Approximately 96% of 2BHK units in Hyderabad unoccupied, says report

The state government has to ensure the timely transfer of fiscal grants to ULBs so that the financial position of ULBs can be strengthened, it said.
Image used for representtaion.
Image used for representtaion.Express
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HYDERABAD: Nearly 96% of the 46,442 completed Double-Bedroom Housing Scheme units within the Greater Hyderabad Municipal Corporation (GHMC) limits remained unoccupied for periods ranging from less than six months to 36 months, according to the CAG report on general, social and economic sectors for the year ending March 31, 2021, tabled in the Assembly on Thursday.

Even after four years since its inception, the state government failed to identify beneficiaries for the 2BHK housing scheme, which is aimed at providing double-bedroom houses to the poor, it added. 

Construction of over 50% of 2BHKs still pending

The state government had launched the 2BHK Housing Scheme with a 100% subsidy to provide “dignified housing” to the urban poor. The financial management of the scheme had shortfalls, the report said, adding that loan amounts drawn were kept idle or parked for some time, while funds were diverted to other schemes or institutions and the Telangana State Housing Corporation Limited (TSHCL) had to repay other loans not related to the 2BHK housing scheme.

In the GHMC limits, out of one lakh houses sanctioned, the construction of 48,178 (48%) houses was completed. Meanwhile, work in 45,735 houses was in progress while the construction of 6,087 houses was stopped or yet to be taken up by the end of six years (2020-21).

‘Ensure timely polls to ULBs’

Meanwhile, the CAG recommended that the government ensure timely polls to ULBs so that they can function as institutions of self-governance. Various sub-bodies such as ward committees and district planning committees (DPC) need to be constituted in the ULBs as envisaged in the Telangana Municipalities Act, 2019, it added.

While ward committees are not set up in many ULBs, there are no DPCs in any district. No consolidated draft development plans for considering local needs and matters of common interest were prepared, it added.

Though the provisions of the 74th Constitutional Amendment Act enunciate the devolution of functions to the ULBs, most of the functions were discharged by the state government through its departments/parastatal agencies, the report pointed out.

File photos show deplorable condition of 2BHK houses 
at Cherlapalli in Medchal-Malkajgiri district | 
Sri Loganathan Velmurugan
File photos show deplorable condition of 2BHK houses at Cherlapalli in Medchal-Malkajgiri district | Sri Loganathan Velmurugan

Deficiencies in management

Water supply was deficient in terms of per capita norms in many ULBs, the CAG found. Water meters have not been installed in many of the ULBs, it mentioned, adding that water audit was not being done in ULBs to detect the pilferage/losses. Draft rules for periodical revision of water charges are yet to be approved by the state government while the ULBs were unable to meet the cost of water supply, the report said.

Solid Waste Management was ineffective due to the non-identification of sites for sanitary landfills in many of the ULBs and the non-collection of garbage charges from the households in ULBs. Thus, the ULBs could not achieve the Service Level Benchmarks (SLBs) in water supply and solid waste management functions, according to the report.

Surcharge on stamp duty collected should be passed on to ULBs in the state which is one of the main sources of assigned revenue to ULBs, the CAG recommended. Out of the total amount of surcharge on stamp duty collected (Rs 1,879.66 crore) during 2019-20 and 2020-21 by the Registration and Stamps department, an amount of Rs 57.17 crore was transferred to ULBs during 2019-20.

However, the balance amount of Rs 1,822.49 crore has not been transferred to the ULBs since May 2019, it added.

The state government has to ensure the timely transfer of fiscal grants to ULBs so that the financial position of ULBs can be strengthened, it said.

The government should avoid delays in the constitution of the State Finance Commission and ensure prompt implementation of their recommendations in a timely manner, the CAG recommended.

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