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Industry Leaders Raise Concerns as GRAP-III Construction Ban Slows Housing Projects

Delhi-NCR builders support GRAP-III’s environmental intent but warn the construction ban will delay projects, affects workers and call for smarter, performance-based pollution control measures.

BY Realty+
Published - Thursday, 13 Nov, 2025
Industry Leaders Raise Concerns as GRAP-III Construction Ban Slows Housing Projects

When Delhi’s air turns toxic, the city holds its breath, literally and economically. With the government enforcing Stage III of the Graded Response Action Plan (GRAP), aimed at curbing severe air pollution, thousands of construction sites across the National Capital Region have fallen silent. Cranes stand still, cement mixers idle, and the rhythm of an industry that fuels both homes and livelihoods has been abruptly interrupted.

Developers understand the need. Yet, they also warn of the ripples such halts send through the system. Projects get delayed, costs mount, and workers, many of them daily wage earners bear the brunt of uncertainty.

Pradeep Aggarwal, Founder and Chairman of Signature Global (India) Ltd, supports the government’s intervention but admits it comes with short-term pain. “As a responsible developer in Delhi-NCR’s real estate market, we fully support the government’s decision to implement Stage III of the Graded Response Action Plan (GRAP) to safeguard public health,” he said. “While temporary restrictions on construction may cause short-term adjustments, such measures are important for ensuring environmental sustainability and public well-being. Our teams are ensuring full compliance at sites while continuing to adopt advanced dust-mitigation systems, covering of raw materials, and on-site greenery to minimise air pollution. We believe that long-term progress must align with responsible and sustainable development.”

Aggarwal’s optimism reflects the evolving mindset within real estate, a shift from purely profit-driven growth to one that acknowledges environmental responsibility. But that doesn’t erase the immediate challenges. Construction bans, even temporary ones, can send project timelines spiralling.

For Pyush Lohia, Director of Lohia Worldspace, the issue isn’t the intent but the method. “The construction halt under GRAP III is a timely environmental response, yet its economic echo is hard to ignore,” he said. “With most non-essential building work paused across Delhi NCR, housing timelines are slipping into uncertainty. Even a few weeks of suspension can stretch deliveries by several months, as supply chains break rhythm, machinery sits idle, and the workforce disperses.”

Lohia argues that while protecting public health is vital, a one-size-fits-all approach punishes responsible builders who have already invested in eco-friendly measures. “When every project, regardless of compliance or dust-control practices faces the same blanket ban, we risk discouraging precisely the kind of sustainable construction the policy should reward,” he said. “Responsible developers have invested heavily in low-dust technologies, on-site water misting and RMC systems to meet environmental standards. That commitment deserves recognition through a calibrated, performance-based framework.”

His suggestion, a real-time regulatory model that allows verified low-emission sites to continue operations reflects a growing consensus that environmental protection and urban growth need not be opposing forces. “Blanket shutdowns may bring temporary relief; precision-driven regulation can deliver an enduring balance between urban growth and breathable air,” Lohia added. “The future of cities depends not on choosing ecology over economy, but on designing policies mature enough to sustain both.”
This sentiment finds an echo in the words of Ashok Kapur, Chairman of Krishna Group and Krisumi Corporation. While fully committed to following the law, Kapur points out that construction may not be the main villain it’s often made out to be. “As a law-abiding corporate organisation, we are fully committed to adhering to the GRAP norms in both letter and spirit,” he said. “However, several studies have indicated that the construction sector is not among the biggest contributors to pollution. Imposing a blanket ban therefore disrupts construction timelines, ultimately affecting homebuyers and retail customers. More importantly, it impacts the livelihoods of one of the most vulnerable sections of society—the labour workforce.”

Kapur’s point hits at a deeper social concern. Delhi’s construction ecosystem supports thousands of workers—masons, carpenters, electricians, drivers, whose incomes vanish when the industry halts. For them, each day of inaction means lost wages and mounting debt.

Environmental activists, meanwhile, counter that without aggressive measures, Delhi’s air crisis will worsen. The city routinely tops global charts for poor air quality, and unchecked dust from construction sites remains a visible irritant. They argue that enforcement lapses, rather than policy intent, are often the issue.

The truth, as always, lies in balance. Few dispute the urgency of clean air, but the road to sustainability cannot come at the expense of livelihood and housing supply. What the industry seeks is a smarter framework, one that uses technology and monitoring to separate the compliant from the careless.

As winter settles over Delhi and smog thickens again, the cranes will wait, the machines will rust a little, and the workers will hope for clarity, not just in the air, but in policy. The challenge before the city is not merely to build better homes, but to build a better balance between progress and planet.

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