House panel suggests flexible central support
Real Estate

House panel suggests flexible central support

The Pradhan Mantri Awas Yojana (Urban), the government's flagship programme for urban housing, has a number of flaws, according to the parliamentary standing committee on housing and urban affairs, and it should not be uniformly funded across the nation; rather, it should vary depending on local conditions.

The committee, led by MP Rajiv Ranjan Singh alias Lalan Singh, noted in its report submitted to the Lok Sabha that the average cost of an EWS house built under the programme is approximately 0.65 million, which is split among the central government, state government, urban local bodies (ULBs), and beneficiaries. In metropolitan, non-metropolitan, hilly, and North-Eastern states, the estimated average cost of an EWS dwelling under PMAY-U is 1.334 million, 1.034 million, 0.898 million, and 0.855 million, respectively.

While the contribution from the states may differ and some states make only a small contribution, the center's share is set.

The central assistance is set at 0.1 million, 0.15 million, 0.15 million, and 0.231 million for the In-Situ Slum Redevelopment (ISSR), Beneficiary Led Construction (BLC), Affordable Housing Project (AHP), and Credit Linked Subsidy Scheme (CLSS), respectively.

The statement read, "The committee have noted that beneficiary contribution rises due to less/no state support and fixed central assistance, making EWS housing unaffordable among the targeted population."

"If a second phase of the PMAY(U) Mission is planned after the first is over, the Ministry may do away with uniform and fixed central aid nationwide. The amount of central support should vary based on construction costs, which in turn depend on geography and other considerations. The panel believed that the central aid should vary because certain states are struggling to bridge the gap due to a lack of resources.

The report also stated that no independent study to determine the need for urban housing had been carried out by the ministry. The statement read: "The committee feels that being a demand-driven scheme, there are chances that some homeless people who did not meet the eligibility requirements for the scheme or due to other impediments like maximum contribution from individuals, requirement of land, etc., could not avail of the benefit."

In order to learn more about the scheme's benefits, gaps, and flaws, the committee has advised the ministry to conduct an impact assessment study.

According to the report, "the ministry may then investigate the viability of either extending the current scheme with modifications based on impact assessment study or to formulate another such scheme to benefit the urban poor at large in order to achieve the Government of India's objective of "Housing for All."

The Pradhan Mantri Awas Yojana (Urban), the government's flagship programme for urban housing, has a number of flaws, according to the parliamentary standing committee on housing and urban affairs, and it should not be uniformly funded across the nation; rather, it should vary depending on local conditions. The committee, led by MP Rajiv Ranjan Singh alias Lalan Singh, noted in its report submitted to the Lok Sabha that the average cost of an EWS house built under the programme is approximately 0.65 million, which is split among the central government, state government, urban local bodies (ULBs), and beneficiaries. In metropolitan, non-metropolitan, hilly, and North-Eastern states, the estimated average cost of an EWS dwelling under PMAY-U is 1.334 million, 1.034 million, 0.898 million, and 0.855 million, respectively. While the contribution from the states may differ and some states make only a small contribution, the center's share is set. The central assistance is set at 0.1 million, 0.15 million, 0.15 million, and 0.231 million for the In-Situ Slum Redevelopment (ISSR), Beneficiary Led Construction (BLC), Affordable Housing Project (AHP), and Credit Linked Subsidy Scheme (CLSS), respectively. The statement read, The committee have noted that beneficiary contribution rises due to less/no state support and fixed central assistance, making EWS housing unaffordable among the targeted population. If a second phase of the PMAY(U) Mission is planned after the first is over, the Ministry may do away with uniform and fixed central aid nationwide. The amount of central support should vary based on construction costs, which in turn depend on geography and other considerations. The panel believed that the central aid should vary because certain states are struggling to bridge the gap due to a lack of resources. The report also stated that no independent study to determine the need for urban housing had been carried out by the ministry. The statement read: The committee feels that being a demand-driven scheme, there are chances that some homeless people who did not meet the eligibility requirements for the scheme or due to other impediments like maximum contribution from individuals, requirement of land, etc., could not avail of the benefit. In order to learn more about the scheme's benefits, gaps, and flaws, the committee has advised the ministry to conduct an impact assessment study. According to the report, the ministry may then investigate the viability of either extending the current scheme with modifications based on impact assessment study or to formulate another such scheme to benefit the urban poor at large in order to achieve the Government of India's objective of Housing for All.

Next Story
Infrastructure Transport

Uttar Pradesh unveils infrastructure-led growth roadmap at RAHSTA

Mumbai, 9 July 2026: Uttar Pradesh’s ambitious infrastructure-led growth strategy took centre stage on Day 2 of the 16th RAHSTA Expo, where senior government officials outlined how expressways, industrial corridors and technology-driven governance are transforming the state into one of India's most attractive investment destinations.Delivering the keynote address, Srihari Pratap Shahi, IAS, Additional Chief Executive Officer, Uttar Pradesh Expressways Industrial Development Authority (UPEIDA), highlighted the state's long-term vision of integrating world-class expressways with industrial dev..

Next Story
Real Estate

NCW closes PRIME Offices Fund at Rs 40 billion

Nuvama and Cushman & Wakefield Management (NCW) has announced the final close of its flagship PRIME Offices Fund at approximately Rs 40 billion, exceeding its original target of Rs 30 billion following strong investor demand.The fund was launched to provide Indian investors with access to institutional-grade commercial office assets across key office markets in the country. According to NCW, the increase in the fund size was supported by strong investor participation and the availability of investment opportunities in India's office sector.The fund has already committed around 45 per cent ..

Next Story
Real Estate

Mayfair Housing adopts Autodesk Forma for digital project planning

Mayfair Housing has entered into a three-year strategic partnership with Autodesk to deploy Autodesk Forma, an AI-enabled cloud platform, as part of its digital transformation programme aimed at improving project planning and execution across its development and redevelopment portfolio.The platform will be integrated into the company's Building Information Modelling (BIM) workflow to support architects, planners and project teams during the early stages of design and development. Autodesk Forma combines real-world data, environmental simulations and collaborative workflows to facilitate data-d..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement