G.O.(Ms). No.4, Pradhan Mantri Awaas Yojana (Gramin), 2022
The Rural Development and Panchayat Raj (CGS.1) Department issued G.O.(Ms). No.4, dated 7 January 2022, granting administrative sanction for Rs.1,355 crore towards unit cost and Rs.1,040 crore towards roofing cost for 2,89,887 houses under the Pradhan Mantri Awaas Yojana (Gramin) for 2021-22. Financial sanction is to be issued only after the Government of India releases its share.
What the government approved
The Rural Development and Panchayat Raj (CGS.1) Department, through G.O.(Ms). No.4 dated 7 January 2022, approved administrative sanction for rural housing under the Pradhan Mantri Awaas Yojana (Gramin). The approval covers 2,89,887 houses allotted for 2021-22.
The sanctioned amounts are:
- Rs.1,355 crore towards unit cost.
- Rs.1,040 crore towards roofing cost.
- Financial sanction will be made only after the Government of India releases its share.
- Additional expenditure relating to roofing cost will be treated as a New Instrument of Service.
Background and funding proposal
The Government of India allocated 2,89,887 houses for 2021-22, with an outlay of Rs.3,548.22 crore and a State share of Rs.1,419.29 crore. The Director of Rural Development and Panchayat Raj reported that the current schedule of rates placed the approximate construction cost at Rs.3,78,000 per house.
The State proposal included an additional Rs.70,000 per house, over the existing RCC roofing cost of Rs.50,000. The additional amount was intended to reduce the burden on beneficiaries caused by increased construction material costs. The Director requested Rs.2,029.209 crore as additional State funding for the 2,89,887 houses.
How payments were proposed
The payment method described in G.O.(Ms). No.4 includes:
- The Government of India unit cost of Rs.1.20 lakh, including the State share, is to be paid directly into beneficiary bank accounts from the State Nodal Account through PFMS.
- Payment of the unit cost is to be made in four instalments through Fund Transfer Orders.
- The RCC roofing cost of Rs.50,000 and additional State funding of Rs.70,000 are to be released to District Rural Development Agencies.
- District Rural Development Agencies are to release funds to Blocks for procuring materials, paying skilled labourers and related purposes.
- The Director of Rural Development and Panchayat Raj may calculate and release the additional State share in stages.
Who is affected
G.O.(Ms). No.4 concerns beneficiaries of the Pradhan Mantri Awaas Yojana (Gramin), District Collectors outside Chennai District, District Rural Development Agencies and rural development officials. It deals with rural housing construction funding and does not set out any change to land ownership, land classification or property registration.
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Common questions
Does G.O.(Ms). No.4 provide funding for every rural household?
No. It covers 2,89,887 houses allotted under the Pradhan Mantri Awaas Yojana (Gramin) for 2021-22.
Will beneficiaries receive the unit cost directly?
The Government of India unit cost of Rs.1.20 lakh, including the State share, is to be paid directly into beneficiary bank accounts in four instalments through PFMS.
When will the financial sanction be issued?
Financial sanction will be made only after the Government of India releases its share.
Does G.O.(Ms). No.4 change my land title or property registration?
No land title or property registration change is set out. The document concerns funding for construction of houses under the rural housing scheme.
