The “Apni Chhat Apna Ghar” Program, initiated by the Chief Minister of Punjab, is a groundbreaking effort to provide affordable housing to the people of Punjab. This scheme aims to deliver 100,000 affordable houses or apartments to eligible residents across the province over four and a half years. The program focuses on helping low-income families living in rented houses or informal settlements own their homes.
The program is managed by the Punjab Housing & Town Planning Agency (PHATA) and the Housing, Urban Development, and Public Health Engineering Department (HUD&PHED). It will have a positive impact on the lives of thousands by improving living conditions, reducing overcrowding, and providing access to essential services like water, electricity, and sanitation.
This article will explain the three execution models under this scheme:
1. Execution Model-1: Housing Units on State Land
To construct 10,000 housing units/apartments on state land through an equity-based land-sharing agreement between developers and PHATA.
Key Features:
- State Land Utilization: Developers will build infrastructure and housing units on state land provided by PHATA.
- Equity Sharing: Developers cover the full cost of construction in exchange for a portion of the state land.
- Design and Scope: PHATA will provide developers with a preliminary land-use plan and structural drawings. Developers may propose changes, but they must follow PHATA’s guidelines.
- Capital Responsibility: Developers are responsible for all capital costs related to infrastructure and housing construction.
- No Government Subsidy: The government will not offer any financial assistance for this model.
- Pricing: The government will set the price and installment plans for the housing units.
- Approval Process: Layout plans will be approved by PHATA’s Governing Body, ensuring they adhere to the land-use plan and building regulations.
Outcome
This model will enable the efficient use of state land for affordable housing, with the developer bearing the construction costs in exchange for land equity.
Also Read: 5 Documents Required for Apni Chhat Apna Ghar Program
2. Execution Model-2: Affordable Housing in Private Schemes
To develop 20,000 low-cost houses within private housing schemes approved by PHATA under the Affordable Private Housing Scheme (APHS) Rules 2020.
Key Features:
- Allocation of Residential Area: Developers must allocate at least 20% of the residential area in their private housing schemes for low-cost housing.
- Approval Process: A streamlined, one-window approval mechanism will be implemented to ensure timely approvals.
- Affordable Pricing: The price, size, and design of the houses will be determined by PHATA.
- Payment Process: Allottees will make a down payment and receive a government subsidy of PKR 1 million. The remaining amount will be paid in monthly installments over five years.
- Monitoring: PHATA will supervise and monitor the construction process.
- Escrow Account: Payments to developers will be made through an Escrow account, based on achieved milestones.
Outcome
This model will ensure the development of low-cost housing within existing private schemes, providing affordable options for low-income families.
3. Execution Model-3: Interest-Free Loans for House Construction
To provide interest-free loans for the construction of houses, benefiting 70,000 eligible residents.
Key Features:
- Eligibility: Residents of Punjab with plots up to 5 marlas in urban areas or 10 marlas in rural areas can apply.
- Loan Amount and Tenure: The maximum loan amount is PKR 1.5 million, repayable over 7 years in easy installments.
- Disbursement: The loan will be disbursed in tranches.
- Revolving Fund: A revolving fund will be established to provide these loans, which will continue to operate as repayments are received.
- Government Support: The Government of Punjab will cover operational costs and sales tax.
Outcome
This model will empower residents with small plots to build their homes through interest-free financing, ensuring long-term affordability.
Will the government provide any financial support for the construction of houses Apna Ghar Scheme?
In Execution Model-1, there is no government subsidy. However, in Model-2, a government subsidy of PKR 1 million is provided, and in Model-3, the loans are interest-free.
What is the expected outcome of the “Apni Chhat Apna Ghar” program?
The program aims to improve living conditions, reduce overcrowding, enhance access to amenities, and generate approximately half a million jobs.
Conclusion
The “Apni Chhat Apna Ghar” Program is a transformative initiative that aims to address the housing needs of low-income families in Punjab. By offering three distinct execution models, the program provides multiple pathways for residents to achieve homeownership, whether through state land development, private housing schemes, or interest-free loans. Each model is designed to cater to different needs and circumstances, ensuring that affordable housing is accessible to a broad segment of the population.