Mamata Banerjee on Thursday said her government would release the first installment of the funds under the rural housing scheme to nearly 12 lakh people between December 15 and 30, and 24 lakh people, who were still living in mud houses, would get the grant in two to three years.

“The Centre did not release funds under the rural housing scheme over the past three years. We will release the first instalment of ₹60,000 to 12 lakh people between December 15 and 30. Initially, it was decided that 11 lakh people would get funds to construct houses this year. But I have added (the names of) another one lakh people to the list of beneficiaries as their houses were damaged in the floods or by Cyclone Dana,” said the chief minister at Nabanna on Thursday.

"Besides, we will give funds to 24 lakh more people living in mud houses to build pucca houses."

Mamata's announcement to give funds to another 24 lakh people to construct homes under the rural housing scheme in the next three years assumes significance as the state's decision to provide grants to 11.36 lakh people this year created confusion in rural areas.

“More than 35 lakh mud houses are in the state. As the state decided to give the first instalment to 11.36 lakh people under the rural housing scheme, many felt that they were being deprived. As the chief minister made it clear that all those who were living in mud houses would get funds in the next three years, the situation would come under control,” said a senior official.

The announcement would give relief to the TMC as survey teams were facing stiff resistance from the villagers who alleged that many eligible families were being denied the benefits.

“Opposition parties were also instigating villagers against the state government by telling them that the administration was depriving most of the eligible by giving benefits to only 11.36 lakh people. But the fact is that 25 lakh more people would get the benefit. Now, people would believe that the government would not deny funds to eligible people,” said another official.

Sources said according to the list of beneficiaries of the rural housing scheme, a total of 11.36 lakh people would get the first tranche of funds from the state exchequer this year.

“Add to these 11.36 lakh people, another 50,000 — who lost their homes to floods and Cyclone Dana. They would be given funds this year,” said a senior government official.