Balancing Real Estate Development and Environmental Conservation in India

India's rapid economic growth and real estate expansion pose significant threats to biodiversity and the environment. This article explores the challenges and solutions for achieving sustainable development.

Real EstateEnvironmental ConservationSustainable DevelopmentGreen BuildingsPollutionReal Estate NewsJun 05, 2025

Balancing Real Estate Development and Environmental Conservation in India
Real Estate News:India, with its massive and ever-growing population, is witnessing rapid economic growth. Large infrastructure and industrial projects, including highways, the rural road network, and Special Economic Zones (SEZs), are essential to accommodate this growth. However, they also raise threats to biodiversity, as cities and townships expand at the cost of agriculture, which in turn relies on tree cover.

Simultaneously, the changing lifestyles of Indians with rising incomes in both rural and urban areas place increasing demands on biodiversity. To find evidence of unsustainable lifestyles, we usually don’t have to look any further than our immediate neighborhoods—or even our own homes.

To bring harmony between development and the environment, the Environmental Impact Assessment (EIA) was made mandatory in 1994 for various categories of projects, including thermal and nuclear power plants, mining, river valley, and infrastructure projects. The EIA was further revised in 2006 to make it more efficient, decentralized, and transparent.

However, even today, biodiversity in India faces threats from multiple pollution sources like improper municipal solid waste disposal, inadequate sewerage, excessive use of chemical pesticides, and mercenary use of hazardous chemicals.

Real estate developers certainly have a role to play in moderating the detrimental impact of their construction activities on the environment. They have at their disposal advancements in technology which can accelerate the supply of ‘green’ buildings in the country. Solar energy harnessing, energy-efficient heating and cooling systems, waste and water recycling, and rainwater harvesting must become the order of the day. However, the onus is not just on developers—it also falls on urban planners, architects, various government bodies, and end-users of real estate to work together to achieve a better environment for future generations.

The Indian real estate industry’s track record of self-regulation in environmental management has been dismal across the country. While some developers have taken the cause of sustainable development seriously, the norm is to flout the rules. For instance, despite the National Green Tribunal’s ruling to maintain a 75-meter buffer from the lakes in Bengaluru, nearly one-third of housing projects in the city ignored the rules in some way or the other. Another example in the IT capital is the contaminated Bellandur Lake which, besides factory waste, has been a preferred receptacle for construction waste.

Meanwhile, statistics reveal that more than 70% of the buildings that ought to be completed in India by 2030 have yet to see the light of day. In the UK, more than 80% of the buildings that need to be built by 2050 are already completed. This means that India will be using up its natural resources at a possibly terminal pace. The numbers related to the usage of natural resources in construction are daunting. Besides using precious water and energy, Indian cities generate massive amounts of waste.

Buildings in India use up 40% energy, 30% raw material, 20% water, and 20% land-use; generate 40% carbon emissions, 30% solid waste, and 20% water effluents. With almost 70% of the building stock yet to come up, India is staring at a rather bleak future for its environment.

The major task of India’s local governing bodies is to make their cities more inclusive, resilient, safe, and sustainable in the long run. This primarily involves implementing environment-friendly green technologies in infrastructure facilities (among others), keeping in mind that the idea behind green infrastructure is not just economic benefits but ecological harmony.

This is not impossible if enough political will drives such a mindset. Cochin airport is India’s first airport to run completely on solar power. Now recognized by the UN, its solar plant can produce 18 million units of power annually. The airport has technically been made absolutely power neutral.

Some Indian cities are also implementing transit-oriented development for future-ready urban centers. This is done by reforming land-use regulations so that developers are allowed more latitude to construct mixed-use developments and higher-density developments where appropriate.

Frequently Asked Questions

What is the Environmental Impact Assessment (EIA) and why is it important?

The Environmental Impact Assessment (EIA) is a process to evaluate the environmental effects of a proposed project or development. It is important to ensure that projects do not harm the environment and to find ways to mitigate potential negative impacts.

What are some key challenges to biodiversity in India?

Key challenges to biodiversity in India include pollution from improper waste disposal, excessive use of chemical pesticides, and the expansion of cities and townships at the cost of agricultural land and tree cover.

How can real estate developers contribute to environmental conservation?

Real estate developers can contribute by adopting green building technologies such as solar energy, energy-efficient systems, waste and water recycling, and rainwater harvesting. They should also comply with environmental regulations and work towards sustainable development practices.

What is the significance of the Cochin airport's solar power initiative?

The Cochin airport's solar power initiative is significant because it is India's first airport to run completely on solar power. It produces 18 million units of power annually and is recognized by the UN for its environmental efforts.

What is transit-oriented development and how can it benefit Indian cities?

Transit-oriented development (TOD) involves designing urban areas to promote public transportation, reduce car dependency, and create mixed-use developments. It can benefit Indian cities by making them more sustainable, inclusive, and efficient.

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