Hi Friends,

Even as I launch this today ( my 80th Birthday ), I realize that there is yet so much to say and do.

There is just no time to look back, no time to wonder,"Will anyone read these pages?"

With regards,
Hemen Parekh
27 June 2013

Monday, 11 December 2017

Why 60 Days ? Can Be in 10 !




Times of India ( 10 Dec ) carries following news report :




Online Building Approval System to cover 500 Cities 




All the 500 cities covered under Atal Mission for Urban Rejuvenation (AMRUT) will introduce online building approval system in the next one year, housing and urban affairs minister Hardeep Singh Puri said on Tuesday.


Currently, this facility for citizens is available only in Delhi and Mumbai where the period for sanctioning building plan has reduced to 60 days.



Under the online system, an applicant just has to fill one centralised form and the application is automatically forwarded to the agencies concerned like the municipality, water supply agency and fire department.


Since there is no physical interaction between the applicant and government officials, there is hardly any scope of paying a bribe.


"The agencies concerned have to approve or give the reason for not approving the plans.


This system is transparent. The online system minimises hassles that people face. 


States like Maharashtra and Madhya Pradesh have delegated the power of giving environmental clearance for buildings up to certain coverage area to local authorities. We expect more states will follow suit," said a housing ministry official.



Since the online building permit system started in Mumbai, the number of procedures from beginning to the end has been reduced from 42 to only eight and in Delhi, these have come down from earlier 29 procedures to only eight.


Similarly, the number of days for completing the process has been reduced to 60 in both cities in comparison to the earlier practice of nearly six months in Mumbai and over seven months in Delhi.






Dear Shri Hardeep Singh Puriji  ,



Imagine this scenario :



India’s rank on “ Ease of Doing Business “ moves up from current 100 to 50 , in 2018 !


It is possible if your Ministry fully implements my following suggestion ( - now, only partly implemented ) , sent to the Cabinet , TWO YEARS ago ( 04 Nov 2015 ) :







E-Delivery of Services to Construction Industry


Here is how :


All builders / developers must register on Municipal Web sites and obtain
   unique BUILDER REGISTRATION NUMBER


Builders must fill in online, on web site of concerned Municipality, a form :

    BUILDING  PERMIT  APPLICATION


Building Permit Application Form will have a STANDARD FORMAT , into
    which applicant will need to submit exhaustive details re the project

    This will include detailed Floor Plans and Structural Drawings , along with
    names / contact details of Architects / Structural Engineers etc

    The FORM will require slab-casting dates for each slab and the final
    completion date when builder will apply for Occupation Certificate
   
*  The Form will have a section called

    SELF   CERTIFICATION   /  DECLARATION


    Builder would be required to tick YES / NO against each item as shown :


    Does your proposed Building / Structure / Project , satisfy the criteria /
    notifications / regulations , issued by the concerned Ministries in respect
    of :


    #   Built-up Area........... ( YES ) / ( NO )

    #   Height Restriction

    #   Fire Fighting

    #   Water Harvesting

    #   Roof-top Solar Power

    #   Effluent Treatment

    #   Garbage Disposal

    #   Earthquake Resistant Structural Design..............etc



Clicking on each item will reveal the relevant " Notification / Regulation " issued by the concerned Ministry


To make the process absolutely fool-proof , the form will insist on an " Electronic Signature " of the applicant


DECLARATION / UNDERTAKING :


" I declare that I have read each and every notification / regulation , listed   in respect of items mentioned above

I further declare that I explicitly agree to abide by these regulations

I am aware that Occupation Certificate will not be granted if my completed project is found to be in violation of any of these notifications / regulations

I will not allow any person / entity to occupy any part of this premises , until and unless , Municipality issues to me , the Occupation Certificate

If Municipality finds any violations , I agree to rectify the same before applying for a fresh Occupation Certificate

If Municipality is not in a position to issue Occupation Certificate due to any
violations which simply cannot be rectified , then I will demolish the said building / project / structure  on my own and before such demolition , refund with interest , payments collected from the buyers

The plot of land is free from any encumbrances / litigations

I am not in default of any loans taken from any bank / individuals

I will not accept any payment in cash , nor make cash payments

I absolve the Municipal Corporation of any liability arising out of non completion of my project 

I agree that my Building Permit Application and my Registration Application details , be made accessible to public on your web site , along with full details of my past / current projects and full details of my balance sheet / bank borrowings 


GRANT OF APPROVALS BY MINISTRIES :


As soon as the builder submits the online BUILDING PERMIT APPLICATION , it automatically and instantly , appears on the web sites of ALL the concerned Ministries


The concerned officer of each Ministry , makes APPROVED / REJECTED entries in the application form , from the backend


If rejected , he will provide the reasons


Ministry officers are required to carry out this entry , within 24 hours


As soon as an officer of any Ministry makes entry and SUBMITS , the application forms on web sites of ALL Ministries and web site of the concerned Municipality , get updated simultaneously and instantly , making for MIRROR IMAGES at all times


As soon as any entry is made , a copy gets emailed to the applicant builder


Any " editing " of the application form by the builder , will start the entire process , all over


Applicant builder will be obliged to display the latest emailed form at the site


The database so created on web sites of ALL Ministries - and concerned Municipality - will be searchable State-wise / City-wise



CHANGES  IN  RELEVANT  LAWS :


To speed up any litigation between the parties concerned ( Builder / Buyers / Central & State Govts / Municipality / Bankers etc ) , existing laws may be changed


IMPORTANT :


Every application must be in the open domain and visible to anyone , online and transparently

There should be provision for any visitor of the web site to report any abuse / violation of regulations or any objection to the proposed construction


ADVANTAGES :


If such SELF CERTIFICATION process is implemented , it should be possible for India to beat Singapore , where getting 11 approval takes only 26 days !


It would be ZERO days in our case !


Now couple this with abolition of Corporate Income Tax for Construction Industry for the next 10 years and witness a MIRACLE


Then only it would become possible for achieving the following targets set by different States / Centre , under HOUSING  FOR  ALL:


Maharashtra...........  5 lakh      ( By 2020 )

*  Gujarat................... 50 lakh    ( 2013 - 2018 )

Centre.................... 220 lakh   ( by 2022 )


Also imagine :


*   Employment it would generate

*   FDI it would bring in

*   Our rank in EASE OF DOING BUSINESS


Need of the hour is :


*   Come out of " Analysis Paralysis "

*   Get rid of historical baggage

*   Break free from the legacy of the past

*   Think " Out of Box "

*   Take risk without worrying about possible failure

*   Make Course-Corrections , as you learn what mistakes got made



12  Dec  2017




Did You Say “ Mission Mode “ ?




In DNA ( 08 Dec 2017 ) , I came across following news :




“ Govt to offer perks to develop private land for cheap homes “



Highlights :

·          Housing shortfall in Maharashtra ………… 19.4  lakh

·          Of this, for EWS & LIG categories………….. 18    lakh

·          Land to be selected by bidding by MHADA

·         EWS  =   Annual Income of Rs 3  lakh (  300 sq ft flats  )

·         LIG    =   Annual Income of Rs  6 lakh  (  600 sq ft flats  )

·         Land owner can develop affordable houses under the PPP model or on his own

·         FSI =  2.5

·         Subsidy from Govt under PMAY

·         Land to be free of encumbrances

·         Land should be near a Railway Station / Metro Station / Bus Depot / Schools

·         After land selection, project proposal to be forwarded to Centre for subsidy



I got reminded of what Shri Ravindra Waikar , Minister for Housing , Maharashtra Government , said ( DNA / 16 Aug 2015 ), more than 2 years ago :



"  We want to provide a dream house to everyone by 2020 . We won't compromise on the quality of construction . It will be at par with that of private builders . We are working on a mission mode "



That was when I had sent him following suggestion :





Highlights :

#   SPECIFICATIONS

     *  Carpet Area = 400 sq ft

     *  Selling Price = Rs 10 lakhs ( Rs 2,500 / sq ft )


#   LOCATIONS

     *  Building Clusters to be located on the outskirts of cities ( important )

     *  100 Clusters of 50 buildings ( each with 10 floors*10 flats/floor )


#   LEGAL FRAME-WORK

     *  A Special Purpose Vehicle ( SPV ) , named,
        Dream House Private Limited ( DHPL )


#   INDUSTRY STATUS

     *  Infrastructure Industry with 100 % FDI thru automatic route


#   SPV OWNERSHIP

      *   10 % equity by Maha Govt ( in lieu of land )
           Maha Govt to pass on this equity to land-owners

      *   90 % equity by WinSun Decoration Design Engineering Co ( China )


#   SHARE  CAPITAL

      *   Rs 10,000 Crores


#    ROLE OF MAHARASHTRA GOVERNMENT

      *  Acquire land ( under modified Land Acquisition Act ) / hand over to SPV

      *  Comprehensive Town Planning of each Cluster like a Smart City

      *  Building Design / Drawings / Material Specs

      *  Quality Control / Material Testing Lab at each site

      *  A Project Monitoring Team at each site / Use of PERT

      *  Site surveillance using CCTV cameras

      *  Make available land for setting up 3D House Printing factories

      *  Interconnection of site offices with HQ , thru VPN

      *  Blanket permissions ( IOD / NOC etc ) issued in advance

      *  OC based on certification from Site Project Manager

      *  Maintenance of flats thru Coop Societies of each cluster


#   COMMERCIALS

     *   Neither SPV , nor Maha Govt to pay any royalty to WinSun for
          transfer of technology


     *   Maha Govt to act as the agency for allotment of flats to eligible public
          in Maharashtra thru a " Lottery System "

  
     *   Selling Price of flats will be fixed by the Maharashtra Government
         once a year , based on a pre-agreed cost - escalation formula, which
         will be explained in detail on SPV web site

          Calculation of each upward revision shall be made public

        
     *   SPV to hand over possession of flat to the allotee upon receipt of
         full payment

     *   SPV shall not be permitted direct selling of any flat in Maharashtra


     *   SPV would be free to set up factories in other States and be free to
          sell flats built there, thru Open Market Sale



#   ROLE  OF  WinSun


     *  Setting up of 20 factories for 3D Printing of flats

     *  Assembling of 3D printed flats at sites

     *  Transfer of 3D house printing technology to Indian project managers /
         site engineers / construction workers


#   TECHNOLOGY

     *  3D ( house ) Printing Technology developed / patented by WinSun


>    WHY  WinSun  ?

     #   On 29 March 2014 , WinSun constructed TEN , 3D printed houses ( 200 sq meter each ) in Shanghai, each costing $ 4,800 ( approx Rs 3 lakh ! )


#    On 17 July 2015 , using its 3D printing technology , WinSun built a 2 storey villa , in just 3 HOURS  !


#    WinSun holds 98 patents for construction materials


#    For 3D printing of houses , WinSun , mostly uses recycled construction materials


#    3D house-printing technology saves,

      *  30% -60 % of building materials

      *  70 % of production time

      *  80 %  of construction cost


#   Egypt Government has placed on WinSun , an order for supplying 20,000 pre-fabricated , 3D printed houses

#   In Egypt , WinSun will establish 12 Dream Factories ( to build pre-fabricated houses ) , within 2 years

     These factories will mostly use desert sand as its main construction material , which was found ideal for 3D printing of houses !


#   In next 3 years , WinSun will set up ( in JV with local parties ) , similar factories in 20 countries , including Saudi Arabia , UAE , Qatar , Mexico , S. Korea , Russia , Morocco , Tunisia , and USA


Dear Shri Waikar :


I am glad that a part of my suggestion is under implementation by the Maharashtra Government

I urge you to consider the balance of my suggestions as well



12  Dec  2017