Active private participation in housing need of the hour: Naidu

New Delhi: Inviting investments from private players in housing sector, government on Wednesday said they can play a key role in achieving the goal of 'housing for all' by 2022.

This is the time when private players should come forward and play an active role in providing decent housing for the needy people at an affordable cost, Housing and Urban Poverty Alleviation Minister M Venkaiah Naidu said at an event organised by Assocham here.

Currently, there is a shortage of 18.78 million houses and close to 2.34 million homes need to be constructed every year during the next eight years to address the issue.

Investment in the sector will not only help expand the existing stock of housing units but also improve the working and living conditions of people, Naidu said.

Assuring the slum dwellers, he said, "Either houses will be constructed at the same place or you will be provided housing at other place. Before that no one will be ousted from their existing houses."

Targeting the Opposition for blocking the Land Bill in the Rajya Sabha, he said land is crucial for development.

"Houses, airports, railway stations or other infrastructure cannot be constructed on air. Land is a crucial and important component for construction of affordable houses. Without the availability of land how can you construct houses?" he asked.

"Our government is trying to amend the Land Bill 2013 because most of the states came forward and told Centre to amend the Bill as acquiring land is becoming an impossible task.

"But unfortunately some people are opposing it. Though they allowed acquiring of land for SEZ for commercial purpose, here they are opposing it. So you are opposing the development and not the government," he added.

Referring to the Real Estate (Development and Regulation) Bill, Naidu said "it is for regulation and not for strangulation".

Hitting out at the fly-by-night operators, he said, "The genuine real estate players need not worry. Because there are some black sheep in the trade who have brought the name into the industry, there is a requirement of the Bill."

The Bill was referred to a select committee of Parliament and the committee has submitted its recommendations for certain changes in the Bill provisions. It is expected to be taken up for consideration in the next session of Parliament.

Naidu said the legislation will bring accountability and transparency in the sector. "It will provide a mechanism for protecting consumer interest and speedy adjudication of disputes. This will promote professionalism, standardisation and orderly growth of real estate sector and boost private investment in housing sector."

Referring to Pradhan Mantri Awas Yojna, he said several innovative steps have been taken to provide affordable housing to poor people of urban areas and mentioned interest subsidy for low income group people and slum redevelopment plan under the housing mission of the government.

Naidu also highlighted relaxation of FDI norms in housing sector such as reducing the minimum investment from 10 million USD to 5 million USD and minimum built up area for a project from 5 lakh sq metre to 2 lakh sq metre.

Bihar goes to poll from October 12 and is being considered a a major test of popularity for the ruling BJP.

This would have been the first increase in auto fuel prices in four months. Petrol price was last hiked by Rs 3.13 a litre and diesel by Rs 2.71 per litre on May 16. Rates have on consecutive fortnights declined.

Consumers in Delhi however saw petrol price going up by 28 paisa a litre from July 16 after the state government raised VAT rates.

At the last revision on September 1, petrol price was cut by Rs 2 per litre and diesel by 50 paise.

A litre of petrol in Delhi currently costs Rs 61.20 while diesel is priced at Rs 44.95 per litre.

Petrol price since mid-May have been cut by a cumulative Rs 5.09 per litre in Delhi (Rs 7.89 in Mumbai where there was no VAT increase). Similarly, diesel rates have been cut Rs 7.83 per litre in Delhi (Rs 10.35 in Mumbai).

State-owned fuel retailers -- Indian Oil Corp (IOC), Bharat Petroleum Corp (BPCL) and Hindustan Petroleum Corp (HPCL) -- revise petrol and diesel prices on 1st and 16th of every month based on average imported cost and rupee-dollar exchange rate in the previous fortnight.