National Urban Housing and Habitat Policy 2007

Shelter is a basic human need next only to food and clothing. At the end of the
10th Five Year Plan, the housing shortage is estimated to be 24.7 million.
However, urban areas in our country are also characterized by severe shortage
of basic services like potable water, well laid out drainage system, sewerage
network, sanitation facilities, electricity, roads and appropriate solid waste
disposal. It is these shortages that constitute the rationale for policy focus on
housing and basic services in urban areas. This policy intends to promote This
policy intends to promote sustainable development of habitat in the country
sustainable development of habitat in the country with sustainable
development of habitat in the country a view to ensuring equitable supply of
land, shelter and services at affordable prices to all sections of society. Given
the magnitude of the housing shortage and budgetary constraints of both the
Central and State Governments, it is amply clear that Public Sector efforts will
not suffice in fulfilling the housing demand. In view of this scenario, the
National Urban Housing and Habitat Policy, 2007 focuses the spotlight on
multiple stake-holders namely, the Private Sector, the Cooperative Sector, the
Industrial Sector for labour housing and the Services/Institutional Sector for
employee housing. In this manner, the Policy will seek to promote various
types of public-private partnerships for realizing the goal for all Affordable
Housing

I. The Need for Policy

Further, the National Sample Survey Organisation (NSSO) 61st Round
reports that the number of urban poor has risen by 4.4 million persons,
between 1993-94 to 2004-05. It is, therefore, of vital importance that a new
National Urban Housing and Habitat Policy carefully analyses ways and
means of providing the ‘Affordable Housing to All ‘ with special emphasis on
the EWS and LIG sectors.

II. Role of Housing

As per a Central Statistical Organisation (CSO) estimate, the Housing Sector
contributed 4.5% to India’s Gross Domestic Product (GDP) in 2003-04 at
current prices. The contribution of housing in urban areas to the GDP in
2003-04 was 3.13%. Further, the spotlight is focused on the fact that 16% of
the Indian work force is engaged in Construction and Transport Sectors. It is
estimated that overall employment generation in the economy on account
of additional investment in the Construction/Housing Sectors is eight times
the direct employment (IIM Ahmedabad : 2005). In view of the substantial
use of cement, steel, marble/ceramic tiles, electrical wiring, PVC pipes and
various types of fittings; construction activity has a multiplier effect on
industrial demand for these items.

At the advent of the 21st Century (2001), the housing stock in India stood at
50.95 million for 55.8 million urban households. Significant segments of this
housing stock was characterized by congestion and obsolescence.
Congestion is particularly acute in inner city slums and peripheral slums.
According to the Census 2001, 61.82 million persons or 23.1% of the urban
population resides in slums. The quality of housing stock in slums is
extremely poor. An important reason for this is insecurity of tenure. Slums
are also severely deficient in basic services such as potable water,
sanitation, sewerage, storm water drainage and solid waste disposal.

Given the degraded habitat in which slum dwellers live and the frequent
episodes of illness characterizing slum families, it is of vital importance that
special attention is paid to urban health and hygiene on the one hand and
social and preventive medicine on the other hand. In order to improve the
quality of life in urban areas, it is of critical significance that the housing
stock is improved through urban renewal, in situ slum improvement and
development of new housing stock in existing cities as well as new
townships. Further, the enhancement of housing stock must be
accompanied with high quality provision of basic services. It is a well
established fact that safe, hygienic and spacious provisioning of housing
duly buttressed with adequate basic services and a congenial habitat
promotes significant improvement in productivity of workers.

III. Housing Needs

The magnitude of housing shortage was estimated by a Technical Group in
the context of formulation of the 11th Five Year Plan. The Technical Group
estimated the housing shortage at the end of the 10th Plan to be around
24.7 million for 67.4 million households. The Group further estimated that
99% of this shortage pertains to EWS & LIG sectors. During the 11th Plan,
the Group estimated that the total housing requirement (including backlog)
will be to the tune of 26.53 million units for 75.01 million households. 1.18
Whereas more than 23% of the urban population resides in slum
(Census:2001), a much higher proportion of the urban population of
metropolitan cities lives in slums; it is estimated that 55% of the population
of Mumbai lives in slums. It is of critical importance that the strategy of in-
situ slum upgradation is adopted for preponderant proportion of the slum
dwellers, since they provide valuable services to residents living close to
their own dwelling places.

The Working Group on Urban Housing pertaining to the 11th Plan made
different assumptions on unit cost of construction of houses in million plus
cities and other urban areas for estimating the investment required for
overcoming the housing shortage. The total estimated investment for
meeting the housing requirement upto 2012 was estimated to be of the
order of Rs.3,61,318.10 crores consisting of Rs.1,47,195 crores for
mitigating housing shortage at the beginning of 11th Plan and
Rs.2,14,123.10 crores for new additions to be made during the 11th Plan
period (this includes construction of pucca houses & upgradation of semi-
pucca and kutcha housing units).

IV. Aim
Affordable Housing

Accelerating the pace of development of housing and related infrastructure.

Creating adequate housing stock both on rental and ownership basis with
special emphasis on improving the affordability of the vulnerable and
economically weaker sections of society through appropriate capital or
interest subsidies.

Using technology for modernizing the housing sector for enhancing energy
and cost efficiency, productivity and quality. Technology would be
harnessed to meet the housing needs of the poor. The concept of ‘green’
and ‘intelligent’ buildings would be put in place on the ground.
Technological advances would be disseminated for preventing and
mitigating the effects of natural disasters on buildings, e.g., in case of
earthquakes, floods, cyclones, etc.

V. Sailent Features of National Urban Housing and

Habitat Policy 2007
The salient features of the National Urban Housing & Habitat Policy, 2007
are:

Focus of the Policy is on affordable urban housing with special emphasis on

the urban poor.

Role of Housing and provision of basic services to the urban poor has been
integrated into the objectives of the Jawaharlal Nehru Urban Renewal
Mission (JNNURM).

Special emphasis has been laid on Scheduled Castes/ Tribes / Background

Classes / Minorities, empowerment of Women within the ambit of the
urban poor.

The Policy focuses on a symbiotic development of rural and urban areas in

line with the objectives of the 74th Constitution Amendment Act.

Within the overarching goal of "Affordable Housing for All," emphasis has
been laid on urban planning, increase supply of land, use of spatial
incentives like additional Floor Area Ratio (FAR), Transferable Development
Rights, etc., increased flow of funds, healthy environment, effective solid
waste management and use of renewal sources of energy.

Encouraging Integrated townships and Special Economic Zones

10-15% of land in every new public/private housing projects or 20-25% FAR,

whichever is greater to be reserved for EWS/LIG Housing through
appropriate spatial incentives.

Private Sector to be permitted land assembly within the purview of Master

Plans. Action Plans for urban slum dwellers and special package for
cooperative housing, labour housing and employees housing is to be
prepared.

States to be advised to develop 10 years perspective plan for housing of

EWS/LIG.

Policy gives primacy to provision of shelter to urban poor at their present

location or near their work place.

Approach will be In-situ slum rehabilitation. Relocation will be considered

only in specific cases.

Micro finance institutions to be promoted at state level to expedite flow of

finances to urban poor.

Model municipal laws to be prepared by the Central Government.

Detailed city maps to be prepared based on GIS, aerial survey and ground
verification.

Use of proven cost effective technology and building materials to be

encouraged.

Development of mass rapid transit system at sub-regional level envisaged.

Green cover for cities to be encouraged for balanced ecological

development.

All States to be encouraged to develop a "Habitat Infrastructure Action

Plan” for all cities with a population of over one lakh.

VI. Action Plan under National Urban Housing &

Habitat Policy, 2007
Encouragement and support to be provided to State Governments by the
Central Government for preparation of State Urban Housing and Habitat
Policy and Action Plan.

State/UT Action plans to focus on accelerated flow of funds.

 State / UT level policy to provide road map to institutional, legal and
financial incentives.

State / UT plans to indicate concrete steps for encouraging a participatory

approach.

Periodic review of implementation of Policy and Action Plan at State level to

be carried out.

Preparation of 15-20 years perspective plans in the form of City

Development Plans (CDPs) based on spatial planning at the city level.

Setting up of High Level Monitoring Committee for periodic review and

implementation of the Policy and for making amendments, modifications
wherever considered necessary. The Ministry would continue to pursue
with the states the advocacy and objectives of the Policy to set in motion a
process for providing “Affordable Housing for All”, particularly for
Economically Weaker Section (EWS) and the Low Income Group (LIG)
through various types of public-private partnerships.

VII. The Five Year Plans

First Plan (1951–1956) - agricultural development

Second Plan (1956–1961) - industrial development

Third Plan (1961–1966) – independent economy Plan Holiday (1966-69) -

Indo-Pakistan war & failure of third plan. Equal priority to agriculture & its
allied sectors and industry sector

Fourth Plan (1969–1974) - growth with stability and progressive

achievement of self reliance

Fifth Plan (1974–1978) Rolling Plan (1978–1980)

Sixth Plan (1980–1985)

Seventh Plan (1985–1990) Annual Plans (1990–1992)

Eighth Plan (1992–1997)

Ninth Plan (1997–2002)

Tenth Plan (2002–2007)

Eleventh Plan (2007–2012)

Twelfth Plan (2012–2017) Niti Ayog

The concept of economic planning in India is derived from the Russia (then
USSR) India has launched 12 five year plans so far First five year plan was
launched in 1951 Now the present NDA government has stopped the
formation of five year plan So 12th five year plan would be called the last
five year plan of India.

First Five Year Plan:

I. It was made for the duration of 1951 to 1956.

II. It was based on the Harrod-Domar model.
III. Its main focus was on the agricultural development of the country.
IV. This plan was successful and achieved growth rate of 3.6% (more
than its target)

Second Five Year Plan:

I. It was made for the duration of 1956 to 1961.

II. It was based on the P.C. Mahalanobis Model.
III. III. Its main focus was on the industrial development of the country.
IV. This plan was successful and achieved growth rate of 4.1%

Third Five Year Plan:

I. It was made for the duration of 1961 to 1966.

II. This plan is called ‘Gadgil Yojna’ also.
III. The main target of this plan was to make the economy independent
and to reach self active position of take off.
IV. Due to china war, this plan could not achieve its growth target of
5.6%

Plan Holiday:

I. The duration of plan holiday was from 1966 to 1969.

II. he main reason behind the plan holiday was the Indo-Pakistan war &
failure of third plan.
III. During this plan annual plans were made and equal priority was given
to agriculture its allied sectors and the industry sector.

Fourth Five Year Plan:

I. Its duration was from 1969 to 1974.

II. There were two main objective of this plan i.e. growth with stability
and progressive achievement of self reliance.
III. During this plan the slogan of “Garibi Hatao” is given during the 1971
elections by Indira Gandhi.
IV. This plan failed and could achieve growth rate of 3.3% only against
the target of 5.7%.

Fifth Five Year Plan:

I. Its duration was 1974 to 1979.

II. In this plan top priority was given to agriculture, next came to
industry and mines.
III. Overall this plan was successful which achieved the growth of 4.8%
against the target of 4.4%.
IV. The draft of this plan was prepared and launched by the D.P. Dhar.
This plan was terminated in 1978.

Rolling Plan: This plan was started with an annual plan for 1978-79 and as a
continuation of the terminated fifth year plan.

Sixth Five Year Plan:

I. Its duration was from 1980 to 1985.

II. The basic objective of this plan was poverty eradication and
technological self reliance.
III. It was based on investment yojna, infrastructural changing and trend
to growth model.
IV. Its growth target was 5.2% but it achieved 5.7%.
Seventh Five Year Plan:

I. Its duration was from 1985 to 1990.

II. Objectives of this plan include the establishment of the self sufficient
economy, opportunities for productive employment.
III. For the first time the private sector got the priority over public sector.
IV. Its growth target was 5.0% but it achieved 6.0%. Five year Plans in
India Annual Plans: Eighth five Plan could not take place due to
volatile political situation at the centre. So two annual programmes
are formed in 1990-91& 1991-92.

Eighth Five Year Plan:

I. Its duration was from 1992 to 1997.

II. In this plan the top priority was given to development of the human
resources i.e. employment, education, and public health.
III. During this plan Narasimha Rao Govt. launched New Economic Policy
of India. IV. This plan was successful and got annual growth rate of
6.8& against the target of 5.6%.

Ninth Five Year Plan:

I. duration was from 1997 to 2002.

II. The main focus of this plan was “growth with justice and equity”.
III. It was launched in the 50th year of independence of India.
IV. This plan failed to achieve the growth target of 7% and grow only at
the rate of 5.6%.

Tenth Five Year Plan:

I. Its duration was from 2002 to 2007.

II. This plan aims to double the per capita income of India in the next
10 years.
III. It aims to reduce the poverty ratio 15% by 2012.
IV. Its growth target was 8.0% but it achieved only 7.2%

Eleventh Five Year Plan:

I. Its duration was from 2007 to 2012.

II. It was prepared by the C. Rangarajan.
III. Its main theme was “faster and more inclusive growth”
IV. Its growth rate target was 8.1% but it achieved only 7.9%

Twelfth Five Year Plan:

I. Its duration is from 2012 to 2017.

II. Its main theme is “Faster, More Inclusive and Sustainable Growth”.
III. Its growth rate target is 8%.
IV. It is the current five year plan of India