Urban dev dec 2015
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An Overview of Initiatives of government and opportunities for investment and partnership in the sector of Urban Development in India
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Urban dev dec 2015
- 1. Urban Development in India Initiatives and Opportunities 11th December 2015
- 2. Presentation Outline • Urbanization Scenario • Urban Infrastructure -Investment Needs • New initiatives and Investment opportunities 2 Swachh Bharat Mission Smart Cities AMRUT Metro Rail Projects
- 4. Urbanization Scenario in India India’s urban population has grown from 290 million in 2001 to 377 million in 2011 accounting to over 31.75% of the country’s population Urban population is increasing at a rapid rate leading to gap between demand and supply of urban services
- 5. Urbanization Scenario in India India is one of the fastest growing economies in the world today India’s urban population is larger than the total population of United States and is second to China 0 10 20 30 40 50 60 70 80 90 100 Singapore Brazil United States United Kingdom Spain Malaysia China India Sri Lanka
- 6. Approximately 60% of GDP of the country is derived from the Indian urban economy Urbanization has thus emerged as a key policy and governance challenge in India in recent years Larger cities are enhancing their participation in the global economy Smaller cities are absorbing most of the rural-urban migration and strengthening linkages to the rural economy Urbanization Scenario in India
- 7. Urban Centers Growth 7 Type of Urban Units 2011 Census 2001 Census Addition in 2001-11 1. Towns 7,935 5,161 2,774 (a) Statutory Towns 4,041 3,811 242 (b) Census Towns 3,894 1,350 2,532 2. Urban Agglomerations 475 384 91 3. Out Growths (OGs) 981 962 19
- 9. Ministry of Urban Development, GoI Infrastructure Investment 9 The High Powered Expert Committee (HPEC) Investment Projections for 20 years (2012-31) Not Including Housing at 2009-10 prices Investment Requirements: $ 650 Billion Operating & Maint. Cost : $ 330 Billion Mckinsey Global Institute Study Investment Projections for 20 years (2012-31) Including Housing The investment requirement :$ 1200 Billion Operation & Maint. Cost :$ 1000 Billion March, 2011 April, 2010
- 10. India: Factsheet Land of more than A Billion people with 100 spoken languages World’s Largest Democracy - Multi-Party Political System Youngest Nation in the world with the lowest median age of 29 by 2020. 800,000 Engineers, 30,000 Doctors and 10,000 Chartered Accountants are added annually to the Indian Talent Pool Consumption expenditure of USD 3.6 trillion by 2020 Urban population has increased from 26% in 1991 to 31% in 2010 and expected to be 40% by 2030 and 52% by 2050 42 cities currently have a population in excess of 1million rising to 68 by 2030 A USD 2 Trillion Dollar Economy
- 11. New Initiatives 11 Smart Cities Swachh Bharat Mission AMRUT HRIDAY Metro Funding
- 12. What is a Smart City? Smart City has – • Basic Infrastructure, • Uses ‘Smart’ solutions to make infrastructure & services better, and • relies on Area Based Development. Objectives: • Provide basic infrastructure. • Quality of life. • Clean and sustainable environment. • Apply Smart Solutions. • Set examples to be replicated both within and outside the Smart City and catalyze the creation of similar Smart Cities.
- 13. Smart Cities Mission Strategy Develop Areas step-by-step – 3 models of area- based developments – • Retrofitting, • Redevelopment, • Greenfield Pan-city initiative in which at least one Smart Solution is applied city-wide.
- 14. Area Based Development Models Retrofitting: Development of an existing built area greater than 500 acres so as to achieve the objective of smart cities mission to make it more efficient and livable e.g. Local Area Development (Ahmedabad) Redevelopment: Replace existing built environment in an area of more than 50 acres and enable co-creation of a new layout, especially enhanced infrastructure, mixed land use and increased density e.g. Bhendi Bazar, Mumbai Greenfield: Develop a previously vacant area of more than 250 acres using innovative planning, plan financing and plan implementation tools with provision for affordable housing, especially for the poor e.g. New Town, Kolkotta, Naya Raipur, GIFT City.
- 15. City wide Smart Solutions Cities may add any number of smart solutions to the area based developments to make government funds cost effective.
- 16. Implementation & Financing Each city will have a Special Purpose Vehicle (SPV). The SPV will have complete flexibility to plan, implement, manage & operate and will be headed by a full time CEO. Centre will invest a total of Rs. 50,000 crore ($8b) in 100 cities across the country for 5 years. State / ULBs will mobilize additional resources required of Rs. 50,000 crore ($8b) as per 50:50 funding pattern. These funds will act as a catalyst to attract funding from internal and external sources.
- 17. Way Forward 17 Milestones Timelines 100 Cities to submit their Smart City Plans/ Proposals By 15 Dec, 2015 Committee of Experts to Evaluate Proposals based on pre-set criteria By 15th Jan, 2016 Declaration of 20 Leading Smart City Proposals in Year – I By 25 Jan, 2016
- 18. Partnership opportunity in Smart City Program Under the Smart City guidelines two types of international support have been envisaged. • Technical assistance for preparation of Smart City Proposal (SCP) by identifying partner city. • Infusion of funds in the SPV of a Smart City for implementation of projects. • Balance funds are expected to be mobilized from various sources including leverage borrowings from financial institutions, including bilateral and multilateral institutions both domestic and external sources. • SPV created for the purpose will be responsible for arranging such resources. 18
- 20. Components of Swachh Bharat Mission 5.08lakhCommunityandPublicToiletunits Household Toilets (10 Million house holds) • Centre Contribution – INR 4,000/- per Toilet (assumption Rs. 18,000 / toilet) • State Contribution – at least INR 1,333/- per Toilet Community Toilets • 40% VGF/ Grant by Government of India • Funding permitted for retrofitting non-operational toilets Public Toilets • No GoI funding • May combine some Public Toilets with Community Toilets Solid Waste Management • 20% VGF/Grant by GoI to each project • High Focus on Decentralized SWM
- 21. • . Partnership Opportunities Finance Construction Capacity Building Technology • Public Private Partnerships • Special Purpose Vehicles • Waste to Energy Plants • Public/ Community Toilets • Transaction Advisory • Handholding Cities/ Training • Sanitation and Waste Management Solutions • ICT Solutions
- 23. Service Level Gaps Service Indicators National Benchmark India Status Water Supply Per Capita supply of water 135 lpcd 69 lpcd Extent of metering of water connections 100% 13% Extent of non revenue water (NRW) 20% 32% Cost recovery in water supply services 100% 39% Sewerage Coverage of toilets 100% 70% Collection efficiency of the sewage network 100% 10% SWM Household level coverage 100% 35% Extent of scientific disposal of municipal solid waste 100% 10% Storm Water Drainage Coverage of storm water drainage network 100% 46% Source: Service Levels in Urban Water and Sanitation Sector-Status Report(2010-2011) Ministry of Urban Development 23
- 24. 24 AMRUT: Atal Mission For Urban Rejuvenation and Transformation Mission for 500 Cities (With population more than 100,000) Central Funding of Rs. 50,000 Crore (~$8b) Mission Period Five Years: 2014-2019 Financial Support for : Drinking Water Sewerage Septage Storm Water drainage Urban Mobility Public Spaces/ Gardens Governance and Reforms
- 25. 25 AMRUT: Atal Mission For Urban Rejuvenation and Transformation Approach: Central Government to Approve Annual Plans State Governments to Approve Individual Projects Urban Local Bodies to Implement 5 Years operation and maintenance is built in the Project and Contract
- 27. INDIA: The current plans, challenges and opportunities within Urban Transport in India
- 28. 28 URBAN BUS TRANSPORT IS IMPORTANT AND HAS TO BE TRANSFORMED TO A LEVEL THAT IT CAN BE SOLD TO PUBLIC AS A “BRANDED PRODUCT” AIM TO REPLICATE METRO EXPERIENCE ON THE URBAN BUSES 28 METRO RAIL
- 29. Urban Transport-Metro Rail Projects City Kilometers Approx. Cost (US$ Million ) Delhi 136.00 8391 Mumbai 76.77 7040 Bangalore 42.30 2580 Kolkata 14.67 1037 Chennai 46.05 3106 Hyderabad 71.00 2638 Jaipur 29.00 1777 Cochin 25.30 1111 Finding resources!- Innovative Financing Mechanisms 29 Metro Rail supported on high demand corridors Reforms in urban transport made conditional to sanction Delhi 190 kms running. Phase III 136 kms sanctioned Bangalore- 7 kms operational Joint ownership with state governments in Delhi, Bangalore, Kolkata, Chennai, Kochi and Mumbai 20% Viability Gap Funding for Urban transport projects on PPP Mumbai Hyderabad More projects for 15,600 million USD in pipeline
Notes de l'éditeur
- See purpose in para. 2.6 and paras. 2.1 and 2.2 for definition of Smart City. Hon’ble PM during the Launch, (1) called it ‘Poorna’ development or what in urban planning is called holistic development, (2) Smart Cities are two steps ahead of citizen needs and are a way of addressing citizens needs collectively based on Maslow’s hierarchy of individual needs. The key features are use of technology to improve services and infrastructure and nature friendly Area development (Place-making), and (3) it is for the cities to come out with what they want to achieve in terms of becoming a Smart City, what vision they would like to pursue and how each city would like to see it implemented.
- Para. 5.1
- Para. 5.1
- Para. 2.5
- Para. 10 (SPV) Para. 11 (Financing)