Chennai, 7 July 2026: The real estate industry has reiterated its commitment to environmental conservation while urging the Government to adopt a balanced, scientific and consultative approach to implementing regulations around the Pallikaranai Ramsar site. Industry representatives have expressed concern that the recent demarcation, which includes an additional 550 hectares of land added without clear identification and not following due procedure and a consequent 1 km development freeze around the Ramsar site, has affected more than one lakh patta landowners.
The economic impact, in the 1 Km zone of influence, is also significant. As per the figures presented, approximately ₹51,735.88 crore in business value has been affected. The total direct and indirect revenue and economic impact is estimated at ₹19,790.48 crore. These figures reflect a conservative figure of the real estate impact in the affected area. The larger impact across patta holders, industries and the public may be wider. Thousands of job opportunities linked to construction workers, suppliers, MSMEs, transporters, service providers, professionals and local businesses are also likely to be affected.
Industry representatives state that there are two issues to be addressed
1. The identification of the additional 550 hectares of land comprised in the 1248 hectares of land designated as Pallikarnai Ramsar wetland
The Pallikaranai Swamp Reserve Forest, spread across about 698 hectares, was notified in 2007 and is already legally protected. This protected core area is not under dispute. The present concern relates to lands outside this protected core, including the additional area of about 550 hectares which has not been clearly identified and where survey number demarcation (ground truthing) has not been done yet.
Pallikarnai Marsh / Reserve Forest was designated as Ramsar site in 2022 wherein the additional 550 hectares were added. It is 4 years & till date the Environment, Climate Change and Forests department has not completed the due process of ground truthing, public consultation and notification as contemplated under the Wetlands (Conservation and Management) Rules.
Industry representatives have requested the authorities to expedite the process and ,complete scientific survey number demarcation (ground truthing), publish clear maps, seek public opinion and issue notification by following due procedure as laid out in the Wetland (Conservation and Management) Rules at the earliest so that the exact Ramsar extent and boundary is clearly established.
2. The fixation of the Zone of Influence around the exact extent of land identified as the wetland
Only once the exact extent of the wetland is identified, can the zone of influence be fixed.
As per the wetlands (conservation and management) rules, “the zone of influence of a wetland is not a fixed or uniform area but is determined based on-site specific factors such as local hydrology, topography, drainage patterns, and adjoining land use. Therefore, the extent of the zone of influence, which varies from one wetland to another, must be delienated accordingly using scientific methods including digital elevation models and field-level verification.
The Care Earth IMP, quoted in the NGT order, clearly says that though the zone of influence has been delienated as 1 Km, due to the presence of patta lands and high urbanization of land surrounding the Pallikarnai marshland, it would be prudent to delineate the zone of influence based on the inlet and outlet channels and satellite wetlands foumd in the catchment area that can be managed and have a significant effect on the marshland.
Hence applying a uniform 1km zone of influence is not scientific especially in the context of a wetland in the midst of a highly urbanized area. A relevant precedent will be the example of the East Kolkatta wetlands which is also in the midst of a highly urbanized area and a 0 km zone of influence has been fixed for the same.
Interestingly when an RTI was sent to TNSWA, the reply stated that the Care Earth Trust Integrated Management Plan was still at the draft notification stage, was under scrutiny by NCSCM, and would be disclosed to the public only after approval by the Tamil Nadu State Wetland Authority.
Hence application of a uniform 1 Km Zone of Influence around the Pallikarnai Ramsar area, which itself is still not clearly identified, is not scientific and is highly arbitrary.
The industry noted that the current demarcation could have far-reaching implications for lakhs of homeowners, businesses, educational institutions, healthcare facilities and infrastructure projects, in addition to impacting future investments, employment generation and the overall economic growth of the region.
Many ordinary families with valid pattas are unable to build homes, secure housing loans, redevelop old houses, sell their land or obtain clear answers from banks and authorities. Homebuyers are also facing loan delays and uncertainty even in cases where approvals already exist.
Public infrastructure is also present within the 1 km zone. The CMRL Phase II stations and 2 existing MRTS locations fall within this area. This shows that the area is an already urbanised part of Chennai with important public assets. The CMRL is proposing a major transit hub at Sholingnallur integrating retail and office spaces. The planning freeze will also affect their plans. The 1 km zone also includes several government and civic facilities such as VAO offices, corporation offices, health centres, government hospitals, schools, utilities, post offices, TNEB facilities, Metro Water facilities, research institutions and other public services.
Real Estate Industry’s Requests to the Government:
• Review the Uniform 1 km Development Freeze:Withdraw the blanket 1 km planning freeze until the wetland’s influence area is scientifically delineated, finalised and officially notified.
• Complete Scientific Demarcation: Undertake comprehensive scientific demarcation through ground-truthing, hydrological studies, drainage analysis, adjoining land-use assessment and survey number validation.
• Approve and Notify the Integrated Management Plan:Complete the statutory process, including public consultation, stakeholder engagement and the publication of maps and regulatory guidelines to ensure transparency and clarity.
• Ensure Continuity: Continue processing existing planning approvals, renewals, No Objection Certificates, individual plot applications, housing and project loans, and developments in the highly urbanized 1 Km influence zone,ensuring that citizens, businesses and ongoing projects are not adversely affected during the transition.
Expressnews


