16 - 04 - 2020€¦ · provisions of section 51 to 60 of the disaster management act 2005, besides...
TRANSCRIPT
16 - 04 - 2020
CREDAI Bengal Daily News Update | 16.04.20
WEST BENGAL NEWS
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Newspaper/Online The Times Of India (Online)
Date April 16, 2020
OTHER NEWS
Home ministry allows construction of projects within municipal
limits
These activities however will not be permitted in containment zones within hotspots. If
any new area is included in the category of the containment zone, the activities will be
suspended.
Ministry of Home Affairs on Wednesday allowed continuation of works in construction
projects, within the limits of municipal corporations and municipalities, where workers are
available on site and no workers are required to be brought from outside.
The ministry has allowed select necessary activities from April 20, 2020. However these
additional activities will be operationalised by states/union territories/district administrations
based on strict compliance to the existing guidelines on lockdown measures.
Construction of roads, irrigation projects, buildings, and industrial projects, including MSMEs,
in areas outside municipal limits and all kinds of projects in industrial estates have also been
allowed.
Movement of all personnel travelling to place of work and back in the exempted categories as
per the instructions of the state/union territory are allowed.
All industrial and commercial establishments, work places, offices, etc shall put in place
arrangements for implementataion of SOP before starting their functioning. These include:
All workplaces shall have adequate arrangements for temperature screening and provide
sanitizer
They shall work at a gap of one hour between shifts to ensure social distancing
All organization shall sanitize their work places between shifts
The district magistrate will deploy executive magistrates as incident commanders to implement
these containment measures.
These activities however will not be permitted in containment zones within hotspots. If any new
area is included in the category of the containment zone, the activities will be suspended.
Any person violating these lockdown measures will be liable to be proeeded against as per the
Newspaper/Online ET Realty (Online)
Date April 15, 2020
Link https://realty.economictimes.indiatimes.com/news/industry/home-ministry-allows-
construction-of-projects-within-municipal-limits/75163283
provisions of section 51 to 60 of the Disaster Management Act 2005, besides legal action under
Sec 188 of the IPC and other legal provisons as applicable.
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Construction contracts plunge 43% in FY20: Report
The problem was more pronounced in the final quarter of the year, as the government
contracts came to an almost full standstill as it cut spending to maintain fiscal numbers
under check, and the final week saw the entire nation coming to a halt due to the
lockdown.
Infrastructure sector activity witnessed a decline of 43 per cent in FY20, following financial
troubles at the national road builder NHAI and the massive contraction in March due to the
lockdown, according to a report.
The problem was more pronounced in the final quarter of the year, as the government contracts
came to an almost full standstill as it cut spending to maintain fiscal numbers under check, and
the final week saw the entire nation coming to a halt due to the lockdown.
The overall contract awarding activity fell 26 per cent year-on-year in March.
The power distribution contracts plummeted 77 per cent on an annualised basis; real estate
awards fell 35 per cent; infrastructure contracts slipped 43 per cent; irrigation awards nose-
dived 66 per cent and water supply awards dipped 29 per cent, show the numbers collated by
the brokerage Emkay Global.
The only saving grace during the month was power equipment, which rose 65 per cent year-on-
year, and pipelines segment that remained at the same level as power equipment awards.
The road segment saw a paltry Rs 340 crore of orders bagged by L&T in March.
As a result, the total value of tenders published in March was down 48 per cent on an
annualised basis and a full 17 per cent month-on-month.
Steep plunges in awards on an annualised basis were seen in roadways (82 per cent), irrigation
(82 per cent), Railways (57 per cent), real estate (41 per cent) and fresh hospital contracts were
down a full 41 per cent.
However, community services rose 25 per cent on an annulaised basis, water supply saw 83 per
cent more contracts being awarded over the past year, power distribution saw 28 per cent
growth and water treatment awards grew almost three times, clipping at a full 283 per cent year-
on-year.
Newspaper/Online ET Realty (Online)
Date April 15, 2020
Link https://realty.economictimes.indiatimes.com/news/infrastructure/construction-
contracts-plunge-43-in-fy20-report/75161940
Major orders finalised in the month include three hybrid annuity mode contracts under
Bharatmala Pariyojana of the National Highways Authority of India.
They are the Rs 2,100-crore contract won by PNC Infratech for four-laning of the Aligarh-
Kanpur section of NH-91 in Uttar Pradesh; the Rs 1,500-crore contract by Adani Enterprises-
Navayuga Engineering JV for six-laning of the Vijaywada bypass from Gollapudi to
Chinnakakani in the Vijayawada- Gundugolanu section of NH-16 in Andhra; and the Rs 1,500-
core contract won by PNC Infratech for four-laning of the Jagdishpur-Faizabad section of NH-
330A in UP.
"With the fiscal situation of both the Centre and states already worsening and further pressure
likely due to the Covid-19 impact, we are now increasingly cautious on FY21 order inflows,"
warns the report.
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Covid-19 hotspots Mumbai, Pune unlikely to benefit from relief to
building projects
Mumbai Metropolitan Region (MMR) and Pune have both been declared as coronavirus
hotspots. The maximum construction projects are also in these regions.
The revised guidelines regarding ongoing construction projects issued by the Centre on
Wednesday has come as a huge relief to the builders as labourers stationed at these sites can
now commence work on building projects. However, the new guidelines said such work cannot
be carried out in areas designated as Covid-19 hotspots.
Mumbai Metropolitan Region (MMR) and Pune have both been declared as coronavirus
hotspots. The maximum construction projects are also in these regions.
Anuj Puri, chairman of ANAROCK said, "The fact that Covid-19 hotspots will not be able to
resume activity from April 20 is a dampener for markets such as MMR - a highly-impacted
zone, which, as per ANAROCK data, currently has the highest under-construction residential
stock of nearly 4.65 lakh units. This accounts for 30% of the overall 15.62 lakh under-
construction stock across the top seven cities."
He added, "As far as construction activity in non-hotspots is concerned, developers will need to
focus on resuming construction on projects that are already nearing completion and have a
completion deadline within 2020."
However, developer Niranjan Hiranandani said there was no blanket ban in the entire MMR
region and Pune. "There are pockets within these regions which have been declared as hotspots.
Several of these hotspots have been designated and then removed from the list. So, construction
can commence in places within MMR that are not hotspots,’’ he said. Hiranandani, who is
national president of NAREDCO, a body representing builders, said he has 4,000 labourers
stationed at his projects due to the lockdown. ``There are many such project sites where
construction can commence,’’ he added.
“The relaxation has come at the right time as the situation was very grim to keep construction
workers at the site afloat. With this order, the economic drivers of the country will start moving
again, even as we extend the lockdown. Considering the estimated loss of Rs. 26,000 crore per
day to the Indian economy as a result of the lockdown, this relaxation in lifting of lockdown is a
constructive step,’’ said Hiranandani.
Newspaper/Online ET Realty (Online)
Date April 16, 2020
Link https://realty.economictimes.indiatimes.com/news/industry/covid-19-hotspots-
mumbai-pune-unlikely-to-benefit-from-relief-to-building-projects/75172648
According to Pankaj Kapoor of Liases Foras, a real estate research firm, there are 4,155 projects
in the MMR with 6.39 lakh flats under construction at present. "The unsold stock is about 2.93
lakh units. Builders already under huge debts because their cash flow has stopped and they will
not be able to service their loans," he said.
Meanwhile, MCHI-CREDAI, which represents builders in the state, urged the state government
to reduce stamp duty to 1% on all property transactions for the next four months and other sops
for the ailing industry. President Nayan Shah said, “The entire Real Estate fraternity is currently
caught up in an unprecedented scenario which the economy has never witnessed before. In the
midst of an economic disruption, real estate has suffered extensively and needs critical
intervention from the Maharashtra government for its survival. We also request the authorities
to share a stimulus package to alleviate fears of job loss in the industry, with lakhs of workers
directly or indirectly dependent of the industry.”
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No material or workers to start construction: Noida builders
Developers also said that getting labourers to the construction sites would be another
problem, with the majority of migrant workers returning to their homestates due to the
Covid-19 lockdown.
Though the government has allowed resumption of construction activity at non-Covid-19
hotspots from April 20, builders in Noida have made it clear that they will not be able to restart
work during the lockdown as they neither have raw materials nor workers on site.
“We are not restarting any construction work unless the entire supply chain is opened. This is
because given the current situation, we will not be able to source raw materials. It will take time
to restart projects,” Credai (western UP) vice president Amit Modi said.
Developers also said that getting labourers to the construction sites would be another problem,
with the majority of migrant workers returning to their homestates due to the Covid-19
lockdown.
“Only those builders with labourers on project sites can restart construction activity. When it
comes to our projects, we can’t start them because we need a variety of workers — carpenters,
masons, plumbers, bar-binders. They are not available on site,” RK Arora, president of builders’
body Naredco-UP, said.
Pankaj Bajaj, president of Credai-NCR, also echoed Arora’s concerns. “More than 200 different
kinds of raw materials go into construction and the supply chain is entirely shut now. There are
no labourers at construction sites. Also how will the execution staff reach site? So we will have
to wait until the lockdown is lifted.”
Real estate experts also found no justification in the government’s guideline regarding
resumption of construction at non-Covid hotspots. “It didn’t take into consideration the fact that
about 80% of the 44 million workforce in construction industry are migrants,” said Anuj Puri,
chairman of Anarock property consultants.
In a relief to builders, UP-Rera on Tuesday gave a three-month extension on completion and
registration deadlines. All projects, which were due for completion between March 31 and
December 31 this year, have now been given a 90-day relaxation due to the Covid-19
lockdown.
The regulator will also start hearing cases through video-conferencing after May 3, in the wake
of proposals by realtors’ bodies Credai and Naredco.
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Newspaper/Online ET Realty (Online)
Date April 16, 2020
Link https://realty.economictimes.indiatimes.com/news/industry/no-material-or-workers-
to-start-construction-noida-builders/75172598
Realtors urge Maharashtra government to reduce stamp duty to
1% for four months
"We have sought one per cent reduction in stamp duty for four months, which will
provide the much-needed fillip to the sector and encourage home buying in the MMR,"
Credai-MCHI President Nayan Shah said in a statement.
Developers' association Credai-MCHI on Wednesday urged the Maharashtra government to
reduce stamp duty to 1 per cent for the next four months to spur demand in the real estate sector
amid the Covid-19 crisis.
It also sought a stimulus package from the state government to save jobs.
"The entire real estate fraternity is currently caught up in an unprecedented scenario which the
economy has never witnessed before. The sector has suffered extensively and needs critical
intervention from the Maharashtra government for its survival.
"We have sought one per cent reduction in stamp duty for four months, which will provide the
much-needed fillip to the sector and encourage home buying in the MMR," Credai-MCHI
President Nayan Shah said in a statement.
He further said the current crisis will lead to extensive job and business losses in the real
estate industry, which is one the largest employment generating sectors and supports nearly 150
allied industries.
"We also request the authorities to share a stimulus package to alleviate fears of job loss in the
industry, with lacs of workers directly or indirectly dependent of the industry," Shah said.
A day after Prime minister Narendra Modi announced the second phase of lockdown till May 3,
the Ministry of Home Affairs on Wednesday came out with a list of economic activities that
will be permitted after April 20 in non COVID-19 hotspot areas.
Maharahstra has reported around 2,800 COVID-19 cases so far with nearly 178 deaths, which is
the highest in the country.
The developers' association also sought reduction in stamp duty on development agreement,
joint venture and joint developments for the next one year.
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Newspaper/Online ET Realty (Online)
Date April 16, 2020
Link https://realty.economictimes.indiatimes.com/news/industry/realtors-urge-
maharashtra-government-to-reduce-stamp-duty-to-1-for-four-months/75172497
Decision to resume construction works from April 15 stands
cancelled: UP Deputy CM
"The decision to resume construction works from April 15 in Uttar Pradesh stands
cancelled in view of PM Narendra Modi's address today," Maurya told ANI.
Deputy Chief Minister Keshav Prasad Maurya on Tuesday said that the decision to resume
construction works from April 15 in Uttar Pradesh has been revoked after Prime
Minister Narendra Modi announced the extension of lockdown till May 3.
"The decision to resume construction works from April 15 in Uttar Pradesh stands cancelled in
view of PM Narendra Modi's address today," Maurya told ANI.
Earlier, he had said that construction work on government projects would resume from April
15.
"Construction on government projects will resume from April 15 in Uttar Pradesh while
maintaining norms of social distancing by workers," Maurya had said.
Today, when the ongoing lockdown was slated to end, the Prime Minister announced its
extension till May 3 amid rising coronavirus cases in the country.
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Newspaper/Online ET Realty (Online)
Date April 15, 2020
Link https://realty.economictimes.indiatimes.com/news/industry/decision-to-resume-
construction-works-from-april-15-stands-cancelled-up-deputy-cm/75162290
Hubballi-Dharwad civic body extends property tax rebate period
till May 31
The HDMC has also deferred upward revision of the property tax. Taxpayers have to pay
the same amount they paid for the year 2019-2020.
The Hubballi-Dharwad Municipal Corporation (HDMC) has offered 5% rebate in property
tax for 2020-2021 if paid between April 1 and May 31. Usually, the rebate is allowed for taxes
paid in April. The rebate period has been extended this year in view of the Covid-19 lockdown.
The HDMC has also deferred upward revision of the property tax. Taxpayers have to pay the
same amount they paid for the year 2019-2020. Urban local bodies are permitted to revise tax
rates once in three years and the HDMC was supposed to revise it for the financial year 2020-
2021.
HDMC Commissioner Suresh Itnal said on Wednesday that the revision of tax rate has been
deferred in anticipation of the government’s order. He said property owners have to obtain
computerised tax challans at their zonal offices after filling the details in the prescribed booklet.
If there is any change in the property, they should give a self-declaration in Form 1. Tax can be
paid through NEFT or RTGS.
Those paying a tax exceeding Rs 10,000 through cheque/DD can call the helpline number 0836-
2213888/2213868 so that the HDMC staff will collect cheques from their homes. Those making
online payment can avail assistance from the HDMC website www.hdmc.mrc.gov.in. The
commissioner has appealed to those who have not paid their tax for the previous years to make
the payment and help development activities of the HDMC.
PAYMENT OPTIONS
Hubballi
Canara Bank, Koppikar Road, (A/C No: 2538106003554/IFSC code: CNRB0002538);
Corporation Bank, Vidyanagar (A/C No: 2538106003554/IFSC code: CORP0000528), SBI
Adarsh Nagar (A/C No: 64162342284/IFSC code: SBINOO40410); SBI, Keshwapur (A/C No:
64164577315/IFSC code: SBINOOOON846), UTI/Axis Bank, Deshpande Nagar (A/C No:
129010100041520/IFSC code: UTIB0000129), IndusInd Bank, Deshpande Nagar (A/C No:
100032405328/IFSC code: INDB0000058); Indian Overseas Bank, Koppikar Road (A/C No:
012601000202020 /IFSC code: IQBADODQ126); Indian Overseas Bank, Navanagar (A/C No:
Newspaper/Online ET Realty (Online)
Date April 15, 2020
Link https://realty.economictimes.indiatimes.com/news/regulatory/hubballi-dharwad-
civic-body-extends-property-tax-rebate-period-till-may-31/75162239
357701000002000/IFSC code: IOBADOO3577).
Dharwad
Indian Overseas Bank, Jubilee Circle (A/C No: 177101000007468/IFSC code:
IOBACCO1771).
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