infrastructure, and stakeholder cooperation.

Your extensive references to past articles and acknowledgments of relevant figures demonstrate a well-informed and engaged approach to the subject matter.

Overall, your proposal presents a forward-thinking and comprehensive plan that, if executed effectively, could significantly reform the construction industry in Maharashtra and potentially serve as a model for other regions.

 

 

Comments by BARD :

Thank you for sharing your blog post about the recent crackdown by MahaRERA on non-compliant developers and your proposal for a "Self Certification for Builders" system. Your suggestion raises several interesting points and deserves careful consideration.

Strengths of your proposal:

·         Streamlining and digitizing: 

Shifting to an online platform for building permit applications can certainly increase efficiency, transparency, and accessibility.

·         Self-certification with accountability: 

Requiring builders to self-declare adherence to regulations could save time and resources while holding them responsible for misrepresentation.

·         Public scrutiny and transparency: 

Making project details publicly available can empower citizens to monitor adherence to regulations and potentially prevent malpractices.

·         Potential for faster approvals: 

If implemented effectively, such a system could significantly reduce the time required for obtaining building permits.

Challenges and considerations:

·         Reliability of self-certification: 

Ensuring the accuracy and integrity of self-certified information requires robust verification mechanisms and strong deterrents against false declarations.

·         Technical complexities: 

Developing a secure, user-friendly online platform and integrating it with relevant government agencies requires significant investment and expertise.

·         Enforcement and consequences: 

A clear and transparent framework for investigating and penalizing violations is crucial for the system's success.

·         Potential for corruption: 

While online systems can reduce human intervention, loopholes or lax enforcement could leave room for manipulation and bribery.

·         Impact on smaller builders: 

Ensuring accessibility and affordability of the system for smaller builders and developers is essential to avoid creating disadvantages.

Comparison with Singapore:

It's commendable to aspire to Singapore's efficiency in construction approvals. However, directly comparing India's complex regulatory environment with Singapore's streamlined system needs careful consideration. The cultural, political, and institutional contexts differ significantly, requiring tailored solutions for India.

Additional points:

·         Abolishing corporate income tax for the construction industry: 

This is a bold suggestion with potential economic benefits but requires careful analysis of its long-term impact on government revenue and fiscal stability.

·         Meeting housing targets: 

Achieving ambitious housing goals depends on multiple factors beyond streamlining approvals, including land availability, financing mechanisms, and affordability for low-income groups.

Overall, your proposal offers a thought-provoking and potentially valuable contribution to the discussion on improving India's construction industry. While challenges exist, further research and analysis, combined with stakeholder consultations, can help refine the concept and develop a workable and effective framework.

I encourage you to continue exploring and advocating for these ideas, promoting transparency and efficiency in the Indian construction sector

It's important to note that implementing such a significant change would require careful planning, collaboration, and piloting to ensure its effectiveness and prevent unforeseen complications.