The construction sector is one of the major contributors in Pakistan’s economy. As per Pakistan Economic Survey 2020-2021, the sector also became the basis for the growth of allied industries, and created multiple employment opportunities, particularly in the construction sector. Getting a construction permit can be a difficult process, so Graana.com, Pakistan’s smartest property portal, has compiled a comprehensive guide on how to obtain one in Pakistan.
Obtaining a Letter of Entitlement
The Land Revenue Management Information System (LRMIS) is a system in Pakistan that generates a letter certifying land ownership. LRMIS can provide fard – a letter proving land title – to anyone, whether they are a builder or a property owner. The procedure takes roughly two days to complete.
What is a FARD?
In Pakistan, the term “fard” refers to land records and acts as proof of property ownership. Therefore, fard is necessary for land use, plot proportions, road widening potential, cut line, and reservation.
How Much Does it Cost?
The cost of obtaining a letter of confirmation of land title is about PKR 150.
NOC for Environmental Impact Assessment
According to the Punjab Environmental Protection Act of 1997 and the Environmental Impact Assessment Regulation of 2000, every building authority in Lahore must get a No Objection Certificate (NOC) on the Environmental Impact Assessment. Meanwhile, the Sindh Building Control Authority has removed the requirement for building blueprints to be approved. You can check the official notice issued by SBCA for further information on this notification.
In Lahore, however, construction businesses must submit an Initial Environment Examination (IEE) to the Environmental Protection Agency. The NOC procedure takes around 105 days to complete.
How Much Does it Cost?
In Punjab, the cost of obtaining a NOC on an Environmental Impact Assessment is PKR 10,000.
Obtaining a Building Permit
The regulations governing construction are different in each location. If you want to start building on a piece of land in Punjab. You must submit a written application to the Lahore Development Authority (as per the Punjab Building and Zoning By-Laws of 2007). The following are the requirements when applying for a construction permit:
- An authorised civil engineer, an attorney-in-practice, and a registered structural engineer have all signed the application form.
- There should be about five copies of the building designs, comprising the site plan, architectural and structural drawings, and a certificate of stability. The relevant professional, such as an architect or a structural engineer, must sign each of these documents.
- Proof of ownership can be provided in the form of fard, a copy of the selling deed, or a copy of the allotment letter.
- A photocopy of the memorandum of formation for the building company.
- A copy of the practising attorney’s CNIC.
You will receive an answer within 45 days if you apply for a building permit in Punjab with all of the above mentioned paperwork.
What if You Don’t Receive Your NOC in 45 Days?
If you do not receive a response to your construction permit application within 45 days after submitting it, you should write another letter.
Note: The above question is answered in accordance with Punjab Local Government Ordinance, 2001, Act 27.6, Section 192, Fourth Schedule, Chapter 14.
Property Taxes
In order to apply for construction permits in Pakistan, you must first get a property tax valuation and a certificate from the appropriate tax authorities. The documentation must show that they are not owed any money by the construction company. The Excise and Taxation Departments of Sindh and Punjab can provide such certificates and documentation.
In addition, these departments’ main job is to inspect the structure and give certificates to the property’s owner. The certificate includes a thorough evaluation of the structure’s present value. If the construction business wants to file an objection, they must do so within two weeks. If this is not done, the department will issue a “PT-1 Form”, which is a permit that contains the assessed value as well as the property tax due.
You must have the following documents in order to apply for PT-1:
- Detailed information about the structure in a letter
- Documents with titles
- CNIC of the applicant’s approved building plan
Note: Once you’ve filed your application, the process will take around a month to finish without any further fees. The Excise and Taxation Department will inspect the building once again and award the building owner with a new certificate. The certificate is used to determine the building’s worth. This roughly takes a day and there are no additional fees.
Water and Sewage Connections
If you want to apply for water and sewerage connections, you must submit the following credentials, together with an application form to the Water and Sewerage Authority (WASA):
- Authenticated copy of the owner’s CNIC
- Copy of the selling deed/proof of ownership that has been attested
- Copy of the property unit’s assessment
- Site plan (a map that shows where the property is located)
It’s worth noting that the application process takes 60 days to complete and costs PKR 90,000.
Getting Approval for G+1
The approval for the first floor (and each subsequent floor) is required and can be obtained from licensed architects and engineers. The approved person will be awarded a certificate of durability based on the building plan, according to Article 8 (ii) of the 2001 Law. It takes about a day to complete the process, and it is absolutely free.
Who Inspects the Foundation?
Furthermore, the building company is obligated to notify relevant authorities such as the SBCA and the LDA once the foundations are done. They will then be thoroughly inspected by them. Readers should take note that the process may take up to one day, and is free of charge.
The Final Inspection and Certificate of Completion
After the construction work is finished, a “notice of completion and authorisation for occupation” form must be presented, accompanied with a certificate of durability from an authorised architect. The structure is then examined by relevant departments such as the Lahore Development Authority and the Sindh Building Control Authority. They must ensure that the structure was built according to the approved plans.
Take note that in Punjab, this takes one day and costs roughly PKR 70,000.
After the Inspection
The competent authorities will provide a certificate of completion after the final inspection is completed. The certificate attests to the fact that the construction work was completed in accordance to the approved building codes of Pakistan. It is important to note that this could take up to 60 days without any fees.
Inspection of Construction Permit in Karachi
In addition, the Sindh Building Control Authority (SBCA) is in charge of construction permits in Karachi.
Inspection of Construction Permit in Lahore
Lastly, the Lahore Development Authority (LDA) is in charge of approving construction permits in the city.
To read more about the construction laws in Pakistan, visit our blog.