Premium FAR Policy draws flak from experts

Bengaluru: The Urban Development Department has introduced a new “Premium Floor Area Ratio (FAR)” policy in Bengaluru, allowing developers to construct additional floors above the approved building size by paying fees. Under the revised rules, buildings on roads 12–18 meters wide can get up to 40% premium FAR, while those on wider roads of over 18 meters may obtain up to 60%. This combines Transferable Development Rights (TDR) with premium FAR for already constructed floors as well.

Experts say the move violates national urban planning guidelines, as no impact study has been done on traffic, water supply, environmental effects, or fire access. The policy may benefit developers financially, but it poses a risk of overburdening city infrastructure, worsening rainwater accumulation, and aggravating traffic congestion. Public amenities such as schools, hospitals, and parks may be compromised.

Legal uncertainties remain, with ongoing litigations and interim directions issued on January 12, 2026, yet no monitoring mechanism has been announced. Market value of TDR certificates has reportedly declined, and landowners face unclear compensation and tax provisions.

Urban planners warn that without a comprehensive review and balanced framework, the policy could cost the government thousands of crores in future infrastructure spending while primarily enriching developers. A re-evaluation of premium FAR implementation is being urged to safeguard Bengaluru’s long-term urban sustainability.