From: Subject: PIB Press Release Date: Mon, 19 Oct 2009 16:17:58 +0530 MIME-Version: 1.0 Content-Type: multipart/related; type="text/html"; boundary="----=_NextPart_000_0005_01CA50D7.B8E84160" X-MimeOLE: Produced By Microsoft MimeOLE V6.00.2900.2180 This is a multi-part message in MIME format. ------=_NextPart_000_0005_01CA50D7.B8E84160 Content-Type: text/html; charset="iso-8859-1" Content-Transfer-Encoding: quoted-printable Content-Location: http://www.pib.nic.in/release/rel_print_page1.asp?relid=53103 PIB Press Release

Press Information Bureau =
Government of=20 India

Friday, October 09, = 2009
  Ministry of Housing = and Urban=20 Poverty Alleviation  
 
AFFORDABLE = HOUSING IS=20 INCREASINGLY BEING SEEN AS A COMMERCIAL OPPORTUNITY, AND NOT AS A = WELFARE=20 PROGRAMME WHICH ONLY THE PUBLIC SECTOR MUST IMPLEMENT: KUMARI = SELJA=20
 
  16:12 IST  
 
  The = Housing and Urban=20 Poverty Alleviation and Tourism Minister Kumari Selja has said, in = order=20 to improve the quality of life in urban areas, it is of critical=20 significance that the housing stock is improved through urban = renewal, in=20 situ slum improvement and development of new housing stock in = existing=20 cities as well as new townships. In her speech at the inaugural = session of=20 National Conference On Public Private Partnership in Housing here = today,=20 it was said the enhancement of housing stock must be accompanied = with high=20 quality provision of basic services. The speech of the Minister = was read=20 in absentia. It said, it is a well established fact that safe, = hygienic=20 and spacious provisioning of housing duly buttressed with adequate = basic=20 services and a congenial habitat promotes significant improvement = in=20 productivity of workers. It has its social benefits too; as a = nation of=20 home-owners invariably becomes a nation of law-abiding and = responsible=20 citizens with a real stake in community welfare.

Following = is the=20 full text of Minister=92s speech read in her absence: =93It gives = me great=20 pleasure to deliver the Inaugural Address in this National = Conference on=20 Public Private Partnership in Housing. As the technical sessions = of this=20 National Conference are dedicated to the topics covering Public = Private=20 Partnership in affordable housing it can be construed that this = Conference=20 is basically on the subject of PPP for Affordable Housing. Since = this=20 initiative has been taken by the developers themselves, it is = evident that=20 the Affordable Housing is increasingly being seen as a commercial=20 opportunity, and not as a welfare programme which only the Public = Sector=20 must implement. With this conference, we operationalise an = important=20 element of the National Urban Housing & Habitat Policy 2007, = that the=20 huge and important goal of Affordable Housing for All can only be = met with=20 the involvement of all stakeholders and through multiple = partnerships. I=20 congratulate NAREDCO for its foresight, that it has been able to = recognise=20 the commercial opportunity in Affordable Housing, and for taking = the=20 initiative to establish the Partnerships the Policy advocates. =

The=20 urban affordable housing segment is the largest chunk of the = domestic=20 housing market, and is distinguished by being a steady and growing = demand=20 that will not shrink or fluctuate with the share markets or the = global=20 economy. Private developers need to exploit the long term = entrepreneurial=20 and business opportunities that lie locked in affordable housing. = City=20 governments need to realize that tackling the acute housing = shortages and=20 improving the quality of life of the most productive segment of = their=20 population will ensure them an increase in their GDP and a = sustainable=20 economic growth.

In the last century, our urban population = grew=20 8.5 times, from 25 million in the early 1900s to 286 million in = 2001=20 comprising 27.8% of country=92s population. The projected share of = urban=20 households in the country=92s population is likely to rise from = the current=20 28% to 50% in the next two decades. Already the shortages of = housing are=20 acute, as cities struggle to cope with the burgeoning population. = In the=20 coming years, the number of people devoid of basic services, = shelter and=20 security will grow and this will further increase the unmet demand = for=20 shelter & basic services. In order to improve the quality of = life in=20 urban areas, it is of critical significance that the housing stock = is=20 improved through urban renewal, in situ slum improvement and = development=20 of new housing stock in existing cities as well as new townships. = Further,=20 the enhancement of housing stock must be accompanied with high = quality=20 provision of basic services. It is a well established fact that = safe,=20 hygienic and spacious provisioning of housing duly buttressed with = adequate basic services and a congenial habitat promotes = significant=20 improvement in productivity of workers. It has its social benefits = too; as=20 a nation of home-owners invariably becomes a nation of law-abiding = and=20 responsible citizens with a real stake in community welfare. =

We,=20 as a nation and society, have to opt for an inclusive urban = development=20 that acknowledges the presence of the aspiring poor and the middle = classes=20 in cities, recognizes not only their economic but also their = social=20 contribution as essential to the city=92s functioning, and = resolves inequity=20 of resources that ties them down to poverty.

There are = many=20 impediments to the growth of affordable housing. The core issue of = land at=20 suitable places and at affordable prices has always been the focus = of=20 debate. Public authorities who own sizeable pockets of land have, = of late,=20 been increasingly resorted to auctioning of land at market prices, = ostensibly to raise resources for funding the city. Unfortunately, = this=20 has led to a situation where there are world class buildings in a = sea of=20 slums with matching infrastructure missing. Cities depict a gross = mismatch=20 between demand and provision of infrastructure and facilities. = Across=20 States, the dimensions of the problem may vary, but the difference = is a=20 matter of degree and not of kind.

Over the last few years, = a=20 serious intervention has been made by Government policy and = programmes to=20 reverse this trend. The Jawaharlal Nehru National Urban Renewal = Mission=20 (JNNURM) has succeeded in creating interest in our urban future, = and=20 rejuvenated the debate on urban planning. We have far greater = confidence=20 today that the course of urban development can be changed, and the = chaos=20 arrested. Not only active thinking, even positive action is being = taken in=20 various cities and towns across the country for plans and projects = to=20 expand urban land availability, reduce housing scarcities, redress = the=20 norms of town planning and make cities that recognise the = realities of our=20 economic growth and its consequent dynamics. At the Centre, = building on=20 the success of the Jawaharlal Nehru National Urban Renewal Mission = (JNNURM), we have moved on to the Rajiv Awas Yojana (RAY) with the = mission=20 of making cities slum free and keeping them slum free by striving = to=20 provide affordable housing and basic services to all slum = dwellers.=20

That is why a =91whole city approach=92 is a must. The = proposed Rajiv=20 Awas Yojana is designed to bring existing slums within the formal = system=20 and enable them to avail of the same amenities as the rest of the = town; as=20 also to redress the failures of the formal system that lie behind = the=20 creation of slums and force the poor to resort to extra legal = solutions in=20 a bid to retain their sources of livelihood and employment. Rajiv = Awas=20 Yojana will offer a RAY of hope to cites for access to decent = housing and=20 dignified living environment.

Multiple partners and = involvement of=20 all stakeholders will indeed be required in this gigantic and = visionary=20 task. Public Private Partnership (PPP) is emerging as an efficient = model=20 for delivery of services in general. In a Public Private = Partnership, the=20 strength of the Public Sector, which controls land, and its = regulatory and=20 legal power combines with the initiative and resources of the = private=20 sector and its efficiency. Thus, the strength of both can be = synergized to=20 far greater effect and productivity. The PPP approach will allow = the State=20 agencies to overcome resource deficit, improve cost recovery and = increase=20 supply of houses on a demand-driven basis.

As of now, PPP = in=20 Affordable Housing is a new concept. This conference is, = therefore, most=20 apposite and extremely timely. The policy atmosphere is right, the = Governments target and motivation is high, and the demand is=20 unquestionably growing. If at this stage, workable PPP models are = shared,=20 win win partnerships can be formed, a new model for mass housing = can=20 emerge and progress made rapidly. I, therefore, have high = expectations=20 from this Conference and look forward to its resolutions and after = effects. On my part, I would wish to assure the NAREDCO and all = those=20 present here that they can depend on my continued support to the=20 involvement of multiple stakeholders in the provision of = Affordable=20 Housing and in finding solutions for inclusive urban growth.=94 =

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