Lok Sabha Question No. 533 (UNSTARRED), answered on 2015-12-02
Subject: Smart City Mission
Ministry: URBAN DEVELOPMENT
Asked by: ASHWINI KUMAR, KALIKESH NARAYAN SINGH DEO, PARASURAMAN K., TARIQ ANWAR, DUSHYANT CHAUTALA, KURUPPASSERY VARKEY THOMAS, SATISH KUMAR GAUTAM, R. PARTHIPAN, RAGHAV LAKHANPAL, T.G. VENKATESH BABU, SURESH KODIKUNNIL, RODMAL NAGAR, GOPAL CHINAYYA SHETTY, BANSHILAL MAHTO, HARISHCHANDRA DEORAM CHAVAN, MEENAKASHI LEKHI, SONA RAM CHOUDHARY, TAMRADHWAJ SAHU, KINJARAPU RAM MOHAN NAIDU, GEETHA KOTHAPALLI, K. GOPAL, VIJAY KUMAR S.R., VINCENT H PALA, FAIZAL P.P. MOHAMMED, RANGASWAMY DHRUVANARAYANA, DALPAT SINGH PARASTE

## GOVERNMENT OF INDIA MINISTRY OF URBAN DEVELOPMENT

## LOK SABHA UNSTARRED QUESTION NO.533 TO BE ANSWERED ON DECEMBER 2, 2015

## SMART CITY MISSION

No. 533 SHRI ASHWINI KUMAR:

SHRI KALIKESH N. SINGH DEO:

SHRI K. PARASURAMAN:

SHRI TARIQ ANWAR:

SHRI DUSHYANT CHAUTALA:

PROF. K.V.THOMAS:

SHRI SATISH KUMAR GAUTAM:

SHRI R. PARTHIPAN:

SHRI RAGHAV LAKHANPAL:

SHRI VENKATESH BABU T.G.:

SHRI KODIKUNNIL SURESH:

SHRI NAGAR RODMAL:

SHRI GOPAL SHETTY:

DR. BANSHILAL MAHATO:

SHRI HARISHCHANDRA CHAVAN:

SHRIMATI MEENAKASHI LEKHI:

COL. SONARAM CHOUDHARY:

SHRI TAMRADHWAJ SAHU:

SHRI RAM MOHAN NAIDU KINJARAPU:

SHRIMATI KOTHAPALLI GEETHA:

DR. K. GOPAL:

SHRI S.R. VIJAYAKUMAR:

SHRI VINCENT H. PALA:

MOHAMMED FAIZAL:

SHRI R. DHRUVA NARYANA:

SHRI DALPAT SINGH PARASTE:

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

- (a) the details of works  that are undertaken  and  likely to be undertaken  under  smart  city  mission  and  the  details  of  benefits  to  be accrued to general public and slum dwellers as a result thereof;
- (b) the details of proposals received by the Government for selection
- of smart cities, city-wise and the names of cities selected or likely to be selected along with the criteria for selection;
- (c) the assistance, financial or otherwise provided/likely to be
- provided to smart cities, city-wise;
- (d) whether the funds provided/being provided is sufficient to convert the existing cities into smart cities,  if not the steps taken/being taken in this regard; and
- the time frame fixed for completing the mission and the details of assistance financial or otherwise sought or offered from foreign countries/companies,  country-wise  along  with  the  names  of  cities  to
- (e) which foreign assistance provided/likely to be provided?

## ANSWER

## THE MINISTER OF STATE IN THE MINISTRY OF URBAN DEVELOPMENT

## ( SHRI BABUL SUPRIYO )

- (a) & (b) : The purpose of the Smart Cities Mission is to drive economic growth and improve the quality of life of people by enabling local area development and harnessing technology, especially technology that leads to Smart outcomes.  Areabased development will transform existing areas (retrofit and redevelop), including slums, into better planned ones, thereby improving liveability of the whole city.

The  selection  process  of  Smart  Cities  is  based  on  the idea  of  competitive  cooperative  federalism  and  follows  a Challenge  (Competition)  process  in  2  Stages.    In  Stage-1, based on intra-State Competition conducted by the States/UTs (in terms of Existing Service Levels, Institutional Systems/  Capacities,  Self-financing  and  Past  track  record and reforms,) the Ministry of Urban Development has announced a list  of  98  cities  (Annexure  I)  to  participate  in Stage 2 of the Competition.  In  Stage 2 of the Competition,

all  the  98  cities  have  to  prepare their Smart City Proposals (SCPs)  and  submit  to  the  Ministry  of  Urban  Development (MoUD)  by  15.12.2015.    Thereafter,  the  final  list  of  Smart Cities will be announced.  The  details of works  to be undertaken by the cities, will arise from the the SCP.

- (c)  &  (d)  :  Financial  support  as  Central  assistance  under  Smart  Cities Mission to the extent of Rs.48,000/crores has been proposed to be provided to the 100 cities during the Mission period.  An equal amount, on a matching basis, will have to be  contributed  by  the  State/ULB.  The  Government  of  India funds and the matching contribution of the States/ULBs will meet only a part of the project cost and balance funds are expected to be mobilized from
- i. States/ ULBs own resources from collection of user fees, beneficiary charges and impact fees, land monetization, debt, loans, etc.
- ii. Additional  resources  transferred  due  to  acceptance  of
- the recommendations of the Fourteenth Finance Commission (FFC).
- iii. Innovative finance mechanisms such as municipal bonds with credit rating of  ULBs,  Pooled  Finance  Mechanism, Tax Increment Financing (TIF).
- iv. Other Central Government schemes like Swachh Bharat Mission,  AMRUT,  National  Heritage  City  Development
- and Augmentation Yojana (HRIDAY).
- v. Leverage borrowings from financial institutions,
- including bilateral and  multilateral institutions,  both domestic and external sources.
- vi. States/UTs  may  also  access  the  National  Investment and Infrastructure Fund (NIIF), which was announced by the Finance Minister in his 2015 Budget Speech, and is likely to be set up this year.
- vii. Private sector through PPPs.

Contd:

- (e) : The Smart Cities Mission will cover 100 cities and its present duration is five years (FY2015-16 to FY2019-20).

During  the  preparation  of  the  Smart  Cities  Mission,  a number  of  foreign  Governments  have  offered  to  provide Technical Assistance (TA) support. Additionally, other external  organizations,  including  bilateral  and  multilateral institutions, as well as domestic organizations have suggested  to  the  Ministry  of  Urban  Development  that  they can give technical assistance support. The following countries  have  also  shown  interest  to  participate  in  the development of Smart Cities:

- i) Spain,
2. ii) Canada,
3. iii) France,
4. iv) Germany,
- v) China,
6. vi) Singapore, and
7. vii) United Kingdom

The  Government  of  India  has  facilitated  signing  of

Memoranda of Understanding (MOUs) between United States Trade  and  Development  Agency  (USTDA);  and  the  State  of Andhra Pradesh, Rajasthan and Uttar Pradesh to support the development of Vishakhapatnam, Ajmer and Allahabad respectively as Smart Cities.

******

## Annexure-1

## List of 98 Cities shortlisted for Stage-2 of Smart Cities Mission

|   Sl. No. | Name of State/UT          |   No. of cities shorlisted | Names of Potential Cities shortlisted                                                                    |
|-----------|---------------------------|----------------------------|----------------------------------------------------------------------------------------------------------|
|         1 | Andaman & Nicobar Islands |                          1 | 1. Port Blair                                                                                            |
|         2 | Andhra Pradesh            |                          3 | 1. Vishakhapatnam 2. Tirupati 3. Kakinada                                                                |
|         3 | Arunachal Pradesh         |                          1 | 1. Pasighat                                                                                              |
|         4 | Assam                     |                          1 | 1. Guwahati                                                                                              |
|         5 | Bihar                     |                          3 | 1. Muzaffarpur 2. Bhagalpur 3. Biharsharif                                                               |
|         6 | Chandigarh                |                          1 | 1. Chandigarh                                                                                            |
|         7 | Chhatisgarh               |                          2 | 1. Raipur 2. Bilaspur                                                                                    |
|         8 | Daman & Diu               |                          1 | 1. Diu                                                                                                   |
|         9 | Dadra & Nagar Haveli      |                          1 | 1. Silvassa                                                                                              |
|        10 | Delhi                     |                          1 | 1.New Delhi Municipal Council                                                                            |
|        11 | Goa                       |                          1 | 1. Panaji                                                                                                |
|        12 | Gujarat                   |                          6 | 1. Gandhinagar 2. Ahmedabad 3. Surat 4. Vadodara 5. Rajkot 6. Dahod                                      |
|        13 | Haryana                   |                          2 | 1. Karnal 2. Faridabad                                                                                   |
|        14 | Himachal Pradesh          |                          1 | 1. Dharamshala                                                                                           |
|        15 | Jharkhand                 |                          1 | 1. Ranchi                                                                                                |
|        16 | Karnataka                 |                          6 | 1. Mangaluru 2. Belagavi 3. Shivamogga 4. Hubballi-Dharwad 5. Tumakuru 6. Davanegere                     |
|        17 | Kerala                    |                          1 | 1. Kochi                                                                                                 |
|        18 | Lakshadweep               |                          1 | 1. Kavaratti                                                                                             |
|        19 | Madhya Pradesh            |                          7 | 1. Bhopal 2. Indore 3. Jabalpur 4. Gwalior 5. Sagar 6. Satna 7. Ujjain                                   |
|        20 | Maharashtra               |                         10 | 1. Navi Mumbai 2. Nashik 3. Thane 4. Greater Mumbai 5. Amravati 6. Solapur 7. Nagpur 8. Kalyan-Dombivali |

|     |               |    | 9. Aurangabad 10. Pune                                                                                                                                           |
|-----|---------------|----|------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| 21. | Manipur       |  1 | 1. Imphal                                                                                                                                                        |
| 22. | Meghalaya     |  1 | 1. Shillong                                                                                                                                                      |
| 23. | Mizoram       |  1 | 1. Aizawl                                                                                                                                                        |
| 24. | Nagaland      |  1 | 1. Kohima                                                                                                                                                        |
| 25. | Odisha        |  2 | 1. Bhubaneshwar 2. Raurkela                                                                                                                                      |
| 26. | Puducherry    |  1 | 1. Oulgaret                                                                                                                                                      |
| 27. | Punjab        |  3 | 1. Ludhiana 2. Jalandhar 3. Amritsar                                                                                                                             |
| 28. | Rajasthan     |  4 | 1. Jaipur 2. Udaipur 3. Kota 4. Ajmer                                                                                                                            |
| 29. | Sikkim        |  1 | 1. Namchi                                                                                                                                                        |
| 30. | Tamil Nadu    | 12 | 1. Tiruchirapalli 2. Tirunelveli 3. Dindigul, 4. Thanjavur, 5. Tiruppur, 6. Salem, 7. Vellore, 8. Coimbatore, 9. Madurai, 10. Erode, 11. Thoothukudi 12. Chennai |
| 31. | Telangana     |  2 | 1. Greater Hyderabad 2. Greater Warangal                                                                                                                         |
| 32. | Tripura       |  1 | 1. Agartala                                                                                                                                                      |
| 33. | Uttar Pradesh | 12 | 1. Moradabad 2. Aligarh 3. Saharanpur 4. Bareilly 5. Jhansi 6. Kanpur 7. Allahabad 8. Lucknow 9. Varanasi 10. Ghaziabad 11. Agra 12. Rampur                      |
| 34. | Uttarakhand   |  1 | 1. Dehradun                                                                                                                                                      |
| 35. | West Bengal   |  4 | 1. New Town Kolkata 2. Bidhannagar 3. Durgapur 4. Haldia                                                                                                         |
|     | Total         | 98 |                                                                                                                                                                  |