Affordability
is a state of mind which is directly related to a man’s state of wallet… Mark
Twain.
Affordable housing; challenges & facts!
When my college friend Suresh Thakur who is now with Cidco,
called me & asked about can I deliver a lecture come presentation about
Affordable Housing at Cidco on Engineer’s Day, in one moment I said yes I will.
But later when I started thinking about it as I do get tense always before any
lecture but got real tense this time by thinking have I made a mistake by
saying yes to Thakrya i.e. his nickname from college day like mine was Pandya!
As Cidco, for those who may not know full form is City & Industrial
Development Corporation, an organization of State undertaking, which has been
established in 80’s for infrastructure development at New Mumbai. Now with spread
over hundreds of square kilometer area & technical staff over 400
professionals & mega projects like Metro to Airport under its belt, what I
am going to talk, in front of all these people? As the lecture was supposed to
be for Cidco Engineer’s Association, so the crowd was going to be all the engineers with years of experiences under
their belt & Cidco themselves has completed thousands of houses, buildings
on their own, so my job seemed more & more difficult. Yet again next when
Thakrya called to give me guide lines about the topic, we discussed about the
outline of the subject & he told me to keep it on lighter tone instead
going for some serious technology & figures. There I find the first clue as
how I will be presenting the topic & next four days only thing on my mind
was presentation. With my team & available images of the subject I worked
out a theme & with butterflies in stomach I went for the lecture on 15th
Sept to Cidco Bhavan at New Mumbai.
I rarely write before I speak so here is the outcome…
Dear Engineer Friends at Cidco,
I am really thankful to you all
as well Mr. Thakur who is my friend & my engg mate also, & it’s a real
honor for a boy who nearly 25 years back was visiting projects being built by
this great organization as part of his 2nd & 3rd year
engineering & today the same boy is standing in front of you as a technical
speaker! What better honor of my engineering education could have been done by
you all! Well let me share at first that I was real tense for being here &
was trying to think of reasons to say no to this invite even after accepting as
was not having enough guts to stand & tell something about construction
industry to you guys, but then gathered all my courage & thought of calling
this as sharing & not lecture or presentation. We all out there in the field
have seen enough concrete, so it may be nothing new I am going to speak about
affordable housing which is a need of the country & not just you all at
Cidco; yet it’s the topic from my own exposure with 24 years in housing
industry now. Roti, kapda aur makan, are
three basic essentials of our society & on first two fronts we have done a
lot but till today we have neglected the last front i.e. Makan i.e. Housing!
Today is Sir Vishvesarrayya's Birth day which we celebrate as Engineer’s Day &
one of his famous quotes I will share it here “An
Engineer is not the one who solves the problem but an Engineer is the one who
see the problem in advance & avoids it”! Well, we haven’t seen the
problem of affordable housing is a fact & now we are in state of solving
it, though better late than never. For that we have to understand what actually
affordable housing is & then why we have failed to make it? As once we accept
the facts then we will be in better position to solve the problem is what I
always feel.
Here I will like to share two stories which I thought can be best
correlated with today’s topic….
We all mostly have heard the name of Mulla Nasiruddin
from Egypt, a witty & wise character from folk stories. One day mulla
decided to sale of his old donkey & with his young son along started
towards village bazaar with the donkey. On road they met one villager who after
“salam aalecum”, asked about where they are going & after knowing the
purpose suggested them why mulla isn’t riding the donkey instead walking? Mulla
seeing point in suggestion ridded the donkey & the set of. After some distance
they came across another villager who after knowing purpose of journey, scowled
at mulla & said your young son is walking & you are riding the donkey?
Mulla accepted his fault & got down from the donkey & made his son
ride. Again after some distance another villager they met & who said is
mulla a fool? As anyway they are going to sale the donkey so why not both
father & son ride to bazaar? So mulla & son both ridded the donkey
& marched on. After some distance one more villager they met who after the
village formalities scowled them about their cruel behavior & said the
donkey has served them till his old age & now they are treating his like inhumanly!
Rather they should carry the donkey on their shoulder to the bazaar! Agreeing
to this mulla & his son tried to lift the donkey on their shoulder but in
the mean time they have reached on a bridge & in the entire effort of
lifting the donkey, it got frightened & started to run & in that mess
fall down in river & gone! With due respect to all here the donkey in our
story is Affordable Housing, Mull is our rulers whom we only have elected &
the boy is common man. The villagers are builders, NGO’S & Consultants. As that’s what has
happened with the affordable housing!
Another one is about bind men & elephant! Here elephant is
affordable housing & blind men are all of us, some thinks increasing
fsi of affordable housing, some says
high rise building is affordable housing & list goes on but we have never
tried to see it in holistic way is a fact & that’s why we have yet
understood the concept itself!
Affordable Housing is multidimensional & one single aspect
isn’t going to define it. So I have listed down the factors which we can
discuss in brief as that will give enough matter to our brains to dig them
more. That’s best I can do!
Defining
Affordable
Land
Infrastructure
Size/Planning
Cost of
Living i.e. Services
Distribution
to End User
Population
Environment/Biodiversity
So let’s go point wise through these factors, though as I said
lot many things we may be knowing but to know something is one part but what we
are doing with what we know is what makes us an engineer, let’s not forget
this!
Defining
Affordable:
As the great & witty writer has mentioned in his quote it’s
pretty difficult what is affordable as its very individual aspect of the society.
But if you consider other commodities say a cup of tea, then you can get it in
Rs 5 at a street joint to Rs 500 in plush lobby of Taj hotel, it’s up to us
what we can afford yet the tea & the feeling it gives is mostly same. Similarly
if someone wants to buy a car then he can have Rs 1.50 lacs Tata Nano &
then there is BMW of Ra 1.50 crores, yet both serves the purpose & both
takes three & half hour for journey of Pune-Mumbai, it’s again our
affordability which decides what we can have. But is it the case of homes? If I have Rs 5 crores in my wallet, I can
buy home anywhere but what if I have only Rs 5 lacs in my wallet, now what I
do? I can’t get a home in Rs 5 lacs is we all know & here is where we need
to redefine the age old terms in Cidco or any Govt housing schemes like LIG,
MIG or HIG i.e. Low income group or high income group. Now there are only two categories urban poor & urban rich &
it’s the urban poor we should keep in mind with their average income. Not to
forget all other increased living costs like education, commuting to work place
& medical etc. So how much a family can spend for house needs to define for
defining affordability. Then make soft loans available to buyer as well
developer so it will facilitate both to make affordable housing possible. At
the same time to lift the buying capacity of common man is equally important
& what are we doing about it the question.
Land:
After this we come to most important aspect in housing, the
land! Right from learning geography in 10th standard we know that balanced
land use is utmost important for a healthy society but what have we done about
it is the crux of the problem. Land is
limited & demand is ever increasing so high time to define land use for
housing keeping in mind actual need of the population. And for that get out
from age old Regional Development plans i.e. RP & Development plans i.e.
DP! Why not to have a State Development Plan in place defining use of every
inch of land in State & then micro planning it? It’s nearly sixty eight
years after independence & why no Govt has done it, rather it’s shocking
that many districts don’t have even RP & then how we are going to provide
lands for the homes?
Once we designate lands then see that it comes under the use
for which it has been designated. In countries like USA & UK, if the land
reserved for housing is kept without developing then there are heavy property
taxes for the land owner making him put in use it has been reserved for thus
shortage of land issue is taken care. Why can’t we follow such practices?
Then the land rate factor comes in picture as just giving more
FSI for the available land isn’t the solution as to utilize that FSI we need to
go for high rise buildings & then the construction cost & other factors
makes the home unaffordable, so put more land under housing & fast is the
key! At the same time keep control on land prices as it’s the only commodity
which don’t have MRP i.e. maximum retail price. Our ready reckoner index decides minimum value of
land but what’s control on maximum value & just a guy can hold the land
being unused he can enjoy price escalation is most ridiculous thing in our
country & it has to be stopped. Same norm should be applied to finish
product i.e. home. Unless & until we don’t fix land rates, affordable
housing will always be a dream! We had Urban Land Ceiling act to govern home
prices & blaming ULC itself for the cause of high home prices we abolished
it but what effect it has made in actual, have we analyzed it?
Infrastructure:
There are three types of infrastructures; one is
Physical which includes Roads, Public Transport, Water, Drainage, Power,
Garbage, Industries and Jobs. And second is Social, which includes Recreation,
Art, Health and Education.
This factor is the key in land prices as like the famous
question” Pahale anda ki pahale murgi?” i.e. egg came first of chicken, first infrastructure
or first homes is the question. As if we built infrastructure first then the
land prices goes high & the homes become costly. But if there is no infrastructure
the homes are unlivable as well unsalable! A balance has to be carved in this
as it’s the infrastructure of a particular locality which decides in which
direction the pendulum of the development is going. For e.g. take example of regions like Vidarbha
& Marathwada which have no water, no drainage treatment plants, no
industries or road networks & no jobs. So the population from this area is continuously
migrating to cities like Mumbai, Pune & Nasik, making the infrastructure in
these areas overburdened as well prices of land getting on constant rise here.
So if we plan proper infrastructure for entire State then there will a big
relief of some particular area getting over burdened. At the same time lack of
proper infrastructure adds on the construction cost for e.g. poor public
transport makes people to have private vehicles & that needs parking places
adding in construction cost. In Singapore large complexes are also without
parking floors & no one needs private vehicles. Same is case with drainage
treatment plants for every single building.
Third type of infrastructure which we rarely notice is Govt infrastructure
i.e. a system which controls development regarding housing. We have currently,
MHADA, CIDCO, Urban Development, Town Planning along with Municipal Corporation,
Municipalities & Collector & Housing Ministry; all these are supposed
to work on housing policies as well making homes available to common man &
what is result? All we see around is delays & conflicts & confusion, in
making policies regarding housing. There has to be one single body or authority regarding
anything with housing & make a district level cadre of the same like
revenue system. This will ensure fast & simple project approval system as presently it’s the time in obtaining
various NOC’s & making way through the maze of the bylaws which is killing
the affordability index of homes.
Size
/Planning of Units:
A standard concept is make small homes to make them
affordable, like Slum redevelopment units or Economically weaker housing, the
units are supposed to be of some 300 odd sq ft, believe me it’s a joke! First it’s
very much costly on account of construction cost to make small units for
providing them various services & second is you can expect family of four
to five people in that small space. So small isn’t affordable, accept it! Let’s
give enough room to the people to live & for that work out various model
plans which will blend living as well costing. Just giving four or five times
FSI & going high rise isn’t solution. As the services cost increases in
doing so is a fact. Let’s spread horizontally too, keep lots of common areas to
people for socializing & then work out the costing. For this we will have
to give reduction in premiums for common passages & such areas so planners
will provide more such areas. Have a plan with use of ample natural light &
ventilation thus curtailing use of artificial power.
Construction,
Alternate Materials & Practices, R & D:
We need to find a answer to age old concrete technology as all
its ingredients are from natural resources i.e. sand, metal, clay & someday
it’s going to get finished, what we are going to do that day? Similarly we need
new Construction practices to reduce cost of construction. It’s unfortunate as there is not a single R & D center dedicated to
affordable housing which will collect all the information about alternate
materials or construction practices & gather data regarding everything
needed about housing. Remember information is the key to every problem &
right now what we lack is exact information. Here Cidco in coordination with
CREDAI, which is association of developers, can take lead & create a
research facility dedicated to affordable housing.
Cost of
Living/ Services:
An affordable home is not the one which is low at
initial cost but it should be low on daily outgoings also! Here lot
of Innovative fusion is required between need & maintenance costing as well
construction cost, for e.g., Supply of Solar hot water at one common point on
each floor. This will reduce the wastage of cold water from all down takes
which is in initial stage when we start solar hot water taps as well laying
costs will be minimized. On the same line think of common washing machines per
floor. Many such things can be worked out to reduce the daily maintenance costs
of the services a housing complex is utilizing. Let’s plan to balance between
wastage & need. Think of using rain water by collecting it centrally, open -spaces
can be used as rain water lakes reducing water demand.
There has to be separate professional agency for maintaining
the services & also a payment system assuring each user pays for these
services. We can think of job generating amongst the residents only for
maintaining these services.
Distribution
to End User:
Lastly there has to be a system to ensure that the real needy
are getting the affordable homes & a periodic checking or noc for the same
is a must to ensure that these homes are being used for the cause they have
been built for! Many things can be
considered while distributing these homes to make them more affordable for e.g.
people from same industry living along will make designing of public transport
for them a lot easy saving on use of their personal vehicle use! Make all the
information about such homes available on web site & update it regularly
with information of how to apply for them & allotment process, so every
real needy common person will have access to that information. As there only
lies the true success of affordable housing!
Population:
This is the biggest threat to affordable housing as land is
area is fix & our population ever increasing! With the rate of our
population increase we will never be able to give home for all, so this aspect
may on face will look having no connection with affordable housing but is
directly related in actual! There has to have a root level campaign for population
control with a target to see that it’s in control. As slums are byproducts of us
failing in judging the population & being incapable of giving affordable
homes to that population!
Environment
& Biodiversity Conservation:
While designing affordable homes let’s not
forget that we are not alone on this planet. There are thousands of other
species, right from sparrow to tiger & they too need a home & there is
no CIDCO to arrange for any infrastructure or affordable housing for them! So
when we design our homes it’s our responsibility to see that there is a space
for all such species & a balance in biodiversity is maintained as then only
we can call it home or else we will end up in concrete jungle without any life
in it!
Finally the developers also should not forget that affordable
housing is need of time & somewhere how much profit we will be making from
any project that has to be decided by us only! As this is
not just Govt’s responsibility but each of us also. Let’s remember ultimately it’s our finished products selling price
with which land prices are related!
To conclude, I
will share a quote from my favorite movie Spider Man, “With great powers comes along great responsibilities”. And if
being engineer is a power we have of knowledge then to use that power to make
affordable homes so no family of this country should be required to worry for
their own home, is the responsibility which has come along with that power! So let’s
unite & do our best is my wish as that will be true tribute to Sir
Vishvesarayya! Thanks once again for giving me this honor as these moment I
will be cherish forever.
Jay Maharashtra, Jay Hind!