Affordable Housing is the provision of housing for the lower strata of the society, such as the Economically Weaker Section (EWS), The Lower Income Group (LIG) and the emerging level of the Middle Income Group.
Varying degrees of subsidy was targeted at these groups. Various issues were coming up from time to time, impacting the implementation of schemes meant for these segments of the housing industry. The gap in it any time soon invites smug smiles bordering on disbelief.
The new government at the Centre, soon after assuming charge has set itself the near impossible task of meeting the housing need of all by 2022, causing eyebrows to be raised in knowledgeable circles. If we recall the pace of action in this segment, such disbelief would appear to be justified. Unmet demand for such housing in urban areas has been growing and not declining with the passing of time, because of the concentration of economic activities in these areas. Add to this the burgeoning rural population where the city style of nuclear families is rapidly catching up with the youth, multiplying the demand for housing by a minimum factor of two. This scenario poses a grave challenge to the viability of the dream scheme of housing for all in the next eight years.
It is not an impossible dream. A smaller version of such grand plan was tried in Kerala some decades ago, where the entire State committed itself to achieving a target of one lakh houses for the homeless in the State (EWS segment). Students from primary schools to university contributed voluntary labour, besides other adult volunteers from the beneficiaries and the community in general. Performance appraisals of government officers and teachers included a review of their contribution to the scheme.
More than half the target was achieved. Before the scheme could be completed, the popular minister who launched the program died, and his colleagues and political opponents did not find it useful to carry forward the wonderful legacy. Political rivalry killed the most important social initiative in that State after the universal literacy drive and the small family drive.
The current prime minister has one advantage on his side for implementing this grand vision. It is the growing youth population, impatient with the slow pace of development. If the National Service Scheme can be taken out of the university and school system and made open for all youth to join, and the work of the youth is recognized through preference in government and private sector employment, that large force can definitely make this impossible looking dream a reality. Even employed persons may be encouraged to volunteer part-time and due credit for this allowed.
Senior retired officers from the armed forces may be inducted as mission commanders and tasked with the co-ordination at National and State levels. Volunteer ex-service men may be inducted as trainers. The typical bureaucratic style of functioning will not suit this type of a giant mission. It has proved its unsuitability by dragging on with this task for sixty two years. The hierarchy should be as near flat as possible.
Coming to finance, the overall cost for this mission would be around USD 3.4 trillion (inclusive of related development of infrastructure). A World Bank or IMF/IFC loan for the major part of the amount, with assured steady disbursement spread over the project period, can be negotiated with a moratorium for initial period till project starts yielding revenues .The nitty-gritty can be worked out in the coming one year and the mission launched in all seriousness by October next year.
Meanwhile some disturbing news is coming out from Government circles. One is that there is a move afoot to solve the affordable housing problem by taking over unsold urban properties and renting them out to applicants. It may look to be a very simple expedient, but it is not. Inventory of unsold housing units remain so for a variety of reasons. By allotting it to the hapless home seekers, we will open Pandora’s Box. Such ready houses are better left to the operation of market forces. The houses under the mission must be uniform and distinct to facilitate verification.
