Transformative Governance Uttarakhand Leaps to Third Best State

Uttarakhand, known for its breathtaking landscapes, has long struggled with one of the most pressing urban challenges of modern India—affordable housing. Limited and availability, rising construction costs and a growing demand among economically weaker sections (EWS) made it imperative for the state to innovate. In response, the Uttarakhand Awas Evam Vikas Parishad (UAVP) launched a pioneering initiative under the Pradhan Mantri Awas Yojana (Urban)—Affordable Housing by Private Developers on Private Land.

This model reimagines public welfare by involving private developers not only as builders but as contributors of land—a first-of-its kind approach in the state. Through this initiative, 12,856 housing units across 15 projects are being built exclusively for EWS beneficiaries. By merging government facilitation with private entrepreneurship, the Parishad has turned a policy challenge into a replicable model for sustainable and inclusive development.

The state faced two persistent issues: scarcity of government owned land and a surging demand for affordable housing. Earlier efforts could only yield a few thousand units because projects were restricted to government plots. Moreover, there was no framework to bring private developers into welfare schemes like PMAY(U).

Recognising these constraints, UAVP introduced a bold idea—allowing private developers to construct 100% EWS housing projects on their own land at a selling price fixed by the state government. This innovation unlocked private land for public use without the state needing to expand its land bank. At the same time, it gave private developers an opportunity to contribute meaningfully to the “Housing for All” mission, ensuring that the poorest citizens gained access to safe and affordable homes.

Planned Progress

The journey toward this initiative was gradual and deliberate. It began with the notification of the PMAY (Urban) guidelines in 2015, followed by the Uttarakhand Affordable Housing Policy (2017) and Uttarakhand Housing Rules (2018). Each step created the policy environment necessary to make private participation feasible. Later amendments in 2021, 2022 and 2024 further refined the process, encouraging developer involvement while maintaining social accountability.

The first project under this model was launched in December 2021 and within three years, 80% of the construction work was completed, with full completion scheduled for December 2025. Throughout this process, the Parishad acted as a facilitator—ensuring statutory clearances, coordinating with multiple departments and simplifying regulatory procedures. Regular reviews and on-site monitoring helped maintain momentum while ensuring adherence to quality and safety.

Innovative Implementation

What distinguishes this initiative is the collaborative approach. UAVP actively engaged with local communities, raising awareness through advertisements, project camps and beneficiary meetings. Cooperative banks, with state support, sanctioned over 6,000 home loans. An online portal was also created to ensure complete transparency in beneficiary selection and housing allotment. Each of the 15 projects comprises 100% EWS units, without any cross subsidisation or commercial share—a rare achievement in affordable housing.