On Thursday, the Ministry of Housing and Urban Affairs has issued an advisory for extension of validity and time limit of all approvals, NOCs and subsequent compliances given by State and Central agencies for the Real Estate sector.
"In view of the situation created by the pandemic COVID-19 and consequent countrywide lockdown, reverse migration of labourers to their native places and break in the supply chain of construction material have adversely impacted the construction activities of real estate projects including residential, commercial, institutional and industrial across the country," noted the Ministry.
This Ministry also said that it has received representations from various stakeholders requesting for an extension of validity of statutory approvals, licenses, registration and building plan approvals, and NOCs from various external and internal agencies, for a period of minimum 9 months.
The Ministry added that adverse impact on real estate projects is due to pandemic which is a natural calamity and should be considered as a 'Force Majeure' situation.
They said that on May 13, an advisory was issued for extension of registration of real estate projects for which completion date or revised completion date or extended completion date as per registration expires on or after 25 March, 2020. They said that the said date can be extended automatically by six months by invoking 'Force Majeure' clause under the provisions of Real Estate ( Regulation and Development ) Act, 2016 ( RERA).
"Also, regulatory authorities, may on their own discretion, consider to further extend the date of completion as per registration for another period up to 3 months if situation needs special consideration," they added.
The Ministry of Housing and Urban Affairs further added to extend the validity "automatically" of various kinds of approvals by Urban Local Bodies ( ULBs )/ Urban Development Authorities/ other State agencies including Commencement completion certificates, payment schedule of charges including developmental charges. "No Objection Certificates ' from various agencies by 9 months," the Ministry said.
