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Urban Infrastructure Development

Thesis - Urban Infrastructure Development

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Page 1: Thesis - Urban Infrastructure Development

Urban

Infrastructure

Development

Page 2: Thesis - Urban Infrastructure Development

TEAM MEMBERS

Rakesh Sasapu (G06164)

Rahul Kumawat (G06137)

Roht Parsewar (G06156)

Page 3: Thesis - Urban Infrastructure Development

General Introduction about

Urban Infrastructure…!

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General Meaning……

Infrastructure is basic physical and organizational structures

needed for the operation of a society or enterprise, or the

services and facilities necessary for an economy to function.

It can be generally defined as the set of interconnected

structural elements that provide framework supporting an entire

structure of development.

It is an important term for judging a country or region's

development.

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For convince….

Hard infrastructure

Energy infrastructure

Water management infrastructure

Communications infrastructure

Solid waste management

Earth monitoring and measurement networks

Soft infrastructure

Governance infrastructure

Economic infrastructure

Social infrastructure

Cultural, sports and recreational infrastructure

We had divided in this article the basic infrastructure in two parts:

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The Urban infrastructure problems in

India

Urban residence

Business premises

Power

Water

Sewerage

Urban transport

Airports & Seaports

Railways

Roads & Bridges

Tourism infrastructure

Solid waste management

Projects in SEZ

Health care

Entertainment & Communications

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The challenges…

Page 8: Thesis - Urban Infrastructure Development

In 2001, 286 million persons living in urban areas of India.

Registrar General & Census Commissioner of India, the urban population in India

next 25 years is 1 expected to grow 38%

become 534 million in 2026 .

Census of 2011, 11.2 million Of the total slum population of the country is in

Maharashtra followed by Andhra Pradesh 5.2, Uttar Pradesh 4.4 and West Bengal

4.1 million.

The need for up-gradation and development of urban infrastructure and urban services cannot be overstated.

The present levels of urban infrastructure are grossly inadequate to meet the

demand of the existing urban population.

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That rapid urbanization will add nearly 900 million people to Indian cities.

City capacity will need to grow nearly 400% in less than 50 years.

The inexorable demographic surge in urban India is fueled by the growing

disparity between rural and urban per capita income.

From near parity in 1950, the RATIO OF URBAN TO RURAL PER CAPITA INCOME

In 1990's is 4:1

On June 2010 is 9:1

By 2025, nearly half a billion Indians will need new urban homes.

There is a tremendous pressure on civic infrastructure systems like water

supply, sewerage and drainage, solid waste management, etc.

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The non-revenue water that includes physical and revenue losses, accounts for 40-60

percent of total water supply.

About 30 to 50 percent households do not have sewerage connections and less than 20

percent of total waste water is treated.

Solid waste systems are severely stressed. The state of services reflects the deterioration in

the quality of city environments.

As per 54th round of National Sample Survey:

70% of urban households are being served by tap

21% by Tube well or hand pump.

66% of urban households reported having their principal source of water within their

premises

32% had it within 0.2 Km

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As per the 54th round of NSS:

26% of households had no latrines.

35% were using septic tank.

22% were using sewerage system.

Sewerage connections varied from 48% to 70%.

1,15,000 MT of Municipal Solid Waste is generated daily in the country.

Per capita waste generation in cities varies between 1.5 kg per day and it is

increasing by 13% per annum.

To fill the gap in available infrastructure, there is a daunting shortfall in available funds

for improving and maintaining basic urban infrastructure.

The traditional paradigm for financing urban infrastructure consisted of internal accruals of local bodies and loans and grants from the State Government.

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This was augmented by directed credit from institutions such as HUDCO

and LIC linked to State Government guarantees and by bilateral and

multilateral assistance was also available.

While the conception and implementation of projects under JNNURM

has led to significant capacity augmentation and efficiency gains

particularly in respect of urban transport, the JNNURM project has

highlighted several issues and challenges.

Global experience, particularly in the US, suggests that the capital

markets can have an important role in financing urban infrastructure.

In India, for a variety of reasons elaborated elsewhere in the report, the

contribution of the capital market to urban infrastructure has been

miniscule.

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MAIN ISSUES

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Unbalanced Emphasis on Construction

Contracts by Authorities

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Antediluvian Planning Norms

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Creating fiscal and financially self sustaining Urban Local Bodies (ULBs)

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Lack of Focus on Operation &

Maintenance of Facilities and Service Standards

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Lack of Focus on Common Spaces

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Presence of Multiple Authorities Having Overlapping Jurisdictions Implementation of the relevant project,

Depending on the city

Of the municipality

The urban town

Country planning department

A development authority

State Government public works department

State government irrigation department

City police

City fire department and

The State Government (the levy of a user fee by the municipality may required).

At times the same service may have multiple authorities having jurisdiction over it, for example the supply of water may be governed by the municipal corporation

Page 20: Thesis - Urban Infrastructure Development

Lack of Integrated Approach

The same road could, at different times within a short span of time, be

excavated upon by telephone utility providers, city gas distribution

providers, sewerage utility, water supply utility, public transport corporation

and electricity utility as a result of which stretches of city roads may not be

available for large section of time continuously.

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Lack of Capacity in Urban Bodies to develop

and implement PPP based projects

To cite an example, the Nanded Municipality in Maharashtra had an annual

budget of approximately Rs 30 crores against which the capital expenditure

per annum was approximately Rs 8 crore.

Nanded Municipality implemented urban infrastructure projects of Rs 500

crores over a 3-4 years period. This was possible on account of the

handholding and capacity building assistance provided by IL&FS.

Page 22: Thesis - Urban Infrastructure Development

RECOMMENDATIONS

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Introducing……

We felt that while a serious effort is required to improve the urban infrastructure

it is important that a vision be developed for our cities.

The vision should emerge out of public debates on the matter.

KIND OF CITY THEY WOULD LIKE TO LIVE IN

Focus on better quality of life and improved liveability.

The hundreds of small settlements becoming minor cities

need to be addressed with care as they are going to be the

large cities of tomorrow

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Infrastructure development should precede land development

and not the other way round as is being seen across the country.

The creation of JNNURM has brought about some improvement in

the urban infrastructure in the country.

It may be considered that a similar "Mission on Urban Planning", is

established so that an efficient delivery.

All urban infrastructure improvements should be environmentally

sustainable and contextual.

Page 25: Thesis - Urban Infrastructure Development

Division of recommendations

Our recommendations of are divided into two broad categories:

Measures that can be implemented in the short term, and

Measures that require a greater time horizon

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1. Measures that can be

implemented in the short term

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Creation of a framework for capacity

building in ULBs : Appointment of

Transaction Advisors

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Shift from Construction Contracts to

Performance Based Maintenance

Contracts

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Provide for Creation of Regional Self

Sustaining Infrastructure Funds

For example, in the year 2008, the total funds that were available under the

CWSRF was US$ 5 billion that comprised of the following: US$ 1.2 billion of Federal Capital Grants;

US$ 0.3 billion as equivalent State Government Contribution to the Federal

Grant;

US$ 1.8 billion were raised from leveraged bonds;

US$ 1.3 billion were received from repayment of loan principal;

US$ 0.5 billion were obtained from interest earnings. The number of loans given in 2008 was 2,030 at an interest rate of 2.2% (against the prevailing

market interest rate of 4.6%).

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Monetization of Land and Land

Based Revenues

Most state municipal laws already provide an adequate legal basis for

imposition of land based revenues such as development charges,

betterment levies, improvement charges, cess, and other levies linked to

benefits that land owners or land developers derive from

implementation of planning schemes. However, such levies when levied

generally go into the fund of the relevant authority and are, at times, not used optimally.

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Cont…

i. Land Acquisition

ii. Land Readjustment & Pooling

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Development and Implementation

of Greater Regional Projects

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Require Land Developers to Contribute

towards Development of Infrastructure

Page 34: Thesis - Urban Infrastructure Development

2. Measures that require greater

time horizon

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Review of Planning Norms

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Re-evaluating and Amending the

Framework Regulating Urban Finance

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Augmenting the stock of affordable

housing

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A planning/legal framework for

common areas

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Restructuring of legal framework

governing land use and urban land

development

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Shift Towards Common Framework

Governing Urban Sector

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Case Study

of

“NEW”-Delhi

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In Delhi there exist exclusive zones for the rulers, away from natives which is an

outdated concept for modern India.

Vast areas of the city have sub-optimal and inappropriate usage. Development

in the city is lopsided and needs to be rationalised to accommodate the needs and aspirations of the rapidly growing number of Delhi's citizens.

There is no space for essential social infrastructure, despite very large land area.

Even where land is available, the "created shortage" has driven prices so high

that social-need projects cannot be viable.

50% of Lutyens Bungalows Zone (LBZ) would be enough to provide 3,500 acres of

new parks, sporting and recreation areas for citizens of Delhi without impacting

quality of life of residents, or character, or environment of LBZ.

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Though difficult to quantify, for every VIP user of a Lutyens bungalow, 10

others conduct petty business or trade.

Heritage lies in the Lutyens layout, and in signature structures and not in

barracks and bungalows.

Disfiguring of the real treasures in Lutyens Delhi - Baroda House by the

Railways, Patiala House by the District Court, Bikaner House by Rajasthan

Govt. and many others is difficult to justify.

If "chabutras" built in 1912 can be demolished in Chandni Chowk, more

recent disfiguring can certainly be corrected.

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Other Un“use”-less Places

Delhi needs an urgent re-think about area optimization. The real missuse of LBZ is done by the Government itself:

It is difficult to understand why the Pusa Institute needs to conduct agriculture research on hundreds of acres in the heart of Delhi?

No reason why the Railways keep over a hundred acres in State Entry Road, next to Connaught Place for virtually zero utility?

Why the Air Force is keeping an exclusive golf course and club in 200 acres next to PM's house?

Why a defunct Safdarjung airport should not be a place for Delhi's citizens?

No reason why the seldom used National Stadium, last used optimally in 1951, should occupy pride of place in Lutyens Delhi, when the same was not originally planned?

Why World War 2 barracks should occupy prime Delhi?

In view of the above, a land use audit is necessary to release the prime

locations for social /public use such as hospitality developments,

health services, exposition developments etc….

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Master Plan Delhi 2021

There exist huge potential for creating space for social infrastructure in Delhi.

MPD 2021 calls for 100 acres city parks for every 1 million population which is

grossly inadequate.

It is suggested to have at least 500 acres which will have the effect of creating

more than 10,000 acres of city parks by the year 2021.

The State has to rethink its social spaces

As London has over 2,000 acres of parks in the city centre which is 55% of the area.

Singapore which has area has 15,000 acres of parks and 35 golf courses, for only

4.5 million citizens.

Delhi needs to be very careful in its planning of "complete needs" for citizens

and visitors, and not lock up huge prime land resources for the exclusive use

of the very few.

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Most new residential, office, retail, recreational, and industrial developments

have happened outside Delhi.

An exclusionary shift of fresh economic activity outside Delhi could, if

unchecked, transfer its core economic catalysts to Gurgaon, Noida and others and it is worth to consider that what Delhi will have in 2021.

Delhi has the space to be much more, but it must make over, must build new

while preserving the worthwhile old.

Moreover, land being the vital factor for development, the land acquisition

procedure must be made less cumbersome to meet the demand.

A dispensation of the DMRC type from the Parliament for land acquisition /

optimization would be ideal.

Page 47: Thesis - Urban Infrastructure Development

Thank you..!