News Citation : 2026 NL (CGRERA) 5
The Chhattisgarh Real Estate Regulatory Authority in Raipur has directed a real estate developer to pay monthly interest to a homebuyer after finding prolonged delays in providing essential amenities such as regular water supply and electricity at a plotted housing project in Raipur district.
The order was passed by the Chhattisgarh Real Estate Regulatory Authority in a complaint filed by a resident of the “Sai Ram City” project located at village Pacheda, Raipur. The project is being developed by Vindhyavasini Infrabuild LLP and is registered with RERA under number PCGRERA030320001101.
According to the complaint, the allottee purchased Plot No. 11 in the project and constructed a residential house. At the time of booking and execution of the agreement, the developer had assured uninterrupted water supply, proper electricity connection, installation of a transformer, and development of common areas such as gardens and play zones. However, even after occupation, these facilities were allegedly not provided in a regular and functional manner.
The complainant stated that water supply remained irregular and insufficient, electricity was unstable due to the absence of a dedicated transformer, and promised common amenities were yet to be developed. Repeated complaints to the developer failed to yield results, prompting the allottee to approach RERA under Section 31 of the Real Estate (Regulation and Development) Act, 2016.
The developer contested the complaint, arguing that the project was still under development and that temporary arrangements for water and electricity had been made. It was also submitted that the project completion timeline had been extended due to the Covid-19 pandemic and that work on the water tank and transformer installation was underway.
After examining the pleadings, documents, and statutory obligations under the Act, the Authority held that provision of basic amenities such as water and electricity is a core responsibility of the promoter and cannot be deferred on the ground of project extension. The Authority observed that even if the overall project completion date was extended, essential services to allottees were required to be ensured within the stipulated timeframe.
The Authority noted that the project’s revised completion date, after accounting for Covid-related extensions, was 1 September 2025. Since the developer failed to ensure uninterrupted water and electricity by that date, the allottee became entitled to compensation in the form of interest under Section 18 of the Act.
Accordingly, Chhattisgarh RERA directed the developer to pay interest on the consideration amount of ₹2,05,390 at the rate of 10.80 percent per annum, calculated from 1 September 2025 until the date when the completion certificate is obtained from the competent authority. The interest amount is to be paid on a monthly basis.
The Authority also clarified that restrictions earlier imposed on sale or transfer of project plots would continue, except to the extent necessary for recovery under lawful orders passed by competent courts or authorities. Copies of the order were directed to be forwarded to the district collector and sub-registrar for necessary compliance.
The order was passed by a bench comprising Chairperson Sanjay Shukla and Member Dhananjay Devangan on 7 January 2026.
