Lok Sabha Question No. 191 (STARRED), answered on 2018-07-31
Subject: Urban Local Bodies
Ministry: HOUSING AND URBAN AFFAIRS
Asked by: PRATHAP SIMHA

## GOVERNMENT OF INDIA MINISTRY OF HOUSING AND URBAN AFFAIRS

## LOK SABHA

## STARRED QUESTION NO.191 TO BE ANSWERED ON JULY 31, 2018

## URBAN LOCAL BODIES

*No.191. SHRI PRATHAP SIMHA:

Will the MINISTER OF URBAN DEVELOPMENT be pleased to state:-

- (a) whether the Government has initiated any concrete steps to implement the 74th Constitutional Amendment Act for empowering Urban Local Bodies (ULBs) and if so, the details thereof ;
- (b) whether  it  is  a  fact  that  many  ULBs/  Municipal  Corporations have  failed  to  implement  key  municipal  reforms  to  ensure transparency and improve service delivery among residents and if so, the reasons therefor;
- (c) whether a number of ULBs/ Municipal Corporations remain cash strapped and helpless to revamp the crumbling infrastructure of their ULBs/ Corporations and if so, the details thereof;
- (d) whether the Government plans to provide an ecosystem to help them raise funds through municipal bonds and if so, the details thereof; and
- (e) the  number  of  ULBs,  including  Municipal  Corporations  in  the country at present, State-wise?

## ANSWER

THE MINISTER OF STATE (INDEPENDENT CHARGE) OF THE MINISTRY OF HOUSING AND URBAN AFFAIRS (SHRI HARDEEP SINGH PURI)

(a) to (e): A Statement is laid on the Table of the House.

*****

STATEMENT  REFERRED  TO  IN  REPLY  OF  LOK  SABHA  STARRED QUESTION NO.191 FOR ANSWER ON 31.07.2018 REGARDING URBAN LOCAL BODIES.

- (a) Yes, Madam. The Government has been continuously advising the  States  and  Union  Territories  to  implement  the  74th Constitution  Amendment  Act  (CAA).    Towards  this,  a  Model Municipal Law was circulated by the Ministry of Housing and Urban Affairs to guide the States. The implementation of the 74th  Constitution  Amendment  Act  (CAA)  was  a  mandatory reform agenda under Jawaharlal Nehru National Urban Renewal Mission. The Atal Mission for Rejuvenation and Urban Transformation (AMRUT), further provides thrust to the reform agenda  by  incentivising  the  States  in  implementation  of reforms. The mission provides 10% annual budgetary allocation as reform incentive for the ULBs each year.
- (b) Urban Development is a State subject and Government of India assists the State Governments and Urban Local Bodies through various programmes, schemes and guidelines in implementation of various reforms for efficient urban governance and service delivery. Significant progress has been made across the country in implementation of key municipal reforms by the ULBs.
- (c) It is observed that most ULBs have financial limitations due to limited revenue base and sources. However, the transfers from Government  of  India  and  State  Governments  to  ULBs  have increased substantially during the recent years.
- (d) For the purpose of putting in place a framework for public issue of debt securities by municipalities, listing and trading of such securities, the Securities and Exchange Board of India (SEBI) has notified the Securities and Exchange Board of India (Issue and Listing of Debt Securities by Municipalities) Regulations, 2015 on 15.07.2015.

Under AMRUT Mission, one of the reforms is to float municipal bonds  by  Urban  Local  Bodies  to  raise  funds.  The  mission incentivizes  the  ULBs,  on  'first  come,  first  serve'  basis  for issuing  municipal  bonds.  Municipal  Corporations  of  Pune, Hyderabad and Indore have raised Rs. 200 cr, 200 cr and     140 cr respectively recently through Municipal Bonds.

- (e) As  per  Census  2011,  there  are  4041  Urban  Local  Bodies including  Municipal  Corporations  in  the  country.    State-wise details are given in Annexure.

*****

Annexure in reply to part (e) of Lok Sabha Starred Question No. 191 due for answer on 31.07.2018 regarding Urban Local Bodies. Number of ULBs, including Municipal Corporations

| Sl. No.   | States / UTs         |   No of Urban Local Bodies including Municipal Corporation as per Census 2011 |
|-----------|----------------------|-------------------------------------------------------------------------------|
| 1         | Andhra Pradesh       |                                                                            80 |
| 2         | Arunachal Pradesh    |                                                                            26 |
| 3         | Assam                |                                                                            57 |
| 4         | Bihar                |                                                                           139 |
| 5         | Chhattisgarh         |                                                                           168 |
| 6         | Goa                  |                                                                            14 |
| 7         | Gujarat              |                                                                           195 |
| 8         | Haryana              |                                                                            80 |
| 9         | Himachal Pradesh     |                                                                            56 |
| 10        | Jammu & Kashmir      |                                                                            86 |
| 11        | Jharkhand            |                                                                            40 |
| 12        | Karnataka            |                                                                           220 |
| 13        | Kerala               |                                                                            59 |
| 14        | Madhya Pradesh       |                                                                           364 |
| 15        | Maharashtra          |                                                                           256 |
| 16        | Manipur              |                                                                            28 |
| 17        | Meghalaya            |                                                                            41 |
| 18        | Mizoram              |                                                                            23 |
| 19        | Nagaland             |                                                                            19 |
| 20        | Odisha               |                                                                           107 |
| 21        | Punjab               |                                                                           143 |
| 22        | Rajasthan            |                                                                           185 |
| 23        | Sikkim               |                                                                             8 |
| 24        | Tamil Nadu           |                                                                           721 |
| 25        | Telangana            |                                                                            45 |
| 26        | Tripura              |                                                                            16 |
| 27        | Uttar Pradesh        |                                                                           648 |
| 28        | Uttarakhand          |                                                                            74 |
| 29        | West Bengal          |                                                                           129 |
| 30        | A & N Islands.       |                                                                             1 |
| 31        | Chandigarh           |                                                                             1 |
| 32        | Delhi                |                                                                             3 |
| 33        | Dadra & Nagar Haveli |                                                                             1 |
| 34        | Daman & Diu          |                                                                             2 |
| 35        | Lakshadweep          |                                                                             0 |
| 36        | Puducherry           |                                                                             6 |
|           | Total                |                                                                          4041 |

******