KCR’s 2BHK housing scheme: An image-booster now marred by issues

In October 2015, the Telangana government made a grand announcement about Dignity Housing, a scheme to distribute two-bedroom (2BHK) houses with an aim of providing affordable and quality housing to the poor. A total of 2.93 lakh houses were to be built by 2023 and handed over to people below the poverty line. The scheme promised to protect people who wanted to own a house from falling into debt traps. 

The Telangana Rashtra Samithi government has, on different occasions, remarked that the scheme was introduced “with a view to provide dignity to the poor by giving 100 percent subsidised housing.”

Eight years later, over 1.42 lakh houses have been built and allocated throughout the state. The project, which could have become a major image booster for the TRS – later renamed Bharat Rashtra Samithi– has, however, been marred by several issues.

Initially, Government Order No. 10 outlined the guidelines for the scheme, stipulating that the minister in charge of the district and MLA would provide a list of eligible beneficiaries for their Assembly constituency and jointly approve the houses. This granted the legislators major control over the selection of beneficiaries. However, after facing backlash, the government introduced an amendment a month later.

According to GO MS 12, a district-level committee consisting of MLAs of the district, chaired by the minister in charge of the district with the district collector as the convener, would be responsible for implementing the scheme. The finalised beneficiary list, determined through a draw of lots conducted by the tehsildar for each gram panchayat or ward, will be presented to the committee for approval. Upon approval, the district collector will issue the necessary sanction orders.

The News Minute visited several of the 2BHK colonies in the state and talked to beneficiaries to check on the progress and effectiveness of the programme.

Current project status

The government began distribution of completed houses within the Greater Hyderabad Municipal Corporation limits when the election was only two months away. The applications were collected for about seven years and all the 67,000 houses were distributed within just two months. However, the beneficiaries have to wait for a few more months to move into their new homes. GHMC officials said that the electricity, water and drainage facilities have not been completed in some colonies, so there is a delay in handing over the keys.

“This is an election tactic. Why aren’t the people able to move in yet?” NV Subash, a spokesperson for the BJP asked. “We have put pressure on the government regarding the 2BHK scheme. That is why they disbursed it in no time,” he added. He also alleged that the scheme is benefitting BRS sympathisers more. “Our BJP karyakartas did not find their names in the list.”

Other than GHMC, Siddipet, Nizamabad, and Khammam districts are the highest beneficiaries of the housing scheme, with Siddipet leading in both the number of completed houses and budget allocation. In Siddipet, 10,667 houses have been completed out of the total 15,398 sanctioned, utilising the highest budget of Rs 660 crore. In Nizamabad and Khammam, the construction completion rate is less than 50 percent.

Interestingly, Gajwel constituency, which is part of Siddipet district and has a population of a little over 10 lakh, was allocated over 15,000 houses while the whole of Nizamabad district with a population over 15 lakh also received the same allocation. It may be noted that the constituencies of both Chief Minister K Chandrashekar Rao and Harish Rao, KCR’s nephew and state finance minister, are in Siddipet district.

Hanamkonda, Komaram Bheem, and Mancherial have been allotted fewer than 400 houses each, making them the districts with the lowest housing allocations.

Considering the rise in cost per unit due to delay in construction, in 2021, KCR said that Rs 5 lakh will be provided to those who owned plots to construct a house. However, two years later, the government announced the Gruhalaxmi scheme, under which Rs 3 lakh will be provided to four lakh plot owners with a budget of Rs 12,000 crore.

In Gajwel, both original and rehabilitated residents have concerns

According to the revenue department, 1,100 2BHK units have been built in Muthirajpalle, a rehabilitation colony located about two km from Gajwel for those displaced due to the Mallanna Sagar dam project. A part of the Kaleshwaram project, Mallanna Sagar dam is located in Siddipet’s Kukunoorpally village and provides drinking water to Hyderabad in addition to catering to irrigation and industrial needs. Residents from 14 villages, such as Vemulaghat, Pallepahad, Kishtapur, and Singaram, were rehabilitated to Muthirajpalle.

“They will shift to the rehabilitation colony once the construction of the houses is complete,” revenue inspector Krishna said.

However, this means that the original beneficiaries from the town have not been allocated houses. In March this year, they protested in front of the collectorate and demanded immediate allotment.

“The poor in Gajwel are opposing KCR’s rule. Only a few hundred houses have been built in Gajwel town but those too are allocated to non-locals. In other places in the constituency too, there is involvement of the sarpanch, and the Mandal Parishad Territorial Constituency is favouring their people,” said Sardar, a Congress leader from Gajwel.

Meanwhile, residents of Muthirajpalle rehabilitation colony told TNM that lack of livelihood opportunities has severely impacted them while expressing disappointment with the government. “The people in our colony want to raise the issue of joblessness in the elections. We will vote for whoever promises us that,” a resident said.

Dileep from the NGO Human Rights Forum said, “The Mallanna Sagar project was constructed very quickly by acquiring lands from the local residents. The rehabilitated families expect to have better lives and jobs. Rehabilitation does not mean just relocation. But there are no jobs  here, landowners have turned into agricultural labourers.”

Hyderabad allottees mostly happy

The allottees in Hyderabad are happy with the 2BHK scheme as the cost of living is very high in the city and owning a house is a dream for many. But there is a big problem. The houses have been allocated to residents in GHMC limits, far away from their current location – anywhere from 30 to 150 km. This also means they have to find new jobs and new schools for their children.

Upendra, 50, who works as a plumber in LB Nagar, has been allocated a house in the 2BHK colony at Rampally. 

“The colony is about 30 km away from my place of work. Mine is not a salaried job and I have regular clients here. I hoped to get a house closer to LB Nagar. But, we will move to Rampally because I can save some money on rent,” he said, adding, “The officials asked us for a caste certificate and I do not have one.”

According to GHMC officials, some of the beneficiaries do not have ration cards and caste certificates but have been allocated a house. “They were asked for all the details while applying but were unable to furnish it at that time. We are not asking for these documents now,” a GHMC officer said.

When TNM visited Rampally, though the interior roads had been laid, the colony was very difficult to access as the road leading to it was unpaved and muddy and overgrown with shrubs. One of the biggest colonies within GHMC limits with 6,240 unoccupied 2BHK units, it is located about three km from the Pocharam Infosys campus.

The 2BHK housing flats in Jangammet colony in Chandrayangutta were also unoccupied. While most of the construction work was completed over a year ago, electric works are yet to be finished, TNM found.

In Bahadurpura constituency in Hyderabad district, several people said that despite being allotted a house the keys hadn’t been handed over. Several residents in Al Jubail Colony said, “Chabbi nai diye, bas dikhaye (They haven’t given us the keys, they just showed us the house)”.

Speaking to TNM, 30-year-old Faymeda Khatum said, “We were all told that we will be shifted to a 2BHK house in Kollur, which comes under Sangareddy district.” Kollur has the largest 2BHK colony in the district with over 15,000 flats. It is 120 km from Bahadurpura and like Faymeda, several others are worried about finding employment in the new place.

However, some beneficiaries are eager to own a new flat and not worried about moving to a far off place. Chandrika, a 30-year-old single mother and resident of LB Nagar, was allocated a housing unit in Jawahar Nagar Colony, about 30 km away. 

“I applied for the house eight years ago and it has been allocated now,” she said. “I visited the colony and saw the flat from outside. They did not let us inside the flat. We were told that the keys would be given in January.” 

Chandrika works at a tailoring shop in Amberpet in the city and said she would commute from her new flat. “Location is not a problem for me. I would like to move as soon as possible. I have a son and an ailing father to take care of. I can save what I pay towards rent,” she said.

A Dalit activist told TNM that most urban poor who belong to Scheduled Caste and Scheduled Tribe groups have to bear the brunt of a long commute. “These communities are employed as watchmen, domestic workers, mechanics, etc. The houses given to them are far away. If you think about it critically, the government believes that the poor can be relegated to any corner,” he observed.

“Housing is the most important intervention in poverty alleviation programmes. It is the most expensive scheme too. There will be complaints that there are not enough houses, but whoever forms the next government should continue this scheme. Wherever low cost housing is provided, one can see a significant improvement in the lives of the beneficiaries. It gives a sense of ownership to the poor. Large scale construction also benefits the state’s economy,” said Amirullah Khan, an economist.

Urban civic activist SQ Masood said, “Cash benefit schemes are temporary, but housing is a big issue for urban poor. The average income of urban poor individuals is Rs 15,000 and a major part of that goes towards rent.” 

But he added that as the selection of beneficiaries is done via a draw system, it has left out the most eligible beneficiaries in many cases. “The government finished the project three years ago, but they allocated the houses much later in a random manner so the benefit did not reach the last person in the line.”

With inputs from Anjana Meenakshi.

This report has been published as part of the joint NL-TNM Election Fund and is supported by hundreds of readers. Click here to power our ground reports.