Construction Ban In Delhi-NCR Need Of The Hour But Poses Project Delay Risk, Say Real Estate Developers
Construction Ban In Delhi-NCR Need Of The Hour But Poses Project Delay Risk, Say Real Estate Developers
Real estate players said that though the move is the need of the hour, it will pose a challenge for the realty sector as the delivery of the ongoing projects will be delayed due to the month-long ban

Amid the worsening of air quality in the national capital, the Graded Response Action Plan (GRAP) stage 3 has been implemented in Delhi with a complete ban on construction or demolition activities. Real estate players said that though the move is the need of the hour, it will pose a challenge for the realty sector as the delivery of the ongoing projects will be delayed due to the month-long ban.

Manoj Gaur, president of CREDAI (NCR) and CMD of Gaurs Group, said, “CREDAI recommends that all its member developers adhere to the prescribed measures, including water sprinkling and the use of green net coverings, in accordance with the guidelines provided by the NGT and Central Pollution Control Board. We anticipate that developers will comply with the directives issued by different government agencies during the GRAP period.”

He also said vehicular pollution and road dust are the primary sources of pollution that require effective management and control.

The Centre’s pollution control panel on Thursday invoked the GRAP III, directing a halt on non-essential construction work, stone crushing and mining in Delhi-NCR. Under this stage, restrictions are also imposed on the operation of BS III petrol and BS IV diesel four-wheelers in Delhi, Gurugram, Faridabad, Ghaziabad, and Gautam Budh Nagar.

Rajjath Goel, managing director of MRG Group, said, “We acknowledge the importance of addressing air quality concerns in the Delhi-NCR region. Nevertheless, implementing a comprehensive halt on construction activities has the unintended consequence of causing considerable disruptions when it comes to project schedules. On average, a one-month ban on construction leads to project delays of at least two to three months.”

The air quality in Delhi continues to deteriorate. On Saturday, the air quality in several areas of Delhi was recorded in the “severe” category in the morning, while the minimum temperature in the national capital settled at 16.6 degrees Celsius, a notch above the season’s average. Delhi’s Air Quality Index (AQI) stood at 407 at 9 am.

Mohit Goel, managing director of Omaxe Group, said, “Delhi-NCR is brimming with pollution, and the construction ban has emerged as a move by the government to tackle the worsening air quality. Though it is the need of the hour if we look at environmental conservation, for the real estate sector, it will pose a challenge as the delivery of the ongoing projects will be delayed due to the month-long ban.”

He, however, said the companies will try to continue carrying out activities that do not contribute to environmental degradation, such as the installation of pieces of equipment, interior work, and more.

Stating that the ban might pose a challenge for the real estate sector as the pace of project delivery might be affected, Raheja Developers’ Nayan Raheja also said, “This measure is quite important to balance the rising pollution levels in and around the national capital. We hope to continue with soft activities that do not contribute to pollution to continue the construction process.”

He said carrying out these activities will also help us keep the manpower engaged, preventing them from returning to their hometowns due to lack of work, as it becomes difficult to get ahold of them to restart the process.

Amit Sharma, national head at 360 Realtors Franchise Business, said, “This is a much-needed step, though it will undermine the pace of construction activities in the region. The market in NCR is recovering after a longtime and such a move might not be in the longer health of the sector. A prudent alternative could have been to see things on a case-by-case basis.”

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