Pradhan Mantri Awas Yojana – Urban (PMAY-U) 2.0
Quick Facts
- Type of Scheme:
- It is mainly a Centrally Sponsored Scheme (CSS).
- But its Interest Subsidy Scheme (ISS) component is a Central Sector Scheme (fully funded by the Union Government).
- Purpose: To meet the housing needs of 1 crore urban poor and middle-class families.
- Family Definition: Husband, wife, and unmarried children.
- Tenure: 5 years – from September 2024 to September 2029.
Objective
The scheme aims to provide central assistance to beneficiaries or implementing agencies so that a person can construct, purchase, or rent a house at an affordable cost.
This is part of the broader vision of “Housing for All” which was first launched in 2015.
Eligibility and Exclusions
- Who is excluded?
- Families that already own a pucca house anywhere in India.
- Families that have already benefited from any government housing scheme in the last 20 years.
Thus, the focus is on first-time homeowners among the poor and middle class.
Quality Standards
Every house built under PMAY-U 2.0 must be more than just four walls; it should ensure dignified living.
- Basic Amenities: Water supply, sanitation, road connectivity, electricity.
- Safety Standards: Must comply with NBC (National Building Code) and BIS (Bureau of Indian Standards) for disaster resistance.
- Special Provisions in AHP & ARH Projects:
- Ramps for persons with disabilities
- Rainwater harvesting
- Solar energy provisions
- Green spaces
This shows the government’s focus on inclusive, eco-friendly, and resilient housing.
Funding Mechanism
- 40% Public expenditure (government support)
- 60% Private investment, including beneficiary contribution.
Thus, it is a Public–Private Partnership (PPP) model with shared responsibility.
Technology & Innovation Sub-Mission (TISM)
- Promotes disaster-resistant and eco-friendly housing.
- Encourages use of modern, innovative, and cost-effective construction technologies.
- Example: Pre-fabricated materials, green building concepts.
Housing for Industrial Employees
Industries are encouraged to provide rental housing facilities for their workers under this scheme.
Affordable Loans
- HUDCO (Housing and Urban Development Corporation) provides low-cost loans for PMAY-U 2.0 projects.
This ensures that even if government subsidy is not sufficient, families can take affordable loans.
Transparency and Monitoring
- Use of online tracking, geo-tagging of houses, and third-party quality checks.
- This minimizes corruption and ensures accountability.
Implementing Agencies
The scheme is not run directly by the Union Government, but through State-level bodies such as:
- Urban Local Bodies (ULBs)
- Development Authorities
- Housing Boards
- Private Developers
These are selected by the State Level Sanctioning and Monitoring Committee (SLSMC).
Link with PMAY-Gramin
Beneficiaries have the freedom to choose between PMAY-Gramin (rural housing) or PMAY-Urban 2.0, depending on where they live.
🏠 Four Verticals of PMAY-U 2.0
The scheme is implemented through four verticals, each targeting a different housing need:
- Beneficiary-Led Construction (BLC):
- For families who own land but need support to build their house.
- Affordable Housing in Partnership (AHP):
- EWS beneficiaries can purchase houses in apartment projects built by public/private agencies.
- Affordable Rental Housing (ARH):
- Vacant government-funded houses will be converted into affordable rental housing under PPP or by public agencies.
- Interest Subsidy Scheme (ISS):
- Provides loan subsidy (max loan value ₹25 lakh, house value ₹35 lakh)
- Subsidy given in 5 yearly installments.
🌟 Other Key Features
- Women Empowerment: House must be in the name of a woman member (unless no adult female exists).
- Infrastructure Status: Affordable housing has been given infrastructure status, enabling easier financing.
- Preference to Vulnerable Groups: Widows, single women, senior citizens, disabled, transgender persons, etc.
- Lock-in Period: 5 years – house cannot be sold or transferred during this period.
- Compliance with RERA 2016: Ensures transparency in housing projects.
- Convergence with Other Schemes: Works with AMRUT 2.0, Smart Cities Mission, Swachh Bharat Mission-Urban, etc.
- Beneficiary Identification: Through Aadhaar/ Aadhaar Virtual ID to avoid duplication.
✨ Conclusion
In short, PMAY-Urban 2.0 is not just about building houses; it is about creating inclusive, sustainable, and dignified urban living spaces.
It combines government assistance, private sector participation, and modern technology to ensure that by 2029, every urban family—especially the poor and vulnerable—has access to a safe, affordable, and eco-friendly home.