NGT Groundwater Ban Halts Noida Construction Projects
The National Green Tribunal (NGT) recently issued an order prohibiting the use of groundwater for construction purposes in Noida and Greater Noida. This decision has brought numerous construction projects to a standstill, leaving builders in a state of uncertainty and homebuyers concerned about potential price increases and delays.
The NGT order, released last Friday, has prompted builders in the affected regions to halt construction activities. Representatives from various real estate firms confirmed that they have ceased all groundwater pumping operations in compliance with the NGT's directive. One official explained the essential role of water in construction, stating that "water is a main component for constructing the structure of any building."
Builders are currently engaging in discussions with the Noida Authority to ascertain the full implications and authenticity of the order. They have expressed their commitment to adhering to the NGT's decision while seeking further clarification. Some builders indicated that they are utilizing remaining water reserves drawn before the ban, but these supplies are expected to be depleted within a week under current conditions.
Potential Implications of the Ban
The construction industry is apprehensive about the long-term ramifications of the NGT's order. Builders anticipate that if the ban remains in effect, they will be compelled to procure water from alternative sources, inevitably leading to escalated construction costs. These additional expenses, encompassing both water procurement and transportation, are likely to be passed on to prospective homebuyers.
A CREDAI representative in Greater Noida disclosed that they are formulating strategies to mitigate the "additional" financial burden on homebuyers while acknowledging the potential inevitability of price hikes.
Meanwhile, homebuyers are growing increasingly anxious about the stalled construction projects. Some have expressed concerns about the affordability of their booked flats if prices surge significantly, and some even contemplate canceling their purchases. Builders have requested that buyers exercise patience for another week before making any final decisions, as they await clarity regarding the NGT order and its implications for project timelines and overall costs.