MUMBAI: The state govt will dip into BMC coffers to build houses for Mumbai’s erstwhile mill workers. The BMC will provide Rs 1,500 crore for houses to be constructed in a joint partnership under the Pradhan Mantri Awas Yojana.
The state government will provide Rs 3,000 crore to the housing department as a subsidy.
The decision comes on the eve of the Lok Sabha elections. For the last eight months, the government has sought applications from mill workers and their heirs for free housing.
The last date for submission of applications has now been extended to March 15. So far, it has received 1.06 lakh applications of which 87,651 have found to be eligible for free housing.
It is estimated that there were 1.5 lakh mill workers in these 58 mills. Most of the housing will be created in the Mumbai Metropolitan Region.
The mills shut down in the 1980s and when the govt allowed the redevelopment of mill lands, it had promised free housing to all mill workers. However, only a few thousand have been provided housing.
The cabinet approved the proposal which offered three options for the construction of the housing complexes. These will be constructed on government land and private landowners will be approached for a joint venture under the PM Awaas Yojana. The housing department will identify land, issue tenders to appoint builders while a high-powered committee headed by the chief secretary will finalise bids and negotiate with the builders. The project will be given the same sops as under the PM Awas Yojana.
It is estimated that the project will cost approximately Rs 5,000 crore. The funds required for these projects will be sourced one-third from the BMC and the Maharashtra Nivara Nidhi.
A budgetary provision will be made for the balance Rs 1,500 crore.
