1. States asked to roll out RERA by July 30 to prevent default

States asked to roll out RERA by July 30 to prevent default

Urban development minister Venkaiah Naidu has urged states to take immediate action towards the implementation of the Real Estate (Regulation and Development) Act and put all the infrastructure in place by July 30 to prevent any default under the Act.

New Delhi | Published: July 12, 2017 3:16 AM
RERA, states to roll out RERA, real estate, maharashtra reram madhya pradesh rera, rera news The RERA was notified by the ministry of housing, urban development and poverty alleviation on May 1 last year.

Urban development minister Venkaiah Naidu has urged states to take immediate action towards the implementation of the Real Estate (Regulation and Development) Act and put all the infrastructure in place by July 30 to prevent any default under the Act. “If the rules are not notified under the Act immediately and the regulatory authority established by July 2017 with a functional website for project and agent registration, there would be a serious disorder in the sector,” Naidu said in his letter to all the chief ministers of the states. “If the promoters of real estate projects are not able to register their projects for want of rules and regulatory authority in the state/UT, the responsibility for violation of the Act would lie squarely on the state/UT government,” he said.

The RERA was notified by the ministry of housing, urban development and poverty alleviation on May 1 last year. All states were required to notify real estate rules, including the general rules and the agreement for sale rules, and establish the real estate regulatory authorities and the appellate tribunals by April 30, 2017, as the Act would commence its full operation from May 1.

In April, the government had also notified the remaining 32 sections of RERA which relate to registration of ongoing projects that have not received completion certificate, registration of property agents, and penalties for non-compliance. It has enforced the other 59 sections of the Act since May last year. All the real estate projects and property agents have to be registered with regulatory authorities by July 31.

Though some states have notified the rules, only Maharashtra and Madhya Pradesh have established the regulatory authority while few others have established an interim authority. Appellate Tribunal has not been established in any state so far, Naidu said.

The minister also said the RERA is not only a consumer welfare legislation but is also aimed at introducing governance in the real estate sector for its long-term growth.

By Surbhi Prasad

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