News: Haryana govt urges realtors to pay EDC on time, focus on smaller projects-25-02-2022
The Haryana government on Friday said that developers must pay the external development costs (EDC) on time and focus on small projects
The Haryana government on Friday said that developers must pay the external development costs (EDC) on time and focus on small projects. Officials said that realtors must also work in phases for timely allotment of properties, while addressing the urban development conclave, which began in Gurugram on Friday.
Devendra Singh, additional chief secretary, department of town and country planning (DTCP), said that instead of making big projects in different phases, the developers should work towards making smaller projects, so that all the allottees get timely possession of their properties.
“By focusing on smaller projects, the EDC can also be deposited within the stipulated time frame. The state government has come forward and taken various important steps for development in the urban areas and in such a situation, it is also the moral responsibility of the developers to deposit their outstanding EDC within the stipulated time frame,” said Singh.
Singh added that there is a need to amend the existing law for registration of real estate projects on a phase-wise basis and such a move can resolve outstanding issues of both developers and allottees and projects can be delivered on time.
“Realtors face certain difficulties in developing real estate projects in Haryana, due to which the allottees also face problems. Getting permission to develop properties in a phase-wise manner will ease the problem to a great extent, but doubts exist with regards to such a move. Therefore, there is a need to amend the Real Estate Regulatory Authority Act, (RERA)2016. This will also help to eliminate licence related problems,” added Singh.
DTCP director general K Makrand Pandurang, said that non-availability of EDC on time definitely affects the pace of development works. He said that the state government has a very liberal approach towards urbanisation and developers must pay the EDC at the earliest.
Jitender Sihag, the chief town planner of the Haryana government informed that under the ‘one-time settlement policy’, 512 developers have paid ₹1,130 crore till August 10, 2020, and 376 developers submitted ₹311 crore till November 16, 2021. “The state is yet to receive ₹15,585 crore from developers, which includes interest and penal interest on the principal amount in the form of EDC”, he said.
