Challenges facing India’s public housing programs

Source: The post challenges in India’s public housing programs has been created, based on the article “Our housing policy framework needs a comprehensive rethink” published in “Live mint” on 23 April 2024.

UPSC Syllabus Topic: GS Paper 2 – Governance – Welfare schemes for vulnerable sections of the population by the Centre and States and the performance of these schemes

News: The article discusses challenges in India’s public housing programs, especially in urban areas.

For details information on Pradhan Mantri Awas Yojana read Article 1, Article 2, Article 3

What is the status of public housing in India?

The PM Awas Yojana-Urban (PMAY-U) was launched in June 2015 with a goal to provide housing for all by December 2024.

As of April 7, about 8.2 million out of the nearly 11.7 million approved urban houses have been completed.

The completion rate in urban areas is lower compared to rural areas, where 25 million out of 29.5 million targeted houses were completed by November 2023.

Why are urban public houses less demanded?

1.Many urban public houses under PMAY-U are not in “liveable condition,” lacking basic components such as windows and doors.

2.There have been reports of illegal occupancy by “anti-social elements,” deterring legitimate beneficiaries.

3.The selection process for beneficiaries has faced criticism for inaccuracies, with ineligible individuals receiving housing benefits.

4.Urban public housing often involves apartment complexes, which present challenges in shared-resource maintenance and community living, known as the ‘tragedy of commons’.

How are urban migrants affected the demand for urban public houses?

Community and Cultural Comfort: Urban migrants often seek housing with people from their own states, preferring community familiarity and cultural comfort, which public housing may not provide.

Assimilation Challenges: Assimilation into larger urban communities can be challenging and time-consuming for migrants, making them hesitant to apply for public housing.

Difficulties with Officials and Barriers: Migrants may face difficulties with local public officials due to language and cultural barriers, complicating access to public housing.

Lack of Information: Unclear information dissemination about available rental housing and application processes also affects migrants’ decisions regarding public housing.

What should be done?

Promote Rental Vouchers: Implement the National Urban Rental Housing Policy’s rental voucher scheme more broadly to help urban poor and migrants afford private rentals in suitable locations.

Unlock Private Housing Stock: Amend rental laws to encourage homeowners to lease their properties, thus increasing the supply of available rental accommodations.

Simplify Regulations: Ease building regulations to facilitate faster construction of new homes, increasing overall housing supply in urban areas.

Focus on Urban Housing Needs: Redirect some resources from rural to urban housing projects to support the workforce in urban and semi-urban settings, thereby enhancing labor mobility and economic productivity.

Question for practice:

Evaluate the effectiveness of the Pradhan Mantri Awas Yojana-Urban (PMAY-U) in addressing the housing needs of urban areas in India, considering completion rates, occupancy issues, and challenges faced by migrants.