Builders in Gujarat gung-ho after online NA push
With the implementation of the online system for getting non-agriculture (NA) land certificate across Gujarat, registrations for realty and industrial projects are expected to go up at Vibrant Gujarat Global Investor Summit (VGGIS) in January 2019.
Gujarat government had begun the system as a pilot project on August 15; permissions for NA land were granted by the collectorate office. However, the developers were in a wait and watch mode as they had already been grappling with slowdown in the sector apart from administrative hassles for clearance of projects by urban development departments. After initial hiccups in the system, the government came up with an updated version and implemented it in all the districts of the state.
Along with the online system for NA permission, the government is also allowing offline applications for development permissions for three months. These two permissions, said realtors, will help the industry get faster clearances for the projects and allow them to get the Real Estate Regulatory Authority (RERA) permissions sooner. NA and development permissions are two of the main clearances needed to apply to Gujarat RERA department.
This move by the government is expected to help the realtors, hoteliers, MSMEs and other industries to announce bigger projects in the upcoming VGGIS-2019.
GIHED-CREDAI President, Ashish Patel said, “This move by Gujarat government is like a power-booster for the real estate industry because online NA permission along with offline permissions for development projects will expedite the clearance process for the developer. Moreover, it will help developers to come up with affordable residential and commercial projects which are the need of the hour.”
Patel further said, “Gujarat government had implemented the Online Development Permission System (ODPS) in May 2018. It has been seven months since we have been requesting the government to correct their online software which was not up to the mark to access our project applications. Thus, it will give developer ease in getting faster permissions.”
The Real Estate Developers’ Associations of India (CREDAI) had been demanding multiple facilities and modification in the administrative system from Gujarat government for the ease of doing business; NA permission was one of them.
Commenting on the development, CREDAI President Jaxay Shah said, “It’s a welcome decision as we can see that now people are getting NA permissions within 10 days. This will help developers expedite their project from conceptual stage to execution faster.”
“We will see more projects from sectors like logistics, hospitality, realty projects (residential and commercial), following this development, in the upcoming Vibrant Gujarat event,” added Shah.
Secretary (Land Reforms), Revenue Department, Hareet Shukla said, “NA is the prime requirement to begin any industry. Therefore, after testing the pilot for three months at Ahmedabad and Gandhinagar, we have begun the service across the state.”
Explaining further the impact of the newly available online NA service, Shukla said, “This has been done as part of bringing transparency in the system will lead to ease of doing business. This will help the Vibrant Gujarat 2019 event in multiple ways.”
Rajiv Vastupal, chairman of Federation of Indian Chambers of Commerce and Industry (FICCI), Gujarat State Council, said, “It’s a welcome move as the process will reduce corruption and waiting period of the applicant.” Moreover, the affordable housing schemes developers will be the biggest beneficiary of this development, he added.