India

Dealing with Construction Permits in

Chennai - India

Below is a detailed summary of the procedures, time and costs to build a warehouse. This includes obtaining necessary licenses and permits, completing required notifications and inspections and obtaining utility connections.

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No. Procedure Time to Complete Associated Costs
1 Obtain planning permission for laying out of land from the Chennai Metropolitan Development Authority (Municipal)

According to the Development Control Rules (DCR) for Chennai Metropolitan Area (2004), the Chennai Metropolitan Development Authority (CMDA) carries out necessary studies and prepares a master plan of the area. To obtain a planning permission, the applicant submits an application in Form A accompanied by plans and specifications showing the laying out of land for building purposes, and an application in Form B accompanied by detailed site plan and other specifications to know whether the particular type of development is permissible or not. Application will be scrutinized with reference to the land use for which the site has been designated under the master plan. If the application satisfies the Development Control Rules, planning permission will be issued, and if not, planning permission will be refused by CMDA within 30 days. A single window ("green channel") was introduced for building proposals.
30 days INR 1,394 (scrutiny charges of INR 1.5 per square meter of the land area)
* 2 Notarize the affidavit/undertaking (Private sector)

The building company must submit an affidavit/undertaking on non-judicial stamp paper attested by the Oath Commissioner.
1 day INR 100 (flat charge)
3 Obtain building permission from the Chennai Municipal Corporation (Municipal)

The building company must submit a planning permission and building-plan application with the signatures of the land-owner and licensed surveyor to the respective zonal office along with the following documents: a. Detailed site plan; b. Plans, elevations, and sectional details of the structure proposed. The construction plan has to be prepared by the licensed surveyor with his registration document (725 such surveyors received their license from the Corporation of Chennai); c. Key map showing the location of the site; d. Affidavit and indemnity bond; e. Clearance from the competent authority if necessary; f. Registered sale deed and land-ownership documents. The following fees apply: 1. Building-permit fee: a. Build-up area of 0-40 square meters: INR 105 per 10 square meters; b. Build-up area of 41-100 square meters: INR 185 per 10 square meters; c. Build-up area of 101-400 square meters: INR 460 per 10 square meters; d. Build-up area greater than 400 square meters: INR 1,150 per 10 square meters. 2. Registration fee INR 600; 3. Scrutiny fee INR 280. A single window for simple categories of buildings has been introduced. Furthermore, the sanctioning process has been decentralized to the zonal offices. Finally, the whole process has been computerized. The computerized acknowledgment of application is issued immediately and applications can be tracked online. The advice to pay the fees is also available online so that the building company can make the payment and receive the permit at once. Copies of the sanctioned plans are stored to be re-issued later and statistics are available online.
45 days INR 150,459 (building permit fee of INR 1,150 per 10 square meters + INR 600 registration fee + INR 280 scrutiny fee + building plan application INR 10)
4 Receive an on-site inspection by an engineer from the Chennai Municipal Corporation (Municipal)

Once the building plan is approved, the building company can proceed with the construction. One inspection on average would take for a similar type of construction. The inspections usually happen when there is a deviation and this is brought to the notice of the authorities by a third party.
1 day No cost
* 5 Apply for permanent electricity connection at Tamil Nadu State Electricity Board (State)

The building company must submit an application to the engineer's office stating the load requirements. The process is explained on the website www.tneb.in but no forms are available online. Along with the paper application, the building company pays a registration fee of INR 500.
1 day INR 500 (flat registration fee)
* 6 Apply for permanent water and sewerage connections to the Chennai Metropolitan Water Supply and Sewerage Board (CMWSSB) (Municipal)

The building company can download the application form from the CMWSSB website www.chennaimetrowater.tn.nic.in, which also explains the application process. The application has to be submitted at the registration counter in the CMWSSB office along with sanctioned plans and proof of paid connection charges (challan) at the Canara Bank counter within the head office of CMWSSB. For non-residential buildings of category "A" including the warehouse, the fee is INR 7,500 for water and INR 7,500 for sewerage per a unit of 100 square meters. After submitting the challan confirming the payment and the form, the building company receives an acknowledgment with a registration number.
1 day INR 150,000 (water and sewerage connection fees of INR 7,500 per unit of 100 square meters of plot area)
* 7 Apply for permanent phone connection at Bharat Sanchar Nigam Limited (BSNL) (National)

The building company must apply for the telephone connection at the local BSNL office. To obtain a commercial connection, the building company must submit the application along with a proof of ownership of the business and the Permanent Account Number (PAN) card. The same tariff applies across the country, with minor differences due to local demand. The following charges must be paid : INR 500, in case there is a waiting list for registration charges; INR 300 in installation charges (if fewer than 500 lines) or INR 500 (if more than 500 lines); and a refundable security deposit of INR 2,000.
1 day INR 500 (flat installation charge)
* 8 Receive inspection and a sanction of water and sewerage connection from the CMWSSB (Municipal)

The area engineer inspects the site and issues a sanction order to the building company within 7 days.
1 day No cost
* 9 Obtain permanent electricity connection (with inspection) from the Tamil Nadu State Electricity Board (State)

After receiving the estimate of necessary work and final fees, the building company has 15 days to comply with the estimate and make the necessary payment. The connection fees are approximately INR 300 per kW.
45 days INR 42,000 (connection fee INR 300 per kW)
* 10 Obtain permanent water connection from Chennai Metropolitan Water division (Municipal)

Water and sewerage connection are guaranteed within 30 days of registration of application.
30 days No cost
* 11 Obtain phone connection (with inspection) from the BSNL (National)


7 days No cost
12 Submit notice of completion to receive final inspection by the Chennai Metropolitan Development Authority (Municipal)

The applicant shall not put the buildings to use without obtaining the completion certificate from the Chennai Metropolitan Development Authority. The structural engineer must file a completion report to obtain occupancy permit along with a flat fee of INR 2,500.
1 day INR 2,500 (flat fee)
* 13 Receive "no objection certificate" NOC (with inspection) from the Tamil Nadu Fire and Rescue Service Department (State)

Large warehouse may be inspected by the Fire Department after the applicant applies for the final inspection.
1 day No cost
14 Receive inspection of the completed construction by the Chennai Metropolitan Development Authority (Municipal)

Inspection takes place to ensure the building is technically sound and has been constructed in accordance with the laws and provisions.
1 day No cost
15 Obtain the completion certificate from the Chennai Metropolitan Development Authority (Municipal)

The authority shall issue the completion report within 21 days after receiving the completion notification from the owner and after the final inspection.
15 days No cost
* Takes place simultaneously with another procedure.

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