A recent order issued by the Department of Local Self-Government on rating of green buildings and their certification has suggested providing incentives such as reduction in one-time building tax applicable to new buildings constructed after the date of the order on February 25, 2022.
The government order said a reduction of 50% in one-time building tax will be applicable to all the categories of buildings that come under the Grade A rating. A reduction of 25% will be applicable to all four categories of buildings in Grade B rating.
Buildings are classified into four categories on a broad base — single family residential units below or above 200 sq. m.; apartment buildings, industrial buildings, and other category of buildings.
The concept of ratings of green buildings is based on the national-level priorities of water efficiency, waste handling, energy efficiency, reduced use of fossil fuel, and occupational health, says the order, which also says there will be a reduction in stamp duty during transactions, which will apply to the sale of property with green rating buildings subject to the registration rules in force. The reduction will be 1% for 'A' rated buildings and 0.5% for 'B' rated buildings.
Green buildings mean those which ensure optimum use of water and energy, generate less waste, and handle it properly as compared to conventional buildings. The general aim of the programme is to substantially reduce energy and water consumption, the order says.
The provisions in the Indian Green Building Council for rating green buildings and the Green Rating for Integrated Habitat Assessment may be combined to achieve a rating system by State governments, says the order issued under the Model Building Byelaws 2016 by the Union Minister of Housing and Urban Affairs.
