Mega Housing Process


The approval of Mega Housing Projects involves following six stages
  • Submission and Scrutiny of Application by Nodal Agency (PUDA)
  • Processing of the Application by line Departments.
  • Recommendation by the Screening Committee
  • Approval by the Empowered Committee
  • Issuance of LOI and Draft Agreement (Nodal Agency PUDA)
  • Signing of Agreement (Govt)
Submission of Application

The investor is required to apply for the Mega Housing Project in the prescribed application form along with requisite attachments. The Nodal Agency (PUDA) will receive the form and will check for its completeness and an acknowledgment will be issued to the investor.

Processing of the Application by line Departments

The Nodal Agency will circulate the proposal to various Departments for their comments within seven days of receipt of the application. Concerned Departments are then required to give their inputs within fifteen days. Essentially inputs from five major Departments given below would be mandatory for processing the cases. In case there are special concession or the subject matter pertaining to another department, the comments of that department will also be obtained.

  • Department of Housing and Urban Development
  • Department of Science Technology and Environment
  • Department of Local Government
  • Department of Forest & Wildlife
  • Department of Power
  • Concerned Department Authority (Jurisdiction Wise)

The concerned nodal agency circulates the project for the comments of the departments whether there are any objections to set up the project. The regulatory or statutory clearances under the various laws /rules/gui delines would be taken by the investor in the due course

Recommendations by the Screening Committee

The proposal along with comments, if any, received from the concerned departments will be placed before Screening Committee under the Chairmanship of Chief Secretary. The Screening Committee comprises of

  • Chief Secretary , Punjab,
  • Administrative Secretaries of the Department of Finance,
  • Administrative Secretaries of the Department of Industries,
  • Administrative Secretaries of the Department of Agriculture,
  • Administrative Secretaries of the Department of Housing, Science Technology & environment,
  • Administrative Secretaries of the Department of Power,
  • Administrative Secretaries of the Department of Excise & Taxation and other concerned departments as may be required. The recommendations of Screening Committee are placed for consideration before the Empowered Committee. The Screening Committee meets every month and considers all the cases received.
Approval by the Empowered Committee

Recommendations of the Screening Committee are placed before the Empowered Committee which is headed by Chief Minister. Empowered Committee consists of following members:

  • Chief Minister Punjab, Chairman
  • Industries & Commerce Minister, Vice Chairman
  • Finance Minister
  • Excise & Taxation Minister
  • Chief Secretary
  • Principal Secretary, Finance
  • Principal Secretary, Industries & Commerce–Convener

Any other Minister or Administrative Secretary whose department is concerned with the proposal under consideration shall be associated with the committee.

Issuance of Letter of Intent (LOI) and Compliance of the Conditions of LOI

After approval by the Empowered committee, the Letter of Intent is issued within 15 days (after approval of Minutes of the meeting) by the Nodal Agency to the promoter along with draft Agreement.

The objective of the Letter of Intent is that the State Government has agreed in principle for setting up of the Project in the state. The Letter of Intent provides the details of concessions approved by the State Government on compliance of defined terms and conditions. A specimen copy of the agreement is also enclosed with the LOI that will be signed after the compliance to the terms and conditions. Promoter is required to comply with the conditions of LOI before the agreement is signed.

Signing of Agreement

On fulfilment of conditions of LOI, Agreement will be signed by the applicant. A period of 6 months shall be provided in the LOI for fulfilment of conditions of LOI and signing of Agreement, failing which, the LOI / Approval will lapse unless extended for further period of not more than 6 months, on the application of the Promoter explaining the circumstances and reasons for seeking extension.

Copy of signed Agreement will be circulated to all concerned departments for issue of orders / notifications in respect of concessions pertaining to their departments.