BHOPAL: Giving smart city development a strong push, MP finance minister Jayant Malaiya allocated Rs 700 crore for the ambitious project on Wednesday. Unlike last fiscal, no provision was made for metro rail project. “It awaits clearance from the Union government, ” Malaiya said.
Under the smart cities project, seven urban centres in the state stand to gain from inclusion in smart city development. Area based development at 354 acre site at North TT Nagar in Bhopal is expected to take shape soon.
Urban administration officials say in last fiscal, the state government gave Rs 250 crore for smart city development in Indore, Bhopal and Jabalpur.
Smart cities development is pegged at about Rs 3,000 crore in Indore and Bhopal. 80% of funds will be raised by respective smart city development corporation. Smart city – special purpose vehicles are backed by an equal contribution of Rs 500 crore from the Union and state government. Spread over five years, each of the smart cities will thus receive funding to tune of Rs 1,000 crore over a period of five years in order to develop pan-city programme and one area development programme.
A significant amount has been utilised as state government’s contribution in smart city development in Indore, Bhopal and Jabalpur. Under the first phase of smart city development Bhopal, Indore and Jabalpur were included in smart cities mission. Gwalior and Ujjain were included in second phase. Sagar and Satna will be included in third phase.
Initially, smart city development is to focus on developing a master plan to improve core infrastructure, quality of life, clean and sustainable environment and smart solutions with a focus on inclusive development.
Metro rail for Indore and Bhopal awaits clearance from the Union government. Last year, there was a budgetary allocation of Rs 453 crore to be spent for Metro Rail projects in two cities.
As per the new proposal, the state government and the Union government are to invest in proposed metro projects with their equity contribution of 40%. As basic development on the ground begins, funding agencies will be approached. The state government is in talks with European Investment Bank and ADB for the two proposals worth Rs 15,000 crore.
State finance minister announced a feasibility survey for mass rapid transport system was being carried out for Gwalior and Jabalpur.
Walls N Roof Comment: Indian real estate is growing tremendously over few years due to government initiative of providing affordable housing and developing smart cities across the countries. There are many cities that have developed into smart cities such as Thane near Mumbai, Gurugram near Delhi etc and cities like Agra, Shimla, Surat etc are in the process of developing into smart cities. Along with these cities Bhopal located in Madhya Pradesh would also be converted into smart cities for which the government of Madhya Pradesh has allocated 700 Cr. Post the development of Bhopal city other cities of Madhya Pradesh like Indore, Jabalpur, Gwalior and Ujjain will be also developed as smart cities. This development of cities into smart cities will definitely boost the realty sector.