The government expects the scheme to benefit 3.5 lakh people who are a large part of the workforce including in areas like manufacturing , construction, service providers and various other sectors
New Delhi: The Union Cabinet has approved a scheme to provide affordable rental housing complexes (ARHCs) to urban migrants and poor as a part of the Pradhan Mantri Awas Yojana. Experts say setting up a task force with a panel of experts would be the most effective way of implementing such a scheme.
The implementation of the lockdown saw a large number of migrants head back to their villages due to employment opportunities drying up and high cost of living in the city.
In this latest episode, Ashoo Gupta, partner at Shardul Amarchand Mangaldas and Co, and an affordable housing expert speaks to us on the scheme and its ramification.
“It’s a very good initiative by the government because sustainable home ownership for all is neither financially nor economically possible. Thus this scheme offers a window for housing affordability and a place thereby improving the housing conditions for EIW and LIG sections. While it is a very good policy and comes at the right time, we need to keep some things in mind for it to have an impact on the real estate market," Gupta said.
“There is an urgent need for capacity building when it comes to expertise building. The government should consider creating a dedicated task force which is focused on rental housing. The task force should consist of government officials and private sector experts like developers, lawyers, who all work very closely," she added.
Rental schemes which are also called social schemes have been adopted in many countries with nations like Singapore seeing successful implementation. The government expects the scheme to benefit 3.5 lakh people who are a large part of the workforce including in areas like manufacturing , construction, service providers and various other sectors. Not only that, the scheme is being designed to include students who are looking to move from small towns to urban centres for better opportunities.
“We need to try and engage with consultants and make them part of this task force. We need to professionalize rental housing management. Government has to intervene to regulate the rental market for the benefit of the owner and the tenant. For the scheme to be successful the progress has to be monitored and all the stakeholders are on board," she said.
Delhi Decoded is a weekly podcast. You can listen to all the episodes here.