Urban Development in India Initiatives and Opportunities 30 th March 2016

1. Urban Development in India Initiatives and Opportunities 30th March 2016

2. Presentation Outline • Urbanization Scenario • Urban Infrastructure -Investment Needs • New initiatives and Investment opportunities • Smart Cities • Swachh Bharat Mission • AMRUT • Metro Rail Projects

3. India: Urban Scenario

4. Urbanization Scenario in India

5. Urbanization Scenario in India

6. Urban Centers Growth

7. Infrastructure Investments

8. Infrastructure Investment March, 2011 Mckinsey Global Institute Study Investment Projections for 20 years Upto 2030 (Including Housing) Investment requirements : US$ 1200 Billion Operation & Maint. Cost : US$ 1000 Billion April, 2010

9. Land of more than ABillion people with 100 spoken languages World’s Largest Democracy - Multi-Party Political System Youngest Nation in the world with the lowest median age of 29 by 2020. 800,000 Engineers, 30,000 Doctors and 10,000 Chartered Accountants are added annually to the Indian Talent Pool Consumption expenditure of USD 3.6 trillion by 2020 Urban population has increased from 26% in 1991 to 31% in 2010 and expected to be 40% by 2030 and 52% by 2050 42 cities currently have a population in excess of 1million rising to 68 by 2030 India: Factsheet A USD 2 Trillion Dollar Economy

10. Cities in India : Responsibilities & Revenues

11. New Initiatives Of Government • Smart Cities • Swachh Bharat Mission • AMRUT • HRIDAY • Metro Rails

12. Smart Cities Mission of India: Smart Cities and Urban Solutions

13. What is a Smart City? Smart City has – • Basic Infrastructure, • Uses ‘Smart’ solutions • Relies on Area Based Development. Objectives: Provide basic infrastructure. Quality of life. Clean and sustainable environment. Apply Smart Solutions. Set examples Catalyze the creation of other Smart Cities.

14. Smart Cities Mission of India To drive economic growth and improve the quality of life of people by enabling local development and harnessing technology as a means to create smart outcomes for citizens • SALIENT FEATURES • Self assessment and city visioning exercise • Area based development with essential features to create replicable smart areas • Pan city proposals with use of ICT to positively influence maximum no. of people. • GAME CHANGERS • Special Purpose Vehicle • Convergence • Integrated Planning • Demand Driven • Competitive • Replicability • FINANCIAL OUTLAY • Central and State Government • ₹ 100,000 Cr = USD 14 Billion

15. Smart Cities Mission Strategy • Develop Areas step-by-step (area-based developments ) • Retrofitting, • Redevelopment, • Greenfield • Pan-city initiative At least one Smart Solution is applied city-wide.

16. Area Based Development Models Retrofitting: Development of an existing built area greater than 200 Ha so as to achieve the objective of smart cities mission to make it more efficient and livable e.g. Local Area Development (Ahmedabad) Redevelopment: Replace existing built environment in an area of more than 20 Ha and enable co-creation of a new layout, especially enhanced infrastructure, mixed land use and increased density e.g. Bhendi Bazar, Mumbai Greenfield: Develop a previously vacant area of more than 100 Ha using innovative planning, plan financing and plan implementation tools with provision for affordable housing, especially for the poor e.g. New Town, Kolkotta, NayaRaipur, GIFT City.

17. City wide Smart Solutions Cities may add any number of smart solutions to the area based developments to make government funds cost effective.

18. Lighthouse and Fast Track Cities Dharmasala Chandigarh Dehradun Faridabad Pasi Ghat Namchi Lucknow Kohima Kota Shillong Bagalpur Imphal Agartala Aizwal Ranchi New Town Kolkata Raipur Diu • FEATURES • 100 smart cities • 20 lighthouse cities • 23 cities in fast track competition Silvassa Warangal Panaji Oulgaret Port Blair Kavaratti

19. Partnership opportunity in Smart City Program Under the Smart City guidelines two types of international support have been envisaged. • Technical assistance for preparation of Smart City Proposal (SCP) by identifying partner city. • Infusion of funds in the SPV of a Smart City for implementation of projects. • Balance funds are expected to be mobilized from various sources including leverage borrowings from financial institutions, including bilateral and multilateral institutions both domestic and external sources. • SPV created for the purpose will be responsible for arranging such resources.

20. Opportunities in Smart Cities • ACCESS TO INDIAN MARKETS AND INDIAN LABOUR POOL • NETWORKING WITH OTHER SCHEMES THROUGH CONVERGENCE • PPP PROJECTS • Smart infrastructure components • Smart technology • Real estate and land development • Sustainable practices • IT/ ICT services • CAPACITY BUILDING • Human resource • Citizen awareness and responsibility • Technical Assistance • FINANCIAL PLAN • Purchase of bonds • Issue of loans

21. Swachh Bharat Mission

22. Components of Swachh Bharat Mission • Household Toilets • (10 Million house holds) • Centre Contribution – INR 4,000/- per Toilet • (assumption Rs. 18,000 / toilet) • State Contribution – at least INR 1,333/- per Toilet • Community Toilets • 40% VGF/ Grant by Government of India • Funding permitted for retrofitting non-operational toilets 5.08 lakh Community and Public Toilet units • Public Toilets • No GoI funding • May combine some Public Toilets with Community Toilets • Solid Waste Management • 20% VGF/Grant by GoI to each project • High Focus on Decentralized SWM

23. Partnership Opportunities • Public Private Partnerships • Special Purpose Vehicles • . • Waste to Energy Plants • Public/ Community Toilets • Transaction Advisory • Handholding Cities/ Training • Sanitation and Waste Management Solutions • ICT Solutions

24. Atal Mission for Rejuvenation and Urban Transformation“AMRUT”A 15 Billion USD Basic Urban Infrastructure Initiative for 5 years Ministry of Urban Development

25. Service Level Gaps Source: Service Levels in Urban Water and Sanitation Sector-Status Report(2010-2011) Ministry of Urban Development

26. Objectives Universal coverage of basic services: Drinking Water, Sanitation & Sewerage Urban transport with focus on NMT Storm Water Drainage Environmental Protection & Climate Change Mitigation Urban (Governance) Reforms Capacity Building

27. Role of Federal Government • Handholding the States and Cities in making their plans • Approve the State Annual Action Plan • Provide 50% project costs to States as grants • To Facilitate and Coordinate for: • Market Borrowings • External Aids • Loans from Bi-Lateral and Multi-Lateral agencies

28. Roles of States Prepare the Plans Approve their Detailed Project Reports Assist the cities execute their projects Monitor the progress of implementation Undertake State level reforms/policy reforms Capacity Building

29. Roles of Cities Prepare their Service Level Improvement Plans Implement the projects either through direct bidding or through Para-Statal Agencies of the State Undertake city planning Undertake city level reforms

30. BUS & BRTS URBAN MOBILITY METRO RAIL 30

31. METRO RAIL IN INDIA

32. Urban Transport-Metro Rail Projects • Joint ownership with state governments • Equity Infusion • 20% Viability Gap Funding for projects on PPP • Projects worth 15.6 billion USD in pipeline City Kilometers Approx. Cost (US$ Million ) • Delhi 136.00 8391 • Mumbai 76.77 7040 • Bangalore 42.30 2580 • Kolkata 14.67 1037 • Chennai 46.05 3106 • Hyderabad 71.00 2638 • Jaipur 29.00 1777 • Cochin 25.30 1111 Finding resources!- Innovative Financing Mechanisms • Metro Rail supported on high demand corridors • Reforms in urban transport made conditional to sanction

33. METRO RAIL PROJECTS UNDER OPERATION (311 Kms) Delhi & NCR (212.23 km) Bangalore (27 km) Kolkata (27.23 km) Chennai (10.15 km) Jaipur (9.0 km) Mumbai Metro Line 1 (11.4km) –PPP  Rapid Metro Gurgaon (5.1km) –  Private initiative Mumbai Monorail Phase-1 (9.0 km) –

34. METRO RAIL PROJECTS (UNDER CONSTRUCTION (532 kms) Delhi (113km), Bangalore (93.9 km), Chennai (34.89 km), Kochi (25.6km), Jaipur (2.5km), Hyderabad (71.2 km), Mumbai Line-3 (32.5 km), Nagpur (38.2 km), Ahmadabad(35.96km), Lucknow(22.9km), Chennai Monorail Phase-1 (43.48  Km), Mumbai Monorail Phase-2, (11.2km) Rapid Metro Gurgaon (7.0km),

35. METRO RAIL PROJECTSUNDER CONSIDERATION (386 KM) Delhi & NCR (104 km), Delhi Metro  Phase-IV(103.93 km), Pune (31.5 km), Chennai  Extn. (9.05 km) Vijayawada (26.03 km) Vishakhapatnam (42.4km) Patna ( 31.1 km) Chandigarh (37.573 km) Delhi-Sonipat - Panipat (111 km) Delhi-Gurgaon - Alwar (180 km) Delhi-Ghaziabad-Meerut (90 km).

36. INITIATIVES FOR MAKE IN INDIA • Rationalisation of Standards & Specifications for civil, rolling stock, signalling, telecommunication and other systems of metro rail. • Standards & Specifications for National Common Mobility Card (NCMC) being developed. • Standards & Specifications for Automatic Fare Collection (AFC) Gates & Validators being developed.

37. THANK YOU