Context :
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 :
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,
Related Readings :
A
HALF-WAY HOUSE ? …………………………………………………….. 03 Jan
2016
Thanks
, Shri Naidu !.................................................. 14 Mar 2016
A
Transparent RERA ? ……………………………………………………….. 24 Jan 2018
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.
