India

AMRUT 2.0 set to launch INR 5,000 crore urban infrastructure projects nationwide

Synopsis

Under AMRUT 2.0, the Indian government is set to roll out urban infrastructure projects worth INR 5,000 crore, focusing on water supply, sewage treatment, and urban sustainability. This initiative is part of the NDA's 100-day agenda, targeting the extension of tap water to all homes in 4,800 statutory towns. With a total outlay of INR 2.99 lakh crore, the program's progress has been uneven, with only 50% of projects initiated. The projects emphasize long-term benefits like groundwater recharge and urban flood mitigation, aiming to enhance the quality of life for millions of citizens.

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The Atal Mission for Rejuvenation and Urban Transformation (AMRUT) 2.0 is gearing up for a significant rollout of urban infrastructure projects worth INR 5,000 crore across cities in India. This initiative is part of a broader 100-day agenda put forth by the National Democratic Alliance (NDA) government during its third term and focuses on improving essential services such as water supply, sewage treatment, and the revitalization of water bodies and parks.

Launched in 2021, AMRUT 2.0 aims to extend tap water supply to all homes in 4,800 statutory towns across the country. With the tendering process now complete and contractors selected, local authorities plan to start these essential projects shortly. The first phase of the AMRUT program had already covered 500 cities, and the current phase seeks to expand coverage significantly, buoyed by a hefty Central grant of INR 66,750 crore allocated from 2021 to 2026. The total outlay for this ambitious urban initiative may reach INR 2.99 lakh crore.

Despite the massive financial commitment and previous successes, progress has been uneven-only about 50% of the total projects have begun. According to the Ministry of Housing and Urban Affairs (MoHUA), as of July 25, 2023, 4,065 projects valued at INR 77,317.40 crore had been awarded out of a total of 8,205 projects, which are estimated to cost INR 1.82 lakh crore. Currently, 4,410 projects worth INR 1.05 lakh crore are still preparing for tendering or detailed project reports. Notably, nearly half of the approved projects focus specifically on water supply and sewage management.

Under this initiative, a significant emphasis is placed on urban sustainability. The projects aim not only at immediate infrastructure improvements but also at long-term benefits like groundwater recharge, urban flood mitigation, and environmental conservation. The cities involved are expected to set up sewage treatment plants (STPs) with a combined capacity of 500 million liters per day, aimed at benefiting around 6 lakh households. Additionally, the agenda includes commissioning water treatment plants with a capacity of 150 MLD for 2 lakh households.

As part of the broader 100-day plan, the government has set ambitious goals for urban planning and infrastructure. These include the notification of the Delhi Master Plan 2041 and the proposal for eight new greenfield cities with a budget of INR 1,000 crore each, following recommendations from the 15th Finance Commission. These plans not only aim to accommodate urban growth but also to create sustainable urban environments.

The comprehensive approach of AMRUT 2.0 aligns with global targets for sustainable urban development. By focusing on providing basic services and improving urban infrastructure, the initiative seeks to enhance the quality of life for citizens and address challenges posed by rapid urbanization. However, the successful implementation of these projects will require timely execution and robust management, ensuring that the benefits reach the communities that need them most.

In summary, AMRUT 2.0 represents a crucial step in India's urban transformation journey, with a focus on water supply, waste management, and environmental sustainability. As cities prepare to embark on these projects, the coming months will be pivotal in determining their impact on urban infrastructure and residents' quality of life. The emphasis on completing these projects in line with the government's ambitious agenda is essential for ensuring sustainable urban growth across the nation.

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