The world has enough money to fund India’s Smart City projects, but town planners should identify them and provide an investment-friendly atmosphere in the country, Union minister for Urban Development M. Venkaiah Naidu has said.
Speaking to Manorama, the minister said though the global economy is not vibrant, several states and investors have capital. They should have trustworthy opportunities to invest in India, and the country is striving to build that openings.
Rejecting the criticism against Smart City projects, Naidu said the country’s has been a planned, bottom-up approach.
“Both the rich and the poor has space in Smart Cities,” the minister said.
The central government will be allotting the cities Rs 100 crore each annually for five years. Kochi and Thiruvananthapuram together will receive Rs 1,000 crore. The central share for 100 cities will be Rs 50,000 crore, Naidu said.
Naidu, however, added that the Centre's share would only be a part of the total project expenditure. The states should raise an equal amount and the respective cities should find resources through people’s participation.
The Centre’s plan is to develop world-class cities having better transportation facilities and basic amenities such as power and water.
As many as 20 cities, including Kochi, have been included in the initial list of smart cities, which had won the Smart City challenge. The project cost will be more than Rs 50,000 crore.
Naidu said seven state capital cities, including Thiruvananthapuram, Patna, Bengaluru, were included in the list following the pressure from the respective states. He termed the response to the project surprising.
States aspiring to have Smart Cities have been reflecting a confidence that they can tap the resources from both within and outside the country. Imposing the Goods and Service Tax (GST) will boost domestic production and revenue by 1 to 2 per cent, besides contributing to welfare funds.
The race to become Smart City is just a beginning, Naidu said. State and city-level leaders will ensure the success of the project, which should have Special Purpose Vehicles (SPVs) led by IAS officials.
The government will select 40 more cities to be developed this year, followed by another 40 in 2017.
Transportation facilities
The Centre is proposing various commuting facilities based on the geographical expense and size of population in cities. Metro rails will be apt for crowded cities, but expensive.
The cities can also have circular railway, bus rapid transit corridors or monorail based on existing conditions. Car pooling must be promoted and each city will have autonomy in deciding on such facilities.
Unlike earlier governments, the decisions during the NDA rule are being made at the grassroots level and implemented with the participation of the masses.
Projects to be brought under one umbrella
Various development projects by different agencies will be brought under one umbrella. Planning will be easier once transport, water and irrigation, and waste disposal falls under one body. All cities will have facilities to generate power and manure from waste and also to tap solar energy. Waste generated in one city should be disposed there itself.
Cleanliness ranking
The government had ranked 70 cities last year based on cleanliness, and this year, the list will have 500 cities. Next year, the list of clean central government offices, too, will be published. The response to the Swachh Office project is positive, the minister said.
Smartness sans politics
There is no politics in Smart City project. Prime Ministers’ constituency Varanasi does not figure in the first phase. So is the case with the cities of the several other central ministers. Those cities failed to meet the eligibility criteria and hence were rejected.
Special package for the poor
The poor and commoners will have special packages for availing services offered by the proposed Smart Cities, Naidu said.
The government is mulling over implementing differential rate system to ensure inclusive development, so that the poor would not be left out.
The differential rate system envisages higher charges on the rich, which the poor can avail of the same world-class service at a lower rate.
Those consuming power and water till a fixed unit will get discounts, while those exceeding the limit and industrial consumers will have to shell out additional money. User fee will be recognized from those using expressways, bypasses and overbridges. Though there will be cheaper alternatives, populist measure like providing the facilities free of cost will be impractical.
Each city can develop its own projects based on regional needs and circumstances. The Centre’s role will be confined only to formulating policies and guidelines for the creation of Smart Cities and Amrut urban development. Eight Kerala cities, including Kozhikode, are part of Amrut project.
'Smart’ cinema too
The urban development ministry has decided to make trailers and short films to promote the Smart City projects.
The films, comparing the existing facilities and those the proposed cities would offer, would be screened in movie halls and schools. The move is aimed at ensuring people’s participation.