Business Standard

Realty players on token strike on April 27

Plan to flag off policy paralysis, uncertainty over continuity in decisions

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Sanjay Jog Mumbai

Now its the turn of Mumbai's realty sector to organise a day's token strike on April 27 against the policy paralysis, lack of continuity in policies and decisions taken by the state government and the civic body and inordinate delays in getting various clearances. Maharashtra Chamber of Housing Industry, which is in the midst of uniting realty players, says a formal decision in this regard would soon be taken.

The move by realty player's come at a time when there has been 14.80% decline in property registration (sales and purchases) during January-March 2012 in Mumbai while leave and licenses agreements have surged by 11.72%. The timing of a token strike is crucial when auto unions have announced their decision to go on indefinite strike to press for tariff revision among other issues and similar strike call has been given by auto fuel dealers in the last week of April.

 

Paras Gundecha, president, Maharashtra Chamber of Housing Industry told Business Standard "There are couple of issues which we have been flagging off with the government and civic authorities time and again. However, there has not been any major improvement. A committee appointed by the state government for high rise buildings instead of examining structural stability keeps on asking other issues which are not in its jurisdiction. It takes a long time to get approval from the committee. Besides,  it takes at least two years to get building plans passed by the BrihanMumbai Municipal Corporation. It needs to be expedited."

Gundecha said that more than 455 files of various projects await environment clearance. "Even though in Gujarat, Punjab and Kolkata the environment clearance gets in eight to 10 months it needs at least two years in Mumbai. The state government's intervention to fast track these clearances especially from the ministry of environment and forest is required," he mentioned.

Sachin Ahir, minister of state for housing, however, said that the government was prepared for a dialogue. "The government is quite open for talks. I want to appeal the builders and developers to reconsider its plan to go on a token strike."

However, Gundecha said despite the talk there has not been any fomal policy on rental housing has been framed by the state government.  He also wondered why realty players need to keep aside certain flats for discretionary allocations despite the repeal of Urban Land Ceiling Act way back during the BJP-led NDA rule.

Gundecha refuted allegations that builders and developers were only keen to make money and not to pass it to the consumers. "If the time taken in granting various clearances is reduced and a single window system is introduced the interest during project development will be reduced substantially and that benefit can be easily passed on to the consumers," he noted.

He said MCHI has already welcomed the government's move to amend the development control regulations in Mumbai. However, he hoped that this should result in bringing certainty among home buyers.

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First Published: Apr 13 2012 | 2:34 PM IST

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