The recommendations and guidelines for the development of first phase of the 100 Smart Cities project will be released in a day or two by the Union Urban Development Ministry, according to a senior official of the ministry.
For the first phase of the project, the suggestive policy measures have been approved by the Central government after consultation with all the states and Union Territories, said Urban Development Secretary Madhusudhan Prasad addressing a conference on ‘Smart Cities & Urban Transformation’, organised by the PHD Chamber of Commerce and Industry (PHDCCI) in New Delhi on Tuesday.
“The Government is ready with the final draft of rules and regulations for the development of the first phase of the proposed 100 Smart Cities…it could be announced on Thursday or Friday,” Prasad added.
Elaborating on the policy measures for Smart Cities, the Secretary said that they will have all modern infrastructure including IT-driven facilities and offer ecology-friendly surroundings to the residents. “The citizens will be equipped with all high-tech amenities and civic facilities to give them a good quality of life.”
Soon after the guidelines for Smart Cities phase-I are made public, the policy decisions for second phase of the high-tech cities would be worked on and most likely announced in the next four months.
“In the second phase of the project, the Central Government will provide financial assistance to the states contributing Rs. 100 crore for each proposed smart city, and the state/ UT concerned will also have to spend the same amount on it. Special Purpose Vehicles (SPVs) will be floated to implement the Phase-II of smart cities,” the official said.
The SPVs will be governed by the states and UTs. It will hold responsibility of implementing Smart City project as per the guidelines laid by the Centre as well as states concerned. Every state government will appoint CEOs of the respective SPVs to implement the project. It will be a joint venture between the states and their municipalities, or similar other bodies, with an equity stake of 50:50.
The SPVs would also deal with finance-related matters and connect with private sector to invite them for investments in the execution of the Smart Cities project. “To evolve the best infrastructure for the owners those who invest in the Smart Cities project for peace and prosperity, the government will also facilitate the spirit of competition within different players,” the Secretary added.