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THEME PAPER
(ii) Promotion of Affordable default to the extent of 90 per segment. Since 2009, real estate
housing for weaker section cent. developers in the country have
through credit linked One positive aspect of the launched many projects in the
subsidy with interest “PMAY-Housing for All (Urban)” affordable segment across the
subvention upto6.5% by the Mission is the integration of Indian cities. Several private
Government of India; Aadhaar Number and Jan developers have carved a niche
(iii) Affordable Housing in DhanYojana bank account of for themselves in this sector.
Partnership with public beneficiaries. The Aadhaar-Jan The implementation of the
and Private sectors and DhanYojana linkage will help Housing for All Mission
central grant of Rs. 1.5 lakh in transparent identification involves many challenges, given
for each EWS house; of beneficiaries, tracking of the experiences of the earlier
(iv) Subsidy for beneficiary- the process of the mission and national initiatives of BSUP
led individual house cutting down delays. Another and IHSDP components under
construction with central positive aspect is that the the JNNURM. Firstly, there is a
assistance of INR 150,000 per scheme discards the “one size scarcity of serviced land to take
housing unit constructed fits all” approach and adopts the up housing. Secondly, the ever-
by the beneficiary; spirit of cooperative federalism. increasing urban population
A Technology Sub-mission has Ownership of the house is to be fueled by migration and
been set up under Pradhan in the name of the woman or reclassification of rural areas
MantriAwasYojana (Urban) jointly with her husband. The into urban, makes it almost
to facilitate adoption of carpet area of each house for the impossible to plan for the future
modern, innovative and green EWS category will be of 30 sq. of cities and implement housing
technologies and building mt. In the case of non-availability by securing finance. Estimation
materials for faster and quality of land, State Governments can and identification of migrants
construction of houses. The relax this norm with the consent and new residents constitute a
PMAY Mission will substantially of beneficiaries. They can also very big challenge. Thirdly, like
improve the access of the urban enhance the area by meeting the JNNURM, lack of matching funds
poor for formal sector housing additional expenditure required. from the States and cities, poor
finance as well as making the In India, housing (including planning and implementation
houses affordable to the urban affordable housing) has been capacity, red-tapism, rent-
poor segment. The houses the exclusive preserve of public seeking, and lack of incentive
to be built through public- sector entities such as Housing and motivation on the part of
private-partnership, interest Boards or Development the local official machinery pose
subsidy and increased flow of Authorities. Private sector significant problems. Fourthly,
resources to the housing sector. real estate developers have while strategizing affordable
Similarly, towards incentivising historically excluded them from housing and implementing slum
commercial banks and financial affordable housing. One major redevelopment programmes,
institutions to lend to the trend since the global liquidity permission is required from a
urban poor, the Government crisis of 2008 - 2009 in India is number of departments and
of India implemented a that private sector developers are authorities. Coordination is
‘Credit Risk Guarantee Scheme’ willing to assume risks and put another huge task inprogramme
whereby lending institutions their entrepreneurial talent at implementation. Fifthly, the
are guaranteed against the loan stake on the affordable housing biggest drawback in all the urban
missions of the Government
October 2020 Volume 21 No. 2-SHELTER 13
