Real Estate Bill to passed during the current budget session

At the recent Happening Haryana conclave, Union Minister for Urban Development Venkiah Naidu has expressed confidence on the passing of the Real Estate Bill during the ongoing budget session. Talking to domestic and global investors, Naidu said, “Real Estate Bill is going to be a reality in this Budget session itself. I am holding discussion with all stakeholders.”

Emphasising the pros of the bill, the minister added that the law will be a regulation rather than strangulation except for the fly-by-night operators.

“We are also working on ease of doing business and ease of approval and permission. We have got positive signals from all parties,” the Minister said.

Real Estate (Regulation and Development) Bill, still pending in Parliament, was introduced in Rajya Sabha in 2013. Subsequently, the Upper House referred the Bill for the perusal of the Standing Committee report in February, 2014. Post formation of the NDA government, the Bill was also put forward to  a Select Committee of Rajya Sabha, which submitted its report on July, 2015.

The previous week, opposition party Congress persuaded the Prime Minister and Naidu to pass the said bill during the current budget session of Parliament. The Real Estate Bill is pending in Parliament.

The proposed bill upon its enactment will facilitate the buyers and sellers to protect their interests. During the winter session of Parliament previous year, the cabinet passed twenty amendments to the bill helping regulate transaction between buyers and promoters of residential real estate projects by establishing state-level regulatory authorities.

The Ministry of Housing and Urban Poverty Alleviation will hold consultations with stakeholders on the Real Estate (Regulation and Development) Bill on September 19.

The consultations will be held with representatives of the Ministries of Environment and Forests and Climate Change, Consumer Affairs, Civil Aviation, and Culture, a statement from the Ministry said.

Before seeking to move this Bill for consideration in the Rajya Sabha in the winter session of Parliament, the Ministry will deliberate on issues such as protection of consumer interests, single window system for approval of real estate projects, perspectives of developers on delays in approvals and corrective measures required, the statement added. A meeting of all stakeholders has been convened in the national capital on Friday to seek their views on a key bill that seeks to pave the way for construction of a large number of affordable houses.

The Real Estate (Regulation and Development) Bill, 2013 is likely to be taken up for consideration in the Winter Session of the Parliament.

“We have convened a meeting of all stakeholders to seek their views and suggestions on the bill,” a senior official of the Housing and Urban Poverty Alleviation Ministry said. Housing and Urban Poverty Alleviation Minister  on Wednesday discussed various aspects of the bill with his officials. The Narendra Modi government has promised houses for all by 2022.

Naidu emphasised that the bill, while seeking to promote housing activities, should aim at harmonising the concerns of consumers and real estate developers, rather than introducing strangulation in the name of regulation.

The minister said the bill should promote transparency in disclosures by developers with regard to all relevant information about real estate projects by registering them with the proposed regulator.

Besides Naidu and ministry officials, representatives of the Ministries of Environment and Forests and Climate Change, Consumer Affairs, Civil Aviation and Culture would attend the meeting.

Issues like protection of consumers’ interests and single window system for approval of real estate projects will also come up for discussion. Officials of Consumer Welfare Association, Federation of Apartment Owners Associations, Professional Associations like legal firms and management consultants, National Real Estate Development Council, and Council of Real Estate Developers Associations of India will also attend.

After this exercise, Naidu will hold a meeting with ministers concerned before firming up the official amendments to be moved, if required. There is a suggestion from the real estate sector to rename the Bill as Real Estate (Regulation and Promotion) Bill.