The notification pins the responsibility of structural stability not just on developers, but also architects, structural engineers, site engineers, sub-contractors, and consultants.
Developers and professionals associated with the construction of buildings in Maharashtra will now be accountable for any structural flaws or defects in the structures for 10 years after receipt of the occupation certificate.
The state urban development department on Monday brought out a notification to include the provision for latent defect liability period for developers as part of the government's efforts to improve ease of doing business in Maharashtra.
While the government has made it mandatory for developers to go for a 10-year professional liability insurance before seeking the OC-cum-completion certificate, the decision will push flat prices up as builders are likely to recover the additional cost from buyers.
The notification pins the responsibility of structural stability not just on developers, but also architects, structural engineers, site engineers, sub-contractors, and consultants. The new guidelines are applicable to all buildings with a built-up area of 750 sq mts or above.
The decision has been taken after considering observations of World Bank in Ease of Doing Business 2017, according to the notification. According to an official from the BMC's building proposal department, the World Bank marks high importance to the provision of latent defect liability period in quality control index.
There was no such provision in the development control regulations, he said. "So the state made changes in the DCR, and fixed responsibility on licensed technical personnel in respect of structural flaws. However, this will not include natural calamities, damages due to war or riots."
Chandrasekhar Prabhu, an urban planner, said that the decision will increase the cost of residential apartments. "In first ten years, not a single building develops any defects. It seems that the step will benefit insurance company and escalated cost to home buyers as developers will pass on it end to them."
Nirajan Hiranandani, managing director of Hiranandani group, said the government has tried to cover up loopholes. "Every new step carries some cost but the step will fix financial culpability of professionals."
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