India. However, the cities in India would need to estab-
lish their credit ratings by SEBI-approved credit rating
agencies before gaining access to international funds.
The fourth approach involves leveraging the Public-
Private-Partnership (PPP) mode of financing. There are
companies like Essel Infrastructure Limited (EIL),
which are willing to design and develop Smart Cities in
India in PPP mode. The has the vision of developing in-
tegrated, inclusive & sustainable Smart Cities and vil-
lages by using globally innovative and eco-friendly tech-
nologies and best practices. The Smart City philosophy
of EIL involves the creation of cities, which are inte-
grated, technologically sufficient, humane, and green at
the core. The company has significant expertise in set-
ting up Smart Cities by undertaking technology driven
smart utility projects in the areas of power, water and
gas distribution, solid waste management, cable and
broadband, sewage and wastewater treatment, and wa-
ter desalination. In technology partnership with Hi-
tachi Zosen of Japan, EIL commissioned the 11.5 MW
waste to energy (WTE) plant in Jabalpur, Madhya
Pradesh. This plant is one of its kinds in India making
use of smart technologies for improving urban infra-
structure. This plant will generate 11.5 MW of energy by
recycling 600 tons of municipal solid waste per day
thereby powering 18000 households, reducing 37000
tons of carbon emissions annually and reclaiming 4.4
hectares of land.
The above example demonstrates the increasing sig-
nificance of private sector involvement in urban admin-
istration and financing as a viable alternative to the gov-
ernment role in managing the utilities and financing the
urban development projects. The private sector can per-
form better in terms of multi-stakeholder management,
government interaction, revenue generation, technol-
ogy collaboration, and project execution as compared to
the municipal bodies. There are an increasing number
of private investors, who are getting interested in deliv-
ering and managing essential civic services using a bet-
ter business model.
The Indian government has signed deals and invited
foreign partnerships for eight Smart Cities. USA and
Germany are involved in three Smart Cities each. Singa-
pore and Spain are engaged in one Smart City each.
There are five Smart Cities projects, which have already
started across the country e.g. Gujarat International Fi-
nance Tec-City (GIFT) in Ahmedabad, Lavasa in Maha-
rashtra, Kochi Smart City, Naya Raipur in Chhattisgarh,
and Wave Infratech’s Smart City near New Delhi.
Another important aspect of urban infrastructure de-
velopment, which is being undertaken by the Govern-
ment of India, involves setting up vast industrial corri-
dors between India’s metropolitan cities. These includeBangalore-Mumbai Economic Corridor, Delhi-Mumbai
Industrial Corridor, and the Chennai-Bangalore Indus-
trial Corridor. The plan is to revive and setup many in-
dustrial and commercial centers as Smart Cities along
these corridors. For Example, The Delhi-Mumbai In-
dustrial Corridor (DMIC) has been planned to create
seven new Smart Cities at the nodes of the corridor.
These cities will be spread across six states. Interestingly,
these corridors are formulated by the central govern-
ment in collaboration with foreign governments thereby
leveraging their expertise in technology and project im-
plementation capabilities. The UK companies are in-
volved in the implementation of Bangalore-Mumbai
Economic Corridor project. Japan International Coop-Guest Column
Many private investors are
getting interested in delivering
and managing essential civic
services using a better
business model