SUNREF – Affordable Green Housing India programme launched by AFD & NHB together

SUNREF-Affordable Green Housing India Programme launched by AFD & NHB together

The National Housing Bank (NHB) extends refinance to Primary Lending Institutions (PLIs) such as Scheduled Banks, Housing Finance Institutions,Cooperative Sector Institutions, through regular as well as the concessional windows.As a part of promotion of housing more specifically Green housing, NHB has negotiated a line of Credit from Agence Française de Développement (AFD),France for Promoting Green Residential Housing in India. As the market for greenhousing is at the nascent stage in the country, NHB can play a role of a catalyst for this sector both with Technical Assistance as well and refinancing. As a quick preliminary assessment based on the data received from Green Rating forIntegrated Habitat Assessment (GRIHA), rating agency and Indian Green Building Council (IGBC), another rating agency.Here the programme “SUNREF” means “Sustainable Use of Natural Resources and Energy Finance Housing India”.This Programme jointly launched by NHB & AFD together with support of EU (European Unions).This scheme is to promote Green environment in Housing & Buildings as well.

As per the agreement signed between NHB and AFD, salient features of the scheme are as under mentioned below:

• promoting the existing local green label certifications for housing.
• making green housing more affordable to low-income households.
• demonstrating the market potential and the relevance of green housing.
• encouraging the adoption of rules favourable to green affordable housing in public policies.

2. Promoting Green Housing Refinance Scheme (PGHRS) intends to provide refinancing support to eligible PLIs for their housing loans to individuals who fall under the EWS, LIG and MIG categories as per the definition of Ministry of Housing and Urban Affairs, Government of India. At present, individuals having annual household income of up to ₹ 3 lakhs, ₹ 6 lakhs and ₹ 18 lakhs fall under the categories of EWS, LIG and MIG respectively. Eligible houses should have received the pre-certification of either 4/5 star rating by GRIHA or Gold/Platinum rating by IGBC as per their rating grades. Further, construction finance extended by eligible PLIs(Primary Lending Institutions) to residential projects located in urban areas are also eligible for refinance under this scheme. Residential Projectsshould have received the pre-certification of either 4/5 star rating by GRIHA or Gold/Platinum rating by IGBC as per their rating grades.

The loans from these PLIs(Primary Lending Institutions) is meant for buyers and project developers of residential projects (targeting EWS, LIG, MIG income groups) which achieve Gold or Platinum underGRIHA/ IGBC Green Homes Rating andGRIHA/ IGBC Green Affordable Housing Rating. The developers of such projects can also get the cost of IGBC certification reimbursed as part of the Sunref programme.

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