1

Scheme of State Government Subsidy for

Economically weaker sections (EWS)

Government of Gujarat

Urban Development and Urban Housing Department

Resolution No. budget/102013/46/th

Date: 18/07/2013

Preface:

The Government of Gujarat has announced Mukhya Mantri (Gujarat Rural Urban Housing)

GRUH Yojana during 12th Five-year plan in consideration of growing need for affordable

houses in urban areas. The objective of the state government is to rehabilitate slums in urban

areas of the State in the next five years. The State Government’s priority is to rehabilitate

lakhs of slum dwellers in the same place (in situ wherever possible). The state government is

committed to provide affordable houses on ownership basis at reasonable price to

economically weaker sections. Under this program every slum dwelling family and family

belonging to economically weaker sections will get a pucca house. After comprehensive

deliberations the State Government resolves as follows.

Resolution:

The minimum carpet area of houses for economically weaker sections will be 25 sq. meters

and maximum will be up to 30 sq. meters which will include two rooms, kitchen, bathroom

and toilet.

(A) Rehabilitation of slums

Provision for land:

Existing slums in metropolitan, municipal and development authority areas will be

rehabilitated by constructing houses in the same place (in situ). Slums which cannot be

rehabilitated in the same place will be relocated on government/ULC/ULB/GHB land.

Implementation Agency:

2

This program will be implemented through corporations, municipalities, urban development

authorities, area development authorities and the State Government will offer subsidy for such

schemes.

Nodal Agency:

Affordable housing mission at Gujarat urban development mission, GMFB building,

Gandhinagar will work as nodal agency for this project.

Selection of beneficiaries:

The implementation agency will prepare a list of beneficiaries on the basis of any two

of the following criteria electricity bill, voters’ ID card, slum survey or ration card.

The beneficiaries of slum rehabilitation should be living in slums on or before the Cut-

off date of 1/12/2010.

Allotment of houses will be done through computerized draw and on the basis of

prevailing policy norms.

Registration of Houses will be done on hundred rupees stamp paper.

All the allotted houses should be registered jointly in the name of husband and wife

and wife will have first right.

The implementation agency will ensure that new slums are not formed again.

Financial Assistance:

(1) Slum rehabilitation schemes approved by the Central Government will be financed by

the Central Government, State Government, local urban bodies and beneficiaries as

follows.

Contribution of Central Government will be 50% of the project cost, that of State

Government and Urban local bodies will be 38% and beneficiary contribution will be

12%. Above mentioned 38% will be split as follows:

For Ahmedabad and Surat, 10% from urban local bodies and 28% from State

Government. For Vadodara and Rajkot, 5% from urban local bodies and 33% from

State Government. For the remaining cities State Government will provide 38%.

(2) For rehabilitation of slums relaxation in planning norms will be provided as per

Annexure 2.

3

Contribution of beneficiaries:

Under this project beneficiary will contribute Rs. 35000/ (thirty five thousand)

or 12% of cost of house whichever is more.

Implementing agency will facilitate to make loan available from bank to

beneficiary.

Possession of house by beneficiary:

After getting possession of houses, allottee beneficiaries will form association that

will operate and maintain the housing scheme.

Allottee beneficiary will not be permitted to sell or let out allotted house for

15 years. In case of breach of this condition allotment of house may be

cancelled by implementing agency.

The ownership of land will remain with urban local bodies.

(B) Provision of land for Housing Scheme for economically weaker sections (Greenfield)

As per the provisions in resolutions and rules of revenue department; corporations,

municipalities, urban development authorities will start construction of housing

project for EWS after land is allotted to them. The reserve land for EWS housing

project under urban development and town planning may be used for this project.

Land available with GHB and slum clearance cell may also be used for this

purpose.

Implementation Agency:

This program can be implemented through municipal corporations, municipalities,

urban development authorities, area development authorities and Gujarat housing

board and State Government will provide financial assistance for its implementation.

Nodal Agency:

Affordable housing mission at Gujarat urban development mission, GMFB Building

Gandhinagar will be nodal agency for this program.

4

Selection of beneficiaries:

For EWS beneficiaries criteria of annual family income is increased from Rs. 30000/-

to Rs. 100000/-

Allotment of EWS houses under this program will be made to the beneficiaries whose

annual family income is less than Rs. 100000/-, through computerized draw in a

transparent manner. Guidelines for allotment of houses are as per annexure 3.

Allotment letters should clearly specify total price, subsidy given by the State

Government and amount to be paid by beneficiary.

Beneficiary is not permitted to sell or let out allotted house for 7 years. All allotted

houses should be registered jointly in the name of husband and wife and the wife will

have first right.

The land on which EWS houses are constructed will be given on a renewable lease of

99 years.

On getting possession of houses beneficiaries will form an association for the purpose

of operation and maintenance of housing scheme.

Registration of Houses shall be done on hundred rupees stamp paper.

Financial Assistance:

The State Government will provide central subsidy of Rs. 100000/- for each EWS

house to the implementing agency in addition to the subsidy amount approved by the

Central Government, if any.

In EWS Housing schemes, commercial development can be done as per GDCR.

Similarly mixed housing schemes can also be undertaken. The income generated from

such mixed and/or commercial development can be utilized to cross subsidize EWS

housing scheme as well as for operation and maintenance planning norms for EWS

housing scheme are as shown in annexure 4.

Contribution by beneficiary:

5

Under this project, implementing agencies can recover Rs. 300000/- or construction cost

of EWS house excluding subsidy, whichever is less.

• Implementing agency will coordinate with bank to facilitate loan for beneficiaries.

Following general provisions have been made in projects shown in above mentioned

paragraphs (A) and (B)

All allottee beneficiaries are to be registered with UID.

All allottee beneficiaries will take insurance of allotted house.

All allottee beneficiaries will be issued a property card for the allotted house.

Property tax will have to be paid by the allottees as levied by Urban Local Bodies.

Basic Amenities to be provided to beneficiary:

Implementing agency will make provision for Water supply, Sanitary and

Drainage facility, Electricity connection and all necessary basic amenities.

Other social amenities for beneficiaries will include aangan wadi, health care

centre, skill development training centre, playground for children, garden etc. will

be provided as per norms.

State Government will provide financial assistance of Rs. 50000/- per EWS house

as infrastructure subsidy to the implementing agencies.

Disbursement of Grant:

The nodal agency will disburse grant to the implementing agency in two installments

of 50% each.

This subsidy amount will be adjusted against EWS housing construction cost by

implementing agencies.

On approval of EWS housing scheme nodal agency will release 50% of subsidy amount

as a first installment to the implementing agency.

On receipt of certificate for utilization of 70% of the first installment, the second and

last installment will be released.

6

In exceptional circumstances if a beneficiary is unable to live in the allotted house then

the allotment will be cancelled and the house will be allotted to next beneficiary in the

waiting list.

Subsidy Amount:

The state government will release an amount of Rs. 100000/- as Capital subsidy for

each EWS house, in addition to financial assistance approved by Central

Government, if any.

Contribution of beneficiary:

The beneficiary will bear the remaining cost of the construction after adjusting

subsidy given by State and Central government subject to the cap of Rs. 300000/-

Implementing agency will coordinate with bank to facilitate loan for beneficiaries.

Possession of house by beneficiary:

On taking possession, allottee beneficiaries will form an association for the purpose of

operation and maintenance.

From the date of allotment, beneficiaries will not sell or let out the allotted house up to

seven years. On breach of this condition allotment will be cancelled by the

implementing agency.

The land will be given on ninety nine years of renewable lease.

Quality Standard:

To ensure the quality of slum rehabilitation and EWS housing scheme, TPI (Third Party

inspection) or PMC (Project Management Consultancy) will be appointed by

implementing agency, 3% of project cost can be used for administrative purposes.

A maximum FSI of 3 can be used for this program.

For building materials and technology neutral tenders will be issued for this program.

For materials other than conventional building materials, the certifications from any of

the following are required to be obtained.

CBRI (Central Building Research Institute) or IIT (Indian Institute of Technology) or

their international affiliated institutes.

Certificate for structural life of fifty years.

Material testing certificate needs to be submitted.

Material testing certificate should include the following

o Fire resistance capacity of structure.

7

o Thermal and energy performance certificate.

o Certificate regarding structural strength in face of floods, earthquakes or

cyclones

o Certificate from licensed structural engineer regarding strength and stability.

o Completion certificate and occupancy certificate issued by government agency.

To ensure the safety of outer framework of housing project the prevalent norms as per

GDCR and NBC shall be followed.

The defective liability period for the housing project will be a minimum of 10 years.

Provision for rain harvesting in housing project is mandatory.

Besides the above it is desirable to use energy saving, eco-friendly building materials

and water recycling.

Such housing projects should have landscaping and tree plantation as per prevailing

circumstances. Plantation of Limda, Jamun, Gulmohar, Garmalo, Kadam, Desi Asopalav,

Pipal, Badam etc. should be done.

Method of approval of housing project:

Urban slum rehabilitation authority will approve slum rehabilitation projects.

Implementation agency will give approval to EWS housing project as per prevailing

norms.

These projects will be implemented during financial year 2013-2014.

The expenses of these projects for current financial year as shown in annexure -1 will

be included in budget head.

All expenditure under this head will be within budget limits.

These orders have been issued after consent of finance department vide its noting dated

6/7/2013.

In the name of and by order of Governor of Gujarat.

8

Annexure 2:

Following concessions will be given to slum rehabilitation projects

1. Length of house will be according to expansion joint.

2. Except for margin land all other land under the scheme shall be used for project.

3. The following margin rules will be applicable for slum rehabilitation schemes.

4. Plots falling on roads will maintain following norms.

Width of Roads (meters)

Side margin for roads

Height of building Extra road margin except side margin

Upto 9 meters 3 meters 10 meter with silt 2.5 meter

9 to 12 meters 4.5 meters 15 meter with silt 3 meter

12 to 18 meters 6 meters 15 meters 3 meter

18 to 30 meters 7.5 meters 15 to 25 meters 4 meter

30 to 40 meters 9 meters 25 to 45 meters 6 meters

40 meters and above 12 meters 45 to 70 meters 8 meters

5. Concession will be given in margin from building to common plot. As per prevailing norms

building having height of 25 meters and 25 meters and above a margin area of 3 and 6 meters

respectively is necessary. In special cases where height of building is 25 meters approval can be

given for margin of 1.5 to 2 meters.

6. For execution of slum rehabilitation project where road width is 9 meters or less than 9 meters

G+3 storied houses will be constructed. On roads with width of 9 to 18 meters, G+5 storied houses,

on roads with width greater than 18 meters height of building will be decided as per GDCR norms

respectively. In these projects developer will be responsible for repair and maintenance of lifts up

to 7 years. After that developer will deposit the necessary corpus with local self-bodies.

7. (1) No lift is required up to 30 dwelling units. However, in case of additional 30 units or part

of it, provision of additional lift will be made.

(2) Except above mentioned (1) if height of construction is more than 25 meters then extra lift

will have to be provided.

8. Common plot will be required if minimum area is 200 sq. meters or 8% of building unit whichever

is higher.

9. Approval of slum rehabilitation project on slum rehabilitation land will be given as per AUDA DP

2021.

9

Annexure3

Information guidelines for housing allotment

Applications from potential beneficiaries will be collected before beginning project.

Housing projects will be built under self-financed scheme.

Payment to be made along with application is Rs. 75000/- for EWS.

If person gets allotment through draw then he shall deposit within three months to

implementing agency 20% of total cost after deducting amount paid earlier with

application. After that remaining 80% amount may be paid in equal 10 monthly

installments. Moreover, maintenance deposit and other charges should be paid with last

installment.

Joint annual income up to Rs. 100000/- for EWS category.

No family member should have either plot or house in that city and applicant should be

adult on the date of application.

For reserved category certificate to be produced on demand.

If certificate is not produced on time then application may be cancelled.

If sufficient applications are not received for one unreserved category then quota may

be transferred to other reserved category and if sufficient applications are not received

in that category also then quota may be transferred to general category. In this regard

state implementation agency’s decision will be final.

Under this scheme one person can fill up only one form for one project. However,

different projects separate applications can be filled up but if he succeeds to be selected

in draw in more than one scheme then he will be entitled to get only one house.

The allotment of houses will be done by computer draw as per prevailing norms of

implementing agency.

After completion of construction of housing project and allotment of house to applicant,

the applicant can get possession only after making all due payments.

Implementation agency will arrange to provide all documents to applicant to obtain

loan from bank.

Beneficiary or applicant will bear all expenses for conveyance deed to be made with

implementation agency before getting possession.

Under this project the beneficiaries will form an association and elect the office bearers

who will get transferred in the name of association all internal basic amenities like

water supply, sanitation, street light, roads, lift as per instruction of implementation

agency and after that association will be responsible for operation, maintenance and

payment of taxes.

10

The maintenance deposit recovered from beneficiaries at the time of net payment of

house will be deposited in the association account at the time of transfer. Out of this

amount the general maintenance will be done by association.

As implementation agency is providing houses at very reasonable rates the

beneficiaries will not transfer houses for at least 7 years.

If potential beneficiaries submit false documents regarding annual income then

criminal proceedings can be undertaken against them.

11

12

13

14

15

16

17

18

19

20

21

22