Project Cost Management for Affordable Housing Project
Pradhan Mantri Awas Yojana – Urban (PMAY-U), a flagship Mission of Government of India being implemented by Ministry of Housing and Urban Affairs (MoHUA), was launched in June 2015. The Mission aims to provide solution for urban housing shortage among the EWS/LIG and MIG categories including the slum dwellers. Government aims to provide pucca house to all eligible urban households. ULB plays a vital role in implementation by carrying out feasibility study, acquiring or allotting land, prepare project execution plan including scope, schedule and cost baselines. Funds are allotted for construction and schemes such as in situ slum rehabilitation are majorly by using public money. The state and central government provides a sum to support this, which is smaller compared to actual project cost. Therefore, affordable housing projects are required to be completed within stringent budget requirements. It is quite challenging to contain the construction cost while ensuring required structural and overall quality. The DRP aims to finding out ways to reduce project cost by reviewing design, specifications, construction technology, and other possible avenues of cost optimization. It will also explore other avenues of funding project.
