AMRUT empowers states for urban growth

Atal Mission for Rejuvenation and Urban Transformation (Amrut), a new urban infrastructure development scheme approved by the NDA government, will give more flexibility to states in implementing projects.

Amrut, the new avatar of the Jawaharlal Nehru National Urban Renewal Mission (JNNURM), will be implemented in 500 cities and the Ministry of Urban Development has allocated Rs 50,000 crore.

On the line of Prime Minister Narendra Modi’s plan to give more power to states in designing and executing schemes, the states need not approach New Delhi for approval of each and every project. Rather, in every financial year, the states will have to submit a progress report and based on the progress the Centre will release funds.  

Taking into account of reasons for failure to properly implement the JNNURM scheme, the new scheme has been designed. Under JNNURM, implemented since 2005 to 2012, 398 projects remain incomplete due to delay in land acquisition, non availability of contractors and court cases.

In the new mission programme, the Ministry of Urban Development will provide assistance up to 50 per cent of project cost for cities and towns with a population of up to 10 lakh and one-third of the project cost for those with a population of above 10 lakh.

The central assistance will be released in three instalments in the ratio of 20:40:40 based on achievement of milestones indicated in state annual action plans, said an official.  

Amrut projects will include water supply, sewerage, storm water drains, transport and development of green spaces and parks with special provision for meeting the needs of children.

However, the central funds to implement the scheme will come with a rider that the beneficiary urban municipal bodies have to improve their citizen centric services by adopting e-governance, better tax collections, review of building bye-laws, energy and water audit and citizen-centric urban planning, said the official.