PM promises Rs 1-lakh crore dream cities

New Delhi: Prime Minister Manmohan Singh has launched a Rs 1-lakh crore Urban Renewal Mission to improve the quality of life in cities and towns across the country.

The mission, named after the first prime minister Jawarhar Lal Nehru, envisages providing housing to the urban poor along with allround development of infrastructure in cities and towns.

Suggesting land rights to urban poor at affordable rates to increase private investment, the Prime Minister said, "A major failure of city governance has been our inability to address the needs of the poor."

"Basic services like drinking water supply, sanitation, housing and social services are not available to an increasing share of urban population."

He called for urban governance reform to improve urban infrastructure and provide urban services for the poor.

The scheme, to be accomplished in seven years, is aimed at improving the quality of living in about 60 cities having a population of more than one million.

The Prime Minister said slum improvement and providing housing for the poor will have to be an important element of the strategy and observed that "urban economy is the bridge between the domestic and global economy".

"It is a bridge we must strengthen," he said.

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Stressing the need to improve quality of living in cities, he called for an integrated framework in which spatial development of cities was undertaken.

The strategy envisages creation of Voluntary Technical Corps in each city, the Prime Minister said, adding that the process of citizen initiatives for urban renewal will be strengthened through it.

However, the PM expressed concern over the inability to address needs of the poor and non-availability of basic services like drinking water, sanitation, housing and social services, to an increasing share of urban population.

He suggested that options like giving the urban poor land rights at an affordable rate may see an increase in private investment. Property rights can also be used as a collateral for financing new investment.

He hoped that the state government and local authorities will draw up programmes that could attract financial support from outside governments as well.