Gujarat submits infrastructure proposal for 31 cities

The union urban development ministry on Monday said it had received a proposal from the Gujarat government to create basic infrastructure in 31 cities under AMRUT in the next five years, entailing an expenditure over Rs.15,000 crore.

“The Gujarat government has sought a central assistance of Rs.2,478 crore, with the state contributing Rs.1,941 crore and the urban local bodies chipping in with Rs.700 crore as their share,” the union ministry said in a statement.

Under convergence, investment of Rs.10,282 crore is to be met from ongoing schemes of the state government.

As much as 42 percent of the amount would be spent on providing water supply connections to all urban households in 31 cities, and 30 percent on providing sewerage connections to all households under the Atal Mission for Rejuvenation and Urban Transformation (AMRUT).

Twelve percent of the money would be spent on ensuring drainage services, while the remaining would be spent on urban transport and provision of green spaces and parks.

Gujarat is projected to emerge by 2030 as the second most urbanised state after Tamil Nadu with its urban population increasing from the present 43 percent of the total population to 66 percent.

AMRUT aims at universal coverage of water supply and sewerage network services followed by storm water drains, urban transport and provision of green and open spaces.

Under the mission, central assistance is provided to the extent of 50 percent of the project costs for cities with a population of up to 10 lakhs each and one third of the cost if the population is above 10 lakh each.

Of the 31 cities in Gujarat, Ahmedabad, Surat, Vadodara and Rajkot have population above 10 lakh each.

The Gujarat government has agreed to contribute 20 to 40 percent of the project costs under the mission during 2015-2020 while urban local bodies will chip in with their share in the range of 10 to 47 percent of the project costs.

The union government has provision for assistance totalling Rs.50,000 crore under the scheme for five years.

The state governments and urban local bodies are required to contribute equal amounts as their share, with states making a minimum contribution of 20 percent of the project costs.