Challenges of the Smart Cities Initiative

What is a Smart City?

A smart city is generally defined as an urban area that utilizes digital technology to improve performance across sectors such as transport, energy, and waste management.

In India, the focus has been more on addressing basic infrastructure needs, while incorporating some smart solutions, which contrasts with the global definition that typically emphasizes advanced technology and operational efficiency.

Objectives of the Smart Cities Mission

• Improve core infrastructure and quality of life.

• Promote a clean and sustainable environment.

• Implement smart solutions to address urban challenges.

• Support sustainable and inclusive development.

Key Components of the Mission

• Area-Based Development (ABD): Includes retrofitting, redevelopment, and greenfield projects.

• Pan-City Solutions: Involves implementing Information and Communication Technology (ICT) across various sectors.

Governance Structure

The governance model relied on Special Purpose Vehicles (SPVs) formed under the Companies Act, which bypassed local governments.

The idea was that corporate-like structures would produce better outcomes, but this model has been criticized for lacking accountability and failing to involve the public.

Challenges Faced

The Smart Cities Mission has encountered several issues, such as:

• Lack of Clarity: There is no clear definition of a smart city, leading to poor allocation of resources.

• Top-Down Approach: Excluding elected representatives undermines democratic governance.

• Flawed City Selection: The competitive selection process ignored the unique challenges faced by individual cities.

• Inadequate Funding: The financial resources provided were not enough to meet the mission's ambitious objectives.

Case Study – Shimla

Shimla became a smart city after initially being excluded and facing legal challenges.

Its plan included improving old areas (retrofitting) and constructing new ones (redevelopment), with a focus on better pedestrian and traffic management. However, progress has been slow, and many aspects have been ineffective.

Financial Details

• The total budget for Shimla’s smart city project was ₹2,906 crore.

• Funding sources included Public-Private Partnerships (PPP), municipal bonds, and government schemes.

• As of now, only ₹707 crore has been spent, with much of the funds underutilized or poorly managed.

Challenges in Shimla’s Project

• Many key projects remain incomplete.

• Traffic congestion has worsened, rather than improved.

• Plans for walkways and non-motorized mobility have been neglected.

• Money has been wasted on unimportant items like flower pots.

• Large escalator structures were built but are not operational and obstruct views, adding to the inefficiency.

Current Status and Future Prospects

The mission, originally set for completion by 2020, has faced multiple delays, with the most recent deadline pushed to June 2024. Overall progress has been slow, and many projects are still incomplete or poorly executed.

Recommendations for Improvement

Experts suggest the following steps to improve the Smart Cities Mission:

• Appointing dedicated CEOs for better governance.

• Involving local stakeholders in planning and execution.

• Focusing on comprehensive, city-wide projects for integrated urban development.

• Strengthening the capacity of Urban Local Bodies (ULBs) to improve project outcomes.

The experiences from the Smart Cities Mission underscore the importance of public participation, strong governance, and a clear vision for urban development in India.