Affordable Housing PPP Policy in India
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Questions and Answers

What is one of the principal challenges in delivering affordable housing?

  • Inadequate public transportation
  • Excessive government regulation
  • High cost of land (correct)
  • Low demand for housing
  • Which of the following is a major challenge that Developers/ Builders face besides high land costs?

  • Environmental regulations
  • Increased competition
  • Financing the land (correct)
  • Public opposition
  • What intervention is deemed critical for enhancing affordable housing provisioning?

  • Private sector funding only
  • Elimination of all taxes
  • Government intervention (correct)
  • Increased land speculation
  • What role do financial subsidies play in affordable housing?

    <p>They can help address the affordability issues for the population.</p> Signup and view all the answers

    In the context of affordable housing, what does the absence of a clear title create?

    <p>A deterrent for financial institutions and real estate developers</p> Signup and view all the answers

    How can Public Private Partnerships (PPP) incentivize private sector involvement in affordable housing?

    <p>By allowing intensive land utilization in exchange for affordable housing</p> Signup and view all the answers

    What is necessary for enhancing access to financing and capital markets for affordable housing?

    <p>Innovative private sector risk-taking and proactive policies</p> Signup and view all the answers

    What is a fundamental requirement for the success of PPP in affordable housing?

    <p>Clear allocation of risks and rewards among stakeholders</p> Signup and view all the answers

    What is necessary for the prices of land to decline to levels affordable for low-income citizens?

    <p>Increased land supply and vertical development</p> Signup and view all the answers

    Which role should the government predominantly take in the transformation towards affordable housing?

    <p>Create transparent master plans</p> Signup and view all the answers

    What must be avoided in land use change for enabling affordable housing?

    <p>Case-by-case approvals of land use changes</p> Signup and view all the answers

    How can the private sector contribute to the reduction of costs in affordable housing?

    <p>Through technology and better management practices</p> Signup and view all the answers

    What is a critical component of public-private partnerships (PPP) in providing trunk infrastructure?

    <p>Integrating with affordable housing projects</p> Signup and view all the answers

    What function should be separated from the development function in government operations?

    <p>Regulatory functions</p> Signup and view all the answers

    Which outcome is directly associated with properly structured PPP in infrastructure projects?

    <p>Enhanced efficiency and service delivery</p> Signup and view all the answers

    What is a key factor that enables the market to address the challenges of affordable housing?

    <p>Strategic changes in policy for a self-propelled market</p> Signup and view all the answers

    Who is responsible for establishing the eligibility of beneficiaries for housing projects?

    <p>Public authorities</p> Signup and view all the answers

    What is required from allottees at the time of handover of the housing unit?

    <p>Pre-determined payment</p> Signup and view all the answers

    What type of partnerships may the government engage in for financing trunk infrastructure?

    <p>Public Private Partnerships (PPP)</p> Signup and view all the answers

    How can private developers be selected for housing projects?

    <p>Based on per-unit-cost</p> Signup and view all the answers

    What financial assistance can be made available to allottees?

    <p>Low-interest loans</p> Signup and view all the answers

    Who takes on the credit risk of financing the allottee with a housing loan?

    <p>Financial institutions</p> Signup and view all the answers

    Who is responsible for compensating the private developer for the housing stock?

    <p>The public authority</p> Signup and view all the answers

    What can be included in the financial subsidy regime for allottees?

    <p>Interest subsidies</p> Signup and view all the answers

    What is the primary duty of the public authorities regarding beneficiary identification?

    <p>To establish eligibility of beneficiaries</p> Signup and view all the answers

    What does the selection of allottees require to ensure fairness?

    <p>Transparency and equity</p> Signup and view all the answers

    What method may the government use to distribute housing units to beneficiaries?

    <p>Direct selection by public authorities</p> Signup and view all the answers

    How must allottees make payments for their housing units?

    <p>By paying a predetermined amount or monthly installments</p> Signup and view all the answers

    What type of financial assistance may be available to allottees?

    <p>Low-interest loans from housing finance institutions</p> Signup and view all the answers

    Who bears the responsibility for trunk infrastructure and connectivity?

    <p>The public sector</p> Signup and view all the answers

    What risk does the public authority take in the housing project?

    <p>Cost recovery risk</p> Signup and view all the answers

    What does the government potentially finance through separate PPP arrangements?

    <p>Trunk infrastructure</p> Signup and view all the answers

    What is the primary source of funding for beneficiaries in the first five models?

    <p>A percentage of monthly income or loans from financial institutions</p> Signup and view all the answers

    What major change occurs when affordable housing is implemented on privately owned land?

    <p>The total private cost of affordable housing naturally increases substantially.</p> Signup and view all the answers

    What is one of the roles of the public authority in the private land-based model under the AHP scheme?

    <p>Provide technical guidelines and specifications</p> Signup and view all the answers

    Which of the following is a type of financial incentive provided by the public authority to private developers?

    <p>State subsidy and stamp duty exemptions</p> Signup and view all the answers

    Which of the following is a suggested incentive for creating affordable housing on private land?

    <p>Increased permissions and approvals from the government</p> Signup and view all the answers

    What must the beneficiary do after the private developer constructs the dwelling unit?

    <p>Engage in maintenance of the property</p> Signup and view all the answers

    What is needed to offset the high cost of private land for affordable housing projects?

    <p>Increased cross-subsidization from high-end housing</p> Signup and view all the answers

    What role does the 'Committee for Drafting Model Contract for PPP/PPPP in Housing Sector' suggest for private lands?

    <p>Increased institutional support from the government is important</p> Signup and view all the answers

    Which of the following is NOT mentioned as an incentive for private developers under the AHP scheme?

    <p>Development grants from the central government</p> Signup and view all the answers

    What is the role of the private developer in the AHP scheme?

    <p>Design and construct the affordable housing units</p> Signup and view all the answers

    What are the two PPP models suggested for affordable housing?

    <p>Model A: PPP framework for CLSS and Model B: PPP framework for AHP</p> Signup and view all the answers

    What is the financial commitment required from beneficiaries in the AHP scheme?

    <p>A predetermined lump sum or EMI to the private developer</p> Signup and view all the answers

    How can the time cost of delays in affordable housing projects be reduced?

    <p>By ensuring timely approvals with increased support from the government</p> Signup and view all the answers

    What kind of property assistance does the central government offer in the AHP scheme?

    <p>Financial assistance of Rs 1.5 lakh</p> Signup and view all the answers

    What do financial institutions typically provide in relation to rental housing?

    <p>No loans, as these are not available for rental housing</p> Signup and view all the answers

    Which is a critical aspect that the public authority may establish to promote private development under the AHP scheme?

    <p>Technical specifications and guidelines</p> Signup and view all the answers

    Study Notes

    Notice Regarding Draft Model Public Private Partnership Policy for Affordable Housing in India

    • Notice issued on June 14, 2017, by the Ministry of Housing & Urban Poverty Alleviation, Government of India.
    • Inviting comments from the general public and all stakeholders on the draft Model Public Private Partnership Policy for Affordable Housing in India.
    • Draft policy document attached.
    • Comments/views due by June 30, 2017.
    • Email address for comments: [email protected].
    • Objective: Facilitate private sector participation in fulfilling the growing demand for affordable housing.

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    Description

    This notice, issued by the Ministry of Housing & Urban Poverty Alleviation, invites public comments on the draft Model Public Private Partnership Policy for Affordable Housing in India. Stakeholders are encouraged to share their views by June 30, 2017, to enhance private sector involvement in addressing affordable housing needs.

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