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Chandigarh administration mulls doubling FAR in industrial areas

FAR is an urban planning tool that dictates the maximum permissible total floor area of a building relative to the size of its land plot.

Published on: Jan 14, 2026 8:20 AM IST
By , Chandigarh
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In a move aimed at addressing the evolving needs of the industrial sector, the UT administration is considering doubling the Floor Area Ratio (FAR) in Chandigarh’s industrial areas from 0.75 to 1.5.

Chandigarh currently permits FAR of 0.75 while in Mohali, it ranges from 2 to 3 depending on sector, while P’kula allows between 2 & 2.5. (HT File)
Chandigarh currently permits FAR of 0.75 while in Mohali, it ranges from 2 to 3 depending on sector, while P’kula allows between 2 & 2.5. (HT File)

FAR is an urban planning tool that dictates the maximum permissible total floor area of a building relative to the size of its land plot.

The proposal to revise the FAR was discussed during a recent meeting of a high-level committee, constituted by the UT administrator on December 26 last year under the chairmanship of deputy commissioner-cum-estate officer Nishant Kumar Yadav. It comprises 11 other members drawn from various departments of the administration, including the chief architect and the chief engineer.

A senior UT official, who is a member of the committee, said the panel will meet once more this week before the recommendations are forwarded to the UT administrator for approval.

FAR unchanged for 4 decades

Industrialists have been demanding a FAR revision for over two decades, while citing that the neighbouring industrial hubs offer higher development potential, with FAR ranging from 2 to 3 in Mohali, depending on the sector, and between 2 and 2.5 in Panchkula.

Industrialist Chander Verma said that UT’s industrial areas have steadily lost their competitive edge to neighbouring cities in Punjab and Haryana due to the restrictive building regulations. “There is an urgent need to modernise planning norms to retain and attract industries,” he said.

The industrialists are also seeking the withdrawal of building misuse and violation notices, stating that the FAR has remained unchanged at 0.75 for nearly four decades despite the changing industrial requirements. They say, a 2018 notification issued by the UT administration clearly allowed partial covering of central courtyards with polycarbonate sheets for storage purposes without adding to FAR. However, nearly 90% of the notices issued over the past five years pertain to such alleged violations, they claimed. The industrialists said the Union ministry of industrial policy and promotion had also directed a review of local policies but little progress was made on ground.

The industry has also urged the administration to revise the FAR norms for smaller plots of sizes ranging from five to one kanal, in line with the relief already extended to larger plots measuring over two kanals.

Other proposed reforms

Beyond FAR revision, the committee is also examining changes in ground coverage norms, land-use regulations, and adopting a flexible zoning framework that would allow mixed-use development. It will define permissible and non-permissible activities for various uses in the context of the Chandigarh Master Plan (CMP) 2031 and approved layout plans. The panel is also examining the possibility of allowing mixed land use in transit oriented development (TOD) zones.

Additionally, the committee will look into rationalising minimum road width requirements for different categories of industries in rural areas and finalising planning parameters for Industrial Area Phase III, particularly with regard to internal road widths.

  • Hillary Victor
    ABOUT THE AUTHOR
    Hillary Victor

    Hillary Victor is a Special Correspondent at Chandigarh. He covers Chandigarh administration, municipal corporation and all political parties.