Study sees hurdles for ambitious projects

A study conducted by World Economic Forum with the support of PricewaterhouseCoopers (PWC) into the challenges before the Smart City project and Atal Mission for Rejuvenation and Urban Transformation (AMRUT) Mission has said that challenges in areas such as water, waste management, energy and mobility would be exacerbated further if timely and adequate action is not taken. To make the leap to smart cities, the private sector will play a pivotal role, the report stated.

The report said the global urban population is set to rise to over 66 per cent by 2050, and India is a significant contributor. While the country’s urban population currently totals around 410 million people (32 per cent of the total population), it is expected to reach 814 million (50 per cent) by 2050. But the growth of India’s urban population has not been accompanied with commensurate increases in urban infrastructure and service delivery capabilities. As a result, cities in India face a range of challenges in areas such as water, waste management, energy, mobility, the built environment, education, healthcare and safety, the report said.

These challenges may exacerbate further if timely and adequate action is not taken; if neglected, they could even derail India’s growth, the report said. This is why the plan announced by the government of India for 100 smart cities and 500 AMRUT cities is so important, it said.

However, to make the leap to smart cities requires more than just government proclamation. The private sector will play a pivotal role, with support needed to deliver much needed infrastructure and help address capacity issues across state governments and urban local bodies (ULBs), an expert from PWC on condition of anonymity said.

Neel Ratan, leader, government and public sector, PwC India, said, “(Centre) has commenced the reforms process. Now state governments, local government and newly constituted special-purpose vehicles will need to drive the reforms agenda by ensuring the permitting process is simplified and risk-sharing in public-private partnership is optimal.”