Greetings to all those gathered here today. You are all important stakeholders in the historic effort to provide a home for every Indian.
It is the second time in a month that I have got the opportunity to interact with the people involved in the housing sector. And it showcases the seriousness of our commitment towards fulfillment of the dreams of a house for the middle class. And I can see that several friends present here were also present in the CREDAI programme.
Friends,
In Talkatora stadium, I had told my young friends of the housing sector to boost this sector as per the zeal and needs of the New India. And for this they should use latest technologies in construction and housing sector available around the world. Our government is always ready to support you and talk to you in your endeavours. And the greatest evidence of the same is this conference related to construction technology.
This is the second time I am interacting with those associated with the housing sector. This shows the desire of the Government to keep engaging with you all, know more about your good work, understand your suggestions and work towards a vibrant housing sector. It also shows your passion and commitment towards a strong housing sector, that benefits the poorest of the poor in our country. I understand that members participating in this Conference will either showcase innovative housing technologies, or will learn from the new innovations that are being showcased. This too, is very valuable.
Friends,
The need for today's conference or the Global Housing Technology Challenge was felt because the cities are expanding and developing at a rapid pace within the country. India is among those countries where urbanisation is occurring rapidly. With the rapidly growing urbanization, the need for new homes is equally felt.
Friends,
Our government has worked simultaneously on seven flagship missions to change the face of the housing sector. Swachh Bharat Abhiyan, Pradhan Mantri Awas Yojana, Deendayal Antyodaya Yojana, National Urban Livelihood Mission, HRIDAY and AMRUT have been implemented. Besides, transportation in the cities is being changed and schemes like Smart Cities are being implemented. Keeping this in mind, today we have a challenge to build houses according to different geographical conditions.
Friends,
Keeping these challenges in mind, our government has worked with a holistic approach in the construction sector. We have made decisions keeping in mind the kind of problems that both the builders of homes and buyers of homes were facing. We have mostly emphasized upon affordable housing. Secondly, we have modified the laws related to the real estate sector. Thirdly, we have worked on skill development and fourthly, apart from all of this, we have also focused on improving technology in the housing sector. Today's programme is also relates to it. And I remember that in a meeting of PRAGATI, you may be aware of my meetings of PRAGATI, so I am not getting into the details. In one of the meetings of PRAGATI, I had advised the ministries to adopt a global challenge process. Today I am glad that you are all here through the Global Housing Technology Challenge, India.
Friends,
The way the dream of the poor and the middle class of owning a house was fading away, was not right. In order to change this situation, we have worked together at different levels. We have tried to bring solutions to each and every problem faced by the poor and the middle class in buying a house. As a result of our government's efforts, today, the interest rates on hone loans have been reduced compared to before. The relaxation provided by the government under Pradhan Mantri Awas Yojana will help the people to save an estimated amount of Rs-5 lakhs to Rs.6 lakhs. That is, if a person has taken a loan of Rs.19-20 lakh for 20 years, then with the help of these schemes, he will definitely save Rs.5-6 lakhs.
Friends,
Our government has modified the laws related to income tax and indirect taxes and it was done so that the poor and the middle class had more money left to buy a house and the prices of the houses were also reduced. Recently, these two major decisions were taken by the government and the GST Council. Speaking of income tax, taxable income up to Rs. 5 lakh has been brought under the 0% tax bracket. Besides, no income tax has to be paid on an estimated rent of two houses. Similarly, now capital tax will be exempted on two houses instead of one. These myriad efforts are going to encourage the middle class to buy a new home. It is certain that your business will also be directly benefited. You can have a round of applause.
Friends,
GST has made the real estate business very smooth for both developers and customers. Recently, the GST has been reduced to a great extent on the construction sector. GST has been reduced from 8% to 1% on Affordable Housing, while GST on Under Construction Housing Projects has been reduced from 12% to 5%. Affordable Housing Fund has also been created for the purpose of funding in projects for the middle class.
Friends, we understand that in order to make more homes and better homes, we also have to be sensitive to the suggestions of those in the housing sector. And, we are doing that. We have been working to strengthen and reform the housing sector. From RERA Act, which improved consumers’ confidence in developers and brought transparency in the Real Estate Sector, to our significant improvement in the World Bank’s “Ease of Doing Business Index” driven by improvement in construction permits, where India climbed from 181st rank to 52nd place - we have been consistently focusing on systemic reforms.
Friends,
You will be benefitted in yet another way from the government's policies. A huge pool of human resource has developed especially in the rural areas that know about the technique of constructing houses. They are trained in it. Our government has also started a campaign for training women in this sector. Thousands of women are working as main workers after this training campaign.
We want to increase the technical skill of the youth in this sector to make them market-ready so that entrepreneurs like you also benefit, and more opportunities are also available for young friends. Besides, changes in our engineering and technology courses on the basis of rapidly changing technology are also being worked out in this direction. Moreover, this sector is also emerging as a new option for start-ups and young entrepreneurs.
Friends,
We have made another reform in the approach of construction in India. Now whether there are roads, residential apartments or commercial buildings, we are encouraging eco-friendly, disaster-resilient and energy-efficient construction. This requires Local Innovation, in which our young partners are engaged.
Friends,
You will be glad to know that ASHA-India, the Affordable Sustainable Housing Accelerator, is investing in such innovations as per the market. ASHA is part of GHTC-India. In this, work is going on at the four incubation centers in Mumbai, Madras, Kharagpur and Roorkee IITs to make the Ideas of young entrepreneurs and Startup Eco-system useful according to the market.
Friends,
I am pleased to know that some students working on such areas like innovation, technology and engineering are also present here. The discussion here will also pertain to the National Knowledge Network (NKN) so that educational institutions of the country can take advantage of it. Educational Institutes will also be given the opportunity to solve the challenges that will be discussed here through this network.
You can be a part of this amazing experiment in India related to the Housing Technology. Light House Project is being started for the same. These projects are being started in Gujarat, Jharkhand, Madhya Pradesh, Tamil Nadu, Tripura and Uttar Pradesh. You can showcase new techniques of construction. These are Live Laboratories for you. Here you can interact with the youth professionals of the country through technologies like webcast demos.
GHTC-India is a platform through which India's Construction Sector can reach the level of eco-system international. Through this we will find Global Solutions for our challenges.
Looking at your enthusiasm, I assert that this is the beginning of the revolution and now we are moving in the direction of changing the construction sector of our cities according to global standards.
Friends,
This conference will not only benefit India but also the builders, architects, planners and Global Civil Engineering Firms around the world. We are going to learn a lot from each other.
Friends,
There are immense possibilities for your sector in New India's new business environment. Neo middle class is spreading rapidly in the country. India is among the select countries of the world where demand for houses is growing at the fastest rate.
I also declare the year from April 2019 to March 2020 as Construction Technology Year in order to fulfil this demand and make the maximum use of modern technology in construction.
Friends,
Today I have got the opportunity to dedicate an Atlas here. You will be surprised to know that for several years the disaster related issues used to be under the Agriculture Department. It was part of the agriculture department for years because the definition of disaster was limited to floods and drought. Such a limited thinking! Thus, the people associated with the agricultural sector used to handle it. After the 2001 earthquake in Gujarat, it was realized that it was a serious challenge. After that, the important aspect was handed over to Home Ministry that coordinates with the states. It was a great paradigm shift which was done during Atal ji's regime. We must prepare the country to face something before it happens. Efforts were made first at district level in Gujarat wherein disaster prone areas were chalked out and district wise maps and village maps were created. I am glad that today the central government has made different zones in the country. And I would like the people associated with the construction work, builders and those laying the pipelines, the gas pipelines to frame their respective plans keeping this Atlas in mind. I would also like to tell the government that they should make a reference to the fact that the Atlas had been studied during their tender system. You should mention how you are going to address the things mentioned in this Atlas before you start the work in that particular area. It will be institutionalized only after that. Similarly, the universities related to planning, engineering, architecture or structure in those regions should include vulnerability of those areas in their syllabus so that when the human resource develops in those areas, they will be aware of the challenges in construction and the way with which they can go about construction work.
Therefore, I would like all the experts like you to organize a 2-day workshop in your respective companies on the Atlas. We should see and try to understand the Atlas and the things related to it because we need to take these things forward. You will realize the strength of India. There are several things that draw comparatively less attention. All those associated with construction sector have expertise in how India can move ahead in this sector for a long time but those who have seen this year's Kumbh would have realized that the make-shift arrangement could be made so wonderfully and be made so much technology driven! The nation has shown that.
More than 22 crore people might assemble on the bank of river Ganga within 40 days. Every day, in a way, a country of Europe gathers on the banks of Ganga. The nation has shown that cleanliness of that place could be so well maintained. Moreover, our youngsters have shown how the Central Command System could work through technology and invoking the smart city concept during the Kumbh Congregation. That is, our nation has that capability. If we try to explore how the people can develop even better systems and if the make-shift arrangements can be so nice, then having a permanent arrangement in place will be a model for the world. And I believe that these two day brainstorming sessions will help us to come up with the ideas that will not only improve the condition of your company but also of the construction sector and will add a new strength, momentum and freshness to it. And believe me, whatever India does, the world closely watches that. This nation has the power to change the meaning of the words in dictionary. 'Abhinandan' means congratulations but now it will have a different meaning. This is the strength of this nation.
Come; let us move ahead with this belief. We have to move forward as a mighty nation and we have to take steps one after another to fulfil the dreams in a time bound manner. The government is with you.
Once again my best wishes to you all for this conference.
Thanks a lot!
