GHAZIABAD: Following directives from the state government, the Ghaziabad Development Authority (GDA) has announced an increase in various fees. Effective from April 1, there will be an average increase of 4% in development fees, building permit charges, and mandatory inspection fees for this financial year.
The GDA stated that these revisions are in line with the cost index and part of its annual review; however, developers have expressed concerns that the overall financial burden will inevitably be passed on to homebuyers.
The most significant impact will be felt by developers, who incur these charges at various stages of a project. The revised development fee structure is now based on plot size: for parcels up to 1 hectare, the fee has increased from Rs 10,000 to Rs 10,358. For plots larger than 1 hectare but smaller than 2.5 hectares, it has risen from Rs 20,000 to Rs 20,716. Additionally, charges for parcels between 2.5 and 5 hectares are now Rs 31,074, up from Rs 30,000, while for larger plots, the increase is from Rs 15,000 to Rs 15,537 per additional 5 hectares.
Building permit fees have also been raised. For commercial buildings, shopping complexes, malls, and mixed-use projects, the cost is now Rs 31.1 per sqm, up from Rs 30. For group housing, the fee has risen from Rs 15 to Rs 15.5 per sqm, while for residential plots, it has increased from Rs 5 to Rs 5.2 per sqm.
Inspection fees, aimed at ensuring construction adheres to approved layouts and plans, have also been increased. Specifically, the fee on total layout area has risen from Rs 10 to Rs 10.4 per sqm, and for both single and multi-storey buildings, the inspection charge has increased from Rs 20 to Rs 20.8 per sqm.
Developers have remarked that while these hikes may seem insignificant on their own, they contribute to a broader list of regulatory costs. Satyendra Duggal noted that multiple fees and charges imposed by development authorities can account for over 30% of total project costs. “Ultimately, this burden falls on the buyer,” he stated.
Duggal emphasized that the timing of these increases is particularly challenging, citing global volatility that is already driving inflation and affecting market sentiment.
GDA officials, however, defended the revision, stating that it is based on formulas linked to the cost index and is conducted annually.
