BHUBANESWAR: The Odisha Real Estate Regulatory Authority (ORERA) has called on the state government to provide it with financial and administrative autonomy due to operational challenges that hinder its effectiveness. This request follows a recent advisory from the Union Ministry of Housing and Urban Affairs, encouraging states to enhance the capacity and independence of their real estate regulatory bodies.
In a letter sent to the state government earlier this month, ORERA highlighted that its lack of independent financial powers leads to reliance on government approvals for crucial decisions such as staff recruitment and salary disbursement.
Officials have indicated that, although ORERA is a statutory body, it does not have full autonomy over its financial or administrative functions, unlike regulatory authorities in several other states that operate with greater independence.
Currently, ORERA must seek governmental approval for hiring staff and managing cases. Decisions regarding salary payments and other financial matters are not entirely within its control, which affects daily operations, officials noted.
“The limited financial autonomy restricts the authority’s capacity to scale operations in response to a rising number of complaints and regulatory demands,” said ORERA chairman Asit Mohapatra. He added that the government has scheduled a meeting on June 24 to address this situation.
Sources suggest that Odisha remains one of the few states where the real estate regulator is dependent on government approvals for administrative and financial matters.
The ministry’s letter emphasizes the importance of enhancing the institutional capacity of Real Estate Regulatory Authorities nationwide, particularly in terms of staffing and financial independence for the effective implementation of the RERA Act.
Delays in staffing and limited authority can compromise regulatory oversight, hinder grievance resolution in real estate, and weaken consumer trust, the ministry warned.
Experts argue that granting autonomy to ORERA could significantly enhance its efficiency in managing complaints, project registrations, and enforcement actions, urging prompt attention to the issue.
“A regulator requires operational independence to swiftly respond to market trends and consumer complaints. Delays in staffing or financial approvals can undermine its effectiveness,” stated real estate expert Bimalendu Pradhan.
Homebuyers and developers are likely to benefit from quicker decision-making and improved service delivery if ORERA is allowed to function independently. “A body like RERA should operate autonomously,” commented Sangram Nayak, a local developer.
