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The Government is proposing modification of state enactments and city level master plans for upward revision of FAR/FSI to accommodate land allocation for LIGs.
Tremendous economics is involved in the process of the mass housing schemes. An overview is needed to be taken to reduce the construction costs and make these constructions affordable which can be done on several levels .The review areas include economising construction materials costs, proper usage of technologies-conventional and alternate and project management. Several Developers are adapting these methods to reduce the construction costs of their projects.. 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.

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  1. 1. ICHH-2012 Rizvi College of ArchitectureInternational Conference On Human Habitat Topic-Affordable Housing In Megacities Author Ar.Suvarna Lele.Professor and Practicing Architect Ar.Suvarna Lele Ar,Sarita Deshpande
  2. 2. ICHH-2012 Rizvi College of Architecture International Conference On Human Habitat Topic-Affordable Housing In MegacitiesAuthor Ar.Suvarna LeleAr.Suvarna Lele.Professor and Practicing Architect Ar,Sarita Deshpande
  3. 3. Housing Scenario and Urbanization : India1. India is undergoing transition from rural to urban society.2. Increasing migration from rural to urban areas.3. Mismatch between demand and supply of sites and services.4. Disparity between high land costs of construction and lower incomes leading to non sustainable situation.5.Lack of equitable supply of land, shelter and services at affordable prices.6. Depletion of resources in construction and negligence of ecology in design.7. Lack of application of cost effectiveness and energy efficiency in construction.
  4. 4. Housing Scenario and Urbanization : India1.28% urban population growth (Census 2001).2.40% by 2020 (Vision 2020 – Planning Commission).3. 50% by 2041 (draft Urban India Report).4.Growing urbanisation has led to :a) pressure on the availability of land and infrastructureb) deterioration of housing conditions of the weaker sections of societyc) increased number of slums and squatter settlements.
  5. 5. Necessity of Providing Affordable housing1.Urban population likely to grow from 285.3 million in 2001 to 360 million in 20102.Nearly 36% of India’s population likely to be urbanised by 2005.3.Employment in Rise in population in last ten years services and real is 790.2 millions S0urce-Registrar General Of India estates show a sharp rise.
  6. 6.  Housing Requirement  Housing shortage at the beginning of 11th Five Year Plan(1.4.2007)24.71 million dwelling units  Additional Housing Requirement for the 11th Plan (2007-2012)1.82 million dwelling units  Total housing requirement during 11th Plan Period including the carried over housing shortage 26.53 million dwelling units.  Estimated Urban Housing Unit Shortage as on 1.4.2007:  More than 99% shortage is for EWS/ LIGsegments  )  Total : 24.71 m  EWS : 21.78 m  LIG : 2.89 m  MIG/HIG : 0.04 m( Source-Technical Committee set up by Ministry of Housing & Urban Poverty Alleviat
  7. 7. Demand side indicatorsHousing shortfall of 11.84 million units by 2013 –14 in 37most populated citiesApproximately 90% of shortfall in EWS, LIG & Lower MIGcategorySignificant share of 21% of shortfall concentrated at LowerMIG segmentConcentration of demand varying in different cities primarilydepending upon economic drivers of the city Source- 4.Mr Gulam Zia_Knight Frank
  8. 8. Concentration of housing Requirements Population spread over top 10 citiesAcross income segments Source-.Mr Gulam Zia_Knight Frank
  9. 9. Housing Scenario In Larger Cities-Why Affordable Housing-from a developersperspective.1.Large housing segment largely ignored.2.Property prices unaffordable for middle incomegroup.3.Economic slowdown has rendered buyerscautious.4.Consequently, developers forced to shift focusfrom the luxury segment to the middle incomehousing segment.5.‘Value for money’ has now gained prominence.
  10. 10. Duties Of Various Sections Towards Affordable HousingDevelopers Government Financial Institutions1.Use of technology to 1.Creation of a committee 1.Accord Affordablereduce Cost of which fast track reforms Housing Projects sameconstruction. in affordable housing. status as that of other 2.Ensuring Infrastructure PPP projects.2.Use of Incremental and Housing go hand inHousing Techniques for hand to faster growth. 2.Ensuring Developers arenon metros. 3.Speeding up the approval protected from volatile process. shift in interest rate.3.Creating awareness 4.Provide incentives to LIGamong the EWS and LIG and EWS to relocate. 3.Encourage affordableto improve standard of Housing in tier I and IIliving. 5.The population in our cities. metros keep on increasing4.Create a win-win manifolds every year whilesituation by economies of planning is based onscale rather than inflated historical assumpions.price points. The need is to have flexible Structural and Design plan.
  11. 11. Achieving Affordability Through Matrix of1) Appropriate Technology-1.Use of renewable resources for building Materials2.Use of raw materials resources based on waste products3.Efficient use of existing conventional materials by producing factorymade (precast)building components4.ndustrialization of housing sector5.Affordability and sustainability.2)Public private Partnership-1.Timely delivery by developers.2.Ease of working by the government.3.Transparency by both the parties.
  12. 12. 3.Project Management Source- Conference ‘Innovations in Affordable Housing India 2010’ Source.Mr.Uday Dharmadhikari-Usha Breco Realty ltd.
  13. 13. ICHH-2012 Rizvi College of ArchitectureAlternate And Low Cost Building TechnologiesAuthor Ar.Suvarna LeleAr.Suvarna Lele.Professor and Practicing Architect Ar,Sarita Deshpande
  14. 14. Conventional Building Materials Finite ResourceBase Demand of MaterialsCONVENTIONALBUILDING MATERIALSBrick, cement, steel, stone, timber,glass, plastics, ceramics and othermetalsDIRECT CONSEQUENCEcost escalation leading to increased cost of shelterIN-DIRECT CONSEQUENCERapid & irrationally managed utilization of finite natural ResourcesPOSSIBLE MANIFESTATIONS1.Environmental degradation;2.Enhanced use of fertile top-soil, Deforestation,3.Lime-quarrying, Surface working in stone belts4.Factory made products like cement, steel etc. calls for high energyinput5.Enhanced cost on account of transportation
  15. 15.  Construction Cost Savings Innovative construction means and methods. Improved construction schedules. More efficient structural designs. Simplified specifications and submittal process. Optimized mix designs.
  16. 16. Construction Systems in India1.Vernacular systems1.Based on local materials & skillsRefined over centuries2.Calls for fair degree of maintenance & varyingdegree of durability2.Conventional systems1.Based on mass produced items having predeterminedProperties2.Modern civil engineering practice3. Lesser maintenance & long durability3.Industrialized systems1. Based on factory produced components(partial/total)2. Less labour intensive3. High performance specifications4 Alternative systems1. Middle of the road approach2. Acknowledges local materials and skills3. Rationalises use to suit specific needs4. Adopts rational engineering practices5. Cost effective and eco-friendly
  17. 17. Innovative Concrete Technologies High-Performance ConcreteHigh-Strength Concrete Self- Consolidating Concrete
  18. 18. Improved Quality Systems Testing LabsProduct Development Material Handling
  19. 19. Low Cost Housing Materials And TechnologiesAt Dindigul,TamilnaduFunded by-CAPARTDeveloped byDr.Mahendran.
  20. 20. Precast Window Frames,Stone Platforms Precast Slabs And Beams
  21. 21. Anangpur Building CenterArched Foundation Perforated Mud Blocks Funicular shells Herringbone Bond Hyperbolic ParabloidInterlocking Blocks
  22. 22. Reinforced Concrete BlocksEnvironmental FriendlyAs it SAVES,100% Bricks,50% Steel & Shuttering40% Concrete,25% Utility Bill. Source-Ganaka Engineers and
  23. 23. Commercialisation Of Technologies by BMTPC
  24. 24. ICHH-2012 Rizvi College of ArchitectureInternational Conference On Human Habitat C.B.R.I TechnnologiesAuthor Ar.Suvarna LeleAr.Suvarna Lele.Professor and Practicing Architect Ar,Sarita Deshpande
  25. 25. ICHH-2012 Rizvi College of ArchitectureInternational Conference On Human Habitat Appropriate Building TechnologiesAuthor Ar.Suvarna LeleAr.Suvarna Lele.Professor and Practicing Architect
  26. 26. Public Private PartnershipPartnership Expectations1.Timely delivery by developers2.Ease of working by the government3.Transparency by both the parties
  27. 27. Public And Private Partnership in Affordable housingThe public-private partnership can be formally definedas:In these partnerships, private developers, non-profit agencies, andin some cases religious agencies receive some funds or supportfrom the municipal, state, or federal government (or all three, insome cases) in order to build or renovate and manage affordablehousing. This can be used both for rental housing and as a meansof encouraging low-income home ownership. This is also anapproach that has been used in a number of other countries.A contractual relationship where a private party takesresponsibility for all or part of a government’s (departments)functions… a contractual arrangement between a public sectoragency and a private sector concern, whereby resources and risksare shared for the purposes of delivering a public service or fordeveloping public infrastructure. (Hardcastle & Boothroyd, 2003, p.31).
  28. 28. The Scheme of Affordable Housing in Partnership as per NationalUrban Housing & Habitat Policy (NUHHP) 20071.The Scheme of Affordable Housing in Partnership aims atoperationalising the strategy envisaged in the National UrbanHousing & Habitat Policy (NUHHP) 2007,of promoting various types of public-private partnerships – of thegovernment sector with the private sector, the cooperative sector,the financial services sector, the state parastatals, urban localbodies, etc. – for realizing the goal of affordable housing for all.2. It intends to provide a major stimulus to economic activitiesthrough affordable housing for the creation of employment,especially for the construction workers and other urban poor whoare likely to be amongst the most vulnerable groups in recession. Italso targets the creation of demand for a large variety of industrialgoods through the multiplier effect of housing on other economicactivities.
  29. 29. Need for PPP in Housing1.Synergy2.Capitalize and maximise on core domain of respectiveplayers3.Scale of Development4.Humongous need for combined capabilities5.Investment Gap Funding6.Cost spread over project lifecycle in PPP model ratherthan being front loaded in traditional procurement model7.Improving Quality &Efficiency8.Returns for private players linked directly toefficiency and quality delivery9.Risk Mitigation10Appropriate allocation between stakeholders11On-Time Delivery12Faster and time approvals, payments also linked totimely completion
  30. 30. Philosophy For Recommended modelsSource-Mr Gulam Zia_Knight Frank.
  31. 31. Role OF National Housing Bank Towards Affordable Housin Some Basic Facts Regarding Construction Industry. 1.A basic human necessity supporting economic activities . 2.Second largest employment generator, next to agriculture. 3.Has forward and backward linkages with over 250 ancillary industries. 4.Every Rupee spent on construction, an estimated 75-80 paise is added to GDP. 5.GOI created enabling Fiscal, Monetary and Legal Environment 6.Housing Industry Growth in last 5 years – Physical Terms 3.0 % p.a. Financial Terms 30% p.a. 7.Contribution of Housing in GDP is about 6% 8.Percentage of Mortgage Debt to GDP is 8.50% (E) in 2005-06, still way below China’s (12%), Malaysia (22%), Hong-Kong (40%) and US (65%).
  32. 32. Focus Areas And Strategies Rural Housing Urban Renewal Market DevelopmentCustomized Products Customized Products Risk Mitigation Supplementing Govt.  Supplementing Govt.  Mortgage Credit Schemes Schemes Productive Housing  Financing SHGs Guarantee/Insurance (PHIRA) - Partnership Approach  Rural Risk Fund Financing SHGs  Slum Redevelopment - Partnership and up gradation RMBSApproach  Integrated Township Credit Enhancement Rural Industrial/Agro Development Projects  Reverse Mortgage enterprise clusters  Social Housing Using Local  Rental Housing Other MeasuresInstitutional  Housing for Working  NHB Residex Mechanism for Women, Sr. Citizen  Electronic filing oforigination Mortgages  Active participation of and Servicing ofLoans NGOs/MFIs/25A Cos. Schemes in and Private Sectorconvergence
  33. 33. NHB Support For Private Sector 351.Any private sector housing initiative with a EWS component2.Integrated township in rural/semi-rural with housing and partcommercial, other related infrastructure3.Equity participation and refinance support to HFCs with focuson rural housing4.Housing for workers of units in rural/semi-rural areas and oftheir vendors/ancillary units, including SEZs/ AEZs.5.Develop and Finance Public Private Partnerships to implementtownship projects and mass housing. NHB can take equity inthe SPV and provide medium/long-term debt.
  34. 34. Some Real Challenges towards Appropriate Housing1.Land & Infrastructure2.Financing3.Taxation:-4.Approvals5.Marketing Conference-Affordable Housing-2010
  35. 35. A Quote By Pt.Jawaharlal Nenru.We need to have an integrated framework inwhich spatial development of cities goes hand inhand with improvement in the quality of livingof ordinary people living there. An importantelement of our strategy has to be slumimprovement and providing housing for thepoor…….. The Mission has to walk on two legsof improved infrastructure and improved basicservices…..”
  36. 36. ICHH-2012 Rizvi College of Architecture THANK YOU Ar.Suvarna Lele Resources: 1.Mr Shridhar, 2.Dr Shailesh Agarwal-BMTPC 3.Mr.Uday Dharmadhikari-Usha Breco Realty ltd. 4.Mr Gulam Zia_Knight Frank. 5.Er Ganesh Kamat-Ganaka Engineers Architects 6.Dr Mahinran-Gandhigram InstituteAuthor Ar.Suvarna LeleAr.Suvarna Lele.Professor and Practicing Architect Ar,Sarita Deshpande