Nagpur: In a city grappling with the environmental consequences of rapid urbanization, a promising incentive by the Nagpur Municipal Corporation (NMC) to promote sustainable construction has found no takers. Despite announcing a 20% property tax rebate for certified green buildings in its 2025–26 budget, not a single such project is under construction, according to civic sources.
This apathy from the construction industry is glaring, especially at a time when climate change and environmental degradation demand urgent, practical responses. The NMC had also offered additional Floor Space Index (FSI) to builders opting for green buildings — a move meant to offset the higher upfront costs of eco-friendly construction. Yet, even reputed developers with large-scale residential and commercial projects in the pipeline have shown no interest in the green initiative.
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29 May 2025
Environmental experts and civic officials are dismayed. “The city is already buckling under the environmental pressure of unchecked construction. Despite multiple incentives, the builders are simply not prioritizing sustainability,” said an NMC official familiar with the scheme.
Green buildings are designed to reduce energy consumption, conserve water, and improve indoor air quality, and are certified by bodies such as the Indian Green Building Council (IGBC) and Leadership in Energy and Environmental Design (LEED). In fact, prior to 2020, developers opting for green norms received discounts on building premiums — a benefit now replaced by additional FSI and the newly introduced tax rebate.
So, what’s stopping the builders?
Sources in the real estate sector admit that the high initial cost of green technologies and the complex documentation and approval process are major deterrents. “Builders prefer quicker returns and fewer bureaucratic hurdles,” said a veteran construction consultant. “Green building norms require meticulous planning, third-party certification, and strict monitoring — all of which slow down project timelines.”
Moreover, the lack of awareness and technical expertise among smaller builders is also hampering adoption. Many are unaware of the long-term cost savings and environmental benefits, both for developers and occupants.
Urban planners warn that unless the NMC enforces stronger regulations or launches an aggressive awareness campaign, the green building initiative will remain on paper. “Incentives are not enough. There needs to be accountability. We can’t afford to continue building the old way in an era of climate crisis,” said a senior architect from the city.
As Nagpur expands and more concrete replaces green cover, the absence of eco-conscious construction raises troubling questions about the city’s readiness to face a changing climate — and the construction industry’s willingness to be part of the solution.
