a Technical Group constituted by the Ministry in 2006 to assess the urban housing shortage has estimated that at the end of the 10th Five Year Plan (2007-08), the total housing shortage in the country was 24.71 million. Further, an additional requirement of 1.82 million dwelling units has been projected for the 11th Plan, bringing the total housing requirement during the 11th Plan Period (2007-2012) to 26.53 Million dwelling units.

‘Land’ and ‘Colonisation’ being State subjects, it is primarily the responsibility of State Governments to provide for adequate Shelter. However, the Union Government has formulated the first urban area focused National Urban Housing & Habitat Policy, 2007 to set in motion a process in providing ‘Affordable Housing for All’ particularly the Economically Weaker Sections (EWS) and Low Income Group (LIG). This policy intends to promote sustainable development of habitat in the country with a view to ensuring equitable supply of land, shelter and services at affordable prices to all sections of society.

Apart from this, Jawaharlal Nehru National Urban Renewal Mission (JNNURM), launched by the Government in the year 2005 caters to provision of housing and basic services to urban poor in 65 specified cities under the Sub Mission Basic Services to the Urban Poor (BSUP) and in other cities and towns under the Integrated Housing and Slum Development Programme (IHSDP). A total of 475 projects under Basic Services to the Urban Poor (BSUP) and 947 projects under Integrated Housing & Slum Development Programme (IHSDP) have been approved all over the country so far envisaging construction/ upgradation of 1022689 and 502281 dwelling units respectively.

A new scheme – Interest Subsidy Scheme for Housing the Urban Poor (ISHUP) has been launched for providing interest subsidy on housing urban poor to make the housing affordable and within the repaying capacity of Economically Weaker Sections (EWS)/ Low Income Group (LIG).   The scheme encourages poor sections to avail of loan facilities through Commercial Banks/Housing Finance Companies for the purposes of construction/acquisition of houses and avail 5% subsidy in interest payment for loans upto Rs. 1 lakh. The scheme is a demand driven scheme and so far Rs. 41.83 lakh have been released to National Housing Bank (NHB) towards Net Present Value (NPV) of interest subsidy claimed by State Bank of India (SBI), Indian Bank and Central Bank of India in respect of loans sanctioned in Andhra Pradesh.  The subsidy will benefit 603 households.

Further, with a view to encourage allotment of land for EWS, under the newly launched Scheme of ‘Affordable Housing in Partnership’, Central Government assistance will be provided on a progressive scale vis-à-vis built up area earmarked for EWS/LIG as a percentage of total constructed area. The assistance would be available for the provision of civic services such as water supply including ground level/overhead service reservoirs, storm water drainage, solid waste management, sewerage including common sewerage treatment facilities, rain water harvesting, approach roads, electricity lines etc., Said The Minister of State in the Ministry of Urban Development Shri Saugata Roy in the Rajya Sabha.