New Delhi: The Centre on Thursday rolled out the ambitious Smart City project and hoped that it will attract investment to boost the economy.
"The
Smart City project requires investment and I can assure you it will be a
safe investment," Union Urban Development Minister M Venkaiah Naidu
said here on Thursday assuring the prospective investors in the project.
Government
has announced Rs 48,000 crore for development of 100 Smart cities out
of which 98 names were declared and rest two will be nominated in due
course.
States/UTs and Urban Local Bodies have to make an equal
matching contribution. This in effect means that central and state
governments and ULBs will invest Rs 96,000 crore over the next five
years for making 100 chosen cities smart, Naidu said.
UD Ministry
will provide Rs 100 crore per city per year over the next five years.
Naidu, however, said additional resources have to be mobilised from
other sources including collection of user fees, beneficiary charges,
land monetisation, debts and loans to execute the project.
"Borrowings
from financial institutions, accessing National Investment and
Infrastructure Fund and from private sector through PPPs are also
options available for the project," the UD minister added.
He said Smart City Mission has unleashed an unprecedented enthusiasm and expectations both within and outside the country.
"More
than a dozen leading countries have expressed keen interest to
associate themselves with this Mission which include US, UK, France,
Spain, Germany, the Netherlands, Sweden, Japan, China, Singapore,
Israel, Australia.
"World’s leading technology solution providers
have been keenly awaiting the unveiling of the contours of the Mission.
Our own private sector is looking forward to take advantage of the
investment opportunities," he said.
Smart City Plans will be
implemented by a Special Purpose Vehicle to be set up for each
identified city to enable a focused effort for effective implementation.
States/UTs and Urban Local Bodies will have 50 : 50 equity in SPV.
"Private sector can also be roped in with equity, the management control remaining with States/UTs," Naidu said.
Describing
the concept, Naidu said, "A Smart City would ensure core infrastructure
and give a decent quality of life to the citizens and enable a clean
and sustainable environment and application of smart solutions."
The
core infrastructure elements in the Smart City context have been
identified as adequate water supply, assured electricity supply,
sanitation including solid waste management, efficient urban mobility
and public transport, affordable housing, especially for the poor.
Robust
IT connectivity and digitization, good governance, especially
e-governance and citizen participation, sustainable environment, safety
and security of citizens and health and education are also core
infrastructure elements.
He said the prime objective is to
enhance the quality of urban life by addressing deficiencies in core
infrastructure required for better living in our context. He, however,
said expectations in various quarters may be high but the Mission is
very practical and realistic in its intentions and objectives.
Asking
the main stakeholders like states and Urban Local Bodies (ULBs) to
"perform or perish" he said, "The ball is now in the court of States and
ULB to take full advantage of this enthusiasm by being appropriately
pro-active. The next 10 years are very crucial for re-writing our urban
landscape. We can’t afford to miss this opportunity. The clock has begun
to tick.
