The construction industry in light of the new amendments to the Law on Planning and Construction
The recently adopted Amendments to the Law on Planning and Construction are explained by the need to encourage the market economy in an environment of more favorable conditions for foreign investments, then to encourage faster local economic development, as well as GDP growth. From a wide range of changes in the legislative framework, we highlight some of the most important, designed to enhance legal certainty for investment and construction in the Republic of Serbia.
It was the news concerning the abolition of conversion with compensation (i.e. conversion of the right to use into the right of ownership of construction land with compensation) that had the greatest resonance in expert community. With Serbia’s commitment to creating a better investment environment for the construction industry, it is expected that this new solution will ultimately end the ownership transformation process of the construction land. In this regard, the legal changes refer to the abolition of the conversion compensation, except for a narrow circle of the following individuals whose position will be regulated by a special law, namely: sports entities and associations, housing and agricultural cooperatives, as well as individuals to whom Annex G on succession applies.
Furthermore, in view of environmental preservation and sustainable development, a significant place in the amendments to this law is held by “green agenda”. This law requires energy efficiency to be taken into account during the building construction and foresees various incentive measures for the construction and usage of buildings according to internationally recognized standards.
Although from the effective date of this law, all new buildings are required to have certificates on its energy properties, together with certificates on energy properties of buildings’ separate units, it is important to note that parallel obligations are also stipulated for owners of existing residential and commercial buildings, as well as public buildings. All mentioned imposes the need for further harmonisation with this law, while taking into account the prescribed timeframes.
In order to improve the planning politics, the new law envisages the establishment of the Spatial Planning and Urban Planning Agency of the Republic of Serbia, which is responsible for maintaining the Central Register of Planning Documents, in which all planning documents adopted according to this law will be stored. Along with monitoring spatial changes, the Agency will also be responsible for managing the electronic system ‘’E-space’’, which should influence process of creating and amending planning documents to be faster and more efficient.
Also, the term of brownfield location is introduced, meaning a place of industrial and commercial contents, not being used for a long period of time, and having potential for urban renewal. The data register on brownfield sites will be established and managed by the Agency, whereby this solution is expected to have a positive impact on the development of those locations’ economic potential.
For more information in the context of compliance with the new legal solutions introduced by the adopted Amendments to the Law on Planning and Construction, as well as for complete legal support and advice in this area, feel free to contact us at this e-mail address office@ctlegal.rs .
Note: The information contained in this document does not constitute legal advice on any legal matter but is provided only for the purpose of general information about legal changes.
