HYDERABAD: The Telangana state government's flagship double bedroom housing project (2BHK) has come to a grinding halt. The contractors have issued an ultimatum that they would stop the project with immediate effect if the government failed to clear dues worth Rs 300 crore for the completed houses in the Greater Hyderabad Municipal Corporation (GHMC) limits. If the tenders are invited afresh, the project cost will be escalated to Rs 1,000 crore.
The state government formulated the double bedroom housing scheme in October 2015 with a view to protect the dignity of the poor by providing 100 per cent subsidised housing. There is no beneficiary contribution under this scheme which is one-of-its-kind. In rural areas, beneficiaries solely depend on seasonal works for a living, the 2BHK housing could have protected them from debt traps as was the case in the past.
However, the noble initiative has put the contractors into a tight spot due to untimely payments, and the project has been dragged till date. Over the span of six years, the corporation could complete and deliver mere 3,000 dwelling units in about 20 colonies in the GHMC limits. About 30,000 houses have been almost completed apart from some minor works, which could be distributed and about 60,000 houses are in various stages of completion after spending about Rs 6,500 crore.
If the pending Rs 300 crore would be released, the corporation could finish the construction of 30,000 houses. However, these bills have not been cleared for a year and civic body authorities claim that the government is in no mood to release the funds for the project.
A senior GHMC official requesting anonymity said the contractors had already issued an ultimatum to exit from the project if pending bills were not released. He said the contractors had been waiting for their payments since last year. The official said contractors had been paying the labourers at all 2BHK sites with no work. He said if the contractors made an exit, the fresh renders had to be invited according to the current market price and that would cost an extra Rs 1,000 crore due to the price escalation. The official also said that the corporation would additionally need another Rs 600 crore for providing infrastructure and basic civic amenities.
The state government allocated a total Rs 8,598.58 crore for the construction of one lakh double bedroom houses. Out of this, the government has so far released Rs 6,500 crore. Officials say had the government released the entire amount at one go, 2 BHK houses would have been completed a year ago and could have been handed over to the revenue department for distribution to beneficiaries.
