Housing Ministry Advocates for Single Window Clearance to Reduce Property Prices. The Housing Ministry aims to bring down high property prices by advocating for single window clearance.
Housing ministry recommends single window clearance to speed up clearance.
New Delhi: According to the Economic Survey 2013, delays in project clearances significantly contribute to increased property prices. The survey recommended that the government address this issue and implement appropriate solutions, which encouraged the Housing Ministry to take action.
If implemented, a single window clearance system would enable builders to launch projects more quickly. They could also offer homes at lower prices by reducing preservation charges.
Builders reported incurring substantial costs to maintain land and properties during the approval process.
A committee, led by Dhanendra Kumar, former chairman of the Competition Commission of India, was formed to address the issue. The committee has suggested establishing a single window clearance system that can handle real estate projects.
To increase the supply of affordable housing units Housing ministry suggests single window clearance.
The committee proposed a nodal agency to serve as a single-window point of contact. This agency would coordinate approvals from different departments.
To boost the supply of affordable housing units, the committee suggested a 60-day clearance timeframe for such developments.
According to Housing Ministry head Ajay Maken, these measures are aimed at improving the supply of affordable housing units.
Mr. Maken stated that the Ministry of Environment and Forest should also comply. These Ministries will need to streamline clearance procedures to expedite projects.
Environmental clearances and approvals from the Airports Authority of India (AAI) are among the most time-consuming. The associated delays have a negative impact on project timelines.
Property prices rise significantly during lengthy clearance periods, especially in major cities like Mumbai and Bangalore, where they are already rising rapidly.