Visakhapatnam along with four other cities — Pune, Bhubaneshwar, Surat and Ahmedabad — is leading the progress made under the first round of the government’s flagship scheme.

Mission Director (Smart Cities) Sameer Sharma told BusinessLine, “We have reviewed the progress of Visakhapatnam under the smart cities mission with the consultants and CEO of the special purpose vehicle (SPV) formed. Under the project, development of footpaths will go for bidding by October 31; water supply for the city by September 30, sewerage also by September 30, etc.”

Visakhapatnam had ranked eighth in the first round of the smart cities challenge.

On the overall progress made, he added that all 20 cities in the first round have already formed SPVs and most have readied Production Management Contracts ( PMCs) also. “Projects across all these cities are expected to kick-start by December,” Sharma said at the sidelines of the 3rd BRICS Urbanisation Forum here.

In January this year, 20 winning cities which were announced under the first round covered only 12 States and Union Territories. The government had then decided to conduct a ‘fast-track competition’ to offer an opportunity to the highest ranked city in each of the unrepresented 23 States and UTs. In May this year, the Ministry of Urban Development had announced 13 more winners of the smart city tag under the fast-track round.

On the progress under this round, Sharma said, “Out of the 13 selected in the fast-track round, six cities, including Panaji, Chandigarh, Port Blair, Lucknow, have formed SPVs and remaining seven are in the last stage of formation of SPV and are expected to do so by the end of this month.”

Moreover, on Monday, the Centre will announce 27 more cities which will bag the smart city tag.

Funding plans Meanwhile, the government is also pursuing a loan of $1 billion from Asian Development Bank and another $500 million from the World Bank to provide funds to the city SPVs, apart from Japanese International Cooperation Agency ($500 million), BRICS Bank ($ 500 million per city), AFD (€100-200 million).

“The funds from World Bank are expected to flow in 6 months. It will be in phases,” Sharma added.

(The writer is in Visakhapatnam at the invitation of the Ministry of Urban Development.)

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