7-Day quarantine even if tested negative upon arrival?

This document indicates that 2% of all arriving passengers on a flight will be tested and "All travellers (including those 2% who were selected for random testing on arrival and were found negative) will undergo home quarantine for 7 days and shall undertake RT-PCR test on the 8th day of arrival in India*.

So even if you test negative you still have to spend 7 days sitting around and twiddling your thumb? And what if you have no "home" in India but were planning to stay at a hotel?