The Bharatiya Janata Party (BJP) government in Haryana on Friday launched a new integrated licensing policy for the development of hyper and high-potential urban complexes of Gurgaon-Manesar, Faridabad-Ballabhgarh, Sohna, Sonepat-Kundli, Panipat and Panchkula-Kalka-Pinjore.
Chief minister Manohar Lal Khattar, in a press conference, said the new the licensing policy was a game changer as it found a proper balance between the aspirations of the farmers/ landowners, the consumers of residential plots and flats, the real estate developers and the government. Khattar said it was a win-win situation for everyone.
He added that the new policy brought in the internationally acclaimed model of transferable development rights (TDR), coupled with unique provisions, which obviate the need for government to resort to compulsory land acquisition.
What is new policy?
The new licensing policy enables the small landowners to voluntarily monetise their land by participating in the licensing process, real estate development and marketing and sale of their transferable development rights. In the earlier policies of the Town and Country Planning department, only a builder owning more than 100 acres was considered for developing a licensed plotted colony in these areas.
However, with sharp rise of land value in towns like Gurgaon and Faridabad, a situation emerged where the builders could not aggregate 100 acres and the small farmer or landowner had to wait either for the builders to buy their land at a rate less than the market value or face the ignominy of compulsory acquisition by the government.
Citing an example, Khattar said as a result of the earlier policies of the government, about 10,000 acres located in urban portion in Gurgaon was lying unutilised with large gaps in infrastructure development. This led to a disillusioned real estate sector and properties buyers feeling defrauded because of lack of facilities and the government agencies devoid of adequate resources and land for laying down the right infrastructure.
Norms scaled down
The chief minister said while bringing down the area norms for establishing a colony from 100 acres to 25 acres, the policy provides for a global floor area ration (FAR) — the gross floor area permitted on a site in relation to the net area of the site — between 1.0 to 1.25 for colony size of 25 acres to 50 acres and above 50 acres respectively. These builders can respectively raise their FAR utilisation to 1.25 (for colonies upto 50 acres) and 1.50 (for colonies more than 50 acres) by purchasing the TDRs of the land owners.
The land owners will have complete freedom to sell FAR to any builder in a large planning unit. Each farmer will be eligible to sell his TDR certificate equivalent to 1 FAR for his land (eg about 4,047 sq meters or 43,264 sq feet for each acre of land) at market rates. In order to ensure optimum utilisation of very-high priced land in these urban areas, the applicable density is also being increased to 250 PPA.
Transferable development rights
The chief minister said for the first time the concept of transferable development rights (TDR) was being introduced comprehensively in Haryana. This concept will give an alternative to the farmers/individual land owners having land less than 25 acres to obtain TDR certificate from the department.
This will help such farmers/ owners to monetise their land holdings at current market price in residential sectors and for the sites/areas designated for external development works like sector roads, colleges, hospitals, fire station, open spaces, green belt etc.
It was pointed out that the concept has recently been introduced for procuring the land falling within the alignment of internal 18/24 metres wide roads to enable connectivity with the wide sector roads and in terms of infrastructure provision to specific colonies located within the sectors.
Khattar said the objective of achieving ‘housing for all’ by 2022 was not being left at the whims and fancies of private developers.
The policy proposes that 12% of the land of the colony for developing affordable housing for economically weaker section, low income group and middle income groups will be given free of cost to the government.
This will also abolish the opaqueness associated with the allotment of no profit no loss category plots by the builders.
The government will then develop EWS/LIG/MIG houses through the housing board and other state agencies.
The policy proposes to take 10% land of the colony free of cost for construction of such facilities like schools, dispensaries, religious buildings, community centres facilities etc. based on requirement of each residential sector.