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Scheme for Promotion of Affordable Rental Smart Housing (SPARSH 2.0): Rent Subsidy

SPARSH2.0RENT

Published: Oct 2026

5 min read

Published by Navin, Editor · First published: 16 Oct 2026

Scheme for Promotion of Affordable Rental Smart Housing (SPARSH 2.0): Rent Subsidy
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Published by Navin · Editor, tsmpb.inUpdated: 17 Oct 2026 · Text from the official listing, not yet reviewed · How we prepare pages

About this housing scheme

The scheme aims to reduce the rental burden on workers and economically weaker section families residing in affordable rental housing complexes.

The scheme โ€œScheme for Promotion of Affordable Rental Smart Housing (SPARSH 2.0)โ€ implemented through verticals "Subsidising the stay of urban poor and labourers in SPARSH 2.0 housing complexes to give such complexes a competitive advantage over other chawls etc. and bring down the rental charges for the Urban poor" by the Labour & Employment Department, UT Administration of Dadra and Nagar Haveli and Daman and Diu aims to reduce the rental burden on workers and economically weaker section families residing in affordable rental housing complexes. Through this scheme, monthly rent subsidy is provided to eligible beneficiaries residing in registered SPARSH 2.0 housing complexes. The scheme is implemented by the Department of Labour & Employment through designated nodal officers. Subsidy benefits are transferred directly to Aadhaar-linked bank accounts of beneficiaries. The subsidy is primarily transferred to female family members wherever applicable. The scheme also allows direct transfer to individual dormitory beneficiaries. The registration process also ensures annual monitoring and compliance verification. SPARSH 2.0 is applicable across Daman, Dadra and Nagar Haveli, and Diu for the period from 2022 to 2027.

Objectives:

  • To address the vision of โ€œAatma Nirbhar Bharat Abhiyanโ€ by creating a sustainable ecosystem of affordable rental housing solutions for workers in industries, construction sites, and other weaker sections.
  • To achieve the objective of โ€œHousing for Allโ€ by promoting affordable rental housing for workers and labourers.
  • To create a conducive environment by incentivising public and private entities to invest in affordable rental housing stock.
  • To increase the productivity of industries by improving the health and well-being of workers.
  • To reduce the financial burden on workers due to treatment costs and wage loss.
  • To increase the happiness and quality of life of workers.
  • To harmonise the Affordable Rental Housing Complexes (ARHC) Scheme guidelines with the SPARSH Scheme.

Benefits at a glance

Scheme nameScheme for Promotion of Affordable Rental Smart Housing (SPARSH 2.0): Rent Subsidy (SPARSH2.0RENT)
Launched byLabour & Employment Department
Benefit typeIn kind (goods, services or support, not cash)
CategoryHousing
Level / StateState ยท Dadra & Nagar Haveli and Daman & Diu
Official portalddd.gov.in (link at the end of this page)

Key facts

Scheme forIndividual
Application modeOffline
Last dateNot given in the official listing
DBT (direct bank transfer)No
Age18 to 60 years

Who can apply (quick check)

  • ๐Ÿ‘คAll genders
  • ๐ŸŽ‚Age 18 to 60 years
  • ๐Ÿ“Offline

Quick check from official data. Full conditions are in the Eligibility section.

What you receive

Subsidising the stay of urban poor and labourers in housing complexes registered or constructed under the SPARSH 2.0 scheme, either by a private player under vertical 1 or 2 or by any PSUs, Autonomous bodies, etc., under vertical 3

  1. All EWS families staying in the housing complexes registered or constructed under the SPARSH 2.0 scheme shall be entitled to a rent subsidy of Rs. 500 per month per person subject to a maximum of 5 persons in a family.
  2. For any housing complex registered under the SPARSH 2.0 scheme, such subsidy shall be allowed for a period of not more than 20 years from the date of Registration, or till 40 years from the date of construction, whichever is earlier.
  3. Subsidy shall be transferred to any lady member of the family in her account through Aadhar-linked bank transfer in case of families, or to each individual person in case of a dormitory. Subsidy shall be transferred to the Aadhar-linked bank account of the Karta or senior most earning male member of the family if no female member is either available or stays in the Housing Complex.

Who qualifies

  1. The applicant should belong to Dadra And Nagar Haveli and Daman & Diu.
  2. The applicant should be the owner or authorised representative of the housing complex.
  3. The housing complex should fulfil SPARSH 2.0 infrastructure norms.
  4. The housing complex should possess valid construction permission and/or an occupancy certificate.
  5. The applicant should agree to reserve at least 66% dwelling units for Economically Weaker Section beneficiaries.
  6. The applicant should agree to maintain the housing complex and waste management systems.

Who is not eligible

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Registration walkthrough

Offline

Step 1: The owner or authorised representative of the housing complex should obtain Form A prescribed under the scheme.

Step 2: The applicant should fill out Form A and attach all required supporting documents.

Step 3: The completed application should be submitted to the concerned officer designated by the Secretary of Labour for the respective district.

Step 4: The nodal officer shall verify the application within 30 days. Technical verification may also be conducted through the associate town planner or other competent authority.

Step 5: After successful verification, the nodal officer shall issue the Registration Certificate in Form B.

Step 6: The nodal officer shall execute an agreement with the owner as prescribed under the scheme.

Step 7: The registration shall be verified annually. Registration may be cancelled if the scheme conditions are violated.

Frequently asked questions

What is the objective of this SPARSH 2.0 vertical?

The objective is to reduce the rental burden on urban poor and labourers residing in housing complexes registered or constructed under SPARSH 2.0.

Who can receive subsidy under this vertical?

Economically Weaker Section (EWS) families staying in housing complexes registered or constructed under the SPARSH 2.0 scheme can receive subsidy benefits.

What is the subsidy amount provided under the scheme?

Eligible beneficiaries are entitled to a rent subsidy of Rs. 500/- per month per person.

Is there any maximum limit on the number of beneficiaries in a family?

Yes. The subsidy is limited to a maximum of 5 persons in a family.

Which housing complexes are covered under this subsidy?

The subsidy is applicable to housing complexes:

  • Registered under Vertical 1,
  • Constructed under Vertical 2, or
  • Developed by PSUs or autonomous bodies under Vertical 3 of SPARSH 2.0.

For how long can the subsidy be availed?

The subsidy is allowed for:

  • A maximum of 20 years from the date of registration of the housing complex, or
  • Till 40 years from the date of construction, whichever is earlier.

How is the subsidy amount transferred?

The subsidy is transferred through an Aadhaar-linked bank transfer.

To whom is the subsidy transferred in case of families?

In case of families, the subsidy is transferred to the bank account of any lady member of the family.

Which department implements this vertical?

The Labour Department, UT Administration of Dadra and Nagar Haveli and Daman and Diu implements this SPARSH 2.0 vertical.

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