Union Housing and Urban Poverty Alleviation Minister M. Venkaiah Naidu has urged the state governments to implement the Real Estate Act, 2016, in “letter and spirit” and provide all the institutional mechanisms needed to roll out the legislation from May 1.
In a letter to Chief Ministers, Naidu has urged them to take personal interest in ensuring implementation of the Act “in letter and spirit”.
“Real Estate Act is one of the most important reforms for the sector, which would bring benefits to all stakeholders. It is therefore, my sincere request to please bestow your personal attention to this matter so that the Act is implemented in time and in the spirit with which it was passed by the Parliament,” Naidu said in the recent letter, according to an official statement.
Under the Real Estate (Regulation and Development) Act, 2016, from May 1 this year, home buyers can approach Real Estate Regulatory Authorities seeking relief against violation of the contractual obligations and other provisions of the Act.
For this to happen, Real Estate Rules including the General Rules and the Agreement for Sale Rules, Real Estate Authorities and Appellate Tribunals were required to be in place and in a position to start functioning.
So far, only four states – Gujarat, Madhya Pradesh, Kerala and Uttar Pradesh – and six Union Territories have notified the final Real Estate Rules.
Naidu said the Act would not only provide the much needed consumer protection, but would also give a fillip to the sector.
Over 60 sections of the Act were notified by the Ministry on May 1 last year, including Section 84 under which states were required to notify Real Estate Rules by October 31 last year thereby setting the ground for the act’s implementation.
The Ministry has also received some complaints of violations of some of the provisions of the Act by some of the states, resulting in dilution of the spirit of the Act.
In this backdrop, Naidu urged the Chief Ministers to ensure compliance with the Act, “as passed by Parliament”.