Smart Cities Mission

• 16 May 2024

For Prelims: Smart Cities Mission, Centrally Sponsored Scheme, Sustainable development, Special Purpose Vehicle (SPV), Public-Private Partnership (PPP), Atal Mission for Urban, Rejuvenation and Urban Transformation (AMRUT), Pradhan Mantri Awas Yojana-Urban (PMAY-U), Climate Smart Cities Assessment Framework 2.0, TULIP-The Urban Learning Internship Program

For Mains: Analysis of Smart Cities Mission

Source: TH

Why in News?

Despite two extensions until June 2024, the Smart Cities Mission (SCM) launched in 2015, is unlikely to meet its deadline, with 5,533 completed projects funded at Rs. 65,063 crore and 921 ongoing projects worth Rs. 21,000 crore.

What is the Smart Cities Mission (SCM)?

• About:
  • It is a Centrally Sponsored Scheme, launched in June 2015 to transform 100 cities to provide the necessary core infrastructure and clean and sustainable environment to enable a decent quality of life to their citizens through the application of "Smart Solutions".
  • It aimed to improve the quality of life for citizens through sustainable and inclusive development.
• Objectives:
  • Provide core infrastructure and decent quality of life
  • Clean and sustainable environment
  • Application of ‘Smart’ Solutions
  • Sustainable and inclusive development
  • Compact areas
  • Replicable model
• Components of the SCM:
  • Area-based Development:
    • Redevelopment: Renewal of existing urban areas to improve infrastructure and amenities. E.g. Bhendi Bazar, Mumbai.
    • Retrofitting: Upgrading infrastructure in existing areas to make them more efficient and sustainable. E.g. Local Area Development (Ahmedabad).
    • Greenfield Projects: Development of new urban areas with a focus on sustainability and smart technologies. E.g. New Town, Kolkotta, Naya Raipur, GIFT City.
  • Pan-City Solutions:
    • Implementation of Information and Communication Technology (ICT) solutions across various sectors such as e-governance, waste management, water management, energy management, urban mobility, and skill development.
• Governance Structure:
  • To enhance effectiveness, a new governance model was adopted.
    • A Special Purpose Vehicle (SPV) was created under the Companies Act, 2013 led by a bureaucrat or a representative of a multinational corporation (MNC),
• Current Status of the Smart Cities Mission (SCM): Initially planned for completion by 2020, the mission was extended twice, with the current deadline set for June 2024.
  • The funding Pattern was envisioned through Public-Private Partnership (PPP) Route.
• Government Initiatives
  • Atal Mission for Urban Rejuvenation and Urban Transformation (AMRUT)
  • Pradhan Mantri Awas Yojana-Urban (PMAY-U)
  • Climate Smart Cities Assessment Framework 2.0.
  • TULIP-The Urban Learning Internship Program.
  • Smart Cities Mission (SCM): Launched in June 2015, aimed to adapt to global changes by selecting 100 cities for smart city development over five years.

What is a Smart City?

• The term ‘Smart City’ gained prominence after the 2009 financial crash, referring to cities designed with advanced ICT integration, often likened to new Silicon Valleys.
• However in the Indian context, a Smart City would be the one which plans judiciously to meet its aspirations and challenges in a sustainable manner while fostering principles of good governance.
• A Smart City is one which has basic infrastructure, uses ‘smart’ solutions to make infrastructure and services better, and relies on Area-based development.
• Evolution of Smart Cities: Before 2009, cities were mainly seen as hubs of commerce and culture with little emphasis on integrating ICT however after 2009, there was a marked shift toward leveraging ICT for enhanced efficiency, sustainability, and economic growth, partly driven by post-financial crash recovery needs.

What are the Challenges Faced by the Smart City Mission?

• Lack of Clarity in Definition:
  • The SCM did not clearly define a smart city, acknowledging the varied conceptualisations based on local contexts and aspirations.
    • The definition's ambiguity makes it challenging to allocate resources effectively and prioritise projects.
• Top Down Approach:
  • The role of elected representatives being sidelined by reducing the role of elected councils in decision-making raises concerns about democratic governance and accountability.
• Flawed City Selection Process:
  • Selecting cities on a competitive basis overlooked the diverse urban realities of India, which are dynamic and not static like the West.
  • The scheme focused on developing less than 1% of a city's area, leading to exclusion of many areas from development.
    • For example, Chandigarh had invested Rs 196 crore into one pocket-sector 43.
• Inadequate Funding and Scope:
  • McKinsey reports indicate that to improve livability in Indian cities by 2030, USD 1.2 trillion is needed, making Rs. 1,67,875 crore over nine years a mere 0.027% of the total urban India expenditure.
  • Initially planned for completion by 2020, the mission was extended twice, with the current deadline set for June 2024, indicating the complexity of the urban development process.
• Governance Structure Issues:
  • The Special Purpose Vehicle (SPV) model created for smart cities was not aligned with the 74th Constitutional Amendment Act, leading to objections from cities regarding the governance structure as it bypassed traditional city governance structures.
    • Despite PPP being an important driver of the mission, not more than 5% of the funding has come through this route.
• Displacement and Social Impact:
  • Smart city projects led to the displacement of people living in poorer localities, such as street vendors, disrupting urban communities.
  • The focus on infrastructure development in some towns led to enhanced urban flooding, as water channels and contours were disrupted or dismantled.

What are the Steps Needed to Strengthen the Smart City Mission?

The Standing Committee on Housing and Urban Affairs gives the following overarching recommendations.

• Governance and Implementation:
  • Dedicated CEO should be appointed with fixed tenure, ensuring the representation of experts and stakeholders, and utilising existing expertise.
  • Members of Parliament (MPs) need to be included in State-Level Advisory Forums, and should be consulted for project identification, selection, and implementation, as they have grassroots-level expertise.
• Project Focus and Priorities:
  • The emphasising should be more on pan-city projects for comprehensive and holistic development, optimising resource allocation and reducing wastage.
  • Digital infrastructure protection mechanisms are needed to safeguard against cyber threats and maintain data privacy.
• Capacity Building and Funding:
  • A plan to strengthen Urban Local Bodies (ULBs) capabilities in small cities and central government assistance for organisational restructuring and capacity building in states requiring support should be taken up.
• Project Completion:
  • The focus should be on timely completion of project. The ministry's role should not be confined to fund transfer but extend to ensuring execution and completion by intervening with inputs and expertise.

Drishti Mains Question:

Q. Discuss the challenges faced by the Smart Cities Mission in India. Suggest measures to address these challenges and ensure the mission's effectiveness in promoting sustainable urban development.

UPSC Civil Services Examination, Previous Year Question (PYQ)

Mains:

Q. With a brief background of quality of urban life in India, introduce the objectives and strategy of the ‘Smart City Programme.’ (2016)