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Govt made changes in GO No. 45 and gave them relief from reserving 20% of developed land or housing
Succumbing to pressure from builders and realtors' lobby, the state govt has amended the order (GO No. 45) and gave them relief from reserving 20% of developed land or housing units to economically weaker sections (EWS) and low income groups (LIG).
By: Times of India/Hyderabad
The GO No 45 which made it mandatory to reserve 20% of housing projects for EWS and LIG in layouts above 4,000 sq metres as per norms stipulated under the Jawaharlal Nehru National Renewal Mission (JNNURM) drew flak from builders and developers who have stalled major projects for the past one-and-half years. To resolve the issue, the MA&UD department appointed a committee with officials drawn from Director of Town and Country Planning (DTCP), GHMC and HMDA, which submitted its report a few months ago.
As per the latest amendment, if the area of a project is above five acres, builder or developer should provide 10% of the total built-up area to EWS and LIG (5% each) or 25% of the total number of housing units to the two sections (12.5 % each). However, they have the option of reserving units. The developers would get 10% concession in city-level infrastructure impact fee for the main project and total exemption for the part being reserved for EWS and LIG.
The state govement has not only reduced the EWS and LIG reservation but has given realtors the option of taking up housing projects for the two groups within a radius of 10 kms from the main project site or within five kms from the nearest aerial boundary of municipal limits in cities like Hyderabad, Visakhapatnam and Vijayawada. The GO said two or more builders/developer could provide a specified number of EWS and LIG units with all civic amenities, but occupancy certificate for the main projects would be released only after completion of EWS or LIG units. Separate undertaking would have to be obtained from builders conceed by the local body. Projects taken up in an area measuring below 3,000 sq metres are exempted from both EWS and LIG reservation and also from payment of 'shelter fee'.
The shelter fee is Rs 750 per sq metre in the Greater Hyderabad Municipal Corporation (GHMC) limits, Rs 600 in other municipal corporations, Rs 500 in selection and special grade municipalities and Rs 400 in other municipalities and panchayats falling under urban authorities. The shelter fee collected from the developers would be utilized for development of housing for EWS and LIG under JNNURM or any other housing schemes meant for those sections.
The GO No 45 which made it mandatory to reserve 20% of housing projects for EWS and LIG in layouts above 4,000 sq metres as per norms stipulated under the JNNURM drew flak from builders and developers who have stalled major projects for the past one-and-half years.