Fast-track realty projects in Maharashtra get few takers
Maharashtra government’s offer of fast-track construction projects by 18 months has got poor response. This offer is a failure if builders go for a green building certification process.
Union ministry of environment and forests (MoEF) guidelines has made it clear that every project that involves construction of 20,000 sq mt and investment of Rs.5 crore or more needs green clearance from the state government’s environment ministry.
For this purpose, state government has formed two state-level expert appraisal committees (SEACs), one for Mumbai Metropolitan Region (MMR) and another for rest of the state. The SEAC approval will take 18 months which is the main reason for the delay.
Furthermore, to ease developers’ pain, state government had announced in August 2011 that projects with a green building certification would be given priority, helping builders to reduce the SEAC waiting time.
However, none of the builders are interested getting a green building certification, due to which only 5% projects out of 300 projects pending before the SEAC, have opted for a green certification to jump the queue.
Also, the increasing land prices and other costs have demotivated developers in Mumbai to go for green buildings.
A green building certification can raise the cost of construction by Rs.100-400 per square foot. According to experts, green buildings are little bit expensive than normal concrete buildings which may increase costs for buyers, because of which many developers are not very keen on green projects.
Also, even if a builder opts for green building, he may save up to three months which is not a great benefit according to the Confederation of Real Estate Developers Associations of India (Credai).
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Confederation of Real Estate Developers' Associations of India, CREDAI, Fast-track realty projects, Fast-track realty projects in Maharashtra, green building, green building certification, Green building in Mumbai, Mumbai, Properties in Mumbai, Residential properties in Mumbai
