independent regulator for construction industry needed – azad

north eastern region has huge potential for construction industry – kyndiah

Friday, February 18, 2005

Minister for Urban Development and Parliamentary Affairs, Shri Ghulam Nabi Azad today emphasized on the need to set up an Independent Regulator for Construction Industry which he said would facilitate establishment of more professional, efficient and competent environment and encourage transparent and equitous relationship amongst builders, contractors and consumers, based on explicit and enforceable contract. “This exists in many advanced countries of the world and can work as the watch dog of the industry”, he added. He was addressing the delegates at the XXI All India Construction Industries’ Convention organized by Builders Association of India.

Shri Azad said that Government attaches high priority to the construction sector and urged construction industry to play proactive role in expansion of road network and also the air transport infrastructure. Referring to UPA government’s commitment for the development and expansion of physical infrastructure like roads, highways, ports, power, railways, water supply, sewage treatment and sanitation, Shri Azad assured adequate physical support for integrated development of infrastructure in urban areas. Regarding the need to create additional 23 million dwelling units in the housing sector, Shri Azad urged state governments, Urban Local Bodies, development and planning agencies to convert this challenge into an opportunity and initiate new policy initiatives to increase availability of developed land, security of tenure for land, mobilizing of investments and cost effective building technology. He also said that the liberalization of FDI policy would help in increased flow of foreign investment for setting up townships along with the inflow of best practices, designs and construction standards.

Referring to some of the difficulties faced by Construction Industry Shri Azad said that uncertainty about land titles, difficulty in getting investment clearances and approval of plans, existence of laws like Rent Control and Urban Ceiling Acts, inhibit growth of the Construction Industry. He called upon state governments to find solutions to these and make land availability easier and transparent. On his part he promised to get all land related disputes/litigations in Delhi cleared in quick time. “A Committee under chairmanship of Secretary, Urban Development is being constituted for this purpose,” he added.

Shri Azad also emphasized on the need to develop a transparent system of career progression so that trained young, personnel are attracted towards construction industries. Referring to the need to keep abreast with ongoing developments in the field of construction technology/materials, project and financial management, Shri Azad underlined the need to find research based solutions for energy saving, water harvesting, recycling, low cost and green building material, etc. He also emphasized on the need to establish well defined and equity based rules, fair contract documents that clearly spell out rights and obligations of each party thus reducing litigation and improving credibility of the sector.

Minister for Tribal Affairs and DONER Shri P.R. Kyndiah in his address said that UPA government is committed to urban renewal and social housing for the poor and Infrastructure development in urban and rural areas will get priority attention of the government. He urged the members of the Construction Industry to invest in North-East which has huge potential for minerals, hydro power and healthy man-power and forms the economic bridge to South East Asia .

HRK/Aa