(a) Whether the funds allocated to provide basic facilities to urban poor are not
being utilized properly;
(b) If so, the reaction of the Government thereto;
(c) The number of States which have utilized less than 50 per cent of the allocated
funds per year during each of the last three years and the current year, State-wise; and
(d) The reasons for such under-utilisation along with the corrective steps being taken
by the Government in this regard?
THE MINISTER OF HOUSING AND URBAN POVERTY ALLEVIATION (Dr. (Ms.) Girija Vyas)
(a) to (d): No Madam. Government launched the Jawaharlal Nehru National Urban Renewal
Mission (JNNURM) on 3rd December 2005 for assisting State Governments in providing housing
and basic services to urban poor/slum dwellers in 65 citieis under the Sub-Mission Basic
Services to the Urban Poor (BSUP) and in other cities and towns, under the Integrated Housing
and Slum Development Programme (IHSDP). Mission duration was 7 Year from 2005-06 upto 2011-12
which has been initially extended upto March 2014 for completion of projects sanctioned upto
March 2012.
Available ACA of Rs. 231184.66 crore for the scheme was allocated to different States/UTs for
entire duration of scheme. Against this allocation, projects worth Rs. 41560.33 crore involving
Central ACA of Rs. 22257.00 crore were sanctioned. No upfront State-wise Annual Allocation is
made under this scheme. Releases are made based on utilization certificate submitted by the
States for each project. State-wise details along with progress are Annexed.
There has been delay in execution of projects due to following reasons:
# Cost escalations, due to rising prices of steel and cement amongst other factors and
the reluctance of States, Urban Local Bodies to meet such cost escalations. Govt. of India’s
contribution under the schemes remain frozen to the original sanction and the cost escalation
is to be borne by the States/ULBs/Beneficiaries.
# In IHSDP component, cost ceiling was artificially imposed at Rs. 80,000 per DU which
was revised in 2009 to Rs. 1.00 lakh per DU effect from 1.4.2008 of which Government of India
contribution was 80%. This ceiling resulted into a heavier burden on the States/ULBs resulting
in stalling of projects.
# Difficulties in making slum residents temporarily relocation in the case of in-situ
projects and
# Lack of availability of encumbrance-free land.
States/UTs have been advised to bear cost escalation and complete projects in time. The duration
of the sanctioned projects has been extended till March 2015 for completion of projects.