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SCHEMES FOR URBAN DEVELOPMENT & POVERTY ALLEVIATION
New Delhi: May 14, 2003

Ministry of Urban development & Poverty Alleviation is implementing a number of Central Sector and Centrally sponsored schemes. Main objectives of these schemes are to provide better infrastructural facilities in urban areas, create employment opportunities, provide basic facilities & shelter for slum dwellers and to plan for urban development & transport. Brief summary of the schemes is given below: -

a. INTEGRATED DEVELOPMENT OF SMALL AND MEDIUM TOWNS (IDSMT) - The main objective of the scheme is to improve infrastructural facilities and help in the creation of durable assets in Small and Medium Towns. As per the guidelines, 20 - 40% of the project cost can be obtained from financial institutions or other sources. While there is a limit on Central assistance depending on the size of the town, there is no ceiling on the amounts that could be made available from the State Governments/ Local bodies from out of their own resources/ Institutional Financing Agencies.

b. INFRASTRUCTURAL DEVELOPMENT IN MEGA CITIES - The funds under the scheme flow from the Central and State Governments directly to the nodal agencies designated by the State Governments for development of infrastructure in the cities of Mumbai, Kolkata, Hyderabad, Chennai and Bangalore. The sharing between the Central Government and State Government is 25% : 25%. The balance 50% is required to be mobilized by the nodal agencies/ implementing agencies from Financial Institutions.

c. ACCELERATED URBAN WATER SUPPLY PROGRAMME (AUWSP) - The scheme has the objective of solving the drinking water problems in towns having population of less than 20,000 as per 1991 census. The scheme is funded on grant basis, by the Central Government 50% and State Government 50% including 5% beneficiary/ town contribution. In case of Union Territories, 100% financing is available from the Central share. No Institutional Finance is involved in the scheme.

d. LOW COST SANITATION FOR LIBRATION OF SCAVENGERS (LCS) - The objective of the scheme is to convert dry units into twin pit-pour flush units and to construct new units where no facility is available for improving the sanitation conditions and to liberate scavengers. Under the scheme, loan and subsidy is extended simultaneously by Housing & Urban Development Corporation Ltd. (HUDCO), a techno-financial Public Sector Undertaking (PSU) under this Ministry, after the sanction of the scheme for the construction up to the sub-structure. For this purpose, Central subsidy is routed through HUDCO. The loan and subsidy portion is based on the income of the beneficiaries with the objective to provide subsidies to lower income groups only.

e. SWARN JAYANTI SHAHARI ROJGAR YOJANA (SJSRY) - The Scheme provides assistance to individual urban poor beneficiaries or groups of urban poor women for setting of gainful self-employment ventures. Training is also given to the beneficiaries and other persons associated with the programme for upgradation and acquisition of vocational and entrepreneurial skills. Under the Urban Self Employment Programme (USEP) component of the SJSRY scheme subsidy is provided at the rate of 15% of the project cost subject to a ceiling of Rs. 7500/- per beneficiary to set up Micro Enterprises. Each beneficiary is required to contribute 5% of the project cost as margin money in cash. Loan (inclusive of subsidy) up to 95% of the project cost can be sanctioned as composite loans by banks.

For Development of Women and Children in Urban Areas (DWCUA) component of USEP, DWCUA group society is entitled to a subsidy of Rs. 1,25,000/- or 50% of the costs of project whichever is less.

f. SHELTER AND SANITATION FACILITIES FOR THE FOOTPATH DWELLERS IN URBAN AREAS (NIGHT SHELTER SCHEME) - Fund under the scheme is provided for construction of composite Night Shelters with Community toilets and baths for urban shelterless. The scheme is being implemented through HUDCO which provides loan to the implementing agencies to meet the balance cost of the project after the release of Central Subsidy. The Central Subsidy is also channelised through HUDCO.

g. NATIONAL NETWORK BUILDING CENTRES - Fund were provided under the scheme for setting up Building Centres. The Building Centres impart training to the artisans, demonstration of various cost effective building technologies, energy efficient and environment friendly building components and technology transfer from lab to land. This scheme was also being implemented through HUDCO. However, the scheme has since been discontinued in the Tenth Five Year Plan. A proposal for revival of the scheme has been taken up with the Planning Commission.

h. VALMIKI AMBEDKAR AWAS YOJANA (VAMBAY) - The scheme has primary objective to facilitate the construction and upgradation of the dwelling units for the slum dwellers and to provide health and enabling urban environment through community toilets. The Government of India subsidy is of 50%, the balance 50% is to be arranged by the State Government. The State's share may consist of funds from sources in the form of subsidy or loan from HUDCO or any other agency. Government of India subsidy is released after the State's matching share of 50% has been released. The subsidy is released through HUDCO.

i. URBAN MAPPING SCHEME - The scheme envisage use of modern technique of aerial photography and remote sensing for preparation and updating of existing base maps by adopting computer based Geographic Information System (GIS) and the techniques of remote sensing for urban planning and development. The scheme is fully funded by the Central Government and executed through Town and Country Planning Organization (TCPO). No Financial Institution is involved in the scheme.

j. URBAN TRANSPORT PLANNING - The Grant Assistance is provided to State Governments under the scheme for conducting feasibility studies and preparation of detailed Project Reports in the Urban Transport Sector. No Financial Institution is involved in the scheme.

k. PROVISION OF INFRASRTUCTURAL FACILITES IN DISPLACED PERSONS URBAN COLONIES IN WEST BENGAL - The funds under the scheme are provided for provision of water supply, drainage, roads and pathways, sanitation and other items, in the refugee colonies. The funds are directly released to the Government of West Bengal. No Financial Institution is involved in the scheme.

12. a. Public Health Engineering Training Programme (PHE Training)

1. Research And Development (R&D)

2. Monitoring And Management Information System (MIS)

PHE Training programme caters to the training needs of various Water Supply and Sanitation Departments in the field of Public Health Engineering. Under Research and Development, the Ministry sponsors applied research and development projects to various research and academic institutions in the field of water supply, sanitation and solid waste management. Under Monitoring and Management Information System, the Ministry is contemplating to get the centrally sponsored schemes such as AUWSP and LCS evaluated through independent agencies.

No Institutional Finance is involved in these schemes.

Press Release by: PIB/AN/HRK/CB
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