KARACHI: The Sindh Building Control Authority (SBCA) has announced amendments to the Karachi Building and Town Planning Regulations 2026, introducing revised scrutiny fees, betterment charges, demolition permission fees and other construction-related levies, prompting a strong reaction from builders who have warned that the move would sharply increase construction costs and ultimately add to the financial burden on inflation-hit citizens.

Under the revised rates, residential scrutiny fees have been increased to Rs17.50 per square foot from Rs16, while commercial and public sale project fees have been raised to Rs25.25 from Rs22 per square foot.

Infrastructure betterment charges in various areas of Karachi have been revised upward from Rs50 to Rs55 per square foot, while charges in high-density zones have also been increased from Rs200 to Rs230 per square foot.

Demolition permission fees for residential plots have doubled to Rs10,000, while commercial and industrial plot fees have risen to Rs20,000.

The notification also imposes a 400 per cent penalty for demolitions carried out without prior approval.

Reacting strongly to the move, the Association of Builders and Developers of Pakistan (Abad) warned that the increase in charges would further raise construction costs and ultimately burden inflation-hit citizens.

Abad chairman Muhammad Hassan Bakshi expressed his wonder over the unilateral decision from the SBCA without taking stakeholders onboard. He said that would have serious consequences not only on the construction industry but also on the budget of people planning for their housing.

“There’s an understanding between SBCA and us that whenever they take such step they would take us onboard and come up with consensual decision,” he said. “It’s so unfortunate that the unilateral decision has been made. And ultimately who would be at loss? Definitely the people who are planning building their homes or purchase any property. If this decision is enforced, it would have serious consequences on the common man’s budget who’s already under so much inflationary pressure.”

He vowed to take up the matter with Sindh Minister for Local Government Syed Nasir Hussain Shah on the subject with the request to review the SBCA decision.

Published in Dawn, May 21st, 2026