Introduction
The Affordable Rental Housing Scheme (ARHC) is a pivotal initiative introduced by the Indian government to address housing challenges faced by economically weaker sections (EWS), lower-income groups (LIG), and other vulnerable populations in urban and semi-urban areas. This blog provides a detailed overview of the ARHC Scheme, its objectives, beneficiaries, eligibility criteria, registration process, key features, implementation strategy, expected impact, benefits, challenges, and current status updates.
What Is Affordable Rental Housing Complexes (ARHC) Scheme?
The Affordable Rental Housing Complexes (ARHC) Scheme, a part of the Pradhan Mantri Awas Yojana – Urban (PMAY-U), aims to provide affordable rental housing for urban migrants and students near their workplaces. Announced by the Finance Minister on May 14, 2020, to support the vision of Atma Nirbhar Bharat, the scheme has two implementation methods:
Module I: This involves converting existing government-funded vacant houses into affordable rental housing complexes under a 25-year concession agreement.
Module II: Public and private entities will build, operate, and maintain affordable rental housing complexes on their own land for 25 years.
Key Features of the ARHC Scheme –
Implementation Models:
Model 1: Conversion of existing government-funded vacant houses into affordable rental housing complexes through a 25-year concession agreement.
Model 2: Construction, operation, and maintenance of new affordable rental housing complexes by public/private entities on their own land for 25 years.
Target Beneficiaries:
Urban migrants, including workers in industries, manufacturing units, service providers in hospitality and health, and students.
Affordable Rent:
Rents are set by local urban bodies to ensure affordability, with initial rent being market-driven and subject to predetermined increments over time.
Incentives for Stakeholders:
Government: Offers grants, financial support, and concession agreements.
Private Sector: Receives benefits such as higher Floor Area Ratio (FAR)/Floor Space Index (FSI), concessional project finance, and tax reliefs.
Public-Private Partnerships (PPP):
Encourages collaboration between the government and private entities to leverage investment and expertise.
Long-Term Lease:
Concession agreements typically span 25 years, with options for renewal.
Monitoring and Evaluation:
A robust mechanism is in place to monitor the progress and effectiveness of the scheme, ensuring compliance and quality standards.
Focus on Urban Revitalization:
Utilizes vacant and underutilized properties, contributing to urban renewal and the optimization of existing resources.
Benefits of the Affordable Rental Housing Complexes (ARHC) Scheme
The ARHC Scheme provides a multitude of benefits to various stakeholders, including beneficiaries, government entities, and private developers. Here are the key benefits:
Beneficiaries:
- Affordable Housing:
Access to safe and affordable rental housing, reducing financial burden on urban migrants and the poor.
- Proximity to Workplaces:
Housing units are located near workplaces, reducing commute times and transportation costs for workers and students.
- Improved Living Conditions:
Better living conditions compared to informal settlements, with access to basic amenities like water, sanitation, and electricity.
- Security and Stability:
Legally protected rental agreements provide security and stability to tenants, reducing the risk of eviction.
- Community Living:
Living in organized housing complexes fosters a sense of community and social support among residents.
- Preference to Vulnerable Groups:
Priority given to SC/ST/OBCs, widows, working women, Divyang (persons with disabilities), and minorities, ensuring inclusive growth.
For Government:
- Optimal Use of Resources:
Utilizes vacant and underutilized government-funded housing, optimizing existing resources and investments.
- Urban Renewal:
Contributes to urban revitalization by reducing slums and informal settlements, improving overallurban infrastructure.
- Social Welfare:
Enhances social welfare by providing dignified living conditions to urban poor and migrants, aligning with the vision of Atma Nirbhar Bharat (Self-Reliant India).
- Economic Growth:
Facilitates labor mobility and productivity, contributing to economic growth and development.
For Private Developers:
- Incentives and Support:
Access to various incentives such as higher Floor Area Ratio (FAR)/Floor Space Index (FSI), concessional project finance, and tax reliefs.
- Revenue Generation:
Opportunity to generate steady rental income through long-term leases and a structured rental model.
- Public-Private Partnerships (PPP):
Encourages collaboration with the government, providing a stable framework for investment and development.
- Corporate Social Responsibility (CSR):
Participation in the ARHC Scheme can be part of CSR initiatives, enhancing the corporate image and contribution to societal development.
Overall Impact:
- Housing for All:
Supports the broader goal of “Housing for All” by 2022, ensuring that every citizen has access to affordable housing.
- Reduction in Urban Inequality:
Helps bridge the gap between different socio-economic groups by providing equitable housing solutions.
- Sustainable Development:
Promotes sustainable urban development by integrating affordable housing into city planning and infrastructure.
Objectives and Aims of the Affordable Rental Housing Scheme
The primary objectives of the ARHC Scheme include:
– Providing affordable rental housing options to EWS, LIG, and vulnerable populations.
– Promoting inclusive urban development by reducing slum areas and enhancing living conditions.
– Facilitating socio-economic stability and mobility for beneficiaries through access to secure housing.
Eligibility Criteria for Affordable Rental Housing Scheme
Beneficiaries of the Affordable Rental Housing Scheme must belong to specific categories of urban poor or migrant workers:
- Economically Weaker Section (EWS)
- Lower Income Group (LIG)
Additionally, beneficiaries can include industrial workers and migrants employed by:
- Market/trade associations
- The hospitality sector
- Educational and health institutions
Other eligible individuals are:
- Street vendors
- Rickshaw pullers
- Various other service providers
The scheme prioritizes individuals from SC/ST/OBC backgrounds, widows, working women, those qualifying as Divyang, and minorities, provided they belong to the EWS or LIG segments as defined by the Government.
Documents Required for Affordable Rental Housing Scheme
To apply for the Affordable Rental Housing Complexes (ARHC) Scheme, the following documents are typically required:
- Identity Proof:
- Aadhar Card
- Voter ID
- Passport
- Driving License
- Address Proof:
- Aadhar Card
- Utility bills (electricity, water, gas)
- Passport
- Rent Agreement (if applicable)
- Income Proof:
- Salary slips (last three months)
- Income certificate from a competent authority
- Bank statements (last six months)
- Employment Proof:
- Employment letter or contract
- ID card issued by the employer
- Certificate from employer indicating employment status
- Category Proof (if applicable):
- SC/ST/OBC certificate
- Disability certificate (for Divyang applicants)
- Minority certificate
- Other Relevant Documents:
- Proof of migration (if applicable)
- Any other documents required by the local urban body or nodal agency
These documents help verify the applicant’s identity, address, income level, employment status, and eligibility for the scheme, ensuring that the benefits reach the intended beneficiaries.
How to apply online and offline Application for an Affordable Rental Housing Scheme?
Online Application:
- Visit the official ARHC scheme portal or the website of the local urban body/state housing authority.
- Register yourself by providing basic details and creating a user ID.
- Log in with your credentials and fill out the online application form with accurate information.
- Upload scanned copies of the required documents.
- Submit the application form online and note down the application/reference number for future tracking.
Offline Application:
- Visit the local urban body office or the designated nodal agency handling ARHC applications.
- Obtain the physical application form and fill it out with the necessary details.
- Attach photocopies of the required documents.
- Submit the completed application form along with the documents to the concerned office.
- Verification Process:
- The submitted application and documents will be verified by the authorities. This process may involve field visits or interviews to confirm eligibility.
- Approval and Allocation:
- Upon successful verification, eligible applicants will be approved for rental housing.
- Applicants will be notified of the allocation details, including the ARHC unit’s location, rent amount, and terms and conditions.
- Agreement Signing and Move-In:
- Sign the rental agreement or lease contract as per the terms outlined by the authorities.
- Pay the required security deposit and initial rent, if applicable.
- Move into the allocated ARHC unit.
- Follow-Up and Maintenance:
- Stay informed about rent payment schedules and adhere to the terms of the rental agreement.
- Report any maintenance issues to the concerned authorities for timely resolution.
By following these steps, eligible individuals can apply for and benefit from the Affordable Rental Housing Complexes (ARHC) Scheme, ensuring access to safe and affordable housing near their workplaces.
Conclusion:
In conclusion, the Affordable Rental Housing Scheme 2024 represents a transformative initiative towards inclusive urban development in India. By providing affordable rental housing options to EWS, LIG, and vulnerable populations, the scheme not only addresses housing shortages but also fosters socio-economic stability and community resilience. Continued government support, private sector participation, and community engagement are vital to realizing the full potential of this impactful initiative.
FAQ
1. What incentives are provided to private developers under the ARHC Scheme?
- Higher Floor Area Ratio (FAR)/Floor Space Index (FSI).
- Concessional project finance.
- Tax reliefs.
- Opportunity for steady rental income and participation in public-private partnerships (PPP).
2. How long is the lease agreement under the ARHC Scheme?
The lease agreements are typically for a duration of 25 years, with options for renewal.
3. What type of rooms does ARCH offer?
ARHC offers a mix of single/double dwelling units and a Dormitory with 4/6 beds with all facilities.
