Plan panel to evaluate JNNURM fund demand

The task force led by the urban development secretary M Ramachandran had submitted a detailed report to the Planning Commission on finding possible alternatives for funding JNNURM projects in September. The report sought central grant of Rs 20,000 crore for funding urban infrastructure projects. In addition, it demanded another Rs 10,000 crore for providing incentives to better performing states and cities. One of its key recommendations was to link the allocation of this amount to quality of implementation of reforms and projects by the respective cities.

Even though the ministry is hoping that it will get access to additional funds under the scheme, the Planning Commission may ask the ministry to go for increased public-private partnerships in urban infrastructure, given the financial constraints the government is currently faced with. The task force, in its report, had stated that huge infrastructure projects such as metro rail, involving significant capital investment, cannot be funded through PPP alone.

The Commission will also take up other issues related to urbanisation in its meeting with urban development, and housing and poverty alleviation ministries.

It would also deliberate on financing models for slum upgradation and poverty alleviation, affordable housing and providing basic amenities to the urban poor.

On the table

8226;Urban development ministry makes a case for extra funds to the tune of Rs 30K crore spread over the Eleventh Plan period.

8226; The ministry8217;s proposals will be examined by the full commission chaired by the PM afterwards

8226; Planning Commission may ask the ministry to go for increased public-private partnerships in urban infrastructure

8226; Commission to also deliberate on financing models for slum upgrade and poverty alleviation