New Urban Housing policy to go to Cabinet soon

New Delhi, Oct 29 (UNI) The new National Urban Housing and Habitat Policy, which lays special emphasis on the provision of social housing for Economically Weaker Sections (EWS), and allows FDI in the sector, is ready for consideration by the Cabinet.

The Committee of Secretaries has approved the new policy and it will go to the Cabinet soon, sources in the Ministry told UNI.

It says that conversion on agricultural and non-agricultural use for housing and integrated townships would be allowed without procedural delays.

Under the policy, public agencies would continue to acquire land for housing and urban services along with other alternatives like land sharing and land pooling arrangements, particularly in the urban fringes, through public and private initiatives with appropriate statutory support.

Special courts may be set up to deal with land acquisition disputes in a speedy manner.

Land assembly and development by the private sector would be encouraged. Master Plan would make specific provision for involvement of the private sector.

The policy also envisages setting up of Land banks to meet housing requirements of EWS.

Since EWS as a 'stand alone' model is not working, it would be integrated with comprehensive housing projects. Emphasis would be on provision of shelter, not sites for these sections.

The government would give appropriate tax incentives to private developers for at least ten to 15 per cent of land and 20-25 per cent of the houses for economically weaker sections and lower income groups.

It would also promote microfinancing, especially, for the poor residing in Urban slums.

All states would be advised to adopt the 'Model Municipal law' prepared by the Centre.

Rent control legislations in states would be amended to stimulate investment in rental housing in line with a model Rent Control Act as may be circulated by the Centre from time to time.

Propoerty tax reforms (such as unit area method) would be initiated.

The policy recongnises the need for a sustainable urban structure which is able to absorb urban population with suitable access to shelter, services and employment opportunities.

It re-affirms the importance of small and medium sized urban towns which have vast potential for future urban growth and promote regional balance.

The policy endorse special focus on North East states due to their special needs and comparatively lesser level of socio economic development.

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