Lack of incentives discouraging pvt sector from housing: panel
A Parliamentary Panel on Ministry of Housing and Urban Poverty Alleviation (HUPA) on Wednesday said lack of incentives to the private sector was hindering its participation in affordable housing sector.
New Delhi: A Parliamentary Panel on Ministry of Housing and Urban Poverty Alleviation (HUPA) on Wednesday said lack of incentives to the private sector was hindering its participation in affordable housing sector.
In its report, the Standing Committee on Urban Development said though the programme was supposed to bring investment in affordable housing sector, it had not taken off well.
"The committee is of the view that incentives under this programme are too meagre to attract private builders," the standing committee report said.
It said implementation of the scheme had met with success in Rajasthan where Floor Area Ratio (FAR) facilities, Floor Space Index (FSI) facilities, Transferrable development Right (TDR) facilities and tax rebates had attracted the private builders.
The committee asked the government to redefine the financial parameters of the scheme to make it a success.
The Panel in its report also said that during the 11th Plan, the allocation to the ministry during the budgetary estimates was less than the projections and was further reduced at the revised estimates stage.
The committee report said the allocations in the 12th Plan period might be evenly placed at the disposal of the Ministry so that projects which were commissioned at the beginning of the plan period do not remain in waiting till the end of the plan.
The committee also asked the ministry to pursue with the Planning Commission and the Ministry of Finance for better funding.