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India: Inclusive, Resilient, and Sustainable Housing for Urban Poor Sector Project in Tamil Nadu

Sovereign (Public) Project | 53067-004 Status: Approved

The proposed project will promote access to inclusive, resilient, and sustainable housing and urban development in Tamil Nadu by supporting the state in (i) relocating vulnerable communities living in high-risk areas to safe shelter; (ii) providing affordable, proper housing for urban poor households, and migrant workers from the economically weaker section (EWS) and lower-income group (LIG); and (iii) supporting the state in regional development planning.

Project Details

Project Officer
Barba, Ricardo Carlos South Asia Department Request for information
Country
  • India
Sector
  • Water and other urban infrastructure and services
 
Project Name Inclusive, Resilient, and Sustainable Housing for Urban Poor Sector Project in Tamil Nadu
Project Number 53067-004
Country India
Project Status Approved
Project Type / Modality of Assistance Loan
Technical Assistance
Source of Funding / Amount
Loan 4106-IND: Inclusive, Resilient, and Sustainable Housing for Urban Poor Sector Project in Tamil Nadu
Ordinary capital resources US$ 150.00 million
TA 6766-IND: Supporting Capacity for Affordable Housing Delivery
Technical Assistance Special Fund US$ 1.50 million
Strategic Agendas Environmentally sustainable growth
Inclusive economic growth
Drivers of Change Gender Equity and Mainstreaming
Governance and capacity development
Partnerships
Private sector development
Sector / Subsector

Water and other urban infrastructure and services / Urban housing

Gender Equity and Mainstreaming Effective gender mainstreaming
Description The proposed project will promote access to inclusive, resilient, and sustainable housing and urban development in Tamil Nadu by supporting the state in (i) relocating vulnerable communities living in high-risk areas to safe shelter; (ii) providing affordable, proper housing for urban poor households, and migrant workers from the economically weaker section (EWS) and lower-income group (LIG); and (iii) supporting the state in regional development planning.
Project Rationale and Linkage to Country/Regional Strategy

Tamil Nadu is among the large states with the most acute housing shortage because of both demand and supply factors. Demand side factors include (i) inaccessibility of existing housing programs to the poor because of inaffordability and qualification requirements; (ii) designs are not gender- and culturally sensitive; and (iii) low demand for or low occupancy because housing projects are located far from city centers. Supply side factors include (i) inadequate public resources, (ii) difficulty in attracting private investments due to low investment returns and lack of incentives; (iii) government's housing policies and procedures not matching capacity of the poor; and (iv) weaknesses in regional planning.

In Tamil Nadu, the large shortage of housing for the EWS and LIG result in limited housing options for the urban poor, and where available do not meet the needs of the urban poor including access to jobs and urban services. As such, the urban poor are forced to reside in hazardous areas or bear heavy transportation costs to access livelihoods. Unplanned urbanization and housing deficits have contributed to informal settlements and slum intensification. Tamil Nadu is among five states that host 62% of the country's slum population. The State has 5.8 million slum residents, which represents 17% of the urban population, and 8.9% of the total slum population in India. Most slum residents come from the EWS and the LIG. Informal settlements and slums are often situated in hazardous areas, are congested, and lack appropriate services (i.e., electricity, piped water supply, and sanitation/waste facilities). Slum areas are prone to disaster, environmental degradation, and health risks.

The proposed project builds on lessons from previous urban development projects and housing finance programs of Asian Development Bank (ADB) and the Government of India. In designing affordable housing, there is need for (i) balancing socioeconomic priorities, (ii) integrating regional perspectives and spatial considerations in development and economic planning, (iii) crafting and implementing appropriate policies and strategies, and (iv) ensuring inclusivity.

The rationale for the proposed project is stronger in view of the COVID-19 pandemic. There is recent literature documenting that addressing COVID-19 pandemic is more difficult in slum areas given deficiencies in water, sanitation, drainage, and waste collection in an environment constrained with space that makes social distancing and self-quarantine near impossible. A Brookings Institute study shows that slums are being disproportionately impacted in Mumbai, India. Slum conditions exacerbate already existing health issues in slum populations and containment sever slum dwellers from their income sources. Affordable housing and providing urban services to the urban poor and migrant workers will increase the resilience of beneficiaries to pandemics bringing further benefits to the wider community. In addition, the graduation program to be implemented in project housing sites will increase the resilience of the livelihoods of beneficiaries, and include behavior change required in maximizing benefits in the provision of sanitation and other urban services. The project will build-in required protocols in project design, particularly because the project has a participatory nature. The project is in-line with the recently announced special economic and comprehensive package which includes support for housing for migrants workers and the urban poor.

Impact Permanent shelter with appropriate housing infrastructures and services provided for every affected household.
Project Outcome
Description of Outcome Access to inclusive and safe affordable housing infrastructure and services for vulnerable and disadvantaged communities in Tamil Nadu increased.
Progress Toward Outcome
Implementation Progress
Description of Project Outputs

Affordable and improved housing for vulnerable communities constructed

Affordable housing for urban poor and migrant workers increased

Regional plan development supported

Status of Implementation Progress (Outputs, Activities, and Issues)
Geographical Location Tamil Nadu
Safeguard Categories
Environment B
Involuntary Resettlement A
Indigenous Peoples C
Summary of Environmental and Social Aspects
Environmental Aspects
Involuntary Resettlement
Indigenous Peoples
Stakeholder Communication, Participation, and Consultation
During Project Design
During Project Implementation
Business Opportunities
Consulting Services Advance contracting will include the engagement of the Regional Planning Consultant (RPC) and Quality Audit Consultancy service package.
Procurement Advance contracting will be undertaken in conformity with ADB Procurement Policy (2017, as amended from time to time and Procurement for ADB Borrowers: Goods, Works, Consulting and Consulting Services (2017, as amended from time to time). Civil works will be packaged such that housing units, water supply and sewerage system and related infrastructure development at each location are in the same package. Clustering (packages covering 2 or more locations) will be used for service/operation and management contracts considering the type of residential units and in proximity of locations, etc.
Responsible ADB Officer Barba, Ricardo Carlos
Responsible ADB Department South Asia Department
Responsible ADB Division Urban Development and Water Division, SARD
Executing Agencies
Housing and Urban Development Department, Government of Tamil Nadu
Government of Tami Nadu Namakkal Kavignar Maligai, Fort St. George, Chennai 600 009
Tamil Nadu Slum Clearance Board
No. 5, Kamarajar Salai, Chepauk, Chennai
Timetable
Concept Clearance 30 Jul 2020
Fact Finding 03 Nov 2020 to 18 Nov 2020
MRM 12 Feb 2021
Approval 03 Sep 2021
Last Review Mission -
Last PDS Update 03 Sep 2021

Loan 4106-IND

Financing Plan Loan Utilization
Total (Amount in US$ million) Date ADB Others Net Percentage
Project Cost 215.00 Cumulative Contract Awards
ADB 150.00 - 0.00 0.00 %
Counterpart 65.00 Cumulative Disbursements
Cofinancing 0.00 - 0.00 0.00 %

TA 6766-IND

Financing Plan/TA Utilization Cumulative Disbursements
ADB Cofinancing Counterpart Total Date Amount
Gov Beneficiaries Project Sponsor Others
1,500,000.00 0.00 0.00 0.00 0.00 0.00 1,500,000.00 - 0.00

Project Data Sheets (PDS) contain summary information on the project or program. Because the PDS is a work in progress, some information may not be included in its initial version but will be added as it becomes available. Information about proposed projects is tentative and indicative.

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Safeguard Documents See also: Safeguards

Safeguard documents provided at the time of project/facility approval may also be found in the list of linked documents provided with the Report and Recommendation of the President.

Title Document Type Document Date
Inclusive, Resilient, and Sustainable Housing for Urban Poor Sector Project in Tamil Nadu: Environmental and Social Management System Arrangement Environment and Social Management System Arrangements Feb 2021
Inclusive, Resilient, and Sustainable Housing for Urban Poor Sector Project in Tamil Nadu: Environmental Assessment and Review Framework Environmental Assessment and Review Framework Jan 2021
Inclusive, Resilient and Sustainable Housing for the Urban Poor Sector Project in Tamil Nadu: Vallami Subproject Draft Initial Environmental Examination Initial Environmental Examination Jan 2021
Inclusive, Resilient, and Sustainable Housing for Urban Poor Sector Project in Tamil Nadu: Kalanivasal Village Subproject Resettlement Plan Resettlement Plans Jan 2021
Inclusive, Resilient and Sustainable Housing for the Urban Poor Sector Project in Tamil Nadu: Kalanivasal Subproject Draft Initial Environmental Examination Initial Environmental Examination Jan 2021
Inclusive, Resilient, and Sustainable Housing for Urban Poor Sector Project in Tamil Nadu: Reddiarpatti Village Subproject Resettlement Plan Resettlement Plans Jan 2021
Inclusive, Resilient and Sustainable Housing for the Urban Poor Sector Project in Tamil Nadu: Reddiarpatti Subproject Draft Initial Environmental Examination Initial Environmental Examination Jan 2021
Inclusive, Resilient, and Sustainable Housing for Urban Poor Sector Project in Tamil Nadu: Vallam Vadaku Sethi Village Subproject Resettlement Plan Resettlement Plans Jan 2021
Inclusive, Resilient, and Sustainable Housing for Urban Poor Sector Project in Tamil Nadu: Resettlement Framework Resettlement Frameworks Jan 2021

Evaluation Documents See also: Independent Evaluation

None currently available.

Related Publications

None currently available.


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