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Tamil Nadu introduces uniform fee structure for self-certification of residential buildings

#Law & Policy#India#Tamil Nadu
Last Updated : 6th Jan, 2025
Synopsis

Tamil Nadu has implemented a standardized fee structure for self-certification of residential buildings, aiming to address the inconsistencies in charges across different administrative zones. This comes after the government introduced a self-certification-based building plan approval system in July, designed to simplify the approval process for smaller residential buildings. The new fee structure categorizes charges based on the location of buildings, differentiating between peri-urban and village panchayats, as well as the type of construction. The changes are expected to streamline the process and reduce complications for developers and residents.

Tamil Nadu has introduced a new, standardised fee structure for self-certification of residential buildings, which is expected to address concerns about the inconsistent charges that have been a longstanding issue across administrative zones. This follows the government's earlier move to introduce a self-certification-based building plan approval system aimed at simplifying the process for smaller residential projects.


In July, the government rolled out a self-certification scheme to ease the approval process for smaller residential buildings. The plan applies to single or double-story residential buildings with a built-up area of up to 3,500 sq ft on plots not exceeding 2,500 sq ft. This system was designed to reduce procedural hurdles and make it easier for property owners to gain approval for these smaller projects.

Earlier this month, the Rural Development and Panchayat Raj Department issued a Government Order (GO) to standardise building plan approval fees. The GO was issued in response to long-standing concerns about the varying fees across administrative zones, which often created confusion and delays. Under this new system, fees for various types of developments are now grouped into a single category. The new framework divides residential buildings in village panchayats into four categories, depending on their location and proximity to urban areas.

For residential buildings within the self-certification category, peri-urban villages located within the Chennai Metropolitan Development Authority (CMDA) limits, totaling 78 villages, will be charged INR 27 per sq ft. Meanwhile, peri-urban village panchayats, which cover 612 villages, will be charged INR 25 per sq ft. Village panchayats falling within the CMDA limits, totaling 44 villages, will face a fee of INR 22 per sq ft, while the remaining 11,791 village panchayats will charge INR 15 per sq ft, making it the largest group.

For commercial buildings, the charges are INR 32, INR 30, INR 26, and INR 18 per sq ft for the respective categories. For industrial buildings, the charges are INR 43, INR 40, INR 35, and INR 24 per sq ft. These rates exclude contributions to the Construction Workers Welfare Fund, which is mandated by the Tamil Nadu Manual Workers (Regulation of Employment and Conditions of Work) Act, 1982, and the Tamil Nadu Manual Workers (Construction Workers) Welfare Scheme.

The government has also directed the executive authority of village panchayats to fix layout approval fees through resolutions, with the goal of creating more clarity and uniformity in the building permit process.

Developers have welcomed these changes, noting that the previous system's varying fees across different jurisdictions often led to complications. "Previously, there were multiple fees for things like building licences and scrutiny. Now, under this unified fee structure, residents can apply for building permits and expect quicker approval," said S Ramprabhu, chairman of the DTCP committee at the Builders Association of India.

The introduction of a standardised fee structure for self-certification of residential buildings in Tamil Nadu aims to reduce confusion and streamline the approval process for both developers and residents. The new system, which categorizes buildings based on location and type, ensures greater clarity and consistency in the approval fees. With a more uniform approach, the government hopes to eliminate previous complications and expedite the building permit process. Developers have expressed their support for this move, highlighting its potential to simplify procedures and enhance efficiency in the construction sector.

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