60% of investors in Serbia losing money because of latency in issuing building permits

The State Audit Institution (DRI) has confirmed that local authorities in cities and municipalities have been massively exceeding the deadlines for issuing building permits.

More precisely, in 59 percent of cases, the deadlines for issuing this document were not met. Despite such poor results, no misdemeanour charges were filed against the authorities.

The DRI recently published the results of the audit of the expediency of issuing building permits from January 1, 2021, to June 30, 2023, in Belgrade, Novi Sad and by the Ministry of Construction, Transport and Infrastructure.

The deadlines for 25,520 applications were not met. In Belgrade, 92 percent of applications were not processed on time, while in Novi Sad and at the Ministry of Construction, Transport and Infrastructure this percentage stands at 85.

Although, according to the Spatial Planning and Construction Law, the deadline for issuing a permit is five working days, according to the DRI report, the average deadlines in practice are significantly longer and in some cases can last for months.

The average number of days for granting a location permit in 2021 was 21 days, in 2022 it was 27 days, and last year the average time for issuing this kind of permit stood at 29 days, almost six times longer than prescribed by law.

In the case of issuing building permits, in 2021, it took an average of 11 days and in 2022, the average period for issuing a building permit was 14 days. However, in 2023, this period was 19 days.

The relevant authorities claim that the delays were a result of the pandemic, reduced number of employees, difficult working conditions and interruption in the functioning of the CEOP system (the Central Registry of Unified Procedures).

(Bloomberg Adria, 16.01.2024)

https://rs.bloombergadria.com/ekonomija/srbija/49272/gradevinska-agonija-60-odsto-investitora-u-srbiji-gubi-novac-jer-dozvole-kasne/news/

This post is also available in: Italiano

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