Cabinet Approves SMART and AMRUT Mission in India

Union Cabinet approves Atal Mission for Rejuvenation and Urban Transformation and Smart Cities Mission to drive economic growth and foster inclusive urban development

In a determined bid to recast the urban landscape of the country to make urban areas more livable and inclusive besides driving the economic growth, the Union Cabinet chaired by Prime Minister Shri Narendra Modi today approved Central Government spending of about one lakh crore on urban development under two new urban missions over the next five years. The Cabinet has approved the Smart Cities Mission and the Atal Mission for Rejuvenation and Urban Transformation of 500 cities (AMRUT) with outlays of Rs.48,000 crore and Rs.50,000 crore respectively. Under the Smart Cities Mission, each selected city would get central assistance of Rs.100 crore per year for five years. Smart City aspirants will be selected through a ‘City Challenge Competition’ intended to link financing with the ability of the cities to perform to achieve the mission objectives. Each state will shortlist a certain number of smart city aspirants as per the norms to be indicated and they will prepare smart city proposals for further evaluation for extending Central support. This Mission of building 100 smart cities intends to promote adoption of smart solutions for efficient use of available assets, resources and infrastructure with the objective of enhancing the quality of urban life and providing a clean and sustainable environment. Special emphasis will be given to participation of citizens in prioritizing and planning urban interventions. It will be implemented through ‘area based’ approach consisting of retrofitting, redevelopment, pan-city initiatives and development of new cities. Under retrofitting, deficiencies in an identified area will be addressed through necessary interventions as in the case of Local Area Plan for downtown Ahmedabad. Redevelopment enables reconstruction of already built-up area that is not amenable for any interventions, to make it smart, as in the case of Bhendi Bazar of Mumbai and West Kidwai Nagar in New Delhi. Pan-city components could be interventions like Intelligent Transport Solutions that benefits all residents by reducing commuting time. Under smart cities initiative, focus will be on core infrastructure services like: Adequate and clean Water supply, Sanitation and Solid Waste Management, Efficient Urban Mobility and Public Transportation, Affordable housing for the poor, power supply, robust IT connectivity, Governance, especially e-governance and citizen participation, safety and security of citizens, health and education and sustainable urban environment. Smart City Action Plans will be implemented by Special Purpose Vehicles(SPV) to be created for each city and state governments will ensure steady stream of resources for SPVs. The two missions are interlinked. AMRUT adopts a project approach to ensure basic infrastructure services relating to water supply, sewerage, septage management, storm water drains, transport and development of green spaces and parks with special provision for meeting the needs of children. Implementation of this Mission will be linked to promotion of urban reforms such as e-governance, constitution of professional municipal cadre, devolving funds and functions to urban local bodies, review of Building bye-laws, improvement in assessment and collection of municipal taxes, credit rating of urban local bodies, energy and water audit and citizen-centric urban planning. 10 percent of budget allocation will be given to States/UTs as incentive based on achievement of reforms during the previous year. A reform matrix with timelines would be circulated to States in the Guidelines. This Mission will be implemented in 500 cities and towns each with a population of one lakh and above, some cities situated on stems of main rivers, a few capital cities and important cities located in hilly areas, islands and tourist areas. Under this Mission, States get the flexibility of designing schemes based on the needs of identified cities and in their execution and monitoring. States will only submit State Annual Action Plans to the Centre for broad concurrence based on which funds will be released. In a significant departure from JNNURM, Central Government will not appraise individual projects. Central assistance will be to the extent of 50 percent of project cost for cities and towns with a population of up to 10 lakh and one-third of the project cost for those with a population of above 10 lakh. Central assistance will be released in three instalments in the ratio of 20:40:40 based on achievement of milestones indicated in State Annual Action Plans. AMRUT seeks to lay a foundation to enable cities and towns to eventually grow into smart cities. The Cabinet also today approved Central funding under AMRUT to the projects sanctioned under JNNURM and not completed. JNNURM projects relating to urban development sanctioned during 2005 -2012 and achieved physical progress of 50 percent availing 50 percent of central assistance released and those sanctioned during 2012-2014 will be supported till March, 2017. Accordingly, 102 and 296 projects respectively will get Central support for balance funding to complete these projects. Central spending approved for the next five years under the two new Missions assumes significance in the backdrop of the approved Plan outlay of Rs.42,900 crore for JNNURM that was implemented over nine years between 2005 and 2014. Out of this, actual Central assistance released was Rs.36,398 crore. Further to today’s Cabinet approval, a minimum investment of over Rs. 2 lakh crore would flow into urban areas over the next five years (2015-16 – 2019-20) since States and urban local bodies would mobilise matching resources ranging from 50 percent to 66 percent. In addition, substantial private investments would be mobilized by states and urban local bodies through PPP model as required to meet project costs. The architecture of the Smart Cities Mission and AMRUT is guided by the twin objectives of meeting the challenges of growing urbanization in the country in a sustainable manner as well as ensuring the benefits of urban development to the poor through increased access to urban spaces and enhanced employment opportunities. Source: Press Information Bureau, INDIA, April 2015

National Debates on Farmer Suicides: Live Broadcast of Farmer Suicides, Rallies and briefing by political leaders to nations

"A farmer hanged himself in front of 24 x 7 media in a political rally, while a state CM, national media TV and Print, police officials etc. had a decent watch of the process. Evening shows packaged with who should be responsible for the farmer live lost in front of everybody. An enquiry is being conducted and wittness gathered to prove that he committed suicide."

In the post independence India, this kind of incidents are not only shameful but criminal neglect by everybody. The ignorance and indifference of the leaders and political class is very hightned in this incident. The statements by hon. Home Minister and later by PM to condone the incidents may not be enough. The ownership of the people are taken over by them, have become masters to distribute the doles to the poor farmers. The systems have failed to respond in the natural disasters, whats the role of political class in realeasing the funds for the affected farmers. There was huge funds, and legal systems enacted to respond to the disasters, yet none of the state government reacted properly, the hypothetical assumption of the power by them raised concerns about the decisions to be taken by the political class.

The farmers who lost the crops must not be at the mercy of the political leaders, but the systems made to provided immediate relief have failed measirably, we are yet to get quick assessment despite the modern satellite technology to assess the damage. The numerable man power available at the disposal of the district governments could have been used to assess the losses and damages. Yet even after 45 days people have no idea how much compensation they can claim or get. The linkages of bank accounts, aadhar cards and other systems have also not helped in quick transfer of money /financial assistance. The issues are being rallied between the state and central government, who should act fast, why it takes months to assess.

While the nation watched the recent suicide of the farmer live 24 hours the pain of the citizen is very much in forefront. The politics of the national disasters must avoid the system to be enacted for the disaster management. We are so week that the political leaders take their own time and political situation to encash the dole transfer. We must not take these lightly, the world would look at us in peity.

I hope we must strengthen our systems to upgrade the disaster management in the manner as designed in the governance system. Empower the local bodies to take action, and provide necessary relief on time. 

Scam India to Skill India: Shaming India Abroad

The recent visit of PM abroad highlighted the change in India during last ten months from its transition from being 'scam India' to 'skill India'. No matter nothing has been done to make India skilled in last 10 months yet may turnout to be rallying point of ruling party. The assumption of the political class in owning the government from being Government of India to be claimed as 'Modi Sarkar' we personalized the government officially. Though the term used by media as an adjective turned out to be big election campaign slogan. The ownership did not remain only with the present ruling parties but the GoI ownership for past 60 years were granted to Congress. The easy claim to governments by the political class does not take into account the constitutional provisions and idea of government into four constituent pillars namely, executive, judiciary, legislative and media or people. 

The ownership of political class to government transferred all the ills of them to governments and in turn to the people of India. The notion of 'SCAM' India resides not only on the political parties those who have ruled but also people of India, who laboured hard to achieve the development goals. The professionals, government officials, academicians and citizens who all were part of various systems together brings out to what India is today. The alleged notion of India by present PM is faulty on the grounds of wild image created by the media. India is not scam prone its endevour to fight poverty and backwardness by increasing the agriculture production, industrial activities and technical knowledge is known world over. The efforts of people and tolerance of the all the government from central to state is legendary. Irrespective of shortage of resources, lack of infrastructure and basic amenities the people did not complained fully understanding the reasons of backwardness. This was not just scams which resulted in present state of affairs, its resource crunch, population growth and systems failure all due to various reasons.

There are times when the hard works of the individuals, state and national institutions have resulted in the change and enhanced India's competitiveness abroad. We have raised the glory of country in many economic sectors. We may be still middle income categories but the growth rate have risen in last two decades due to reforms. The scam allegations may be true since also marks the nature of awareness the media, state and people are into for their rights. 

The current government are at fault in raising the issue while showcasing the abilities of India and its people abroad. The party in power must respect the voice of nation, their dreams and refrain from damaging the image of India based on the data provided by the agencies who are out in open to protect the interest of developed world and their business. The trade imbalances are also result of poor image creation and campaign by the western nation to delink India's growth story from labour of its people. They are happy to project the poor image and disintegrated political class resulting in the damaging the ruling by the fellow political class and primarily the congress party. The parties in power must rule, but nation does not belong to a political party, its the people who have elected them to restore the image of India and enhance its potential. The blame game must stop and short term arrogance of the political parties must go away to give space to development works based on the reasonable policies not drawn by political class but by all the constituents of the Government of India and its states. 

Government of India: Post Budget Agenda

Riding on the media bandwagon the Union Finance minister presented budget on 28th Feb 2015 admist lot of hope as change maker. While increasing the scope for the insurance cover to the poor, there is chance to include poor in monitized economy. Whether the claim is granted and reclaimed by the poor as regards to insurance? Only time would tell the benefits it would do to the poor. Thats apart the budget curtail the spending on the social sector, including Panchayati raj, education, health, water resources has been reduced. As mentioned by one analyst as under;

"Many of the social sectors have experienced huge cut in allocation. The allocation for women and child development has been reduced by staggering 44 per cent, the reduction for school education and literacy has been facing a reduction of closer to 10 per cent. The allocation for environment and forest has been slashed by almost 5 per cent and for water resources the allocation was reduced by 29 per cent. Allocation on Mid-day meal scheme has been reduced by almost 22 per cent. Allocation for JnNURM has been reduced from Rs. 6, 2167 crore to Rs. 240 crore and the money would be transferred to the creation of 100 smart cities across the country. In the name of giving fiscal autonomy to the states, 12 schemes earlier funded by central government have been winded up and left to the states to use their additional resources. As a result, backward region grants fund, tourist infrastructure development scheme, model school at block level, part of agricultural development has to be taken care of by the state governments."

For detail :https://expldev.wordpress.com/2015/03/01/union-budget-2015-16-hopes-and-apprehensions-anjan-chakrabarti/

What can be expected from the government who has done wonders to facilitate the corporate by providing for the tax breaks, have been planning to disinvest from the public enterprise, facilitate new business  etc has been lack lustors in promoting the agricultural growth. With lots of hope on the 'niti ' ayog, this has been non starter with Rs.20000 crore seed capital alloted. The state are now left with the recommendations of the finance commissions for their share of central revenue. Most of the state are now made to look for their own resources. Right approach but state needs to be trained, monitored and supported for the planning excercise. The largest share of revenue from the centre now goes to the defence sector with over Rs.2.5 lakh crore expenditure allocation. 

With the objective of bringing the labour from the agriculture to the services sector the focus retains on the skill development. What skills? mainly to serve the service sector, which has seen the rise of service tax from 12 to 14 percent directly, and with addition proposed cess of 2 percent its going to rise above 16 percent. This can harmful for the growth of service sector it self. More or less it would effect the tourism, hotel and restaurant business in big way. The middle class households are largely effected, not only in urban India but also in rural. The development scenario would never receive investments as expected due to poor rise in income of households. There is poor chance of saving the money, thus where is scope for the investment in infrastructure or govt schemes. 

The arm twisting of the middle class has been opposite to the 'achhe din' slogan by the Modi Sarkar, promised on the eve of election. The net benefit to the poor would be lesser if the investment in rural infrastructure is declining, and the employment scope is declined due to poor service sector growth. The decline in crude prices have not helped the customers but it has helped the government and corporate to save the addition revenue and foreign exchange. The additional levies and taxes would burden on the common men and rich alike since many of them who consume these raw material would be hard hit by increasing price rise. 

The global competitiveness would decline since the delay in the major projects like Dholera SIR, GIFT city and DFC would take toll on the corporate expectation. Even with rise in government investment the projects on the ground are moving at slow pace. The first of the projects mentioned might be expected to finish by 2017-18, if the projects do not get the investors who are really interested in starting projects there is likely chance to even foresee employment generated on the ground. 

Though the governments abstain itself from being populist it attracted the attention of the market and corporate since it facilitated them for the want of investment and employment. As per the experience of Gujarat goes hardly 30 to 40 percent being realized even after facilitating the corporate in most of the manufacturing sectors.