Section 208(2) in The Himachal Pradesh Municipal Corporation Act, 1994
(2)When the erection or re-erection of a building is likely in the opinion of the municipality to interfere with the enforcement of a scheme proposed under section 205, the municipality may refuse its sanction, and in such case shall communicate its refusal in writing together with the ground therefor, to the applicant within sixty days of the receipt of his application and the applicant may thereafter by written notice require the municipality to proceed with the preparation of the proposed scheme with all possible speed. The application shall be deemed to have been sanctioned if an order of refusal is not passed by the municipality, within the time specified above, or if the proposed scheme has not received the sanction of the State Government within twelve months of the date of delivery of applicant's written notice hereinbefore referred to :Provided that should a resolution refusing such sanction be suspended under section 263, the period prescribed above shall commence to run afresh from the date of communication of final orders by the Director or the Deputy Commissioner under section 266.Explanation. - A scheme shall be deemed to have been proposed under this section if a requisition for its preparation has been received by the municipality from the Deputy Commissioner or if the preparation of the scheme is under the consideration of the municipality.