Economy, Business And Markets

Call for Changing Construction Permit Authority

Call for Changing Construction Permit AuthorityCall for Changing Construction Permit Authority

A member of the Iranian Society of Consulting Engineers has called for revising  the manner in which construction permits are issued by shifting authority from the municipalities to the Ministry of Roads and Urban Development.

“A draft amendment to the national construction regulations reaffirms the municipalities’ role in issuing permits, but a change is needed simply because  municipalities are not really interested in regulating the construction process ,” Ministry of Roads and Urban Development’s website quoted Mehrdad Hashemzadeh as saying on Monday.

“Municipal earnings have declined considerably and issuing building permits and licenses, including for change of purpose of property are their main source of income” due to the slack housing market.

He pointed to the red tape and bureaucracy in issuing permits and licenses and called for an elevated role for architects and engineers in setting rule and regulations for the key construction industry.

A recent report by the Statistical Center of Iran shows a 21.3% decline in the number of residential construction permits issued by the Tehran Municipality during the second quarter of the fiscal year (June 21-September 22, 2015) compared to the same period last year.

About 70% of the municipalities’ revenues is said to come from issuing construction permits and associate activities.