CCEA approves two-year extension of BSUP and IHSDP under JNNURM

Extension in time is expected to benefit more than three lakh urban poor in getting their pucca houses 

The Cabinet Committee on Economic Affairs (CCEA), chaired by the Prime Minister Narendra Modi, today gave its approval for extension of time by two years that is beyond 31.03.2015 up to 31.03.2017 for completion of projects sanctioned till March, 2012 under the Sub-Mission on Basic Services to the Urban Poor (BSUP) and Integrated Housing and Slum Development Programme (IHSDP). These are components of the Jawaharlal Nehru National Urban Renewal Mission (JNNURM). 

This extension in time period is expected to benefit more than three lakh urban poor in getting their pucca houses. An amount of Rs 350 crore would be required to be released to various States by the Central Government after adjustment of excess release of funds. The extension of time would help in completing the 3.6 lakh dwelling units, which are at various stages of completion, resulting in benefits made available to the urban poor including slum-dwellers.

The JNNURM comprises four components of which two namely the Sub-Mission for Urban Infrastructure and Governance (UIG) and the Sub-Mission for Basic Services to the Urban Poor (BSUP) are being implemented in 65 cities.

Initially duration of the Mission was seven years beginning from 2005-06 till 2011-12. Due to various factors such as non-availability of litigation-free land, finalization of beneficiaries, delay in financial closure and cost escalation some projects were delayed with consequent time and cost overruns. The Mission was extended earlier upto 31.03.2015 for completion of projects that had been approved till 31.03.2012.