85
cities to be rated by March next year
Substantial
lending support to Smart Cites identified from World Bank, ADB, JICA, BRICS
Bank, AIIB
Implementation
of new urban missions pick up momentum
Rs.1.24
lakh cr investment approved to improve basic urban infrastructure
Ministry
of Urban Development spends 70% of Plan Funds in 5 months
Shri
M.Venakaiah Naidu reviews progress of urban development schemes
Speedy
implementation of new urban missions launched last year has resulted in the
Ministry of Urban Development spending 70% of Plan Funds for 2016-17 during the
last five months of the current financial year. This was revealed during a
review of progress under different missions taken by the Minister of Urban
Development Shri M.Venkaiah Naidu today.
Under
the initiative of Credit Rating of urban local bodies, 85 cities have launched
the process and the same has been completed in respect of 12. Ahmedabad
Municipal Corporation and New Delhi Municipal Council (NDMC) has got A- -
rating (positive credit worthy). All these 85 cities would be given credit
rating by March next year. Pune and Ahmedabad are in advanced stage of going for
municipal bonds.
The
Minister has directed the officials to follow up with States and ULBs on a
regular basis to ensure that all ULBs get credit rating at the earliest which
is necessary to float municipal bonds for mobilizing resources.
As
a part of handholding the States and Urban Local Bodies for speedy execution of
projects under new initiatives, the Ministry of Urban Development has
identified substantial sources of resources from various domestic and
multi-lateral lending agencies. This includes ; Asian Infrastructure Investment
Bank- US $ 5 billion, Asian Development Bank- US $ 1 billion, Japanese
International Cooperation Agency- US $ 500 million, BRICS Bank- US $ 500
million per city, AFD-Euro 100-200 million. HUDCO is likely to support Smart
City Mission with Rs.10,000 cr.
The
Minister was informed that in addition to 68 projects that were launched in 14
smart cities in June this year, another 134 projects have been identified of
which 114 projects are under bidding. While the first batch of all 20 smart
cities have set up Special Purpose Vehicles, the 13 cities identified under
Fast Track Competition would do so by the end of this month.
Shri
M.Venkaiah Naidu expressed satisfaction over the Ministry approving an
investment of Rs.1.24 lakh crore for improving basic urban infrastructure. This
includes Rs.78,000 cr investment under Smart City Plans of 33 cities and
another Rs.45,935 cr under Atal Mission for Rejuvenation and Urban
Transformation (AMRUT).
Shri
Naidu noted that reforms introduced like involvement of States and ULBs in
conceptualization of new urban missions, autonomy to States in formulation of
projects, their appraisal and approval, competition based selection of cities
etc., have begun to yield positive results in the form of speedy clearance of
investments.
The
Minister directed the concerned officials to take necessary measures jointly
with States and ULBs to promote conversion of municipal solid waste into
compost.
As
against Plan allocation of Rs.21,000 for 2016-17, the Ministry of Urban
Development has incurred an expenditure of Rs.14,725 cr till August this year.
AAR/KM