In a strongly worded observation, the Punjab Real Estate Regulatory Authority (RERA) has called for urgent regional and national-level strategic planning of real estate development, warning of a serious lack of vision among competent authorities responsible for granting project licences. The authority has also recommended systemic reforms, including a single-window, API-based clearance mechanism, digitisation of land records with title guarantees, and mandatory insurance of real estate projects to protect allottees from delays and abandoned developments.
The observations were made while issuing directions under Section 32 of the Real Estate (Regulation and Development) Act, 2016, with the bench stating that it was its bounden duty to place these recommendations before the full authority and forward them to the appropriate government for consideration, in order to promote a healthy, transparent, efficient and competitive real estate sector.
Zirakpur Development Cited as a Warning Sign
Referring to peripheral development around Chandigarh, particularly Zirakpur, Punjab RERA highlighted how unchecked high-rise construction along national and state highways has led to permanent traffic congestion, raising serious concerns over the manner in which approvals were granted.
The authority noted that excessive commercial and residential construction along highways has resulted in heavy and continuous traffic bottlenecks, suggesting that competent authorities either failed to consult regional and national strategic plans or that no such plans existed in the first place.
The bench observed that the mushroom growth of projects on main roads and highways demonstrates how the long-term impact of development is being ignored, reflecting a clear lack of foresight and planning discipline.
Strategic Planning Must Extend Beyond Cities and Districts
Clarifying the scale of planning required, Punjab RERA stressed that a true master plan cannot be limited to individual projects, cities or districts.
According to the authority, strategic planning must operate at the level of:
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Geological regions
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Entire states
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The country as a whole
Such planning, it said, must account for topography, demographic projections, zoning norms, environmental sustainability, geological stability, and the interconnected nature of regions through rivers, natural resources and highway networks.
The authority also flagged seismic vulnerability, noting that parts of Punjab, Haryana and Chandigarh fall within high seismic risk zones, making integrated planning urgently indispensable rather than optional.
Single-Window, API-Based Clearance System Recommended
To address institutional silos and delays, Punjab RERA strongly recommended the creation of an API-based digital ecosystem enabling seamless data sharing between departments.
The authority suggested that such an API framework would allow:
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Real-time inter-departmental communication
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Faster, time-bound approvals
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A genuine single-window clearance system
This, it said, would significantly reduce uncertainty, delays and duplication in project approvals.
Improving Dispute Resolution Through Institutional Coordination
On dispute resolution, the authority emphasised better coordination among existing legal and consumer forums, proposing that:
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Consumer bodies
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Promoter associations
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State dispute resolution mechanisms
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ADR centres under Legal Services Authorities
should work in tandem, with the High Court playing a supervisory role, to reduce prolonged litigation between promoters and allottees.
Digitisation of Land Records and Conclusive Titles
To tackle recurring disputes over project location, land identity and boundaries, Punjab RERA recommended complete digitisation of land records and a long-term transition towards conclusive land titles with title guarantees.
As an immediate corrective measure, it directed that all sanctioned building plans must be doubly superimposed on:
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Revenue department Latha maps, and
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Google Earth imagery
clearly depicting Khasra numbers and exact project locations, making this mandatory for architects submitting plans.
Mandatory Insurance to Address Delays and Abandoned Projects
Recognising that project delays and abandonment remain the root cause of promoter-allottee disputes, the authority strongly recommended that the government notify mandatory insurance requirements for real estate projects.
Such insurance, it noted, should cover:
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Construction of the project
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Title of land
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Building and allied risks
This measure, the authority said, would protect genuine allottees, ensure project completion, and significantly reduce litigation.
Need for Training and Sensitisation of Authorities
Given RERA’s overriding effect over other laws, the authority stressed the urgent need to sensitise and train all stakeholder departments through structured capacity-building programmes. This, it said, is essential to achieve RERA’s objectives of efficiency, transparency and consumer protection.
Calling regional and national strategic planning the most critical reform, Punjab RERA directed that copies of the judgment be circulated to all stakeholders and competent authorities for what it described as institutional soul-searching.
