Lok Sabha Question No. 3752 (UNSTARRED), answered on 2017-08-09
Subject: Affordable Housing on PPP Mode
Ministry: HOUSING AND URBAN AFFAIRS
Asked by: PASHUPATI NATH SINGH, KIRIT SOMAIYA

## GOVERNMENT OF INDIA

## MINISTRY OF HOUSING AND URBAN AFFAIRS

## LOK SABHA

## UNSTARRED QUESTION NO. 3752

TO BE ANSWERED ON AUGUST 09, 2017

## AFFORDABLE HOUSING ON PPP MODE

No. 3752 SHRI PASHUPATI NATH SINGH : DR. KIRIT SOMAIYA :

Will  the  Minister  of  HOUSING  AND  URBAN  AFFAIRS  be  pleased  to state:

- (a)   whether  the  Government  has  constituted  a  Committee  for preparing draft model  documents  for providing affordable housing on Public Private Partnership (PPP) basis;
- (b)   if so, the works undertaken so far after the constitution of the said Committee on affordable housing on PPP basis;
- (c) whether a final report has been prepared by the said Committee constituted by the Government and if so, the details thereof;
- (d) the  strategy  formulated  by  the  Government  with  regard  to preparing  a  draft  model  for  affordable  housing  on  PPP  basis; and

- (e) whether the Government is considering to sanction more Floor Area Ration (FAR) to builders in lieu of construction of affordable houses for the poor and if so, the details thereof?

## ANSWER

## THE MINISTER OF STATE IN THE MINISTRY OF HOUSING & URBAN AFFAIRS

## (RAO INDERJIT SINGH)

- (a) to (e): A  committee  on  Public  Private  Partnership  (PPP)  in Affordable  Housing  was  set  up  by  the  then  Ministry  of Housing & Urban Poverty Alleviation to facilitate participation  of  private  sector  in  the  affordable  housing sector.

The Committee in its report elaborated various issues in the  delivery  of  affordable  housing  and  the  solutions  to these  challenges  through  development  of  sound  PPP models for effective delivery through various models for

PPP in Affordable Housing.

Based on the report of the Committee, this Ministry has drafted  a  Model  PPP  Policy  for  Affordable  Housing  and uploaded  the  same  on  the  website  of  the  Ministry  for wider circulation.

Government has launched  Pradhan  Mantri  Awas  Yojana (Urban)  [PMAY(U)]  Mission  on  25.06.2015  to  provide central assistance to the implementing agencies through States  and  UTs  for  providing  houses  to  all  eligible families/beneficiaries. The Mission comprises four components  viz.,  In-Situ  Slum  Redevelopment  (ISSR); Affordable Housing through Credit-Linked Subsidy; Affordable Housing in Partnership (AHP); and Subsidy for Beneficiary-Led Individual Housing Construction (BLC).

PMAY (U) Mission envisages private sector participation under  the  Affordable  Housing  in  Partnership  and  Slum Redvelopment  components  of  the  mission.  A  central grant of Rs. 1 lakh per house on average under the slum redevelopment programme and @ 1.5 lakh per EWS house under the AHP  component  is  admissible under the mission.

The  guidelines  of  PMAY  (U)  provide  that  the  private partner for  Slum  Redevelopment  would  be  selected through  open  bidding  process.  State  Governments  and cities  would,  if  required,  provide  additional  Floor  Area Ratio  (FAR)  /  Floor  Space  Index  (FSI)  /  Transferable Development Rights (TDR) for making slum redevelopment projects financially viable.

******