Breathe Today, Build Tomorrow: Developers fume, say Delhi construction ban will delay projects

Air pollution: Construction ban under GRAP-IV will delay housing projects, say real estate developers

With the CAQM (Commission for Air Quality Management) banning construction under stage IV of the Graded Response Action Plan (GRAP) as the NCR's air quality deteriorated to the 'severe plus' level, developers said that this would delay   housing and commercial projects and affect the livelihood of construction workers.

GRAP IV is invoked when the air quality index (AQI) exceeds 450. This stage includes a complete ban on all types of construction and demolition activities in the National Capital Region (NCR), along with closure of schools and restrictions on the movement of vehicles. Delhi's AQI stood at 485 at 8 am on November 18, 2024, and deteriorated to 490 at 1 pm.

The GRAP action depends on four stages of pollution: Stage I — 'poor' (AQI 201-300); Stage II — 'very poor' (AQI 301-400); Stage III — 'severe' (AQI 401-450); and Stage IV — 'severe plus' (AQI above 450).

Developers and experts said the ban will delay delivery of projects and impact both builders as well as homebuyers, as a one-month ban on construction can delay a project by two to three months because labourers  move on to other jobs or even to their hometowns. They said that authorities should adopt a case-by-case approach when implementing air pollution regulations, and control vehicular emissions and roadside dust, which are the main sources of pollution.

Key restrictions

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The key restrictions under GRAP IV include suspension of construction and demolition work for housing, commercial, and infrastructure projects like roads, highways, flyovers, pipelines, power lines, etc.

Delhi-registered heavy and medium diesel goods vehicles that aren't BS IV compliant are also banned from plying, and  schools are closed.

Non-Delhi registered light commercial vehicles are barred from entering the city, except electric, CNG, BS-VI compliant diesel vehicles,  or those providing essential goods and services.

GRAP-IV also recommends that offices in Delhi-NCR should work at 50 percent capacity, with the rest of the staff working from home. However, respective state governments can take a call on this, and also decide on the closure of schools, colleges, limit non-essential commercial activities, and implement odd-even vehicle rules.

What do the developers say?

G Hari Babu, National President, National Real Estate Developers Council (NAREDCO), said that while the construction industry understands the importance of addressing environmental challenges, it is equally important to consider the broader implications of such measures.

Babu said that construction supports millions, especially daily-wage workers who rely on  projects for their livelihood,  and any hindrance in its operations will hit them.

“RERA-approved projects, which adhere to stringent pollution-control measures, should not be included under this blanket ban. These projects already comply with strict environmental norms, ensuring minimal dust and pollution during their execution. Halting such regulated construction activities disrupts project timelines, impacts financial obligations, and causes cascading effects across the entire ecosystem of suppliers, contractors, and labourers,” Babu told Moneycontrol.

Kushagra Ansal, Director, Ansal Housing, said that while the real estate sector supports the government's GRAP initiative, it also advocates for a nuanced approach that balances environmental concerns with the practical realities of the construction industry.

“A ban on construction could lead to significant unintended consequences, including financial hardship for workers, delays in project timelines, and the imposition of penalties on developers under RERA. These disruptions could hinder progress in projects that are already  compliant with rigorous environmental standards,” he said.

Ansal added that RERA-approved projects should be exempt from construction restrictions, as they  are already subject to stringent pollution-control measures.

Homebuyers’ take

Chetan Jaiswal, a homebuyer in Gurugram, said that though  pollution control measures are required, a blanket ban on construction will hurt homebuyers as projects may get delayed further.

“I have invested in an under-construction project along Dwarka Expressway in Gurugram. The project is already running behind schedule and will get further delayed due to the ban,” he said.

Rajiva Singh, President, Noida Federation of Apartment Owners Associations (NOFAA), said that with GRAP coming into effect, though construction  has been restricted to a certain extent, such activities are still taking place at construction sites late at night.

"We need to find ways to educate developers to take this up as a social responsibility and make sure these sites do not further pollute the atmosphere," he added.