Smart Cities Mission Receives Second Extension, Projects to be Completed by June 2024

In a move to accommodate the completion of pending work, the Union Ministry of Housing and Urban Affairs has granted a second extension to the Smart Cities Mission (SCM), extending its deadline by a year until June 2024, according to officials. The decision to extend the mission was prompted by requests from cities and Members of Parliament, who sought additional time to finalize the sanctioned projects. Launched by Prime Minister Narendra Modi in June 2015, the SCM aimed to select and develop 100 cities in two stages, with the initial phase scheduled for completion by June 2021.

Due to delays caused by the Covid-19 pandemic, the mission was first extended in 2021 until June 30, 2023. The process of project implementation faced significant setbacks as cities had to establish Special Purpose Vehicles and fulfill other prerequisites, resulting in an 18-month gap between the selection process and the commencement of development work, as explained by a ministry official.

As of February, a total of 7,804 projects worth ₹1,81,322 crore have been sanctioned under the mission in the 100 selected cities, with 72% of these projects, amounting to ₹1,07,000 crore, scheduled for completion by April 30, 2023. To facilitate data-centric solutions and enhance municipal services, Integrated Command and Control Centers have been established in all 100 cities as part of the mission. Additionally, 232 infrastructure development projects, including multi-modal transport hubs, multi-level car parking, and bike-sharing initiatives, have been undertaken in 53 smart cities, with a total investment of ₹15,006 crore.

For the fiscal year 2023-24, ₹8,000 crore has been allocated to the mission, which officials believe is sufficient to successfully conclude the sanctioned projects. Notably, 1,104 smart mobility projects worth ₹22,785 crore have already been completed, while another 526 projects are in advanced stages of development. Furthermore, the development of 984 public spaces at a cost of ₹5,861 crore has been accomplished, and work is underway to create an additional 343 such spaces.

Explaining the selection process, a third official stated that cities were chosen in two stages, with the final selection process completed in June 2018. It took time for cities to establish Special Purpose Vehicles and devise project plans. Currently, the majority of cities are at advanced stages of development, emphasizing progress in the implementation of the SCM.