Just like demonetisation, the Pradhan Mantri aawas Yojna (PMAY) is on the verge of failure. It’s come with new turn after involved PPP model. CM Devendra Fadnavis government planned to build 6.64 lakh houses under the PMAY scheme but only 86,320 are complete or under construction; government hopes to clear backlog through Public Private Partnership (PPP) model scheme.
In 2014 election, Modi Government had promised to build the houses for every citizen under PMAY by March 2019. They have to complete this assurance before the 2019 Lok Sabha and state assembly poll.
According to state housing report, so far, the number of houses that beneficiaries have actually occupied is 40,599, while construction of 44,727 more is underway.
PMAY started from December 2015, initially to be implemented in 51 cities across the state and gradually to be extended to cover nearly all of urban Maharashtra. For this scheme, Union government provides funding of Rs 1.5 lakh for every tenement created under the scheme, while the state government tops it up with another Rs 1 lakh.
According to the print, An official from the state housing department, said, “The immediate focus is to meet targets under the scheme for 2019. The numbers are likely to pick up now with the newly-adopted public-private partnership model of constructing tenements under the scheme.”
Chief Minister Devendra Fadanvis approached PPP model for completing their promise. Under the PPP model, hopes to create low-cost houses on government as well as private land with the help of real estate developers, where at least 50 percent of the tenements constructed are to be available as affordable housing.
Earlier, MHADA was to determine the cost of 50 percent of the houses created in such projects, to ensure that their price remained affordable. MHADA official said, “the thought process is that pricing them as per the ready reckoner will be easier as MHADA’s pricing policy includes items such as land cost that makes the exercise complicated, considering these projects are on a PPP model. The houses will still remain affordable as the government can control the ready reckoner prices.”
Devendra Fadanvis approved eight PPP model, six of which come under Metropolitan Region to build over 21,000 houses. “We are also assessing how many tenements we can create through some of the government’s major redevelopment projects such as the Dharavi redevelopment and the revamp of the Bombay Development Directorate Chawls so that we can consider these two as part of our achievements under PMAY,” a housing department official said.