Telangana Demands 11.56 Lakh Rural Houses from Centre, Proposes SHG‑Led Leasing Model for PMAY‑G 2.0

Telangana Demands 11.5 Lakh Rural Houses under PMAY‑G 2.0: Implementation Gaps and Accountability

Telangana’s Housing and Revenue Minister Ponguleti Srinivasa Reddy on 13 August 2026 formally urged the Union Government to allocate 11,56,915 houses to the state in a single tranche of the Pradhan Mantri Awas Yojana‑Gramin (PMAY‑G 2.0). The request follows a door‑to‑door enumeration using the ‘Awaas Plus‑2024’ app, which identified the same number of eligible rural families, yet the central target announcement remains pending.

The Pradhan Mantri Awas Yojana was launched on 25 June 2015 with the explicit aim of achieving “Housing for All” by 2022. It operates through two parallel components—PMAY‑U for urban areas and PMAY‑G for rural households—each administered by the Ministry of Housing and Urban Affairs in coordination with state governments.

• ▸Launched: 25 June 2015
• ▸“Housing for All” target: 2022
• ▸Legal foundation: National Housing Policy 2007 enshrines the goal as a Directive Principle of State Policy
• ▸Rural component: PMAY‑G provides subsidy up to ₹1.07 lakh per house
• ▸Urban component: PMAY‑U includes a slum‑rehabilitation sub‑scheme

Institutional Architecture and Constitutional Basis

The scheme’s federal design rests on Article 246 of the Constitution, which empowers the Centre to legislate on housing under the Union List. Simultaneously, Articles 41 and 46 of the Directive Principles of State Policy obligate both Union and States to secure adequate shelter for all citizens, especially the marginalized. This dual mandate creates a shared responsibility: the Centre funds and sets standards, while states execute beneficiary identification, land allocation, and construction monitoring.

• ▸Article 246: Centre’s legislative competence over housing
• ▸Article 41: State duty to secure housing for all citizens
• ▸Article 46: Special focus on disadvantaged groups
• ▸National Housing Policy 2007: Institutionalizes “housing for all” as a DP
• ▸Funding split: 60 % Centre, 40 % State (subject to annual allocations)

Telangana’s Survey and Allocation Request

Telangana’s administration deployed the ‘Awaas Plus‑2024’ mobile application to conduct a transparent door‑to‑door survey across all districts. The exercise flagged 11,56,915 rural poor families as eligible, and a subsequent “super‑check”—a cross‑verification of documents—was completed one year ago. Despite this, the Union’s target release has been delayed, prompting the minister’s representation to Union Rural Development Minister Shivraj Singh Chouhan and an invitation for a site visit.

• ▸Eligible families identified: 11,56,915
• ▸Survey tool: Awaas Plus‑2024 mobile app
• ▸Super‑check completion: 2025 (one year prior to the request)
• ▸Representation submitted: 13 August 2026 to the Union Minister
• ▸Pending: Central target announcement for the tranche

Implementation Gaps and Financial Model for Beneficiaries

A persistent obstacle in PMAY‑G is the upfront cash requirement for construction inputs, which often forces beneficiaries to dip into savings. Telangana officials have floated a model wherein Self‑Help Groups (SHGs) acquire formworks and lease them to local masons, with lease payments deferred until construction completion. This arrangement could lower the immediate financial burden and leverage the existing creditworthiness of SHGs, many of which have expanded under the second phase of the scheme.

• ▸Indiramma Indlu scheme assistance: ₹5 lakh per house (state‑provided)
• ▸Proposed SHG model: Formworks owned by SHGs, leased to masons
• ▸Lease payment timing: Collected post‑construction, reducing upfront cost
• ▸Expected impact: Greater uptake among cash‑constrained beneficiaries

Accountability and Oversight Mechanisms

Effective monitoring hinges on robust Right to Information Act 2005 provisions and clear inter‑governmental agreements. Kerala’s recent MoU for PMAY‑U 2.0—signed through the Local Self‑Government Department—illustrates the central requirement for a scheme‑specific emblem, underscoring the need for uniform branding and traceability. In Telangana, periodic audits, citizen‑led grievance redressal portals, and RTI‑enabled data disclosures are essential to bridge the gap between allocation and actual house construction.

• ▸MoU condition: Mandatory display of a scheme‑specific logo
• ▸Oversight agency: Local Self‑Government Department (LSGD)
• ▸RTI role: Enables beneficiaries to request beneficiary lists and fund utilisation reports
• ▸Audit frequency: Quarterly performance reviews mandated by the Centre
• ▸Grievance portal: Online platform for lodging complaints and tracking resolution

:::callout Did You Know? The original PMAY‑G target of 1 crore houses was achieved in 2021, a year ahead of schedule, but the subsequent “second phase” has struggled