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Urban Development: Bottom-up approach is the key: PM Narendra Modi

Releases guidelines for the three missions — Smart Cities, AMRUT, Pradhan Mantri Awas Yojana.

Written by Shalini Nair | New Delhi | Updated: June 26, 2015 4:10:02 am
Narendra Modi, Modi, PM Modi, PM Narendra Modi, AMRUT, PMAY, Smart city mission, india news, business news, business PM Narendra Modi with Union Urban Development Minister Venkaiah Naidu and MoS Babul Supriyo at the launch of the Smart Cities, AMRUT and Housing for All missions in New Delhi on Thursday. (Source: Express photo by Ravi Kanojia)

Calling for an overhaul in the way Indian cities are built by private developers, Prime Minister Narendra Modi on Thursday said that cities have to be created by the city’s leadership with a vision that has a place for the poor.

Modi was speaking at the launch of the NDA government’s flagship urban development missions Smart Cites and Atal Mission For Rejuvenation and Urban Transformation (AMRUT) and its Housing For All by 2022 mission Pradhan Mantri Awas Yojana (PMAY).

The Central government will release a total of Rs 3 lakh crore by way of central funding for these three missions that aim at creating 100 Smart Cities and 500 AMRUT cities over the next five years and build 2 crore affordable houses across 4,041 statutory cities and towns over the next seven years.

“Private property developers know how much a city will grow, so they buy land and build apartments on it. People buy the houses but necessary facilities such as roads, electricity and drains do not reach them.. That is because the city’s leadership hasn’t built the city, some property developers have developed it,” said Modi adding that the competitive model on which the urban missions are based will lead to a bottom-up approach towards urban development.

The PM also released the guidelines for the three missions that were based on the premise that the centre will no longer be involved in sanctioning and appraising projects while the states will be at complete liberty to design and formulate their plans.

Smart cities, which involve application of ‘smart’ solutions, technology and data in urban infrastructure and service delivery, will receive central assistance of Rs 100 crore each. The implementation is to be handled through a Special Purpose Vehicle where the state and ULB are equal equity holders with PPP models being the main source of resource mobilisation. The mission allows for four kinds of infrastructure development models including retrofitting areas over 500 acres; redevelopment of areas over 50 acres, Green Field projects spanning over 250 acres or a Pan-city development.

AMRUT, the revised version of UPA’s JNNURM, aims at achieving optimal levels of basic services provisions in regards to water supply, sewerage, drainage, waste management, urban mobility and green spaces. Applicable for 500 cities with a population of over one lakh each, the funding will be linked to a set of 11 reforms that the states have to undertake.

These include e-governance, better tax collection, devolution of funds to ULBs, adherence to Swachh Bharat mission, GIS based Master Plans, simpler building by-laws, sound credit rating of urban local bodies among others.
Urban Development minister Venkaiah Naidu said that the PMAY, will ensure ownership of 2 crore houses in the name of female members of a household or jointly with her husband.

‘States to be at total liberty to make plans’

* Smart cities, which involve application of ‘smart’ solutions, technology and data in urban infrastructure and service delivery, will receive central assistance of Rs 100 crore each.

* The implementation is to be handled through a Special Purpose Vehicle where the state and ULB are equal equity holders with PPP models being the main source of resource mobilisation

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