Context: The Roadmap for India’s City Systems Reformsreleased recently discusses the current state of urban governance and provides recommendations for urban transformation in India.

Status of Urbanisation in India

• India is witnessing rapid urbanization. Every minute, 30 people migrate from rural to urban India

• According to the 2011 Census, India’s urban population increased from 27.7% in 2001 to 31.1% in 2011, at a rate of 2.76% per year.

• India is rapidly urbanizing and is estimated to host 50 percent of its population in cities by 2050. 

• India has 6 mega cities (population over 10 million) as per the 2011 Census: Delhi, Mumbai, Kolkata, Bengaluru, Chennai, and Hyderabad.

Opportunities of Urbanisation

• Diverse Employment Options: Urban areas host various industries, including manufacturing, IT, retail, and services, creating jobs across skill levels.

• Skill Enhancement Ecosystem: Urban centers serve as hubs for education and training institutes, fostering access to skill development programs. 

• Support for Entrepreneurship: Cities offer infrastructure, financial services, and market access that nurture entrepreneurial ventures.

• Technology-driven Growth: With rapid technological advancements, urban centers are pivotal for digital skilling, fostering job creation in IT, AI, and e-commerce sectors.

Current state of urban governance (Key-findings)

• India’s rapid economic growth has accelerated urbanisation with nearly half the population expected to reside in urban areas by 2035. 

Women Councillors in Urban Local Bodies

• Around 46% of the councillors in India are women.

• In 19 out of 21 capital cities (like Patna, Shimla, Ranchi, and Bhubaneswar), the number of women councillors is more than 60%.

• Tamil Nadu has the highest number of women councillors, followed by Rajasthan, Madhya Pradesh, Maharashtra, Andhra Pradesh, Karnataka, Uttar Pradesh, Kerala, Bihar, and Chhattisgarh.

• 17 States have passed laws reserving 50% of local council seats for women, which is higher than the constitutional requirement of 33%.

• Urban Transformation Pathways: The report presents three pathways for improving urban governance in India:

• Place-Based Governance: Focusing on governance that is centeredaround specific regions or cities, rather than just national schemes and funding.

• Decentralised Participatory Governance: Encouraging more involvement of local people in governance decisions by strengthening local governments and ensuring they are more responsive to citizens.

• Building State Capacities: Strengthening the capabilities of State governments to manage urbanization effectively.

• Rural-Urban Transition: The report emphasizes the need for a Rural-Urban Transition Policy to manage the growing number of villages turning into towns and cities. Since 2011, around 1,000 villages have already transitioned into urban areas. The policy would help plan this transition properly.

• Reimagining Urban Governance: The report recommends rethinking the role of the Ministry of Housing and Urban Affairs and State urban departments. These should be seen as regional economic and local government bodies rather than just focusing on sectors, schemes, and funding.

• The goal is to focus on strengthening local self-government rather than just implementing national schemes in cities.

Challenges

• Delayed Elections: Many Urban Local Bodies (ULGs) have delayed elections, with 61% of ULGs in 15 States having issues with timely elections.

• Disempowered Mayors: Mayors in many cities have limited powers. They only have control over 4 out of 18 functions they are supposed to manage.

• Citizen Participation: There is a lack of formal platforms for citizens to engage with local governments. The 74th Constitutional Amendment (which aimed to empower urban local bodies) needs better implementation.

Government initiatives

• Skill India Mission: Focused on creating a skilled workforce through programs like Pradhan Mantri Kaushal Vikas Yojana (PMKVY)

• Smart Cities Mission: Aims to develop 100 smart cities with efficient infrastructure and governance.

• AMRUT (Atal Mission for Rejuvenation and Urban Transformation): Improving urban infrastructure to support economic activities and better living standards.

• Startup India Initiative: Fostering innovation and entrepreneurship by providing financial and regulatory support.

• DAY-NULM (Deendayal Antyodaya Yojana – National Urban Livelihoods Mission): Enhancing the employment and skill levels of the urban poor.

• Digital India Program: Promoting digital literacy and e-governance to support technology-driven employment.

Suggestions

• The roadmap makes suggestions to improve the skills of urban local body (ULB) staff:

• Certification-Based Skilling Programs: These programs would help local government staff acquire skills and knowledge to manage urban issues effectively.

• Municipal Shared Service Centres: These centres would help smaller cities by sharing resources and services, ensuring that even smaller cities benefit from economies of scale.

• Digital Public Finance Management System: This system would track how funds are spent and whether physical progress of projects matches the financial outlay.

• Shelf of Projects: Every city should have a ready list of development projects to facilitate municipal borrowings and make sure cities are prepared for future growth.

• Integrated Urban Planning: Develop well-planned urban centers with a focus on affordable housing, public transport, and access to training institutes.

• Empowering Women: Ensure women’s participation in urban job markets through safe and inclusive workspaces and focused training programs.

Conclusion

• Urbanization, if managed strategically, can serve as a catalyst for enhancing skills and employment opportunities, paving the way for sustained economic growth and inclusive development in India.