Urban Development - Levy and collection of Development charges in non-plan areas - Orders - Issued
The Housing and Urban Development [UD4(1)] Department issued G.O.(Ms).No. 53, dated 28 February 2024, permitting development charges prescribed for areas under a Local Planning Authority to be levied and collected in non-plan areas for development of land or buildings. The charges collected are intended to provide additional infrastructure and basic amenities to the local bodies concerned.
What the government has approved
G.O.(Ms).No. 53 of the Housing and Urban Development [UD4(1)] Department, dated 28 February 2024, accepts the proposal of the Director of Town and Country Planning to extend development charges from Local Planning Authority areas to non-plan areas.
The approval covers development of land or buildings in non-plan areas. The Director of Town and Country Planning has been directed to take further action.
Who may be affected
The extension may affect a person or organisation seeking permission for development of land or buildings in an area outside a planning area. It also affects local authorities handling development permission in those areas.
The source states that, before granting permission for development on land outside a planning area, the local authority must:
- Obtain the prior concurrence of the Director of Town and Country Planning.
- Collect fees at the prescribed rate.
- Apply the extended levy and collection of development charges for development of land or buildings in the non-plan area.
Legal and administrative basis
The Town and Country Planning Act, 1971 provides for Planning Authorities, including a Local Authority acting as the Planning Authority, to levy development charges when land or buildings are first put to use, when their use changes, or when development requiring permission is carried out.
The government order records that:
- Development charge rates may differ between parts of a Planning Area and between different uses.
- Previous government sanction is required for the rates of levy.
- The government had previously fixed minimum and maximum rates through earlier government orders.
- The Director of Town and Country Planning had previously been authorised to sanction levy of development charges by Planning Authorities.
G.O.(Ms).No. 53 does not reproduce the applicable charge amounts. It permits the development charges prescribed for Local Planning Authority areas to be extended to non-plan areas.
Use of the money collected
The Housing and Urban Development [UD4(1)] Department states that development charges collected in non-plan areas are to be used for additional infrastructure and basic amenities for the local bodies concerned. The order was issued with the concurrence of the Finance Department.
This summary is generated from the source document to help you find what is relevant. The PDF above is authoritative. For advice on your own property, use LandLens One or speak to a qualified professional.
Common questions
Does G.O.(Ms).No. 53 apply to development outside a planning area?
Yes. The Housing and Urban Development [UD4(1)] Department permits development charges prescribed for Local Planning Authority areas to be extended to non-plan areas for development of land or buildings.
Does the government order state how much development charge I must pay?
No. G.O.(Ms).No. 53 refers to prescribed development charges and earlier minimum and maximum rates, but it does not reproduce the charge amounts.
What must a local authority do before approving development in a non-plan area?
The local authority must obtain prior concurrence from the Director of Town and Country Planning and collect fees at the prescribed rate before granting development permission.
What will development charges collected in non-plan areas be used for?
The charges are intended to provide additional infrastructure and basic amenities to the local bodies concerned.
