Bhubaneswar, Sept. 21: The initiative taken by the Bhubaneswar Development Authority and the Bhubaneswar Municipal Corporation to demolish illegal structures in flood zones and those blocking flow of the natural drainage channels has left the city builders worried.

Many real estate dealers apprehend a drop in prices in areas such as Sundarpada, where the rate of land per sqft is Rs 1,500 to Rs 1,800. Some are adopting a wait-and-watch policy following the development.

“Even before the government’s stricture, the prospective buyers of properties along the Sundarpada-Jatni corridor were having a second thought.

“The real estate development in other areas such as Gothapatana, Chhatabara and Kantabada are coming up in highland areas. It will definitely have an effect on the real estate price,” said Manoranjan Ray, a property developer.

Gourav Das, who has already brought a plot at Panchhagaon, said: “Starting from Sundarpada, Birabandha, Botanda, Kuha and Pradhansahi all areas were submerged in the high flood. I stay in Rourkela and have bought the land through a real estate developer. They never hinted at the fact that the area is flood prone. I am even thinking about selling it off when the water recedes. I have now decided to have a complete survey before buying anything on the outskirts of Bhubaneswar.”

Though two residential apartment complexes were partly submerged at Sundarpada and the Orissa Fire Services personnel had to deploy a motorised boat to rescue the residents, many under-construction structures faced the flood fury in the second week of this month. Real estate sources said that 25 such structures were coming up at Sundarpada and nearby areas alone. Even construction of illegal structures along the bank of Kuakhai, Gangua nullah and areas near Palasuni has become a cause of concern.

With focus on the designated flood zones along Jatni-Sundatrpada Road, the state government has banned construction of housing complexes till an alternative arrangement is made.

The state government has categorically asked both the development authority and the corporation to take “exemplary” steps in dealing with the illegal structures either creating flood-like situation or existing in the flood zones. However, a senior official admitted that at present, the development authority was running without a proper demolition squad with trained personnel to demolish multi-storeyed buildings. Even the body has got no machinery to carry out such processes.

On September 17, housing and urban development secretary Sourabh Garg declared that the process had already started to equip the development authority with an effective demolition squad, so that illegal structures coming up in the high-flood zones on the city outskirts would be taken up for demolition on priority.

“With equipment available with the civic body, we can start the process now. But, one has to analyse the legality as after the 74th Constitutional Amendment planning the power was delegated to the local self-governments. If there was no provision for the block development officers (BDOs) to issue no-objection certificates (NOCs) to the builders concerned, there is no problem in demolishing the structures as the areas are now coming under the development authority’s zone,” said an official.

As the flood-hit Sundarpada is now coming under the development authority’s planning limits, a senior member of the Real Estate Developers Association said: “Not only exemplary action, but penal provisions should be there for any violation and illegal construction within the area of the development body. Even in the past, the panchayati raj department issued circulars to all the BDOs not to issue NOCs for multi-storeyed structures. But, the state government never published a public notice in educating the public on this aspect.”

Sources said many NOCs, issued by the BDOs, were given on back dates (between 2000 and 2004) and on the city outskirts 75 per cent multi-storeyed structures were given NOCs by the BDOs only, who are now retired. A probe can be ordered into the episode as many structures came up much later whereas an NOC is valid only for two years only.

“If NOC validity is limited, how these builders are using them for a limitless period and why authorities are silent,” said Trinath Ojha, a resident of a flood-affected apartment block at Sundarpada.

Planning member of the development body Prashant Kumar Patnaik said the process had already started to have a full-fledged squad with adequate police personnel.

“In the newly inducted area, the interim development plan will be developed on priority basis and the flood zones and drainage channels will be marked and notified. As the zonal development plan has already started in the 419sqkm old plan area, the flood mapping should be better organised in the comprehensive development plan,” he said.