The loss-making PSUs will provide around 2,500 acres of land where around 1 lakh homes will be build. These PSUs include HMT Bearings in Hyderabad, Hindustan Antibiotics in Pune, Heavy Engineering Corporation in Ranchi, Indian Drugs and Pharmaceuticals in Gurgaon and HMT Watches in Nainital.
The “Housing for All by 2022 Mission” has targetted 12 million homes.
The Department of Public Enterprises will float a cabinet note for the same in the coming weeks.
The state-run NBCC is likely to be appointed the land management agency for ailing PSUs.
It will help sell the land and the money generated will be used to meet their outstanding liabilities and implement voluntary retirement schemes before the enterprises are closed or privatised.
The government has set an ambitious target to construct as many as 12 lakh houses under the PMAY-U in 2017-18.
In 2016-17, only 1.49 lakh houses were built under the scheme compared to the target of 32.6 lakh units. It plans to construct 26 lakh houses in 2018-19, 26 lakh in 2019-20, 30 lakh in 2020-21 and 29.80 lakh in 2021-22.