Multi-crore city revamp plan set for launch

Now, the Mission projects that are targeted at poverty alleviation will kept out of the ambit of mandatory reform. The states would not have to carry out the mandatory reforms to get Mission funds for schemes meant to benefit the urban poor like water supply, sewage and sanitation.

In its new avatar, the Urban Renewal Mission will have a seven-year timeframe for funding and implementation 8212; the Centre will disburse Rs 5,500 crore over seven years instead of five.

The Karnataka and Andhra Pradesh Governments asked for part-funding of the Bangalore and Hyderabad Metro projects under this scheme while West Bengal submitted a circular railway and MRTS project for Kolkata. Mumbai is also hoping for a fillip from the Mission.

The scheme will have joint investment by the Centre, State and Urban Local Bodies on the one side and capital markets on the other. The Centre: State: Urban local bodies and financial institutions funding pattern for the seven megacities will be 35:15:50. The ratio for cities with four million-plus populations will be 50:20:30 and 80:10:10 for smaller towns.