DMPQ- How are Smart Cities selected?

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Selection Process

  • The selection process of Smart Cities is based on the idea of Competitive and Co-operative Federalism and follows a Challenge process to select cities in two stages.
  • In January 2016, based on the All India Competition, 20 smart cities were selected in Round 1.13 more Smart Cities were selected in May 2016 in fast track round.
  • In Round 2, 63 potential smart cities participated of which, 27  Smart Cities have been selected in September 2016.
  • In Round 3, 45 potential smart cities participated of which, 30  Smart Cities have been selected in June 2017.
  • In Round 4, 15 potential smart cities participated of which, 9  Smart Cities have been selected in January 2018.
  • A total investment of Rs.2,01,981 crore has been proposed by the 99 cities under their smart city plans. Projects focusing on revamping an identified area (Area Based Projects) are estimated to cost Rs. 1,63,138 crore. Smart initiatives across the city (Pan City Initiatives) account for the remaining Rs. 38,841 crore of investments.
  • The implementation of the Smart Cities Mission is done by a Special Purpose Vehicle (SPV) to be set up at city level in the
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form of a limited company under the Companies Act, 2013 and will be promoted by the State/UT and the Urban Local Body (ULB) jointly both having 50:50 equity shareholding. After selection, each selected Smart Cities have to set up SPVs and start implementation of their Smart City Proposal, preparation of Detailed Project Reports (DPRs), tenders etc.
  • The SPV will convert the Smart City Proposal into projects through Project Management Consultants (PMCs) and implementation thereafter

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