Affordable Rental Housing Complexes for Urban Migrants
- 09 Jul 2020
- 4 min read
Why in News
Recently, the Union Cabinet has approved a scheme for providing affordable rental housing to about 3 lakh urban migrants.
- It will be a sub-scheme of the Pradhan Mantri Awas Yojana- Urban that is implemented by the Ministry of Housing and Urban Affairs.
- The creation of Affordable Rental Housing Complexes (ARHCs) is as a part of the government’s economic package to address the Covid-19 crisis. The scheme is in line with the vision of AtmaNirbhar Bharat.
- Target Beneficiaries: Workers who come from rural areas or towns to work in manufacturing, hospitality, health, construction, etc.
- Affordable Rental Housing: About 1.03 lakh completed government-funded houses across cities that are yet to be allotted to beneficiaries (Urban poor) under existing schemes would be converted into the rental housing complexes.
- Concession Agreements: The conversion will be done through concession agreements for 25 years.
- The States and Union Territories would invite bids to select concessionaires.
- Concessionaires will make the complexes livable by repair/retrofit and maintenance of rooms and filling up infrastructure gaps like water, sewer/ septage, sanitation, road etc.
- Complexes will revert to Urban Local Bodies (ULB) after 25 years to run on their own.
- Special Incentives to Entities: Special incentives like concessional loan at priority sector lending rate, etc. will be offered to private/ public entities to develop ARHCs on their own available vacant land for 25 years.
- Technology Innovation Grant: Under it an expenditure of Rs. 600 crore would be provided for projects using identified innovative technologies for construction.
- Creation of New Ecosystem: It will create a new ecosystem in urban areas making housing available at affordable rent close to the place of work. Hence, cutting down unnecessary travel, congestion and pollution.
- Investment Opportunities: It would create a conducive environment for entities to develop AHRCs on their own vacant land which would enable new investment opportunities and promote entrepreneurship in the rental housing sector.
- Employment: Covid-19 pandemic has resulted in massive reverse migration of workers/ urban poor. Investment under ARHCs is expected to create new job opportunities.
Pradhan Mantri Awas Yojana -Urban
- It was launched in 2015 by the Ministry of Housing and Urban Affairs, in which affordable housing will be provided to the urban poor with a target of building 20 million affordable houses by 31st March 2022.
- It provides central assistance to Urban Local Bodies (ULBs) and other implementing agencies through States/UTs.
- Eligibility: All statutory towns as per Census 2011 and towns notified subsequently would be eligible for coverage under the Mission.
- In-situ Rehabilitation of existing slum dwellers using land as a resource through private participation.
- Credit Linked Subsidy.
- Affordable Housing in Partnership.
- Subsidy for Beneficiary-led individual house construction/enhancement.
- The mission promotes women empowerment by providing the ownership of houses in the name of female members or in joint name.