India will need 26.53 million houses by 2012, says ministry of housing report  

June 14, 2011

Various housing schemes have fallen drastically short of the targets

Moneylife Digital Team

The housing requirement by the end of the 11th Five-Year Plan in 2012 will pile up to 26.53 million units, an increase from the 24.71 million units requirement at the end of the previous plan in 2008, according to a government report.

The report, prepared by a technical group of the Ministry of Housing and Urban Poverty Alleviation, attributed the increasing housing deficit to the failure of various schemes like the Interest Subsidy Scheme for Housing the Urban Poor (ISHUP) which had set a target of 3.10 lakh dwelling units, but has achieved only 5,038 units so far. A total Rs1,378 crore was allocated under the 11th Plan for ISHUP, which provides interest subsidy on housing loans to weaker sections and low-income groups.

The Affordable Housing in Partnership scheme that was launched in 2009 with a target of building one million housing units has seen 14 projects comprising 19,100 dwelling units approved so far. The project cost till now is estimated at Rs792.04 crore, with Rs53.96 coming from the central government. The scheme is meant to create a land bank for affordable housing projects and provide central government support on infrastructure connectivity.

The ministry has decided to enhance the schemes that provide affordable housing to urban poor and slum redevelopment. The original allocation of Rs18,141.34 crore under the Jawaharlal Nehru National Urban Renewal Mission (JNNURM) was enhanced to Rs23,184.66 crore, whereas Rs16,356.35 crore has been allocated for Basic Services to the Urban Poor (BSUP) and Rs6,828.31 crore for Integrated Housing and Slum Development (IHSDP). So far, 15.6 lakh houses have been sanctioned under the schemes with the centre contributing Rs20,787.90 crore towards these schemes.