Parliament Question: Implementation of SCM and AMRUT

GOVERNMENT OF INDIA MINISTRY OF HOUSING AND URBAN AFFAIRS LOK SABHA UNSTARRED QUESTION NO. 2008 TO BE ANSWERED ON JULY 30, 2026 IMPLEMENTATION OF SCM AND AMRUT NO. 2008 SHRI VIJAYAKUMAR ALIAS VIJAY VASANTH:

Will the Minister of HOUSING AND URBAN AFFAIRS be pleased to state:

(a) whether municipal bodies are adequately equipped to manage increasing population pressures and if so, the details thereof including the financial and technical resources available along with the steps taken to strengthen Urban Local Governance capacity;

(b) whether the Government has reviewed the implementation of Smart Cities Mission (SCM) and Atal Mission for Rejuvenation and Urban Transformation (AMRUT) in addressing infrastructure gaps and if so, the details thereof along with the outcomes achieved in improving urban living conditions;

(c) whether informal settlements and slums have expanded due to migration and if so, the details thereof along with the measures taken to provide affordable housing and basic services to urban poor populations;

(d) whether the Government has taken steps to integrate urban planning with population growth projections and if so, the details thereof along with the strategies adopted to ensure sustainable and inclusive city development; and

(e) whether climate change impacts are aggravating urban infrastructure challenges and if so, the details thereof along with the measures taken to build resilient infrastructure and disaster preparedness in cities? ANSWER THE MINISTER OF STATE IN THE MINISTRY OF HOUSING AND URBAN AFFAIRS (SHRI TOKHAN SAHU)

(a): As per entry 5 of List II - State List of the Seventh Schedule of the Constitution of India, Local Government, that is to say, the constitution and powers of municipal corporations, improvement …2/--2- trusts, districts boards, mining settlement authorities and other local authorities for the purposes of local self-government or village administration, is a state subject. The Government of India supplements the efforts of States/ Urban Local Bodies (ULBs) through programmatical assistance, policy support, technical guidance and capacity-building initiatives to enhance the effectiveness of Urban Local Bodies.

The Government has undertaken several initiatives to strengthen the financial, technical and institutional capacity of ULBs to address the challenges arising from rapid urbanisation and the increasing demand for urban services. Under the Fifteenth Finance Commission (XV FC) award period (2021–26), grants of around ₹94,000 crore had been released to ULBs across 28 States. The XV FC framework incentivised States and ULBs to undertake key municipal finance and governance reforms through performance-linked grant releases. Consequently, 23 States had notified or revised floor rates of property tax, while 3,866 ULBs met the eligibility requirement of achieving annual growth in property tax collection at least equal to the average growth rate of the respective State’s Gross State Domestic Product (GSDP) over the preceding five years for claiming grants in FY 2025-26. The Commission also promoted timely publication of audited accounts, standardised municipal financial reporting, disclosure of SLBs and digital monitoring of grants through the City Finance Portal, thereby enhancing transparency, accountability and financial management.

(b): Atal Mission for Rejuvenation and Urban Transformation (AMRUT) launched in the year 2015 in selected 500 cities and towns across the country was focused on development of basic infrastructure, in the selected cities and towns, in the sectors of water supply, sewerage and septage management, storm water drainage, parks and green spaces, etc. To expand the coverage, AMRUT 2.0 is launched in the year 2021 in all Urban Local Bodies (ULBs)/ cities, enabling the cities to become 'self-reliant' and 'water secure'. Providing universal coverage of sewerage and septage management in 500 AMRUT cities is one of the major focus areas of AMRUT 2.0. Water body rejuvenation and green spaces and parks are other components of AMRUT 2.0.

Under the Mission, States/ Union Territories (UTs) are empowered to select, appraise, prioritize and implement projects. …3/--3- Under AMRUT, States/UTs have grounded 6,007 projects worth ₹83,491.77 crore which includes, 1,411 water supply projects worth ₹43,372.06 crore, 888 Sewerage & Septage Management projects worth ₹34,471.71 crore, 838 storm water drainage projects worth ₹3,022.39 crore and 2,522 parks projects worth ₹1,604.13 crore.

Under AMRUT 2.0 so far, State Water Action Plans of all the States/UTs comprising of 8,777 projects worth ₹1,97,191.86 crore have been approved, which includes 3,572 water supply projects worth ₹1,18,968.38 crore, 605 Sewerage & Septage Management projects worth ₹71,133.01 crore, 2,951 water body rejuvenation projects worth ₹6,003.34 crore and 1,649 parks projects worth ₹1,087.12 crore.

Through AMRUT/ AMRUT 2.0 and in convergence with the States, around 270 lakh water tap connections in the urban areas have been

provided, 1.12 lakh km of water pipeline network has been laid/ replaced and 5,611 Million Litre per Day (MLD) water treatment capacity have been developed. In the sewage and septage management sector, around 197 lakh sewer connections (including households covered through Faecal Sludge and Septage Management

(FSSM)) have been provided in AMRUT Cities, 28,589 km of sewer network has been laid/ replaced completed and 6,017 MLD sewage treatment capacity has been developed.

NITI Aayog in its report titled ‘Evaluation of Centrally Sponsored Schemes in Package 4 – Urban Transformation and Skill Development’ of September 2025, has stated that the AMRUT missions have led to visible, and sustained improvements in service delivery, institutional capacity, and citizen wellbeing across Indian cities. The mission’s long-term effects are most evident in improved governance culture, women’s empowerment, and resilience against urban service gaps.

The objective of Smart City Mission (SCM) was to follow an area-based development approach through retrofitting, redevelopment, greenfield development and a Pan-city initiative in which smart solutions are applied covering larger parts of the city, so as to create a replicable model. The cities under SCM were developed based on Smart City Proposals (SCPs) received from States/UTs, across various sectors, viz., smart mobility, Water Sanitation Hygiene (WASH), smart …4/--4- governance, smart energy, environment etc., approved by High Powered Steering Committee (HPSC) chaired by the Chief Secretary.

NITI Aayog in the evaluation report has concluded that the Smart Cities Mission demonstrates strong alignment with national urban priorities and citizen needs, contributing significantly to multiple United Nations Sustainable Development Goals. As per the report, the Mission has achieved a high project completion rate of 93% of 8,063 projects and 100% completion of Integrated Command and Control Centres (ICCCs), leading to measurable improvements in urban liveability, mobility, safety, and environmental outcomes.

(c): Land' and 'Colonization' are State subjects. Therefore, schemes related to housing for their citizens are implemented by States/Union Territories (UTs). However, MoHUA supplements the efforts of States/UTs, by providing Central Assistance for pucca houses to eligible urban beneficiaries across the country under Pradhan Mantri Awas Yojana- Urban (PMAY-U) since 25.06.2015. Based on the learnings from the experiences of implementation of PMAY-U, MoHUA has revamped the scheme and launched PMAY-U 2.0 'Housing for All' Mission with effect from 01.09.2024 for implementation in urban areas across the country to construct, purchase and rent a house by eligible beneficiaries at affordable cost, for 1 crore additional eligible beneficiaries through four verticals i.e., Beneficiary Led Construction

(BLC), Affordable Housing in Partnership (AHP), Affordable Rental Housing (ARH) and Interest Subsidy Scheme (ISS).

PMAY-U & PMAY-U 2.0 are demand driven scheme. Selection of beneficiaries, under various verticals preferred by the beneficiaries, formulation of projects and execution including allotment of completed houses to the eligible beneficiaries are done by States/UTs.

The Ministry conducts regular reviews with the States/UTs to monitor progress of implementation of the scheme and expedite completion of sanctioned houses within the stipulated timeline.

In order to enhance the affordability of the houses, State/UT share is mandatory under PMAY-U 2.0. Apart from the minimum State/UT share, …5/--5- the State/UT Governments may also provide additional top-up share to increase affordability.

PMAY-U 2.0 supports States/UTs for formulation and implementation of ‘Affordable Housing Policies’ to incentivize private sector participation through appropriate regulatory, fiscal and institutional measures to make the housing stock affordable in urban areas.

(d) and (e): Water, sanitation, Land and Colonization are State subjects. Further, as per the 12th Schedule of the Constitution, Urban Planning including Town Planning is the responsibility of Urban Local Bodies (ULBs)/ Urban Development Authorities. Government of India supplements the efforts of the States through schematic interventions/ advisories. It provides financial and technical support to the States for sustainable and inclusive growth of the cities/ towns through various schemes/ Missions such as Atal Mission for Rejuvenation and Urban Transformation (AMRUT)/ AMRUT 2.0, Swachh Bharat Mission (Urban)

2.0 (SBM-U 2.0), Pradhan Mantri Awas Yojana (Urban) (PMAY-U)/ PMAY- U 2.0, Metro Rail/ Regional Rapid Transit System (RRTS), Urban Challenge Fund, etc.

The water supply, sewerage and septage management and other infrastructure projects under various Missions/ scheme of MoHUA are designed by the States/ UTs based on the projected future growth of the cities/ towns.

The Ministry of Housing & Urban Affairs (MoHUA), Government of India has issued Urban and Regional Development Plan Formulation and Implementation (URDPFI) Guidelines, 2014 (https://www.mohua.gov.in/static/uploads/2025/10/1813403503fbec280 e7648c0ae692512.pdf). The Chapter - 6 “Sustainable Guidelines” of URDPFI guidelines 2014 deals with sustainable development.

*****