33 HOUSING PROBLEMS/ SHORTAGE IN INDIA – HOUSING POLICIES AND PROGRAMMES

S. Visalakshi Rajeswari

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Introduction

 

Housing as is commonly understood is not just something which provides the inmates shelter and protection but one which fosters their growth and development, satisfies their economic, social and psychological needs of the family members. It moulds the life and eventually the life style of the family members. The family’s, especially the breadwinner’s occupation and income status, rootedness to a place and many other factors influence owning or renting of a house by the family. Government’s efforts also ensure housing for those who can’t afford one of their own. Despite all efforts, the country is facing problems and shortages related to housing in a large measure.

 

Housing scenario in India

 

The 2011 Census of India declared that the urban population of the Country stood at 377 million or 31.16 per cent of the total population. This rate of urbanization has resulted in many issues such as land shortage, shortfall in housing, and tremendous pressure on available infrastructure, transportation deficits and stress on lack of basic amenities like water, sanitation and healthcare for the residents. The estimated number of total households which was 19.2 crore (13.8 crore rural and 5.4 crore urban) in 2001 had risen to 24.7 crore (16.8 crore rural and 7.9 crore urban) in 2011 census.

 

India can be proud that a majority of the households irrespective of the locale – urban or rural – live in owned houses, more than 90 per cent in rural and 70 per cent in urban areas. This trend has been reported to be on the increase, compared to the previous census report.

 

Housing need is the extent to which the quality of existing accommodation falls short of that required to provide each household or person in the population, irrespective of ability to pay or particular preferences with accommodation of a specific minimum standard and above.

Contrarily, demand is an economic concept; the standard and amount of housing a household can command is the result of income and ability to pay; it does not employ achievement of any specified minimum standard. It is predicted that the population in urban areas would show sustained increase thereby enhancing and highlighting the number of urban poor and their temporary, informal housing arrangements. Such facts all the more pinpoint for a special address of the housing situation in India and for strategically streamlining the policies and programmes for the national cause.

 

In today’s session, let us have a look at the reasons, causes for housing problems and shortage in India and the policies drafted to tackle the issues. First let us understand what these terms are.

 

Housing shortage: This aspect relates to the lack of balance between the need for housing and its distribution. The major causes for housing in India are the following

 

  • Rate of housing not keeping pace with demand
  • Demand- supply imbalance
  • Gap between total demand and total stock of houses

 

Recent statistic claims that housing shortage has decreased in the recent years compared to earlier data. According to NBO report, State wise distribution of housing shortage (All India level), has decreased from 24.71 Million in 2007 to 18. 78 Million in 2012. Definitely it could be achieved only by the earnest efforts of the Government machinery. The drastic shortages estimated in both the urban and rural settlements have to be mitigated on a war footing.

 

 

The Technical Group on Urban Housing Shortage formulated for the Twelfth Five Year Plan (2012 – 17) had defined housing shortage to comprise of the analysis of the following components:

 

  •  Excess of households over the acceptable housing stock (people living in informal properties)
  •  Number of extra households needed due to congestion
  • Number of extra households needed due to obsolescence
  • Number of kutcha households that must be upgraded

Housing shortage in India is considered in terms of qualitative and quantitative attributes. Many factors like changes in family and household structure, increase in population, demand supply discrepancies, shift in urban – rural ratio, kutcha houses and increase in slum dwellers, to name a few contribute greatly to housing shortage in quantitative terms.

 

Housing shortage addressed in qualitative terms projects the gap between total demand and total stock of houses. More than 40 per cent of all households have one room or less in their houses. Less than 13 per cent have more than three rooms.

 

Housing problem in India

 

Housing problem in India is usually viewed to include two facets, namely, shortage and substandard housing. Reasons for housing problems in India can be attributed to burgeoning population, rapid urbanization and eventual migration of population from rural to urban settlements lacking in proper housing facilities. Other reasons that can be added to these are

 

o   Increasing cost of construction

o   Absence of organized building sector

o   Slow and hesitant adoption of modern technologies

o   Lack of needed awareness

o   Non – adoption of need based scientific developments in the field (materials & techniques)

o   Low priority offered by Government in planning allocation of funds

 

The net result is the emergence of substandard housing which poses a pathetic image through the following aspects

 

§    Unacceptable type of house

§    Unplanned structures

§    Unhealthy housing types – row houses, shared accommodation

§    Aged houses (dilapidated, outmoded, damaged, obsolete, and unhygienic)

§    Different ownership patterns – owned, rented, leasehold

§    Congestion and overcrowding

§    Availability of less space per person (below standard recommendations)

§    Growth of slums

§    Polluted environments

§    Eye sore to onlookers

§    Value depreciation to adjoining buildings/ sites

 

Average household size in 2011 census was 4.9. it was pathetic to hear that the mean dwelling area occupied well below one cent of land, both in urban and rural areas. Similarly when urban houses gratified the minimum 120 sq.ft per person standard, rural houses failed in the factor. Hence, we have a long way to go. Albeit these facts prove that the status is not that bleak as it was once in India. Those that need special address to improve the status are the following facts

 

Ø   Control on poor quality housing

Ø   Satisfaction of essential services – electricity, water and sanitation

Ø   Check on use of substandard materials

Ø  Building structurally and hygienically safe housing

Ø  Respect for the specific problems which highlight urban rural divide (overcrowding and development of slums for the former and inadequate amenities for the latter)

Ø  Repair or rebuilding of dilapidated, obsolete, unsafe houses

 

Such impending problems and the lethargic efforts from the administrative mechanisms which at some point of time had come to grinding halt, had forced upon the Indian government to chalk out a comprehensive nationwide – applicable policy emphasizing distinct priorities for sustained development in the housing sector.

 

National Housing policies

 

The National Housing Policy and Habitat Policy (NHPHP) – 1988

 

Government of India has formulated many housing policies especially since the late eighties including the National Housing Policy of 1988. The National Housing Policy and Habitat Policy (NHPHP) were drafted in 1988. The policy in its preamble focused on housing as not just a commodity but also as a productive investment. Housing here was portrayed as machinery that could gear up economic endeavours and go hand in hand in the attainment of the national policy goals.

 

What are its objectives?

  • By facilitating access to land, materials, technology and finance, offer seamless support to encourage participation by the needy to gift themselves a proper dwelling
  • Through the provision of drinking water, sanitation and other basic services attempt improvement of the environment of human settlements, thereby raise people’s quality of life.
  • Envisage and promote access to shelter for the houseless and disadvantaged – the reserved category, labour class and low income vulnerable groups. This clause is reported to hold premium priority in the Policy.
  • Recognize the qualitative difference of rural housing from that of urban housing  Draft a variety of strategies to achieve the stated objectives; those upheld as most important being the following

     Ø  Promoting accessibility to available land at nominal rates to foster housing

Ø   Assuring security of tenure to tenants in rural and urban dwellings

Ø   Expanding scope for institutional financing for housing efforts

Ø  Impetus to housing in rural settings, knowing well the inherent complexities

 

In accordance with these factors, the Policy had put forth its action plans. What are they?

 

Action Plans

 

To enable and facilitate easy implementation of its decisions, the Policy had laid concrete action plans routed on the following broad action plans:

o   Catering to the housing needs, including site allocation, for reserved category, labour class, wage earners and vulnerable sections of the society

o   Facilitating financial assistance to promote housing by disbursing loans or subsidy to select beneficiaries

 

National Housing Policy (1994)

 

Four years after NHPHP, the National Housing Policy was formulated in 1992 which was approved by the Parliament in August 1994. This Policy included the following features:

  •  Provide the necessary back up to support the construction of new and additional building units
  •  Upgrade the existing building units
  • Ensure land availability and confer homestead rights
  •  Minimizing displacement of rural households by developmental projects;
  •  Undertake sufficient rehabilitation measures, especially victims of natural calamities
  • Promote use of indigenous (locally produced or available) materials and construction techniques
  •  Facilitate basic infrastructure services including water, sanitation and roads
  •  Offer protective discrimination, especially to the weaker sections of society

 

National Urban Housing and Habitat policy (NUHHP) – 2007

 

The first policy specific to urban housing was the NUHHP – National Urban Housing and Habitat policy in 2007 formulated by the Ministry of Housing and Urban Poverty Alleviation in 2007. The key objectives of the Policy focused on affordable housing for sustainable urban development. In accordance with the Policy framework many programs specific to affordable housing have since been incorporated. The major ones are:

 

  •   Rajiv Awas Yojana (RAY)
  •   Affordable Housing in Partnership(AHP)
  •    Jawaharlal Nehru National Urban Renewal Mission (JNNURM)
  •    Model State Affordable Housing Policy
  •    Draft National Urban Rental Housing Policy

Ø    Rajiv Awas Yojana (MoHUPA, 2012a)

 

Rajiv Awas Yojana is a program aims at providing affordable housing to the urban poor.

On May 2015, Rajiv Awas Yojana (RAY) rolled over and was merged into the Housing for All (HFA) by 2022 policy. This Policy framework had analyzed the RAY and HFA 2022 policies after developing a document for sustainable policies for addressing the problem of affordable housing.

  •   Affordable Housing in Partnership (MoHUPA, 2013)

Affordable Housing in Partnership (AHP) is a market solution based approach promoted to enhance housing by involving private players.

 

Jawaharlal Nehru National Urban Renewal Mission (MoHUPA, 2015a)

 

This program aimed at constructing 1.5 Million houses for the urban poor during the mission period (2005-2012) in the 65 selected mission cities. Two policies under this program, namely, JNNURM targeted housing as of prior importance. They are:

 

Integrated Housing and Slum Redevelopment Program Basic Services for the Urban Poor Integrated Housing and Slum Redevelopment Program is a direct housing policy measure under JNNURM. Basic Services for the Urban Poor (BSUP) on the other hand aims at providing entitlements like, security of tenure, affordable housing, and commitment for services such as water, sanitation, health and education and social security to low-income segments

  • The Draft National Rental Housing Policy

This Policy aims at promoting rental housing as an option for those who couldn’t afford own houses like those belonging to the following groups of population

  • Destitute, houseless and disabled people
  • Socially and economically weaker (EWS/LIG) sections
  •   Specific target groups including migrant labourers, working women & students
  •  Aspiring home buyers seeking stop gap arrangement
  •   Working class

These groups are presented with a basket of options through the Government’s Social Rental Housing, Affordable Rental Housing, Rental Housing and Institutional rental housing packages. The policy is so framed to enable:

  • ·    Formalization of rental housing through regulatory and legal frameworks
  • ·     Enhancement of fund flow along with incentives for rental housing
  • ·     Promotion of institutions/organizations for constructing, managing, maintenance and operations of rental housing stock – Resident Management Corporation (RMCs), Residential REITs (Real Estate Investment Trusts), Employee Housing etc

Housing Policies in India

 

Consideration for drafting a national policy for housing saw the limelight only in 1988 with the commencement of the National Housing Policy. Till then an idea for formulating a comprehensive policy encircling the whole nation never took shape. Henceforth including the first one, the ministry had announced and implemented eight different policies with multiple priorities for each one.

 

Among all Policy initiatives of the Government, two flagship policies receive significant mention. They are

 

1.     Pradhan Mantri Awas Yojana – Housing for All 2022

 

2.     The Smart Cities Mission

 

These two policies have caused visible ripples in the housing sector and have successfully affected the demand and supply of residential real estate endeavours, leaving tell tale marks on the issues of informal housing and housing for the urban poor. A Real Estate Regulatory Act also has been introduced recently. This Act does not essentially focus on providing incentives to promote informal housing, rather tries to increase the transparency in the formal residential market

 

1.  Pradhan Mantri Awas Yojana – Housing for All 2022

 

The Government has recently introduced HFA 2022 Policy. The erstwhile policies envisaged over the years have included some modified versions of HFA 2022 policy. This new policy envisaged providing every Indian family with a pucca house with all infrastructural facilities (access to water, toilets and power supply) round the clock. These have been envisaged based on four attributes to housing shortage, which MHUPA report on HFA identifies as component parts made up by four classes of dwellers. They are: slum dwellers, urban poor living in non – slum areas, prospective migrant population, destitute and homeless people. The Mission aims to provide Housing for all by 2022 by envisioning a multitude of strategies. To name a few, enabling tax rebates, monetary support, less stringent development regulations, competitive interest rates have been put forth. It primarily adheres to funding and providing incentives to developers and buyers.

 

2.  The Smart Cities Mission

 

As the second flagship housing policy, this policy focuses on leveraging land availability, implementation under single entity SPVs (Special Purpose vehicles) and buttressing fundamental facilities for infrastructure. A few Indian Cities have devised strategies to converge the Smart City Initiatives with the Housing for All schemes to tackle issues of the formal housing sector. Some of these initiatives would include housing for economically weaker sections or affordable housing, slum redevelopment, rental housing, working women’s hostels, shelters for the homeless, etc. as part of the Smart City plan. Further development is channelized through Public private partnership (PPP) model with the involvement of private developers.

Now, have an idea on the various housing programmes introduced and implemented in India

 

Name of the Programme                                                                              Year of launch

1. Integrated Subsidised Housing Schemes for Industrial Workers and EWS  1952
2. Low Income Group Housing Scheme 1954
3. Subsidised Housing Scheme for Plantation Workers  1956
4. Middle Income Group Housing Scheme  1959
5. Rental Housing Scheme for State Government Employees  1959
6. Slum Clearance and Improvement Schemes  1956
7. Village Housing Projects Scheme 1959
8. Land Acquisition and Development Scheme  1959
9. Provision of House Sites of Houseless Workers in Rural Areas  1971
10. Environment Improvement of Urban Slums  1972
11. Sites and Services Scheme  1980
12. Indira Awas Yojana  1985
13. Night Shelter Scheme for Pavement Dwellers 1 990
14. National Slum Development Programme 1996
15. Two million Housing Programme  1998

16. Credit-cum-Subsidy Scheme for Rural Housing1999
17. Samagra Awaas Yojana
1999
18. Prime Minister Gramodaya Yojana 2000
19. Valmiki Ambedkar Aawas Yojana 2001

 

Summary

 

This session was meant to introduce students on the status of housing in India, causes/ reasons for housing shortage, governmental intervention and the need for beneficiary’s active participation to realize mutual benefits by all the stakeholders. Awareness generation to sensitize the population on the housing issues at hand and to educate them to access the available programmes and schemes thereby strengthen the nation’s housing sector is what is needed now. People should be made to understand that the objective of the government is not simply motivating them to have a roof over their head, but a pucca shelter, catering to all their needs. Educational institutions through their outreach programs like NSS can reach the unreached to disseminate the objectives.

 

Conclusion

 

Apart from the housing policies and programmes discussed, each of the twelve five year plans also had allocated specific funds to housing needs of the country. Especially since seventh five year plan (1975 onwards), urban housing shortage and slum development have been receiving exclusive focus. These are ample proof highlighting the ardent endeavours of the Government to house people from all strata in India.

 

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References

 

  • Kumar, A (2016) India’s Residential rental Housing, Economic & Political Weekly, Vol: 51, No. 24, 11 Jun 2016
  • State of Housing in India, A statistical Compendium 2013; published by GOI, Ministry of Housing and Urban Poverty Alleviation and NBO
  • Tiwari, P and Parikh, J (2012) Global Housing Challenge: A Case Study of CO2 Emissions in India, School of Planning and Architecture, Bhopal, Spandrel