Question : IMPLEMENTATION OF IDSMT SCHEME



(a) whether the Planning Commission had suggested ways to effect improvement in the implementation of the Integrated Development of Small and Medium Towns Schemes;

(b) if so, the details thereof;

(c) whether any improvements in the implementation of IDSMT have come to notice after termination of the Ninth Plan; and

(d) if so, the details thereof?

Answer given by the minister


MINISTER OF STATE IN THE MINISTRY OF URBAN DEVELOPMENT & POVERTY ALLEVIATION ( SHRI PON RADHAKRISHNAN )

(a)&(b): Yes, Sir. The following suggestions were made by the Planning Commission for improvement in the implementation of Integrated Development of Small and Medium Towns (IDSMT) Scheme:-

- Revision of guidelines to cover all the cities upto one million population under IDSMT.

- Categories to towns to be provided assistance under IDSMT be reduced from 5 to 3.

- IDSMT outlay be allocated in the ratio of 7:23:30 to A,B and C categories of towns.

- 66% of A category, 50% of B category and 25% of C category towns be covered during the Tenth Five Year Plan.

- The project cost (excluding institutional finance) of Rs.4.5 crores for A category, Rs.2.25 crores for B category and Rs.1 crore for C category towns was proposed.

- For release of subsequent instalment, qualifying expenditure must exceed 50% of the Central assistance plus State share released and the share of financial institutions/other sources.

- Central assistance @ 50% for A category, 60% for B category and 75% for C Category towns was proposed.

- State share @ 20% for A and B category towns and 15% for C category towns was proposed.

- Institutional finance @ 30% for A category towns, 20% for B category and 10% for C category towns was proposed.

- Minimum 40% of the project cost to be used for water supply and sanitation including solid waste management and drainage.

- Proposals under IDSMT should be processed by TCPO/Ministry of Urban Development & Poverty Alleviation only after town/city development plans are finalized by the State Government.

- Guidelines for the formulation of State Urban Development Strategy should be incorporated.

- Releases under IDSMT should be made to the State only after the concerned State has created and operationalised the State Urban/Municipal Development fund.

- State level Sanctioning Committee must meet every Quarter.

- An indicative list of projects eligible under IDSMT be included.


(c)&(d): Yes, Sir. The Ministry of Urban Development & Poverty Alleviation takes review of the implementation of the scheme with the State Governments/Union Territories twice in a year. The annual Central releases under the scheme has been increased to Rs.86.43 crores in the year 2002-03 (first year of 10th Plan) as against the release of Rs.76.71 crores in the last year (2001-02) of the Ninth Plan. The number of towns covered during the year 2001-02 was 114 only whereas in 2002-03, 168 new towns were covered.