India's big smart city challenge

Urbanization can be simply defined as the rise of cities vis-a-vis the rural landscape. As a country moves ahead on the road to progress, cities tend to take center stage. In that manner, the rise of cities has often been construed as an indicator of development and progress. The case has been no different when it comes to India. While the pace of urbanization was a bit slack in the early years post-independence, it has really picked pace in the past few decades, especially in the post-1991 phase. Coupled with economic growth and expanding markets, the urban population now stands at around 30% of the overall pie.

Yet, the picture of an urban India is far from rosy. From economic reforms to demographic dividend in the form of a young population, India has many things going for it. However, there is some more ground to cover if India is to shed its ‘developing country’ tag and emerge a superpower. This can happen only when urbanization (read planned urbanization) is given due attention. Upgrading existing cities and creating new ones are prerequisites for economic progress and they must take place in an organized manner.

Why India needs more planned cities?

A 2010 study conducted by McKinsey Global Institute (MGI) points out that urbanization in India has been a victim of systemic inefficiencies and policy vacuum. While India’s population is no doubt increasing, quality of life of citizens in urban areas is declining. Moreover, unchecked migration from rural areas is only putting further strain on the infrastructure in cities. The result is water and power shortages, lack of proper sewage collection and treatment, overburdened transport systems and unplanned constructions.

It is imperative then to not only create new ‘smart’ cities, but also upgrade the existing ones. Developing newer cities will bridge the rural-urban divide. This will in turn reduce social inequity, one of the biggest psychological benefits of planned urbanization.

The MGI study titled ‘India’s urban awakening: Building inclusive cities, sustaining economic growth’ estimates that by 2030, 40% of India’s population will be living in cities. This makes it all the more crucial for us to ensure that the process of urbanization occurs in a smooth and phased manner.

A carefully planned city will attract investments, create jobs, have strong infrastructure, and most importantly, up the standard of living of its citizens. Going ahead, the contribution of cities to India’s GDP will only increase. If in 2008, cities accounted for 58% of the national GDP, by 2030, this figure is expected to go up to 70%. To adequately leverage this, India needs livable and productive cities.

Where are we lagging now Lost somewhere between the labyrinth of local and state bodies, municipal corporations, urban development agencies, corruption and political will, India’s urban spaces are struggling to breathe. If unplanned growth of cities continues, their state will only get more deplorable.

There has to be better cohesion between the various agencies responsible for urban development and planning. Sewage treatment, provision of clean water to citizens, robust healthcare systems, efficient transport networks and strong governance must form the blueprint of re-designing existing cities and creating new ones. Technology can go a long way in helping realize the creation of smart, safe and sustainable cities.  Every urban plan will need to have a long-term view only then will economic growth happen. A myopic approach can prove disastrous.

To address such issues of scalability, one needs proper research mechanism in place. Sometime back The Energy and Resources Institute (TERI) and United Technologies Corporation (UTC) launched the Center of Excellence for Energy Efficient Buildings in India, which will conduct a pan-India study of 100 buildings across various climatic zones, covering  cities such as Allahabad,  Ajmer,  Vishakhapatnam,  Varanasi,  Delhi-NCR, Mumbai, Chennai, Bengaluru, Kolkata,Hyderabad, Pune, Ahmedabad, Surat, Jaipur etc. These cities have been shortlisted based on Smart Cities program, and are most likely to be chosen for it. This study can thus lay the groundwork for agencies to plan their growth accordingly.

The road ahead

For long, urban planning has not featured on the national agenda as prominently as it is seen now. Creation of 100 smart cities was one of BJP government’s key election promises. With a view to modernizing India and accelerating the process of urbanization, Modi had envisioned creation of 100 smart cities. The idea was to develop satellite towns of larger cities and modernize existing midsized cities. In keeping with the PM’s vision, Finance Minister Arun Jaitley, while presenting his first Budget last year, set aside Rs 7,060 crore towards this. Jaitley had also announced relaxation of foreign direct investment norms so as to attract overseas capital. These announcements were as refreshing as they were promising.

The government has even gone ahead and defined the process after detailed consultation. A framework has been created, based on which cities will be selected in the days to come. Once, these cities are chosen, the next stage of making them smart will kick in. To ensure that the cities are not merely ‘smart’ in terms of technology alone, the eligibility conditions are quite holistic. For instance, to participate in the 'Smart City Challenge', any applicant city needs to have a vision document and a city development strategy in place, progress under Swachh Bharat Mission is another condition, timely payment of salaries to municipal staff is another, and finally, there needs to be an information and grievance redressal mechanism with a e-newsletter in place. From the lot of applicants, a final set of cities will be chosen that would be turned ‘smart’.

In a country such as India, that witnesses unchecked migration to urban areas, creation of smart cities is nothing short of a landmark move. It has the potential to improve the administrative process and also provide citizens access to quality healthcare, education, sanitation and governance.

So far only private construction companies had come forward and developed or proposed to develop smart cities. That the central government identified this issue and gave it a national thrust brought cheer to the general public. With overpopulated cities and their strained infrastructure, India is already in the midst of an urban crisis. The only way out is planned urbanization.

Public and private bodies must join hands and come up with smart, sustainable and long-term solutions. Creating thriving and self-sufficient urban spaces will not only ensure inclusive growth but also contribute to overall economic advancement.  The future of India lies in cities and we must fortify them if the country has to prosper.