PM Modi to launch three projects to develop urban India

To transform Indian cities and towns, and make them engine for growth, Prime Minister Narendra Modi will tomorrow launch three mega flagship projects, including the Smart Cities proposal at the cost of whopping Rs 4 lakh crore.

The PM will release operational guidelines for these projects - 100 Smart Cities, the Atal Mission for Rejuvenation and Urban Transformation (AMRUT) for 500 cities and Housing-For-All by 2022 in urban areas, a PTI report said.

Modi will also unveil the logo of the housing mission. He was involved during the finalisation of its design.

The guidelines for each of the three projects were made after almost year-long consultations with states, Union Territories and urban local bodies.

While the Smart City and AMRUT projects will draw Rs 48,000 crore and and Rs 50,000 crore, respectively, in central grants over five years, Housing-for-All by 2022 will see the government spend about Rs 3 lakh crore in the next seven years as it aims to build 2 crore affordable houses in urban areas for slum dwellers and people from economically-weaker sections (EWS) and low income groups.

Under the housing scheme, interest subsidy of 6.5% on housing loans with tenure up to 15 years will be provided to EWS and low income groups, giving them a benefit of around Rs 2.3 lakh each.

Urban Development Minister M Venkaiah Naidu said the three projects will herald a new urban era. "The journey for team India begins tomorrow," he said.

States and local bodies will play a vital role in the execution of these projects, the minister said, adding that there will also be a lot of scope for private participation.

The Smart City project seeks to improve quality of life in 100 selected cities with 24 hour water and power supply, world class transportation system, better education and recreational facilities, e-governance and environment-friendly atmosphere, among others.

The Smart City project will be based on PPP model, Naidu said.

AMRUT seeks to ensure basic infrastructure for 500 cities with a population of above one lakh. Ensuring water supply to each household, sewer connections, sanitation and solid waste management, provision for roads and public transportation beside implementation of reforms in urban governance would be the focus under the scheme.

While urban population will increase by over 400 million to touch 814 million by 2050, India faces a mass urbanisation challenge even as many of its biggest cities are already bursting at the seams.

With the help of these schemes, the government is hoping to bring about a transformation of urban India with the critical goal of making the country an economic hub.

The launch will be followed by a two-day workshop in which over 1,000 mayors, municipal heads, state ministers and chief secretaries will take part.

(Image: Reuters)