By Accommodation Times Bureau
Utilization certificate for the 2nd instalment of the funds are submitted by the cities after utilization of a substantive amount of funds from the 1st instalment. While a number of cities have started project implementation on ground their utilization certificates are awaited. Hence, utilization certificate may not be an appropriate yardstick for assessing the progress of the Mission.
Moreover, the progress depends on the date of the selection of the Smart City. After selection, it takes around 18 months in setting up Special Purpose Vehicle (SPV), procuring Project Management Consultant (PMC) firm, hiring Human Resources, preparing Detailed Project Reports (DPRs) and then call for tenders. For Cities selected in Round 1 (January 2016), where 18 months have lapsed, about 51% of the projects have either been tendered or are under implementation. In Round 2 & 3, nearly all the cities have set up SPVs.
Since the launch of the Smart Cities Mission Rs. 9,939 crores hasbeen released by Government of India to Smart Cities. Against this, 753 projects worth Rs. 24,511 crores have been completed or started work on-ground.Further, about 287 projects worth Rs. 14,296 crores are in tendering stage and the works on-ground is expected to start very soon.This is one of the fastest progress demonstrated in the urban sector considering the scale and novelty of the Mission.
Status of the implementation of the Projects under the Smart Cities Mission
|Status||Number of projects||Cost (INR crore)|
|Work Order Issued||510||19,928|
|DPR under preparation||1,908||96,518|
In addition, the Smart Cities are also generating funds by mobilizing internal revenue sources, public-private partnerships, value capture financing, convergence, etc. These additional funds are also helping the cities to meet the requirement for project financing.