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Jawaharlal Nehru National Urban Renewal Mission

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updated on April 26th, 2019

Jawaharlal Nehru National Urban Renewal Mission

This was replaced by AMRUT -Atal Mission for Rejuvenation and Urban Transformation. So this article should be read only a chapter in history. I am not writing an article for AMRUT, but if the Narendra Modi falls AMRUT will also be replaced. Till then you see Wikipedia page https://en.wikipedia.org/wiki/Atal_Mission_for_Rejuvenation_and_Urban_Transformation

The Jawaharlal Nehru National Urban Renewal Mission (JNNURM) was launched in 2005 as a flagship programme for urbanization. The duration of the JNNURM was seven years from 2005–06 to 2011–12. Later, this duration has been extended by three years up to 2014–15 for completion of ongoing projects and reforms.

The aim of JNNURM is to encourage reforms and fast-track planned development of identified cities. The focus is on efficiency in urban infrastructure and service delivery mechanisms, community participation, and accountability of ULBs/Parastatal agencies towards citizens.

Objectives

The objectives of the JNNURM are to ensure that the following are achieved in the urban sector :

(a) Focussed attention to the integrated development of infrastructure services in cities covered under the Mission;
(b) Establishment of linkages between asset-creation and asset-management through a slew of reforms for long-term project sustainability;
(c) Ensuring adequate funds to meet the deficiencies in urban infrastructural services;
(d) Planned development of identified cities including peri-urban areas, outgrowths and urban corridors leading to dispersed urbanization;
(e) Scale-up delivery of civic amenities and provision of utilities with emphasis on universal access to the urban poor;
(f) Special focus on urban renewal programme for the old city areas to reduce congestion; and
(g) Provision of basic services to the urban poor including the security of tenure at affordable prices, improved housing, water supply, and sanitation, and ensuring delivery of other existing universal services of the government for education, health, and social security.

Components

The JNNURM comprises two Sub-Missions, namely :
(i) Urban Infrastructure and Governance (UIG) (Sub-mission I)
(ii) Basic Services to the Urban Poor (BSUP) (Sub-mission II)

There are, in addition, two other components :
(i) Urban Infrastructure Development Scheme for Small & Medium Towns (UIDSSMT)
(ii) Integrated Housing and Slum Development Programme (IHSDP)

The UIG and BSUP are for select 65 large cities and cities of religious/historical/tourist importance while the all other cities/towns are covered under UIDSSMT and IHSDP.

The Ministry of Housing & Urban Poverty Alleviation is the nodal Ministry for BSUP and IHSDP whereas the Ministry of Urban Development is the nodal Ministry for UIG and UIDSSMT.

The scope of the two Sub-Missions is as follows:

Sub-Mission for Urban Infrastructure and Governance The main thrust of the Sub-Mission is on infrastructure projects relating to water supply and sanitation, sewerage, solid waste management, road network, urban transport and redevelopment of old city areas with a view to upgrading
infrastructure therein, shifting industrial and commercial establishments to conforming areas, etc.

Sub-Mission for Basic Services to the Urban Poor The main thrust of the Sub-Mission is on integrated development of slums through projects for providing shelter, basic services and other related civic amenities with a view to providing utilities to the urban poor.

Strategy

The objectives of the Mission are met through the adoption of the following strategy:

(1) Preparing City Development Plan: Every city is expected to formulate a City Development Plan (CDP) indicating policies, programmes and strategies, and financing plans.
(2) Preparing Projects: The CDP would facilitate the identification of projects. The Urban Local Bodies (ULBs)/parastatal agencies are required to prepare Detailed Project Reports (DPRs) for undertaking projects in the identified spheres. It is essential that projects are planned in a manner that optimizes the life-cycle cost of projects. The life-cycle cost of a project would cover the capital outlays and the attendant O&M costs to ensure that assets are in good working condition. A revolving fund would be created to meet the O&M requirements of assets created, over the planning horizon. In order to seek JNNURM assistance, projects would need to be developed in a manner that would ensure and demonstrate the optimization of the life-cycle costs over the planning horizon of the project.
(3) Release and Leveraging of Funds: It is expected that the JNNURM assistance would serve to catalyze the flow of investment into the urban infrastructure sector across the country. Funds from the Central and state government flows directly to the nodal agency designated by the state, as grants-in-aid. The funds for identified projects across cities would be disbursed to the ULB/Parastatal agency through the designated State Level Nodal Agency (SLNA) as a soft loan or grant-cum-loan or grant. The SLNA / ULBs, in turn, would leverage additional resources from other sources.
(4) Incorporating Private Sector Efficiencies: In order to optimize the life-cycle costs over the planning horizon, private sector efficiencies can be inducted in development, management, implementation and financing of projects, through Public Private Partnership (PPP) arrangements.

Expected Outcome

On completion of the Mission period, it is expected that ULBs and parastatal agencies will have achieved the following:

(1) Modern and transparent budgeting, accounting, financial management systems, designed and adopted for all urban service and governance functions
(2) City-wide framework for planning and governance will be established and become operational
(3) All urban residents will be able to obtain access to a basic level of urban services
(4) Financially self-sustaining agencies for urban governance and service delivery will be established, through reforms to major revenue instruments
(5) Local services and governance will be conducted in a manner that is transparent and accountable to citizens
(6) E-governance applications will be introduced in core functions of ULBs/Parastatal resulting in reduced cost and time of service delivery processes.

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