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Needed: Ten Lakh Homes a Month to Meet PM’s Rural Housing Target

Ministry of Rural Development targets to reach 25 lakh houses by 31 Jan, 35 lakh by 28 Feb and 51 lakh by 31 March.

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Ten lakh houses a month: That’s what the government will have to build by March-end to meet its target of 51 lakh homes under the rural leg of the Prime Minister’s ‘Housing for All’ scheme.

Since the launch in November last year, the government took one year to build first 10 lakh homes. The Ministry of Rural Development, according to a press statement, is confident of making that many homes in a month. It targets to reach 25 lakh houses by 31 January, 35 lakh by 28 February and 51 lakh by 31 March.

Pankaj Kapoor, founder and managing director at real estate research agency Liases Foras, said it’s a tall task but not unachievable.

As these are rural houses, complexities in construction are far less. The houses could be in different stages of construction and beneficiaries may have been identified.

Pankaj Kapoor

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The overall objective of the programme is to build one crore houses by the end of March 2019. About 57 lakh houses have been sanctioned in the first phase. Of these, 51.39 lakh beneficiaries have received the first instalment from the government. Of these, about 31 lakh homes are have reached roof-cast levels and another 16.05 lakh houses are nearing completion, the ministry said.

Prashant Kumar, principal secretary at the ministry, didn’t return BloombergQuint’s calls. The ministry didn’t immediately reply to emailed queries seeking clarity on how many of these houses can be completed by 31 March.

States like Chhattisgarh, Jharkhand, Madhya Pradesh, Maharashtra, Orissa, Rajasthan, Uttar Pradesh and West Bengal, who have the highest number of beneficiaries, are on course to complete the targets within the deadline, it said.

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The beneficiaries under the Pradhan Mantri Awas Yojana-Gramin are identified by panchayats from among those living from below the poverty line based on the 2011 census and the government provides financial assistance. It can go up to Rs 1.5 lakh for every house, including the grants under the housing, rural jobs and toilet missions.

Typically, it takes anywhere between three and four months for a house to be completed, a senior official from the ministry who didn’t want to be identified said. But a 25-square-meter house could also be completed in 45 days, he said.

The ministry’s Rural Masons Training programme will help fast-track the pace of building homes, the official said. There is no private player participation in this programme, he added.

The scheme allows a beneficiary to select from a bouquet of designs. It’s aimed at providing brick-and-cement houses with basic amenities to families without homes or living in temporary structures by 2022. These houses are built with basic facilities such as LPG and electricity connections, drinking water and toilet.

(This article was originally published on BloombergQuint.)

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Topics:  PM Narendra Modi 

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