The Government of Telangana has amended the Building Rules, 2012 to rationalise the framework for granting Transferable Development Rights (TDR) to landowners whose properties are affected by Full Tank Level (FTL), Maximum Flood Level (MFL) and buffer zones of lakes, rivers and nalas. The move seeks to ensure protection of water bodies while addressing genuine concerns of landowners whose lands fall within environmentally regulated areas.
The revised rules introduce a structured and differentiated TDR mechanism based on the nature and extent of land affected. Land surrendered within the FTL of lakes or the MFL of rivers, where construction is strictly prohibited, will be eligible for TDR equivalent to 200 percent of the built-up area relinquished. For lands falling within buffer zones, where limited and regulated use may be permitted, the government has fixed a higher TDR entitlement of 300 percent. In cases where land located outside buffer zones is acquired for public purposes related to conservation, restoration of water bodies or allied infrastructure, compensation through TDR can go up to 400 percent, aligning it with norms applicable to road widening and similar public projects.
The amendments are in line with directions issued by the Supreme Court, the High Court and the National Green Tribunal, which have repeatedly emphasised the need to safeguard lakes, rivers and natural drainage systems from encroachment and unregulated development. These judicial orders have underlined the importance of preserving FTL, MFL and buffer zones to prevent flooding, protect groundwater recharge and maintain ecological balance in rapidly urbanising areas.
Under the revised policy, landowners who voluntarily surrender land required for protection or development of water bodies can utilise the TDR at alternative locations or transfer it in the market, as permitted under prevailing regulations. To improve the practical usability of TDR, the government has also allowed certain incentives such as relaxation in setbacks or permission for additional floors on the remaining land parcel, subject to safety norms and statutory approvals from competent authorities. The additional built-up area, however, cannot exceed the TDR entitlement granted.
The amended rules apply to projects undertaken or notified by government agencies, including urban development authorities and local bodies. For larger land parcels or cases involving ownership disputes, additional safeguards such as deposits in a designated TDR mechanism or prior clearances have been prescribed. Overall, the revised framework aims to streamline environmental compliance, support restoration of water bodies and provide a transparent compensation mechanism for affected landowners.
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