Approval procedures for affordable housing being streamlined: Secretary, Housing

The government is streamlining approval procedures for housing projects by delegating powers to local bodies and adopting a consultative process at the national level.

For making land available for housing projects, states were being pursued to create land banks and central ministries urged to release land in cities in exchange of other lands elsewhere, stated Dr. Nandita Chatterjee, Secretary, Ministry of Housing and Urban Poverty Alleviation, while speaking on 'Housing for All by 2022', on day two of FICCI's Smart Cities Summit 2015 on the theme '100 Smart Cities: Mission Transform Nation'.

Responding to FICCI's recommendations for revisiting existing tax systems and lowering tax rate, Dr. Chatterjee said that efforts were on to rationalize taxation on affordable housing and states were being asked to prepare affordable housing policies with specific incentives including tax exemption and lower tax rates.

Elaborating on the recently launched Pradhan Mantri Awas Yojana (PMAY) - Housing for All (Urban), Dr. Chatterjee, said that at the slum decadal growth rate of 34 percent, the slum households are projected to go up to 18 million. Two million non-slum urban poor households are proposed to be covered under the Mission. Hence, total housing shortage envisaged to be addressed through the new mission is 20 million.

The mission will be implemented during 2015-2022 and will provide central assistance to Urban Local Bodies (ULBs) and other implementing agencies through States/UTs for In-situ Rehabilitation of existing slum dwellers using land as a resource through private participation; Credit Linked Subsidy; Affordable Housing in Partnership; and Subsidy for beneficiary-led individual house construction/enhancement.

She said that credit linked subsidy component would be implemented across the country in all statutory towns right from the beginning. Also, the mission will provide flexibility to the states for choosing the best options to meet the demand of housing in their states.

The process of project formulation and approval in accordance with the mission guidelines would be left to the states so that projects can be formulated, approved and implemented faster.

Dr. Chatterjee said that a Technology Sub-mission under the mission would be set up to facilitate adoption of modern, innovative and green technologies and building material for faster and quality construction of houses. Technology Sub-Mission will also facilitate preparation and adoption of layout designs and building plans suitable for various geo-climatic zones. It will also assist States/Cities in deploying disaster resistant and environment friendly technologies.