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Affordable plotted housing scheme suspends in Gurgaon and Faridabad

By Rishabh Chamoli | 2023-02-24

The Deen Dayal Jan Awas Yojna (DDJAY) housing scheme in Faridabad and Gurgaon has been suspended by the Haryana government. The primary reason is the high cost of land. The high costs would make it unlikely to be helpful for lower and middle income families for whom the scheme was intended.

The Haryana government has directed to put the ambitious Deen Dayal Jan Awas Yojana (DDJAY) on hold. The scheme was launched in November 2016 by the Prime Minister to provide affordable housing units and control the mushrooming of unauthorised colonies. During a recent review meeting with senior officials of the Department of Town and Country Planning (DTCP), the Chief Minister expressed concern about the high prices of these affordable units in the two cities of Faridabad and Gurgaon. He also highlighted that the high cost of residential land defeated the entire objective of DDJAY.

What is the status of licenses issued under DDJAY?
DTCP data shows that around 60 licenses were issued under DDJAY in Gurgaon and nearby areas for developing affordable housing units across 600 acres of land and around 40 licenses for 400 acres of land in Faridabad since the launch of the scheme.

Why was the scheme not successful?
A senior DTCP official confirmed that the affordable plotted housing scheme had been put on hold in Gurgaon and Faridabad due to the high property prices, making it costly for homebuyers.

A real estate expert pointed out another loophole in the policy, which is the absence of a price cap in high rise affordable housing projects as per sq ft rate is fixed by the Haryana government.

In August 2022, the State government had announced a relaxation in freezing 50 percent of plots for developers who had launched projects under DDJAY, but now the scheme has been suspended in the two cities.