In a nation grappling with a severe housing shortage for its economically weakest sections, the concept of "low-cost housing" has surprisingly faded from public consciousness and policy discourse. A crisis impacting millions of the nation's poorest, the need for affordable housing has become even more pressing as India's population overtakes China to emerge as the most populous nation. If left unaddressed, the housing crisis may result in mass homelessness and undignified living conditions for citizens.
The alarming magnitude of the affordable housing crisis is evident from government data. In 2018, the Housing and Urban Affairs Ministry estimated an urban housing shortage of 29 million units. The government has undoubtedly undertaken affordable housing schemes like the Pradhan Mantri Awas Yojana (PMAY) launched in 2015 to incentivize private participation. Yet progress has been tardy, with only 3.67 million out of the 20 million targeted urban units completed until August 2020 under PMAY.
Experts attribute the housing crunch to laggard affordable housing construction, shrinking land allotments, prioritization of housing for the privileged classes over the underprivileged, and widespread demolitions displacing the poor. Despite allocating substantial funds - the government says it has spent $29 billion with states on rural and urban housing over the past five years under PMAY - progress has been tardy. Well-intentioned, government policies have fallen short in improving housing quality and providing shelter at the scale required. Given the high cost of land and construction materials in India, building low-cost houses for low-income people is not economically viable, therefore, the low-income class cannot afford the house unless the charges are subsidized.
The fundamental flaw in the 'affordable housing' paradigm for the poorest segments is its market-oriented premise that fails to account for the harsh economic realities they face. When applied to households below the poverty line, conventional affordability criteria like equated monthly installments not exceeding 30% of income simply do not hold up. The poor spend a disproportionately higher share of income on basic needs like food, leaving little to no disposable income for any form of housing installments. This renders the entire 'affordable' housing construct unviable and economically unattainable for this population. Additionally, authorities have adopted a one-size-fits-all approach to the diverse needs of those with negligible housing budgets, rather than coming up with innovative and tailored solutions.
The concept of affordable housing has become enmeshed in developer-oriented real estate vocabulary focused on maximizing returns. This, however, has been successful in extending the conversation to the private sector. Real estate developers have undeniably catalyzed India's existing housing stock and must be incentivized to participate in tailored low-cost solutions by making it market-oriented. Ultimately, transcending past supply-side constraints will require housing to be positioned as a fundamental human right rather than subjugated to market forces. "In a nation of millions of shelter deprived, you would expect Low-cost Housing to be a mantra, not just in the government but among the business classes too" states architect G Shankar Narayan in his essay The Forgotten Case Of Low-Cost Housing.
What was once an active area of innovation by the likes of Laurie Baker has been largely abandoned by today's architects. Discourse and debate around low-cost housing are no longer common to come across, reflecting how practice falls off the radar in contemporary India itself. "Many architectural media obsesses over photogenic high-end projects while ignoring the need for equitable and affordable housing", Narayan notices. Resurrecting the dialogue around low-cost housing design and construction within the architectural community is imperative in the 21st century.
Low-cost housing needs to be actively championed as a key priority by the architectural community at large through dedicated forums, conventions, research initiatives, and advocacy efforts. The lack of a low-cost housing category even in prestigious architectural awards is much needed. Architects must collaborate with authorities on policy formulation rather than ceding this space entirely to private developers.
Sources suggest a potential 15% hike in government budgetary allocations for low-cost housing to $12 billion for 2024-25 amid plans to increase interest subsidy support on low-cost home loans. While providing a policy-level catalyst, the government alone cannot solve this systemic crisis. It will require a broader societal shift in attitudes – from the architectural fraternity to corporations, academics, and civil society. Only then can low-cost housing regain center stage as a national priority befitting its role as a fundamental human imperative for India's vast underprivileged millions.
This article is part of an ArchDaily series titled India: Building for Billions, where we discuss the effects of population rise, urbanization, and economic growth on India’s built environment. Through the series, we explore local and international innovations responding to India’s urban growth. We also talk to the architect, builders, and community, seeking to underline their personal experiences. As always, at ArchDaily, we highly appreciate the input of our readers. If you think we should feature a certain project, please submit your suggestions.
