Karnataka HC: Premium FAR Scheme Isn’t Akrama-Sakrama Rebranded


BENGALURU: The High Court has upheld the state’s Premium Floor Area Ratio (FAR) scheme, asserting that it should not be equated with the controversial Akrama-Sakrama scheme, which is aimed at regularizing unauthorized constructions.

In its judgment, delivered on June 15, the division bench, comprising Chief Justice Vibhu Bakhru and Justice CM Poonacha, dismissed a public interest litigation and a related writ appeal, emphasizing that the Premium FAR scheme fundamentally differs from Akrama-Sakrama. The Premium FAR scheme modifies development regulations uniformly rather than legalizing illegal structures.

The court noted that the Akrama-Sakrama scheme allows for regularizing unauthorized constructions through payment, while the Premium FAR scheme simply increases permissible construction limits under zonal regulations for a fee. “The essence of the Premium FAR scheme is to adjust the permissible extent of constructions according to zonal regulations, not to legalize unauthorized structures,” stated the bench.

Additionally, the judges pointed out that the Premium FAR scheme benefits not only new constructions but also legally constructed buildings, as their owners can undertake additional work after obtaining the necessary approvals.

While acknowledging that owners who exceeded previous limits could conform to regulations through Premium FAR, the bench clarified that this does not equate to the legalization of illegal constructions. “Just because a construction exceeding permissible limits is adjusted through a raised limit does not imply a scheme for regularizing illegal constructions,” they stated, emphasizing the different objectives of the Premium FAR and Akrama-Sakrama schemes.

Demand for TDRs to persist: Court

The court dismissed claims from petitioners that the Premium FAR scheme would render Transferable Development Rights (TDRs) obsolete. Citing a government notification from 2026, the judges noted that Premium FAR cannot be applied to plots adjacent to roads wider than 9 meters but less than 12. In such cases, developers seeking an additional FAR of 0.6 times the base FAR must acquire it entirely through TDRs from holders.

According to data presented to the court, 85,000 of Bengaluru’s 1,08,240 roads fit this category. Given the city’s high demand for urban space, the judges indicated that there will continue to be a substantial requirement for TDRs. For plots bordering roads wider than 12 meters, Premium FAR is capped at 0.4 times the base FAR; thus, developers wanting the full additional FAR of 0.6 times the base FAR will still need to procure TDRs for the remaining 0.2 times, the court observed.

  • Published On Jun 19, 2026 at 09:16 AM IST

Join a community of over 2M industry professionals.

Subscribe to our Newsletter for the latest insights & analysis directly in your inbox.

Stay updated on ETRealty industry news right on your smartphone!