Over 75% of State RERA Regulators Fail to Publish Mandatory Annual Reports
A shocking revelation has emerged from the homebuyers' body, Forum for People's Collective Efforts (FPCE), which claims that more than 75% of state real estate regulators, known as RERAs, are not complying with statutory obligations to publish annual reports. Despite clear directives from the Ministry of Housing and Urban Affairs, many regulators have either never released these reports, discontinued their publication, or failed to update them, as highlighted in a status report released on Friday.
Critical Data for Transparency and Policy-Making
The availability of updated annual reports is absolutely crucial because these documents contain detailed performance data on RERAs. This includes vital information such as project completion status, categorized by timely completion, extensions granted, and incomplete projects. According to the ministry's specified format, these reports should also provide execution details on refunds, possession orders, compensation orders, and recovery warrants, along with values and lists of defaulting builders.
FPCE emphasizes that this data is not only essential for homebuyers to assess the credibility of the regulatory system but is equally necessary for both state and central governments. It helps in framing effective policies, designing incentivization schemes, and developing tax policy frameworks. Without this information, efforts to improve the real estate sector are based on guesswork rather than solid evidence.
States with Poor Compliance Records
As per the details shared by FPCE, seven states—Karnataka, Tamil Nadu, West Bengal, Andhra Pradesh, Himachal Pradesh, and Goa—have never published a single annual report since the implementation of RERA. Additionally, nine states, including major ones like Maharashtra, Uttar Pradesh, and Telangana, which initially published reports, have now discontinued the practice. This widespread non-compliance raises serious questions about the effectiveness of real estate regulation across India.
Expert Commentary on Regulatory Failure
Abhay Upadhyay, President of FPCE and a member of the government's Central Advisory Council on RERA, expressed deep concern over this issue. He stated, "Unless we have credible data proving that after RERA the real estate sector has improved in terms of delivery, fairness, and keeping its promises, we are merely firing in the air." Upadhyay further criticized the regulators, saying that when they themselves do not follow the law, they lose the legal right to demand compliance from other stakeholders. "Their failure emboldens builders and weakens the very system they are meant to safeguard," he added, highlighting how this negligence undermines consumer protection and sectoral integrity.
The failure to publish annual reports not only hampers transparency but also impedes the ability of authorities to make informed decisions. Homebuyers are left in the dark about project progress and builder accountability, while policymakers struggle to design effective interventions without reliable data. This situation calls for urgent action to enforce compliance and restore trust in India's real estate regulatory framework.
