Telangana 2BHK Scheme To Get Funding Under PMAY

When Telangana chief minister K Chandrasekhar Rao launched the 2BHK Dignity Housing Scheme in 2015, he went a step ahead of the central government to provide housing to the state’s poor. Unlike those who are applying for homes under the centre’s Pradhan Mantri Awas Yojana (PMAY), beneficiaries applying under the Dignity Housing Scheme would get their 560-square foot (sqft) homes that are worth between Rs 5-9 lakh for free.

Now, the Telangana government would, however, get central funds under the PMAY for the local scheme. An amount of Rs 1.50 lakh for each unit will be sourced from the centre. At the same time, the state government is looking to raise loans from Housing and Urban Development Corporation (Hudco).

The state’s expenditure to complete units under the scheme is estimated to be about Rs 4,000 crore. Of this, Hudco may provide Rs 2,500 crore as a loan while Rs 1,365 crore will come from PMAY funds. Telangana has allocated Rs 185 crore for the scheme from the state’s coffers. So far, the state’s expenditure has come to Rs 6,972 crore. Over 30,000 units are now fit for possession.

With about seven lakh sq ft of construction under the scheme, the state has seen better overall growth also, claims housing minister Vemula Prashanth Reddy. Almost 50,000 labourers in urban areas and 25,000 workers in the rural areas have found employment under the scheme, says Reddy.

Location and provisions

The state had planned to build a total of 2.80 lakh 2BHK units under the programme at an estimated cost of Rs 18,000 crore ─ of this Rs 3,230 crore has already been allocated by the state government.

Of these, a total of one lakh units are likely to come up across 40 locations in Hyderabad, Ranga Reddy, Medchal, Sanga Reddy districts under Phase-I.

In areas under the Great Hyderabad Municipal Corporation, the state has identified 28 slums for building homes under the scheme.

Who can apply?

Only families that belong to the below-the-poverty-line (BPL) category and reside in huts, kuccha houses or in rented homes could apply under the scheme. They should also have a valid Food Security Card.

In each location, there would be a reserved number of units for applicants belonging to scheduled caste/scheduled tribe (SC/ST)

Do note here that the units will only be sanctioned in the name of the woman of the house through draw of lots.

Unit cost

Unit cost with Infra

Unit cost without Infra

*All figures in Rupees

What are the facilities like?

With 430-sqft of carpet area, each unit will have two bedrooms, two bathrooms, a hall, a kitchen, two lofts for storage. The super built up area that would bring the unit size to 560 sqft would be used to construct a staircase and a common area. Toilets could be built within or outside the units.

The state government would develop the slum areas into proper colonies by building basic infrastructure, including water supply lines, electricity lines, approach and internal roads, drainage and sewerage lines, etc.

The state government had asked the Centre to provide power connections under the Pradhan Mantri Sahaj Bijli Har Ghar Yojana-Saubhagya. If the Centre obliges, the beneficiaries will be paying comparatively lower electricity bills.

Who is building?

The state has roped licensed developers to take up projects under the scheme. To speed up the construction work, the government has decided to lower the earnest money deposit to one per cent from the earlier three per cent.

The state government will also provide free sand to contractors.

Funds from the Mahatma Gandhi National Rural Employment Guarantee Act (NREGA) and the Swacch Bharat Mission would be used for construction toilets under the housing scheme.

How to apply?

If you are looking to assist your domestic help or someone you came across who is eligible for Telangana government's housing scheme, help them fill Application for Grant of Double Bed Room House-Application Form.

You need to submit this form at the Greater Hyderabad Municipal Corporation or at the gram sabha where a designated officer will collect the application.

Affix a passport size photo and mention the Food Security Card number.

Once submitted, the tehsildar will whet the application and will forward it to the state for further action.

Note: Reports suggest that the applications that were submitted so far have been put on hold, as officials have been asked to go in for a fresh survey of eligible beneficiaries for the 10,000 completed units. Almost 10 lakh applications were received for these free 2BHK units under the scheme and the authorities suspect the role of middlemen and duplication. Therefore, a fresh survey will help identify the true beneficiaries.

What is the status update?

Cost and evacuation-related hurdles have led to slow speed of work. The good news is that 1.23 lakh homes have been completed. About 55,764 units are in various stages of construction while 32,008 are now fit for possession. Another 91,306 units are receiving the last touch-ups.

While the pace of construction has picked up now, it had been slow for a long time. Contractors blame it on low construction cost designated for each unit which is fixed at Rs 1,250 per sqft in Greater Hyderabad and Rs 900 per sq ft in rural areas.

In Kollur alone, where a 124-acre township near Ramachandrapuram is being developed at an estimated cost of Rs 1,354 crore, about 15,660 units would be available for possession by March 2020. Reportedly, these units will be home to one lakh residents. It was previously slated for possession in December 2019. This self-sustainable green township will house its own police station, fire station, schools, bus stop, etc.

Very soon, 2BHK units that have been completed in Secunderabad Cantonment may be handed over to rightful beneficiaries, as well. In addition to the one lakh units that were planned, the Greater Hyderabad Municipal Corporation is mulling the construction of an additional one lakh two-bedroom units for the poor. Mayor Bonthu Rammohan has directed officials to start identifying land and work on its acquisition.

Important contact numbers of district nodal officers