PART I EXTRAORDINARY

MUNICIPAL ADMINISTRATION & URBAN DEVELOPMENT (M) DEPARTMENT

Municipal Administration & Urban Development Department – “The Andhra

Pradesh (Levy and Collection of External Development Charges) Rules,

2025”– Orders - Issued.

==============================================

[G.O.Ms.No.211 MUNICIPAL ADMINISTRATION & URBAN DEVELOPMENT (M)

DEPARTMENT, 8^th October, 2025]

NOTIFICATION

In exercise of the powers conferred by Section 44 (1) read with Section 18

(A) of the Andhra Pradesh Town Planning (APTP) Act,1920, Section 18 read with

Section 108 (1)(b) of Andhra Pradesh Capital Region Development Authority

(APCRDA) Act, 2014 and Sections 116 to 118 read with Section 82 (1) (b) of

Andhra Pradesh Metropolitan Region and Urban Development Authorities (AP

MR&UDA), Act 2016 the Government of Andhra Pradesh hereby make the

following rules for levy and collection of External Development Charges, namely:

1. Short Title, Applicability and Commencement:-

These rules may be called the “Andhra Pradesh (Levy and collection

of External Development Charges) Rules, 2025.

ii.

They shall be applicable to

a. Andhra Pradesh Capital Region Development Authority

[APCRDA] except in Capital City Area

b. All Metropolitan Region Development Authorities,

c. All Urban Development Authorities,

d. All Municipal Corporations,

e. All Municipalities,

f. All Nagar Panchayats,

g. Gram Panchayat areas covered in Master Plans/General Town

Planning Schemes notified under Andhra Pradesh Town

Planning Act, 1920.

iii.

However, these rules shall not be applicable to

Registered No. HSE-49/2016

No.682

AMARAVATI, WEDNESDAY, OCTOBER 8, 2025

G.623

NOTIFICATIONS BY GOVERNMENT

--x--

a. Site/Land for which already obtained conversion permission

under the Andhra Pradesh Agricultural Land (Conversion for

Non-Agricultural Purposes) Act, 2006 (Act No.3 of 2006) and

Receipt of payment made towards Conversion for Non-

Agricultural Purposes.

b. For the site/plot registered as plot prior to 02.01.2006 [prior

to "The Andhra Pradesh Agricultural Land (Conversion for Non

Agricultural Purposes) Act, 2006”( Act No.3 of 2006)].

c. These rules shall come into force with effect from 03.09.2025

i.e., from the date of publication of Ordinance 6 of 2025 in the

Andhra Pradesh Gazette.

2. Definition:- In these rules, unless the context otherwise requires:-

“Act” means the Andhra Pradesh Metropolitan Region and Urban

Development Authorities (AP MR&UDA) Act, 2016, Andhra Pradesh

Capital Region Development Authority Act (AP CRDA), 2014, Andhra

Pradesh Town Planning Act, 1920 as subsequently amended.

ii.

“Basic value” means the land value entered in the market value

guidelines notified by Government from time to time and maintained

by the Registration Department.

iii.

“Competent authority” means the Commissioners of Urban Local

Bodies (ULBs), Vice-Chairpersons of Urban Development Authorities

(UDAs),

Commissioner

APCRDA

and

the

Metropolitan

Commissioner of VMRDA are the competent authorities for collection

of "External Development Charges" (EDC) or any other officer

authorised by the Government.

iv.

“External Development Charges” means the charges collected for

conversion of Agriculture land into Non Agriculture purpose and

which shall be used for laying of major trunk infrastructure such as

roads, flyovers, regional parks, other city wise amenities, external

facilities supporting the larger urban area etc.

“Government” means the State Government of Andhra Pradesh.

3. Application for development permission:-

Every person/ private corporate intending for Building/Layout

development permission shall apply through Online module i.e.,

Andhra Pradesh Development permission Management System

(APDPMS).

ii.

The Owner of the land/applicant, who applies for permission in

Agricultural

lands

for

obtaining

development

permission

(Building/Layout

permission),

shall

pay

requisite

“External

Development Charges” along with the application through Online

portal, by enclosing the following documents

a. Ownership documents and link documents

b. Market value certificate issued by the registration department

for the proposed site area. (till the integration of portals

completed)

c. FMB sketch duly showing the proposed site measurements,

signed by the concerned Mandal Surveyor/Town Surveyor.

d. Affidavit stating that due to the conversion of land, no

irrigation channels /water bodies / Vankas/ Cheruvu/ buffer

area is affected in the said proposal and also no court cases

are pending against the ownership claims.

4. The External development charges mentioned in these Rules are not

applicable to the following lands

Lands owned by the State Government;

ii.

Lands

owned

local

authority

and

used

for

any

community purposes so long as the land is not used for commercial

purposes;

iii.

Lands used for religious or charitable purposes;

iv.

Lands used by owner for household industries involving traditional

occupation, not exceeding one acre;

Lands used for such other purposes as may be notified by the

Government from time to time;

vi.

Lands used for Aquaculture, Dairy and Poultry.

vii.

Lands allotted to the Andhra Pradesh Industrial Infrastructure

Corporation (APIIC).

viii.

Lands allotted to Andhra Pradesh Green Energy Corporation Ltd.

(APGECL)

5. Procedure to be followed for processing application:

Soon after filing the application for development permission (Both

Layout and Building Construction) in the online portal, the system

scrutinize the application with reference to land classification and

prohibitory lands list provided by the Revenue Department from time

to time, till API/Integration is completed with APDPMS and

Registration/Revenue Department.

ii.

If the proposed site is falling under the prohibitory properties list, the

proposal will be rejected.

iii.

In case, the part of Survey number covers in prohibitory list and part

of survey number is proposed for development permission and the

sub-division is not made, such proposal shall be shared to the

Revenue

Department/NOC

shall

insisted

from

Revenue

Department.

iv.

If the application is found correct and after payment of necessary fee

(External Development charges), the application will be sent to the

regular scrutiny of the development permission as per prevailing

rules in force.

After the development permission is issued, post verification will be

done by the Town Planning staff as per delegations.

vi.

During post verification, the concerned Town Planning officials/staff

will inspect the site and ensure that no Government land involved in

development permission.

vii.

If applications are not disposed of within 30 working days, the

application shall be “deemed approved” subject to post-verification

by Town Planning officials.

viii.

To block prohibitive survey numbers in APDPMS Master Data, Meta

data of the list of prohibitory survey numbers shall be obtained from

the Revenue Department from time to time till API/Integration is

completed with APDPMS and Registration/Revenue Department,

which is critical to verify land classifications, government lands, Waqf

lands, water bodies, road poramboke lands, assigned lands, DKT

Lands, Endowment lands, Inam lands etc.,

ix.

Upon receipt of development permission, details (Building/Layout)

shall be sent to Revenue Department/Web portal for Auto Mutation

and updating land classification in Web land.

All Pending Applications:

a. All applications for conversion of agricultural land for non

agricultural purposes made under the repealed Act and

pending immediately before the commencement of this

Ordinance shall be dealt with and disposed of in accordance

with the provisions of The Andhra Pradesh Agricultural Land

(Conversion for Non Agricultural Purposes) Act, 2006” (Act

No.3 of 2006) as mentioned in Ordinance No. 5 of 2025, as if

this Ordinance had not been promulgated.

Notwithstanding anything contained in the repealed Act or any

rules made there under, all unauthorized layouts shall stand

validly converted for non agricultural purposes under the

repealed Act i.e., the Andhra Pradesh Agriculture Land

(Conversion

for

Non-Agricultural

purposes)

(Repeal)

Ordinance No. 5 of 2025, subject to the payment of the

conversion tax on the basic value of the land that was in force

during the respective period of the unauthorized layout,

without the imposition of any penalty or interest. However,

this provision shall remain in force for a period of one year

from

the

date

commencement

the

Andhra

Pradesh Agriculture Land ( Conversion for Non-Agricultural

purposes) (Repeal) Ordinance No. 5 of 2025. Nothing in this

clause shall exempt or safeguard such defaulters from the

initiation of proceedings under the Andhra Pradesh Revenue

Recovery Act, 1864 (Act No.ll of 1864), for the recovery of the

aforementioned dues.

xi.

Already processed and approved applications after repealed Act,

2006 are deemed to be approved under new rules. i.e. the AP (Levy

and Collection of External Development Charges) rules, 2025.

xii.

All pending applications filed after repeal of the Act, 2006 to be

transferred to APDPMS portal to dispose under the AP (Levy and

Collection of External Development Charges) rules, 2025.

6. Levy of Charges:

No Development permission in the State shall be granted without

prior permission from the Competent authority for levying the

External development charges prescribed, except Rule (4) and Rule

No.1 (iii) under these Rules.

ii.

Every person who applies for development permission involving

conversion of agricultural land into non-agricultural purposes shall be

liable to pay External Development Charges.

iii.

The Competent Authorities shall levy External Development Charges

(EDC) at the rate of 4% on the prevailing SRO value of the agriculture

land, as notified by the Government from time to time, as on the

date of submission of the building / layout application.

iv.

The levy of External Development Charges shall be in addition to any

development charges, layout scrutiny fees, or other statutory

fees/charges payable under relevant Acts and Rules.

Amount already collected from 03.09.2025 by the Revenue

Department

shall

transferred

respective

local

bodies/development authorities by the Revenue Department at the

ratio of 85:15.

7. Amount levied kept in separate account:

The amount collected under these Rules shall be kept in a separate

account and shall be utilized only for the specific purposes for which

it is collected.

ii.

The funds collected through EDC shall be utilized by the UDA / local

bodies for developing infrastructure like roads, drains, water supply,

sewerage, parks and other public amenities to facilitate planned

urbanization.

iii.

Devolution of external development charges among local bodies and

Development Authorities will be shared at the ratio of 85 :15.

8. Powers of Competent authority for inspection etc:- The Competent

authority or any other officer authorized by him shall have power to enter

upon, inspect, measure the land and do such other act or acts as are

necessary for verification of the area applied for conversion and deficit

payment of conversion tax under the Act, lands prohibited for conversion

and to ascertain about the title of the land duly giving advance notice to the

applicant.

9. Penalty: Fraudulent conversions/unauthorised development shall attract

penalties, including fines and legal action as prescribed under section 114

of Andhra Pradesh Capital Region Development Authority (APCRDA) Act,

2014 and section 88 of the Andhra Pradesh Metropolitan Region and Urban

Development Authorities (AP MR&UDA) Act, 2016, and other relevant Acts.

10. Any person misrepresenting land use, exemptions, or valuation to evade

EDC shall be liable for double the prescribed charges in addition to

penalties.

11. Power to Remove Difficulties: If any difficulty arises in giving effect to

these Rules, the Government may issue necessary clarifications,

directions, or orders as deemed fit.

12. All existing Rules, Regulations, Bye laws and orders that are in conflict or

inconsistent with these rules shall stand modified to the extent of the

provisions of these rules.

13. Appeal:

Any applicant aggrieved by an order passed by the Competent Authority,

may prefer an appeal to the following Appellate Committee within thirty

days from the date of receipt of the order.

(a)

Commissioner

and

Director

Municipal

Administration

Chairman

(b)

Director of Town & Country Planning

Member

Convenor

(c)

Concerned Officer from Revenue Department

not below the rank of RDO

Member

ii.

The appeal shall be preferred to the DTCP, who shall examine the same

duly obtaining detailed remarks from the concerned Competent authority.

iii.

The Competent authority shall submit the detailed remarks within 15 days.

iv.

All the appeals shall be disposed off within 45 days from the date of receipt

of appeal.

The decision of the appellate committee shall be final.

S.SURESH KUMAR

PRINCIPAL SECRETARY TO GOVERNMENT