Premium FAR cannot legalise unauthorised buildings

Supreme Court links additional development rights to planning and infrastructure capacity

Property Pulse

The Supreme Court has clarified that buildings constructed without the required approvals cannot be regularised through Premium FAR (Floor Area Ratio). The court issued the interim direction while hearing a petition challenging the Premium FAR policy introduced by the Karnataka government. Under Section 18-B of the Karnataka Town and Country Planning Act, the Karnataka government introduced a system allowing developers and property owners to obtain additional development rights by paying a premium.

The policy, which came into effect in April 2025, permits additional floor area within specified planning parameters. The Citizens Action Forum approached the Supreme Court, arguing that the policy could indirectly provide a route for regularising unauthorised constructions, similar to earlier schemes for illegal structures. The petitioners also questioned the use of road width as a key criterion for granting Premium FAR, arguing that additional construction could put further pressure on Bengaluru’s roads, traffic, water supply and drainage infrastructure.

Additional FAR and infra

Under the policy, plots meeting specified conditions can qualify for additional FAR. The rules provide for additional development rights, within prescribed limits, for plots located along roads with a width of 9 metres or more. The court was informed that additional FAR of up to 0.6 times the normal FAR could be obtained in certain cases. This includes up to 0.4 FAR through Premium FAR and another 0.2 FAR through Transferable Development Rights (TDR). The Supreme Court observed that permitting additional floors also requires consideration of whether existing infrastructure can support the increased development.

Water supply, electricity, parking, sewage systems and roads are among the infrastructure requirements that need to be considered. Chief Justice of India Justice Surya Kant observed during the hearing that increasing the number of floors without corresponding improvements in infrastructure could create difficulties for residents. The Bench also raised concerns about population and construction exceeding infrastructure capacity, including the implications during natural disasters and emergencies.

 The CJI referred to planning approaches in cities such as Greater Noida, where infrastructure capacity is considered as part of urban development.

State Defends  Policy

The Karnataka government told the court that Premium FAR was not introduced to regularise unauthorised constructions. It said obtaining additional FAR would not exempt a property from mandatory requirements relating to parking, setbacks and other building regulations. The state also submitted that revenue generated through Premium FAR would be transferred to a dedicated infrastructure fund for improving urban facilities. It further argued that increasing land constraints in urban areas make vertical development necessary to accommodate growing demand.

Interim direction

As an interim measure, the Supreme Court directed that Premium FAR cannot be used to regularise unauthorised constructions while the matter remains pending. The proceedings also highlight a broader planning issue: additional construction rights cannot be considered separately from the capacity of roads, water supply, drainage, sewage, parking and other essential infrastructure.

Construction norms

• Premium FAR under Section 18-B of Karnataka Town and Country Planning Act.
• Policy came into effect in April 2025.
• Additional FAR linked to specified planning conditions.
• Roads of 9 metres or more covered under stated criteria.
• Up to 0.4 FAR through Premium FAR in certain cases.
• Up to 0.2 FAR through TDR in stated cases.
• Unauthorised construction cannot be regularised through Premium FAR under interim direction.
• Infrastructure capacity remains a key planning consideration.