ADB support India’s ambitious plan to build 100 smart cities in Country

ADB (Asian Development Bank), which is Manila based bank stated that they are committed to support India’s most ambitious plan, which is to build around 100 smart cities in the country. As per the statement of Takehiko Nakao, who is the President of Asian Development Bank, “Our bank will continue to play an important role in driving the development of inclusive, resilient, green and eco friendly cities and for the global climate change agenda and success of Sustainable Development Goals (SDGs).

It is expected that the use of intelligent systems and latest technology will improve the urban services for the poor, which will include the affordable transportation and as well as including sanitation, officials said in the Delhi Sustainable Development Summit 2015. From starting Asian Development Bank was committed to support the India’s 100 smart cities initiative. Now it’s perfect time to make the cities greener, so that they can become more resource and energy efficient through promotion of low carbon emission or development and as well as the smart use of natural sources such as; water.

He said, “If we want to see the real growth we need to invest more in mass public transport systems and in better waste and wastewater management process, which means to make the transport systems more integrated for better and convenient uses. The more he added that to make the cities more resilient decision makers we should consider the climate change and natural hazards risks while designing cities as well as the urban infrastructure. It is well known fact that small up-front investments are able to save lives and avoid large scale infrastructure rebuilding and rehabilitation costs later”. Now it’s time to invest more in climate resilient infrastructure like; bigger storm-water retention reservoirs to accommodate variations in rainfall, enlarged drainage systems in cities and elevated roads. At Asian Development Bank, approx. all investment projects are screened for climate risks.

All the green, resilient and inclusive cities need better governance and more effective institutions for management as greater use of integrated urban planning and better use of land can attract more timely investments for resilient and more sustainable infrastructure. For example; It could consider the new finance instruments to better mobilize local resources like; through PPPs (public private partnerships) or municipal bond mechanisms.  As per the statement of ADB President, 2015 can be the milestone for international development in India.

It is expected that an agreement on SDGs for 2015 agenda will appear in the September United Nations (UN) summit, which is going to held in New York and in December there are chances for new climate deal to be agreed at COP 21 in Paris.

Delhi-Mumbai Industrial Corridor Development Corporation

Now finally work is going to start on building the smart cities at Delhi-Mumbai Industrial Corridor, and for that central government has moved the conceptualization stage and now after five years they finally sought bids for building core infrastructure on Delhi-Mumbai Corridor.

On last Thursday, DMICDC (Delhi-Mumbai Industrial Corridor Development Corporation) invited the bids for trunk infrastructure and setting the stage for construction of core infrastructure projects in the proposed of green-field city for the Pithampur-DharMhow Investment Region, which is in Madhya Pradesh. According to authentic sources the estimated cost for the initial projects can be worth of Rs 300 crore. Later on Friday evening, the Trust of Delhi-Mumbai Industrial Corridor Development Corporation (DMICDC) cleared three smart city projects for a second city in Dholera, which is in Gujarat and it will include the administrative building, water treatment plant and roads and utilities in the first stage. Along with all development and as well as with sewerage treatment plants and common effluent, it is expected that these will be of worth Rs 2,650 crore. After getting the green light from the trust, now DMICDC is planning to seek bids later this month. In next step there will be more bids for similar infrastructure facilities in Shendra, which is in Maharashtra and it will be the third city on which bids are expected to be sought by the end of the financial year.

As per the officials, the work on Integrated Industrial Township in Greater Noida is in progress and for some of the work bids will be invited by the end of March. The fifth project is the Global City near Gurgaon and for that master plan is about to complete. Now DMICDC is too keen for the trunk infrastructure in these three cities as they are ready over in next three years so that work on commercial projects, residential properties and factories can commence. Central government is hoping that the private sector will take over once the core infrastructure is in place. Apart from these five smart cities central government is targeting 100 smart cities, in which most of them will be the upgrading of existing ones, while proposed cities along with the industrial corridor are green-field projects. We all know that in India, only a handful of new cities have been built after the independence.

Recently, Devendra Fadnavis, Chief Minister of Maharashtra assured the industrialists for quick and speedy completion of key infrastructure projects in Mumbai and its suburbs and he allowed the Mumbai’s civic body to float municipal bonds for the first time ever. In a conference, to transform Mumbai, Devendra Fadnavis, stated that it is expected that an ambitious 35-km long coastal road linking the city’s northern and southern extremities will be completed in next two years whereas; the work on the 22.5 km Mumbai trans Harbour link, which will link the Sewri in the island city to the mainland, will start by the end of 2015 and by the time the new airport is ready, which is 2019. CM Fadnavis, the more added that I know it is impossible, however projects much bigger than coastal road have been completed before two years. So let’s try to do it.”

Most of the Mumbai’s infrastructural projects have been delayed due to poor planning and over cost that can cause frustration and anger between the city’s harassed office goers and as well as harassed commuters. it is well known fact that a 4.7 km bridge linking Bandra to Worli took more than 10 years to build whereas; a flyover between Santa Cruz and Chembur took more than 11 years and they cost more than Rs 450 crore, which is pretty high. But CM was sounding positively as he stated that state government was willing to willing to stick their neck out to set an example. It is expected that environmental clearances for coastal road and other projects will be given by the end of monsoon followed by bids for road construction.

Arun Jaitley, Union Finance Minister stated in the conference that through a video link and by giving his support for developing Mumbai as a financial centre. This conference was held to brainstorm the ideas for the development of Mumbai as the world class financial capital of country, so that it can represent the host of industrialists, Jayant Sinha, who is the Union Minister of State for Finance, Fadnavis, other cabinet colleagues and state bureaucrats. In the conference, CM Fadnavis also allowed to Brihamumbai Municipal Corporation to float municipal bonds and it was for the first time when Commissioner Sitaram Kunte complained that they need such flexibility.

Municipal bonds will allow the civil bodies to get the fund from the market to fund the development work for infrastructure projects without relying on the state largesse or tax increases. BMC, which is the richest municipal body in Asia has a budget of Rs 33,514 crore, and it is more than then the market of Punjab National Bank,, which is the fifth largest PSU bank in terms of assets. Giving an instance of how his government has been taking quick decisions, the CM stated that in past two months our state had given sanction to more than 25 development plans that were in the line.