Nanded Phase 2 Housing

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Focus Areas: Housing

The project, which began in 2015, draws on subsidies provided by the Central Government of India under an ambitious initiative known as the Jawaharlal Nehru National Urban Renewal Mission (JNNURM) that finances urban renewal and development projects in sixty-three (63) selected cities. The Alliance is taking up construction of two hundred and sixteen (216) houses in the slums of Imran Colony, Ambedkar Nagar, Saraswati Nagar, Maganpura and Lalwadi, in accordance with the designs, guidelines and standards raised in the detailed project report (DPR) for Nanded city housing. These slums are all a part of the JNNURM Basic Services for the Urban Poor (BSUP) scheme for which project plans and DPRs are already in place and approved.

Location: Nanded, India

Deliverables:

All two hundred and sixteen houses (216) have been completed. It must be noted that the Alliance is not only taking up construction of new houses under the BSUP but has also taken up the completion of houses that were half-built by contractors. The issue with these houses is poor quality construction, expensive materials and ill-suited designs that did not fit the needs of the slum dwellers. As a result, kitchen platforms were provided inside houses with no chimneys, where households cooked on “Chullas” and so the women continue to cook outside the upgraded houses. 

Community capacity:

An exchange was conducted with Pune BSUP. The purpose of the exchange was to view what has been done thus far, in particular how the City in conjunction with the communities undertook the survey of the locations and identified the settlements and households that were to benefit from this project.

Twenty-five (25) community members - including women and children - were sent to Pune by the Nanded Commissioner to learn how the Indian Alliance has undertaken slum upgrading projects. This positive engagement resulted in the involvement of these communities, with the assistance of the Alliance, in the management of construction projects in their area. 

Scale:

The project has been implemented in five settlements across Nanded. The complexity and scale of the project is larger than most projects the Alliance has undertaken thus far as the Alliance has also taken on houses that are at several different stages of construction. This is also the first city in which the Alliance will be pursuing a BSUP process from scratch as there are no established community based organizations (CBO) of the poor. 

Impact:

The project demonstrates the need for and benefits of community managed construction in towns and cities of different sizes. Nanded is a relatively small town in comparison to mega cities such as Mumbai, Pune, Bhubaneswar where the Alliance is active and has undertaken similar housing construction and relocation projects. 

Finance:

SDI Contributions:

SDI contributed US$100,000.00

Resources Leveraged:

The project mobilises and leverages a range of resources, namely the Government, private sector and the direct beneficiaries of the project. Resources leveraged include, but are not limiteto, land, infrastructure, finance and cost recovery.

State Subsidy:

Funding  modalities  under  the  Government  scheme  are  as  follows: Central, State and Local Governments provide fifty percent (50%), thirty percent (30%) and ten percent (10%) of the estimated house costs respectively. Subsidy  money  from  the  governments  is  collected  by  the  respective cities’ Municipal Corporation and released towards the cost of the house in phases and as  per  progress  of  construction work. However,  billing  is  often slow  and there  is  a time  lag  between  construction and payment from the municipality. The remaining ten percent (10%) is contributed by the housing beneficiaries.

Costs recovered from community:

None to date.

Sheela Patel sparcssns@gmail.com (+91) 22 238 650 53 View Website
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Project information updated: 31 March 2016

Project in depth

Detailed Information

At present, seventy percent (70%) of slums in Nanded are on private land, semi-government land or local authority land. Some slums, particularly those that are alongside the railway tracks or on the roads, are prone to floods and other natural disasters. Existing data shows that eighty percent (80%) of the slums do not have adequate basic services. 


This project draws on subsidies provided by the central government of India under an ambitious initiative known as the Jawaharlal Nehru National Urban Renewal Mission (JNNURM) that finances urban renewal and development projects in sixty-three (63) selected cities. The Alliance is taking up construction of two hundred and sixteen (216) houses in the slums of Imran Colony, Ambedkar Nagar, Saraswati Nagar, Maganpura and Lalwadi, per the designs, guidelines and standards raised in the detailed project plans (DPR) for Nanded city housing. These slums are all a part of the JNNURM Basic Services for the Urban Poor (BSUP) scheme where project plans and DPRs are already in place and approved.
 
Nanded is a small town with a jurisdiction of about 51.76 square kilometres and has a population of approximately containing a population of about four hundred and fifty thousand (450,000). It is located in the south eastern part of Maharashtra State, India. This project offers a way to support both the state and city to use subsidies in a manner not done before, which is to include communities as partners in the process. The Nanded Waghala Municipal Corporation (NWMC) is a young municipal corporation and was recently upgraded from being only a municipal council, as a result it has limited institutional and technical capacity to plan and implement projects. 

Deliverables:

The in-situ construction of two hundred and sixteen (216) houses in the slums of Imran Colony, Ambedkar Nagar, Saraswati Nagar, Maganpura and Lalwadi. The houses are built in accordance with the designs, guidelines and standards raised in the detailed project report (DPR) for Nanded city housing. These slums are all a part of the Jawaharlal Nehru National Urban Renewal Mission (JNNURM) Basic Services for the Urban Poor (BSUP) scheme where project plans and DPRs are already in place and approved. A part of these slums have already undergone housing construction, and the contract awarded to the Alliance is to upgrade houses that have not yet been earmarked for construction under the programme.

Community capacity:

The capacity building will stem from the process of setting up new federated communities in Nanded, training them to on how to save and access loans in addition to training them on construction-related processes and skills. It falls upon the Alliance to negotiate with existing contractors to whom the work was originally tendered to work out a partnership to complete the project. This success has increased the Alliance's confidence to take on more work in the city.

Scale:

The aim is to replicate the project, initially, in all sixty-three (63) cities selected to be part of the JNNURM programme.

Impact:

The exchanges between Bombay and Nanded as well as the increased collaboration between the city and Federations have led to an increase in construction rates. It has also resulted in a review of billing procedures consequently making the projects more sustainable.

Finance:

SDI Contributions:

SDI contributed US$100,000.00 towards capital expenditure.

Resources Leveraged:

In addition to the state subsidy, the Federations have also received funds from the Community-led Infrastructure Financing Facility (CLIFF 1 & 2) as well as from SPARC/SSNS to bridge construction costs until the first set of bills are paid by the Municipal Corporation.  

State Subsidy:

The State subsidy was accessed through the Basic Services for the Urban Poor (BSUP) scheme, which is a component of the Jawarlal Nehru National Urban Renewal Mission (JNNURM). This ambitious project funds urban renewal and development projects in sixty-three cities across India. 

Costs recovered from community:

Since the project is subsidised by the State, there are no costs to be recovered from the community.

Desai, R., Mishra, A. & Jajoo, K. (2013). Learning from Nanded: A Study of Basic Services for the Urban Poor. [Online]. Available: http://cept.ac.in/UserFiles/File/CUE/Working%20Papers/Revised%20New/20CUEWP%2020_Learning%20from%20Nanded.pdf.
 
ESID. (2015). Lessons from India's Basic Sevices for the Urban Poor Programme, ESID Briefing Paper No. 13. [Online]. Available: http://www.effective-states.org/wp-content/uploads/briefing_papers/final-pdfs/esid_bp_13_BSUP.pdf
 
SPARC-SSNS. (2014). In-situ Housing Upgrading Projects in a Nutshell: Nanded, Maharashtra. [Online]. Available: http://sparcnirman.org/in-situ-nanded.html
 
[VIDEO]. NWCMC. (2015). Nanded City: Affordable Housing under BSUP. [Online]. Available: https://www.youtube.com/watch?v=xZWKcb4i2JI

Funding Information

Raised:

$100,000.00

Funding type:

Grant funding

Implementing Partners

Society for the Promotion of Area Resource Centres (SPARC)


National Slum Dwellers Federation (NSDF) and Mahila Milan