RERA Selection Panel Restructured in Himachal; Chief Justice Excluded Under Newly Passed Amendment Bill
Pranav B Prem
The Himachal Pradesh Legislative Assembly has passed the Real Estate (Regulation and Development) Himachal Pradesh Amendment Bill, 2025, making a significant structural change in the appointment process of the Chairperson and Members of the Himachal Pradesh Real Estate Regulatory Authority (RERA). The amendment removes the Chief Justice of the Himachal Pradesh High Court from the selection panel and substitutes the role with the Chief Secretary of the State, thereby transferring the selection mechanism to an executive-led committee. Under the newly substituted Section 22 of the parent Act, the Selection Committee will now consist of the Chief Secretary as Chairperson, the Housing Secretary as Member-Convener, and the Law Secretary as Member. If the Chief Secretary is an applicant or faces a conflict of interest, the government may nominate the Additional Chief Secretary or any other Secretary-rank officer to head the committee.
The amendment also substantially revises eligibility conditions for appointments. The Chairperson must possess a minimum of twenty years of professional experience in fields such as urban development, housing, real estate, infrastructure, economics, planning, law, commerce, accountancy, industry, management, social service or public administration. For former government officers, the Bill mandates that a Chairperson can be appointed only if they have held the post of Additional Secretary to the Government of India or an equivalent post in the Central or State Government. Likewise, Members must have at least fifteen years of relevant professional experience, and former government officers must have held the post of Secretary to the State Government or an equivalent post in the State or Central Government.
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Further, Section 23 of the principal Act has been substituted to prescribe a fixed four-year tenure or until the age of sixty-five, whichever is earlier for the Chairperson and Members, and expressly bars any reappointment. Before making appointments, the State Government must also satisfy itself that the candidate does not have any financial or other interest likely to affect the impartial discharge of duties. The tenure restructuring aims to ensure institutional stability while preventing the possibility of repeated extensions or political dependence.
The Statement of Objects and Reasons accompanying the Bill highlights that the Real Estate Regulatory Authority primarily performs administrative and regulatory functions, and therefore requires expertise in governance, housing and related sectors. It states that vesting the Chief Secretary with the responsibility of leading the selection committee aligns with the principle of separation of powers by avoiding judicial involvement in executive appointments and eliminating potential conflicts of interest. It further notes that the four-year, non-renewable term is intended to enhance autonomy, ensure continuity in operations and strengthen transparency and administrative efficiency within the regulatory framework.
The amendment marks a major shift in the institutional structure of RERA in Himachal Pradesh, centralising the appointment process within the executive branch. According to the government, the proposed modifications are designed to streamline the functioning of the Authority, improve governance outcomes and fortify the integrity of regulatory decision-making in the State real estate sector.
