(a) the existing level of financial assistance granted under the Indira Awaas Yojana (IAY) to the entitled persons per unit in the plain and in remote and hilly areas;
(b) whether the assistance granted in this regard is not commensurate with the real cost of construction;
(c) if so, the details thereof and the reasons therefor; and
(d) the action proposed to revise the existing limit on real basis?
MINISTER OF RURAL DEVELOPMENT (DR. C. P. JOSHI)
(a) to (d): A Statement is laid on the Table of the House.
Statement referred to in reply to Lok Sabha Starred Question No.141 due for
answer on 08-03-2010
(a) At present, the unit assistance under Indira Awas Yojana (IAY) is Rs.35,000/-
in plain areas and Rs.38,500/- in hilly/difficult areas. In addition, the Reserve
Bank of India has been advised by the Ministry of Finance to include IAY houses under
the Differential Rate of Interest (DRI) scheme for lending upto Rs.20,000/- per
housing unit, at an interest rate of 4%.
(b) & (c) The amount provided under IAY is only the unit assistance and not the
actual unit cost. The Central Building Research Institute, Roorkee has since been
entrusted with the task to study the typology of houses constructed in various regions
of the country and to estimate the average unit cost of an IAY house. The Institute,
in its interim report has estimated the unit cost to be between Rs.77,000 and Rs. 88,000
for different designs.
(d) Keeping in view the increase in the cost of construction, the Finance Minister,
in the Budget Speech 2010-11, has proposed to enhance the unit assistance under IAY from
Rs.35,000/ to Rs.45000/- in plain areas and Rs.38,500/- to Rs.48,500/- in hilly/difficult
areas.