RERA MIGHT BE NOTIFIED BY MAY 2017 - Buyers might be benefited by this legislation

 May 1, 2017 (RERA) (Regulation & Development) Act, 2016 (RERA) will be implemented from this day.

It is believed that  implementation of RERA is likely to bring in transparency in the sector. 

RERA will protect the interest of the homebuyer and ensure timely delivery of projects.

Under the Act, builders have to deposit 70 per cent of the collected amount in an escrow account to ensure that money is not diverted from one project to another. 

There will be fines and penalties if the developer does not adhere to delivery guidelines.

Moreover, regulatory bodies and appellate tribunals have to be set up in each state to solve builder-buyer disputes within 120 days. 

Besides, promoters will not be able to change a project's design without buyers' consent, and carpet area will carry a uniform definition - a common reason for builder-buyer disputes.

The Highlights of RERA are:

1)Escrow account: The developer will have to transfer 70 per cent money received from home buyers to an escrow account. This money will be withdrawn as per the stages of construction, approved by engineers and chartered accountants of builders. This will prevent developers from using the money raised for one project for any other project.

2)Pay for what you get: The buyer will pay only for the carpet area (area within walls). The builder can't charge for the super built-up area, as is the practice at present, where you get 900-1,000 sq. ft. carpet area if you book a 1,300 sq. ft. house (the rest is balconies and common spaces). 

The new law is expected to stop this practice.

3)Clearances before selling: Developers will be able to sell projects only after the necessary clearances. 

Under RERA, builders and agents will have to register themselves with the regulator and get all projects with more than eight apartments registered before launch. This will take care of common malpractices such as selling property before getting the necessary clearances. The builder will also have to disclose every detail about the project - number of apartments, carpet area, etc.

4) Five-year warranty: The builder will have to provide for any structural defect in the building for five years. 

5)  The prices and the implementation of RERA?

Property prices are not connected to RERA. It is determined by demand and supply in the market.  The prices will see a correction after the implementation of RERA. However, margins are expected to increase because of lower cost of construction and developers will be in a position to pass the benefits to customers."

6) Role of states: Although RERA is a central law, its implementation will depend on state governments, as real estate is a state subject.

Though RERA promises to bring transparency in the real estate sector, dilution of the Act at the state level is a cause for concern. A few state governments have done away with application of the Act on under-construction properties, while the Central Act clearly states it has to apply to both under-construction and new projects. 

TANKER WATER IS UNFIT FOR HUMAN USE IN BANGALORE

TANKER WATER IS UNFIT FOR HUMAN USE IN BANGALORE

Using water from water tankers – basically, groundwater from deep under the surface – then think twice. 

A shocking revelation by the Central water resource ministry last week was that underground water in Bengaluru Urban and Rural areas contains dissolved solids like hard metals and chemicals over and above the permissible limits.

According to the Centre’s estimates, groundwater in Bengaluru Urban and Rural districts has chemicals and other dissolved solids above permissible limits or the national average, thus rendering it unfit for human consumption.

The seemingly fresh water with crystal clarity may lure you, but what goes unnoticed is the extent of total dissolved solids in that water in Bengaluru.

 Its consumption might land you with severe kidney problems, cancers, blue baby syndrome and dental disorders as the water is contaminated with high levels of chemicals, metal fluorides, nitrate, salinity and iron, besides sewage due to unscientific handling of solid waste and sewage that allows sewage to percolate down into the groundwater.

 Karnataka health department, too, has ordered mandatory health certificate for water supplied through water tankers to ensure pure and contaminant-free potable water.

“The survey and the groundwater quality studies were taken up by the Central Ground Water Board (CGWB) and other state departments, showing sporadic occurrence of contaminants in groundwater above the permissible level prescribed by Bureau of Indian Standards (BIS). Various scientific bodies and premier research organisations have been directed to take up studies to assess the impact of these contaminants on human health,” the report stated.

As per the Centre’s data, water samples from Bengaluru revealed salinity levels above the permissible limit of electrical conductivity above 3,000 micro mhos/cm. Similarly, fluoride levels stood above the permissible levels of 1.5 mg/litre and nitrate levels above the permissible quantity of 45 mg/litre.

Bengaluru’s unregulated sewage is the root cause of all problems, especially the high levels of nitrates in the groundwater. “More than 50 percent of sewage is let into the storm water drains, thereby allowing it to percolate naturally and get into the underground water table. Unless we do something to change the sewage conveyance system. 

Anthropogenic is largely human-made pollution by unscientific handling of the sewage.”



THE RESULT OF USING CONTAMINATED WATER AND ITS EFFECTS


* Kidney-failure 

* Fluorosis affecting the gums and teeth 

* Contaminants get inside body through water and feeding on vegetables, fruits grown downstream of polluted water bodies and serious and chronic health disorders.

POWER TARIFF IN KARNATAKA WILL GO UP FROM APRIL, 2017

POWER TARIFF IS UP IN KARNATAKA FROM APRIL,2017

The average tariff increase is now 48 paise per unit ranging from 15 paise to 50 paise per unit for all categories. In the case of Bescom areas, three additional slabs have been introduced and was stated that this increase for the last year`s deficit.

The reasons  for the tariff increase include recovery of revenue gap of RS. 2,296 crore for FY 16-17 (which accounts for 42 paise per unit), increase in power purchase cost for 17-18 (which is about six paise), increase in fuel cost of thermal power plants and fuel adjustment cost (FAC) amounting to Rs. 280 crore, causing an average increase of 20 paise per unit. With the addition of FAC, the average hike would be 53 paise per unit.

Importantly, the KERC is drawing up guidelines to fix responsibility on officers of Escoms to conduct monthly grievance redressal meetings. The commission will levy a penalty up to Rs. 1 lakh per sub division by the officer concerned.