Housing and Urban Development Corporation ltd (HUDCO) has completed yet another year of continued accelerated growth in its performance with a significant emphasis on housing and provision of core infrastructure. The year 2012-13 has witnessed the growth as under—
Highest ever sanctions of Rs 23,974 crore (Rs 20511 crore in 2011-12).
Highest ever gross profit — Rs 1061.70 crore (Rs 939.97 crore in 2011-12).
Highest ever profit after tax — Rs 700.56 crore (Rs 630.33 crore in 2011-12).
Over 4.39 lakh (4.25 lakh for EWS/lIG) houses sanctioned (4.23 lakh units in 2011-12).
Gross NPA down to 5.69 per cent and net NPA to 0.83 per cent (from 6.07 per cent and 1.44 per cent in 2011-12).
Interest rate brought down to eight per cent for economically weaker sections (EWS) from May 1, 2013.
Excellent rating likely as per the MoU for the year 2012-13.
Nil comments from CAG once again — seventh year in a row.
Housing — A basic necessity
HUDCO is committed to supporting the housing sector in the country, especially the weaker section. During the year 2012-13, HUDCO has sanctioned 4.39 lakh dwelling units (DUs). Of these, 4.25 lakh DUs (96.82 per cent of total DUs), have been sanctioned for EWS/lIG categories.
Urban Infrastructure – Emphasis on quality of life
Towards supporting infrastructure in the country, HUDCO, during the year 2012-13, has sanctioned a total of 76 schemes with a financial assistance of Rs 16,337 crore under various sectors like water supply, sewerage/drainage, power, social infrastructure, commercial infrastructure, road and transport.
CSR Activities
In line with the thrust areas identified in the HUDCO CSR policy, HUDCO has sanctioned CSR assistance of Rs 16.84 crore for 27 proposals and released an amount of Rs 9.83 crore for implementation of various proposals. Some of the important projects under CSR include construction of night shelters, construction of community pay and use toilets, installation of pre-fabricated zero discharge toilet systems (ZDTS) during Kumbh Mela at Allahabad through IIT Kanpur and construction of skill upgradation centres. HUDCO has also provided support to government of Sikkim for reconstruction of houses damaged during the earthquake.
MoUs have also been signed with the following Agencies for implementation of CSR Projects —
National Commission for Women (NCW) to assist women in distress.
National Culture Fund (NCF) for conservation of heritage sites/buildings.
Construction Industry Development Council (CIDC) for creation of skills required in the building construction industry.
This year, HUDCO has sanctioned Rs 1.25 crore to Uttarakhand and Rs 65 lakhs to Himachal Pradesh for flood relief and rehabilitation. HUDCO is also willing to provide long term loans to both these states for rehablilition and reconstruction of infrastructure.
New Initiatives
In its efforts to create sustainable habitat development in the country, HUDCO has taken many initiatives recently.
Creation of HUDCO Innovation Cell
Innovation officers have been nominated in the head office. They have also been nominated in all the regional offices and departments of HUDCO.
It is an attempt to generate new and innovative ideas from within the HUDCO talent pool.
Mission Five Ones
HUDCO has set the following ambitious targets for itself (to be achieved in two years)
One million houses per annum
One lakh crore cumulative releases
One thousand crore profit after tax
One hundred urban local bodies to be assisted per annum
One per cent reduction in gross NPA per annum
New Products
Rent to own scheme — an innovative scheme for the government employees, such as constables, bus drivers/conductors. The scheme would enable the employees to own a house over time, through the support of their organisations.
Hudco Nav Nagar Yojna (HuNNY) — An integrated solution (from planning to financing) for new township/layout development.
Micro Finance for Housing
To ensure financial inclusion of poor and self-employed women in slums and informal settlements who have so far been denied the benefit of home loans through the formal lending mechanism, HUDCO has decided to join hands with SEWA through equity investment of Rs 1 crore in the proposed new housing finance company.
Partnering Delhi-Mumbai Industrial Corridor
HUDCO has subscribed to 19.90 per cent (Rs 19.9 crore) of the equity capital of Delhi–Mumbai industrial corridor development corporation ltd.
Through this endeavor, HUDCO hopes to assist the state governments along the Delhi-Mumbai infrastructure corridor by financing land acquisitions, new township development and related infrastructure projects.
Venture Capital
HUDCO has approved a subscription of Rs 25 crore in class ‘A’ units of India Inclusive Innovation Fund (IIIF) — Venture Capital Fund being established by the National Innovation Council. The fund will invest in the enterprises involved in the housing and urban development sector including start-ups as well as emerging and growing ventures that need support to scale-up potentially successful solutions.
Infrastructure Debt Fund
HUDCO has approved subscription of up to Rs 50 crore to the Units of Infrastructure Debt Fund (IDF) launched by India Infrastructure Financing Corporation ltd (IIFCl) through mutual Fund route.
HUDCO through IDF would further support the country’s infrastructure needs through long term innovative financing.
Participation in UN HABITAT Exhibition
HUDCO participated in the UN HABITAT exhibition during the Governing Council Meeting of UN HABITAT in April 2013.
HUDCO Design Awards
launched in 2012, to encourage architects, town planners and engineers, HUDCO Design Awards give recognition and encourage innovative ideas that make cities inclusive, beautiful and environmentally sustainable. The theme and dates of the second HUDCO Design Awards for the year 2013-14 will be announced shortly. HUDCO has been supporting the inclusive and sustainable habitats over the years and will continue to do so in the future.