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CASE STUDY
CHALLENGES FACED BY possible solution could be efficient single-window
JMC UNDER PMAY moving to the peripheral areas clearance system, enabling
where land is available in plenty speedy approvals to realty
PMAY-HfA(Urban) is the
solution to the grave housing and at competitive prices. projects.
shortage that the country is Land acquisition and lack of Rising cost of raw materials and
currently facing. However, with infrastructure: While city fringes labour: An unabated apprecia-
a target of constructing pucca have adequate land parcels, tion in the price of raw materials
houses for all households by the tedious acquisition process and labour heavily impinges the
end of 2022, the mission is makes it difficult to initiate cost-effective construction of
bound to encounter several affordable housing projects. residential projects.
challenges – lack of time being Extended legal ba les with Unrestrained inflation and
the most critical. This further landowners and high higher GST slab on basic
triggers issues pertaining to land compensation are some of the building materials such as
acquisition, project approvals major challenges that developers cement, tiles and bricks have led
and even the pace of face towards acquiring requisite to a spike in prices, thus
construction which is dependent land parcels. Furthermore, city impacting the overall
on the technology in use. fringes lack infrastructure, construction costs. Curbing
Inefficient addressal to these modes of transport and even inflation; and tax rebates on
concerns at hand has kept employment opportunities. In construction material for PMAY
private participation at bay, the absence of work and means projects could be the suggested
further aggravating the to commute, the purpose of solutions to address this
challenge to implement this developing low-cost homes is challenge.
mammoth project. Some of the defeated as homebuyers, who Age-old technologies: Technology
primary roadblocks in the face of are mostly dependent on public plays a vital role in reducing the
this mission are: infrastructure, do not find them cost of construction; however,
lucrative. Any effort towards an
Scarcity of land: Radial all-encompassing development India is still a long way from
development of metro cities has has a major bearing on the cost adopting the most efficient
transformed city centres into of land, which turns out to be a technologies required for mass
'hubs' of commercial and deterrent to the development of construction. The conventional
residential activity, leaving li le affordable housing. The possible practices followed in India have
to no space for further solution could be easing land an extended gestation period
development. Thus, land parcels acquisition process, or and extend the construction
in such developed areas, where government acquiring land and cycle up to 2-3 years. Experts,
the majority of the employment handing over the same to however, claim that it is possible
opportunities are concentrated, developers at a higher to complete housing projects
command a premium, making subsidy/incentive. within 90 days with the use of
an affordable housing project appropriate technology available
not viable for construction. In Delayed project approvals: globally. Manpower
addition, a large portion of the Lengthy and cloudy approval consumption, too, can be curbed
city land is locked under slums process has often been cited as a with the use of precast modular
and other congested areas. In- major barrier towards curbing techniques. Adopting globally-
situ development of these land the cost of realty projects. The available mass construction
pockets can be undertaken by inordinate delay is known to technologies could be the way
providing additional Transfer of escalate the project cost by ahead in this regard.
Development Rights (TDR) as an almost 30 per cent. The possible Lack of skilled workforce: India
incentive to developers. The solution could be to create an lacks skilled labourers in all
82 HUDCO-HSMI Publication