Policy Update
Yash Kumar
BACKGROUND
The National Capital Region (NCR) is India’s largest polycentric urban centre, spanning Delhi and adjoining districts of Haryana, Rajasthan and Uttar Pradesh (about 55,083 sq km, ~60 million people The NCR Planning Board (NCRPB), a statutory body constituted under the National Capital Region Planning Board Act, 1985 is authorised with harmonising land use and infrastructure in this cross-state region. The existing Regional Plan (Horizon 2021) was notified in 2005, after two decades of rapid growth (UN projections even suggest Delhi will become the world’s largest metropolis by 2028, a new long-term “Regional Plan, 2041” was commissioned. The rapid demographic growth and intense urban expansion across the NCR, particularly in the periphery and periban areas, have severely strained existing infrastructure, public services, logical systems. This increasing pressure made the formulation of the Regional Plan, 2041 (RP) critical to ensure coordinated, sustainable, and balanced regional development across Delhi and its bordering states.In November 2019, an NCR conclave chaired by the Housing Secretary kicked off this process. In October 2021, the NCRPB Board (chaired by Union Minister H.S. Puri) approved the Draft Regional Plan, 2041. The draft was immediately published for public consultation (Dec 2021–Jan 2022) and received thousands of comments from state agencies, experts, and citizens. In parallel, a 2019 Gazette amendment formally added new districts (e.g. Shamli, Bhiwani, Mahendragarh, Charkhi Dadri) into NCR and updated the 2021 plan for these areas.
The Draft 2041 Plan is a crucial step towards shaping a “future-ready” capital region that aligns with India’s vision of a “new and vibrant” metropolis . It underscores the importance of balanced economic growth and multi-sectoral infrastructure, with a focus on multimodal transport corridors, robust power, water and waste systems, and digital/ “smart” connectivity. The plan’s emphasis on social and economic goals, such as skill development, tourism, farm incomes and ease of doing business, makes it a comprehensive roadmap for the NCR’s development. The plan’s approach to managing urbanisation via a hierarchical settlement system, greenbelts and protected zones, aligns with sustainable development goals. In short, the Draft 2041 Plan is a significant step towards building a future-ready NCR of a new, vibrant India, covering every sector from land use and transport to environment and livelihoods.
FUNCTIONING
Under the NCRPB Act, the Board must prepare and enforce the Regional Plan in coordination with the states. In practice, NCRPB drafted the 2041 Plan through intergovernmental consultation. The 41st Board meeting (12 Oct 2021) approved the Draft, which was released on 9 December 2021. The draft was refined through stakeholder input; NCRPB received ~2,700 public and official comments by early 2022, and incorporated many suggestions after review by planning experts at SPA–Delhi. The revised draft will be tabled for final approval in the next Board session.
Once notified, the Regional Plan is indicative (non-statutory): implementation depends on NCR states (Delhi, Haryana, UP, Rajasthan) aligning their Master Plans and sub-regional plans with it. In fact, the PAC’s 2023 report stressed that sub-regional plans are prerequisites: NCRPB should “ensure that financial assistance is granted to projects only after submission and approval of sub-regional plans,” which reflects the Act’s mandate (which empowers NCRPB to coordinate Regional, Functional and Sub-Regional Plans through participating states). NCRPB also arranges financing: typically soft loans (75% of project cost, 25% state share) for joint infrastructure projects, and convenes planning among central and state agencies. For example, NCRPB brokered a Reciprocal Common Transport Agreement (2021) to coordinate interstate bus taxes and ease travel across Delhi, Gurugram, and Faridabad.
Concerns and challenges have emerged during this process. Notably, the Plan’s treatment of environmental safeguards has been controversial. The Draft replaces the earlier “Natural Conservation Zone (NCZ)” concept with broader “Natural Zone (NZ)” criteria. Critics warn this weakens protection: whereas an NCZ effectively limits construction to 0.5%, an NZ requires only that features be “notified” and in revenue records. After state inputs (especially from Haryana), terms like “Aravallis” and “hills” were dropped or generalised. The Union Environment Ministry and activists have objected that this excludes much of the ecologically sensitive Aravalli range from mandatory conservation (indeed, analysis shows 50,000+ acres of Haryana’s Aravalis may lose protection under the draft, and overall NCR forest cover targets were lowered) in response to these objections, the Prime Minister’s Office has formally questioned NCRPB about omitting “Aravallis” and NCZs from the plan.
Other functional issues include delays and coordination hurdles. By late 2023, the Regional Plan,2041 had not been finalised or officially notified, so the old RP-2021 (amended in 2019) remains in force. A Parliamentary report faulted NCRPB for this delay, admonishing it to complete the process and to periodically review the plan (e.g. every five years as mandated). The PAC also noted slow demarcation of the Natural Conservation Zone (NCZ) by states, which “adversely impacted” the NCR’s environment. It is recommended that accountability within MHUA/NCRPB be fixed for this lag. To better track implementation, the PAC urged NCRPB to use remote sensing and GIS to prepare up-to-date, land-use maps and monitor compliance. In short, while the Board has the statutory remit to coordinate NCR development, actual execution depends on timely action by states and agencies, and this multi-layer governance has proved challenging in practice.
PERFORMANCE (2021–2025)
Since the Draft’s approval, there has been active funding of regional projects, though the Plan itself awaits finalisation. NCRPB continues to act as a financier: between 2018–19 and 2021–22, it sanctioned ₹5,921.6 Cr in soft loans across 84 major infrastructure projects. These ranged from wastewater schemes to highways (e.g. a large share went to Rajasthan and Uttar Pradesh projects). In 2021–22 alone, new project sanctions (₹779.84 Cr) far exceeded the target of ₹500 Cr, and disbursements (₹205.79 Cr) met the ₹200 Cr goal. This suggests NCRPB’s financing performance met its MoU commitments. Funds were deployed in transport (roads, rapid transit), water/waste systems and power sectors aligned with the Regional Plan’s thrust.
These investments hint at gradual progress toward plan objectives, even without a finalised plan. For example, NCRPB identified and supported transit infrastructure: the Dwarka Expressway and Regional Rapid Transit (RRTS) corridors have benefited from coordinated planning and partial funding (often shared with central/state schemes). In transportation governance, the combined Stage/Contract Carriage tax agreement (2021) now allows Delhi, Haryana, and UP buses/taxis to cross borders seamlessly, a practical outcome in the Plan’s spirit.
Despite notable progress in financial disbursements and infrastructure expansion, such as metro expansion, expressway development, and logistics parks, the institutional lag in finalising the sub-regional and functional plans has undermined the timely and strategic execution of the Regional Plan, 2041. This dualism between funding success and administrative inertia weakens coordinated regional growth and blunts the plan’s transformative potential.
However, full implementation of the specific Plan-proposed projects remains uneven. For instance, NCRPB planned a ₹103 Cr upgrade of the 1.8 km Raghopur Road (linking Delhi’s Dwarka Expressway to Najafgarh Road) to relieve congestion. The image below shows this narrow Raghopur village roadway slated for widening. By early 2025, however, the project was stalled: Haryana has insisted that Delhi bear the entire ₹103 Cr (₹53 Cr land, ₹50 Cr construction). This funding dispute exemplifies how interstate coordination issues can delay plan-linked projects. By 2025, NCRPB had delivered on its financing targets, but the Regional Plan itself is still in limbo, so the link between policy and on-the-ground change remains to be fully realised.
An NCR village road in Raghopur (Delhi) is planned for widening. NCRPB proposed a ₹103 Cr upgrade (1.8 km) of this link from the Dwarka Expressway to Najafgarh Road. However, the project faced delays due to cost-sharing disputes between Haryana and Delhi.
IMPACT
The potential impact of the RP-2041 is significant, aligning with India’s development goals. The Plan envisages modern, well-connected urban clusters and a sustainable environment. Its emphasis on “ease of doing business”, digital infrastructure, and skill development dovetails with national policies to boost investment and jobs in the NCR. Ongoing NCR projects – such as enhanced Metro/RRTS links, ring highways, and city redevelopment– indirectly support the draft Plan’s vision of balanced growth.
Yet analysts caution that the current draft’s environmental changes could undercut these aims. Environmental commentators have been uniformly critical: some reports warn that the new plan “will negatively impact the sustainability of the NCR” by threatening air quality, groundwater recharge, forest cover and wildlife across the region. In particular, altering conservation norms (NCZ to NZ) and omitting “Aravallis” may weaken protections for the ancient hill ridge and its forests. Compared to RP-2021, the 2041 draft even lowers the target forest/green cover percentage. If enacted, these changes could undermine the Plan’s environmental objectives. On the positive side, the Plan’s focus on mass transit, digital connectivity and regional employment could yield economic and livability benefits. Still, these will materialise only if the Plan’s provisions are upheld in implementation.
In summary, the Regional Plan–2041 highlights a forward-looking blueprint for the NCR, but its actual impact is yet to unfold. Government spending continues on infrastructure (often citing regional coherence), but much depends on finalising the Plan. For now, its influence is felt mainly in policy debates: for example, citizen objections (over 2,700 submissions) have forced authorities to re-examine provisions like the Aravali protections. Likewise, the Plan’s alignment with Sustainable Development and smart-city agendas means its concepts will likely affect future projects. However, stakeholders note that without strong legal backing or political consensus, the Plan’s big goals are at risk of being diluted in practice.
EMERGING ISSUES AND RECOMMENDATIONS
- Plan Finalisation: The draft’s approval is pending. The Parliamentary Public Accounts Committee (PAC) urged NCRPB to finalise and notify the plan within six months. Stakeholders recommend setting and adhering to a strict timeline.
Recommendation: Expedite state-level approvals and gazette notification, so the 2041 framework can guide investment and planning as intended.
- Environmental Safeguards: Dilution of NCZs (“Natural Zones”) and the removal of “Aravallis” from the Plan have alarmed ecologists. The Environment Ministry and civil society insist on restoring strong protection for Aravali ranges and wetlands (e.g. reinstate NCZs).
Recommendation: Ensure the final plan explicitly protects all identified ecological zones. NCRPB should work with the Environment Ministry and courts to harmonise the plan with the Supreme Court and notification requirements.
- Inter-State Coordination: Disputes (such as over the Raghopur road funding) highlight a lack of agreement on cost-sharing. Haryana has refused to pay for a road on Delhi territory, stalling the project.
Recommendation: NCRPB, with the Ministry of Housing and Urban Affairs, should mediate binding funding protocols for cross-border infrastructure, possibly with central backing. Precise mechanisms (e.g. Expenditure Finance Committee approvals (EFC) should be used to resolve cost allocation so projects proceed.
- Protected Zone Delineation: The PAC flagged long delays in demarcating the NCR’s Natural Conservation Zone (NCZ) by states. This lapse has shrunk the green cover.
Recommendation: States must expedite NCZ mapping via ground-truthing of revenue records, as directed. The Ministry and NCRPB should be held accountable for completing this task quickly.
- Technology & Monitoring: Effective implementation requires up-to-date data. The PAC advised using satellite/GIS tools to map land use and monitor compliance.
Recommendation: NCRPB should develop an online geo-portal (e.g. expanding “Pariman”) to track land-use changes and project status across NCR in real-time
- Sub-Regional Plans: Several stakeholders note that states have lagged in approving sub-regional plans under the 2021 framework. The PAC recommended funding only after these plans are in place.
Recommendation: States should finalise local plans quickly, and NCRPB must condition financial assistance on these approvals. This will ensure regional planning is internally consistent.
- Fund Utilisation: The PAC urged that available funds not be parked in banks but used for infrastructure loans.
Recommendation: NCRPB should reduce its grant balance to meet existing project funding needs rather than earning interest. The Board should maintain a pipeline of high-priority projects (water, roads, public transport) ready for financing.
- Periodic Review: The 1985 Act mandates that Regional Plans be reviewed every five years.
Recommendation: NCRPB should institutionalise mid-course reviews of RP–2041 (in 2026, 2031, etc.) to update strategies for emerging issues like climate change or new technology.
- Public Participation: With thousands of objections received, transparency is key.
Recommendation: Release a summary of how public comments were addressed. Engage citizen groups, urban planners and industry in a post-draft dialogue. This will build trust and ensure the Plan reflects local needs (e.g. housing, mobility, jobs).
WAY FORWARD
Realising a “future-ready” NCR is critical to New India’s ambitions. The Draft 2041 Plan’s vision must be translated into action: swift notification, proper implementation and monitoring. It should be integrated with central initiatives (Smart Cities, AMRUT, Metro expansion, Digital India, etc.) and local development schemes, so that Plan objectives drive actual projects. As noted by the Housing Minister, the goal is to “visualise and build a future-ready National Capital Region of new, vibrant India” Achieving this will require close central–state coordination, strong financing, and firm protection of the region’s environment, while also promoting growth poles and connectivity. If these conditions are met, the NCR Regional Plan–2041 can significantly advance as balanced urbanisation, to make NCR globally competitive, and contribute to the nation’s overall economic and social uplift. This alignment between planning objectives and outcomes is essential for fulfilling the aspirations of a modern New India.
REFERENCES
1. Behl, A. (2025, January 17). Plan to expand Raghopur road connecting Delhi to Gurugram likely to get delayed. Hindustan Times. https://www.hindustantimes.com/cities/others/plan-to-expand-raghopur-road-connecting-delhi-to-gurugram-likely-to-get-delayed-101737051703846.html#:~:text=According%20to%20government%20officials%2C%20authorities,in%20Raghopur%20village%20of%20Delhi
2. Behl, A. (2025, March 4). NCRPB plans expansion of key roads to boost Delhi-Ggm link. Hindustan Times. https://www.hindustantimes.com/cities/gurugram-news/ncrpb-plans-expansion-of-key-roads-to-boost-delhi-ggm-link-101741052473301.html#:~:text=The%20NCRPB%20has%20estimated%20the,secretaries%20held%20on%20February%2014
3. Dash, D. K. (2022, July 16). Regional plan: PMO seeks NCR Planning Board reply. The Times of India. https://timesofindia.indiatimes.com/city/delhi/regional-plan-pmo-seeks-ncrpb-reply/articleshow/92908598.cms#:~:text=The%20draft%20plan%2C%20which%20has,show%20that%20the%20current%20Haryana
4. Dash, D. K. (2022a, July 4). ‘Aravalis’ not in new draft NCR plan, Haryana wanted ‘hills’ gone too. The Times of India. https://timesofindia.indiatimes.com/india/aravalis-not-in-new-draft-ncr-plan-haryana-wanted-hills-gone-too/articleshow/92662725.cms#:~:text=NEW%20DELHI%3A%20After%20the%20term,scheduled%20on%20Tuesday%20have%20revealed
5. Etemaaddaily. (2021, October 13). NCR Planning Board approves Draft Regional Plan-2041. https://www.en.etemaaddaily.com/world/national/ncr-planning-board-approves-draft-regional-plan-2041:102574#:~:text=New%20Delhi%3A%20The%20National%20Capital,and%20Ease%20of%20doing%20Business
6. Goel, A. (2022, September 5). The new plan to develop the National Capital Region is a blow to the conservation of the Aravalis. Scroll.in. https://scroll.in/article/1031907/the-new-plan-to-develop-the-national-capital-region-is-a-blow-to-the-conservation-of-the-aravalis#:~:text=The%20earlier%20version%20of%20the,as%20a%20natural%20conservation%20zone
7. GOVERNMENT OF INDIA MINISTRY OF HOUSING AND URBAN AFFAIRS. (2025). In Sansad.in. https://sansad.in/getFile/loksabhaquestions/annex/184/AU4479_7xQuDC.pdf?source=pqals#:~:text=%28a%29to%28e%29%3A%20No,its%2041st%20Meeting%20held%20on
8. Inaugural conclave on “National Capital Region -2041” to be held in Delhi. (n.d.). https://pib.gov.in/PressReleasePage.aspx?PRID=1591023#:~:text=The%20National%20Capital%20Region%20,Capital%https://pib.gov.in/PressReleasePage.aspx?PRID=1591023#:~:text=The%20National%20Capital%20Region%20,Capital%20Region%20are%20as%20under%20are%20as%20under
9. NCR Planning Board should notify regional plan 2041 within six months: PAC. (2023, December 18). Moneycontrol. https://www.moneycontrol.com/news/business/ncr-planning-board-should-notify-regional-plan-2041-within-six-months-pac-11922931.html#:~:text=projects%20only%20after%20submission%20and,regional%20plans%2C%20the%20report%20stated
10. NCRPB has sanctioned ₹ 5921 Crore loan. (2021, December). Pib.gov. https://pib.gov.in/PressReleseDetailm.aspx?PRID=1782243®=3&lang=1
11. NCRPB. (2022). NCRPB Annual Report 2021- 22. In NCRPB. National Capital Region Planning Board. https://ncrpb.nic.in/pdf_files/Annual_Report_2021-22
12. Tandon, A. (2022, August 31). With NCR Draft Plan 2041, the sensitive Aravalis remain vulnerable. Mongabay-India. https://india.mongabay.com/2022/08/with-ncr-draft-plan-2041-the-sensitive-aravalis-remain-vulnerable/#:~:text=Planning%20Board%20,certain%20sensitive%20zones%20in%20NCR
ABOUT THE CONTRIBUTOR:
Yash Kumar is a research intern at IMPRI, pursuing his Bachelor of Arts (Hons) in Economics and Sociology with a minor in Political Science from Christ University, Bangalore.
ACKNOWLEDGMENT:
The Author would like to Thank Ms. Aasthaba Jadeja for supporting and reviewing the Article.
Disclaimer: All views expressed in the article belong solely to the author and not necessarily to the organisation.
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