URBAN DEVELOPMENT POLICY 2009 DRAFT
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URBAN DEVELOPMENT
POLICY 2009
DRAFT
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Urban Development Policy
GOVT OF KARNATAKA
DEPARTMENT OF URBAN DEVELOPMENT
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URBAN DEVEOPMENT
POLICY 2009
DRAFT
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Urban Development Policy
APPENDIX
Table 1:
Ranking of major States by level of Urbanisation-2001
Table 2:
Decadal growth of Urban Population in Karnataka
Map 1:
Urban Population In Karnataka (District Wise) 2001
Table 3:
Class wise distribution of urban population - 2001
Figure 1:
Urban Poverty Levels across states (2004-05)
Figure 2:
Urban Monthly Per capita Expenditure
Figure 3:
Comparison of Urban Population in Slums
Map 2 :
Karnataka - % Households having all 3 basic facilities - Urban (2001)
Figure 4:
Requirement of Roads as per Normative Standards
Tabic 4 :
Ranking of districts based on Level of Urbanization in Karnataka- 2001
Table 5:
Decadal Growth of Population of Bangalore
Table 6:
District wise projected population and Land requirement for
Urbanization - 2025
Table 7:
Performance of ULBs on street lighting
Table 8:
Proportion of Urban Development outlay in Five Year Plans
Table 9:
Twelfth Schedule to the Constitution(Article 243- W)
Table 10:
Reforms Proposed under JNNURM
Table 11:
Investment in Karnataka - Share of Bangalore (upto 31-12-2008)
Table 12:
Per capita Revenue and Expenditure of ULBs for the period 2002-07
Table 13 :
Percentage Distribution of Revenues of ULBs (2002-07)
Table 14:
Property Tax Collection - Performan
of ULBs
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Urban Development Policy for Karnataka
EXECUTIVE SUMMARY
Background
1. During the last few decades, India has undergone a dramatic demographic shift;
its predominantly rural population has been rapidly urbanizing, and over 300
million Indians now live in cities. India still has the world's largest rural
population, but by 2040 or so, it will be home to the world's largest urban
population. Karnataka has followed this national trajectory closely, led in
particular by the spectacular growth of its bapital city, Bangalore. During 1991-
2001, urban Karnataka grew more than 2.5 times as fast as the rural areas. The
future of Karnataka will increasingly be defeSmined by the economic and social
well-being of its cities.
Ah
2. The urbanization of the state has thrown up a number of challenges. The re
distribution of political power away from the villages, the migration of large
numbers of people to cities (including from other states), the changing nature of
the new economy, the threats to the environment and the character of old cities,
are all issues that we must grapple with and overcome equitably and sustainably.
While some efforts, both at the Centre and the State level, have been made to
meet these challenges, through legislation (primarily the 74th Constitutional
Amendment and its several Schedules, and more recently the Jawaharlal Nehru
National Urban Renewal Mission) as well as administration, there is much more
that remains to be done.
s
Against this background, on 31 December 2008 the Government of Karnataka established
a Committee to discuss the various issues relating to urban governance, and prepare an
Urban Development policy for the State. In doing so, this Committee was tasked with
charting a new course for urban areas in Karnataka, particularly in the context of the
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Constitution's call for decentralised governance by Urban Local Bodies, and the
consequent need to ensure that the ULBs have adequate administrative, financial, and
technical capacities to manage themselves.
Before setting out to achieve this, it is advisable to take a positive view of urbanisation
itself. In the past urbanisation has been viewed primarily as a 'problem'. To overcome
this, it is first important to accept that urbanisation is a welcome phenomenon, and that it
reflects the aspirations of millions of people in the state. What is needed is not to
discourage urbanisation, but to steer it correctly towards ends that are desirable.
THE CHALLENGES
The challenges of urbanisation in the State may be understood through different lenses -
the spatial distribution of urban areas and their emerging demographic trends, the
infrastructure shortfall on several fronts, the challenge of ensuring the basic welfare of
the poor in urban areas, and the need for strengthening their governance, planning and
administration.
1. Spatial distribution - During the last two decades, the size and economic role of
Bangalore have both become disproportionately high within the state. This has created a
self-fulfilling cycle by which even more new investment and migrants are attracted to the
Bangalore Metropolitan Region. Even the second largest urban conglomeration (HubliDharwad) is much smaller, its population is only l/6th of that of Bangalore. Any plan for
the future therefore, has to redress this imbalance, but given the importance of Bangalore
to the economy of the state, this should be done carefully, without sacrificing the interests
of the capital.
2. Welfare of the poor - The migration of large numbers of people to cities has been
accompanied by one unfortunate trend - the rate of urban poverty in Karnataka is now
higher than that in rural areas. It is also, regrettably, higher than the urban poverty rate of
several other states as well as the all-India average. Although only a small portion of the
urban population in the state lives in slums, the monthly per-capita expenditure by poor
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families in Karnataka is lower than in many other large states. Therefore, it has become
imperative to develop policies and programs by which the welfare of the urban poor is
protected better. Of particular concern, in this regard, are the shortfalls in adequate
housing for the poor, their sanitary conditions, and their opportunities to education and
jobs. This challenge is made harder to overcome by the fact that the problems of the poor
are now tackled by a number of different government departments acting independently,
rather than a single body with responsibility for their welfare.
3. Infrastructure shortfall - The growth of urban areas has vastly outpaced the State's
efforts to develop infrastructure to serve the growing needs of cities. There is now a
substantial deficit of infrastructure in several key areas - roads and transport (both within
cities and between important cities in the State), housing, drinking water supply,
domestic sanitation, sewage treatment systems, solid waste collection and management,
storm water drains, lakes in urban areas, and domestic energy. In all these cases, the gap
between demand and supply is very large, affecting millions of families, with
consequences for the quality of life in urban areas across many measures.
4. Resources - As the demand for infrastructure continues to grow, resources have to be
mobilized to make new investments, and to adequately maintain the assets created. It is
also important to ensure high standards in quality and design of construction.
5. Governance issues - The far-sighted and enabling provisions of the 74th Constitutional
Amendment have not been fully embraced in Karnataka. As a result, Urban Local Bodies
suffer from two kinds of shortfalls - one, they do not have the necessary financial strength
or autonomy that is necessary to develop their capacity for municipal administration, and
must therefore rely on State-level funding for their various programs. Secondly, only a
subset of the various responsibilities given to them under the Constitution has been
transferred by the State, and citizens' participation in the governance of urban areas
remains an unfulfilled promise (unlike rural areas, where panchayati raj institutions have
greatly devolved power to local communities).
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GOVERNMENT INTERVENTION
Until very recently, the focus of most development funding and initiatives by the
Government has been on rural areas, but with the rapid transformation of the urban
spaces, there is now a belated effort to plug the development gap that has arisen here. The
interventions have taken the form of: (a) higher financial allocations for urban areas; (b) a
Constitutional Amendment to devolve 18 administrative functions to urban local
governments everywhere, and to establish Metropolitan Planning Committees in cities
and District-level planning authorities for other regions; (c) an effort to develop smaller
towns as alternatives to the big cities, which has largely failed; and (d) urban employment
assistance, especially for the poor.
These schemes have had mixed, or limited results at best. Against this background, the
Centre introduced the JnNURM, a mission jointly funded by the Centre and the States to
give governance and infrastructure development a renewed thrust. Under this program,
the release of funds has been made contingent on devolution of development planning
and governance, as well as reforms in urban management. While this has raised the
resources available for revitalising urban areas, the mission's focus is on the larger cities.
The UIDSMT provides assistance for small and medium towns, but mostly the burden is
on the states themselves to address the problems of the large number of small towns and
cities.
The programs taken up so far, supported additionally by external aid for some projects,
have improved basic infrastructure in cities, but there continues to be a significant lag
between demand and supply. The planning-oriented interventions also have been only
partially successful, for several reasons - poor quality of land use data, lack of capacity
for planning within government departments, and uncoordinated development of areas
due to multiple planning agencies. Amidst all this, industrial development in the private
sector continues to put stress on the existing infrastructure.
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URBAN DEVELOPMENT POLICY
Having concluded from all of the above that intervention in a piece-meal fashion will not
ensure the development of urban Karnataka, the State Government has decided that a
policy-driven approach is needed to take a holistic view of urban growth, and suggest
appropriate steps for the future. This approach, it is hoped, will be better suited to
improve the economic productivity of cities and towns, to ensure that their growth is
inclusive of all economic sections, to promote environmentally sustainable choices, and
to ensure strong local governments that are attentive to the needs of citizens and
adequately empowered to respond to them.
The Committee to debate and deliberate upon the various considerations has put forward
seven key components of the policy framework:
1, A Strategy for Urban Development
The development of urban areas has so far been taken up without a clear view of how
such development should fit within a larger vision for the state, and without an
understanding of the specific strengths that we should develop for various cities and
regions in the state. The development of various policies - e.g. an Industrial Development
Policy for the State, an Infrastructure Policy, or Sectoral policies for specific industries -
in isolation can lead to distortions; each of these must be properly coordinated with other
policies that impact it. Along that same principle, it is of the utmost importance that the
proposed urban development policy too should align with the overall strategy for the
development of the state, to dissipate the current tendency to produce unbalanced
development in some areas and sectors alone.
There are a number of key steps to be taken, to ensure this. First, in the case of Bangalore
itself, the emphasis on development should shift to the larger metropolitan region (BMR)
around the core city. Second, specific corridors of industrial development connecting the
key cities in the State may be taken up (Hospet-Bellary-Raichur; Tumkur-BangaloreHosur-Mysore-Mandya; Belgaum-Hubli-Dharwad-Davangere-Harihar; and Ratnagiri-
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Goa-Karwar-Mangalore). Second, industrial zones may be established near smaller towns
and cities so as to encourage the development of those areas, allowing them to emerge as
growth centres. And third, local governments must be empowered and encouraged to
develop plans for their own economic development, around key strengths identified by
them. A Local Economic Assessment must be carried out, to begin this exercise, and to
help these cities become competitive in the global economy.
2. A new approach to Urban Planning
The historical focus on town planning is simply inadequate to ensure the proper
development of cities and their neighbouring regions. Therefore it is important to replace
this highly local planning method with a broader spatial approach - through Metropolitan
Planning Committees in Bangalore, Hubli-Dharwad and Mysore, and through District
Planning Committees elsewhere. The Urban Development Authorities may be abolished,
and their functions transferred to the MPCs and the DPAs. District-level spatial planning
should consolidate the various plans that are made by local planning authorities, and
develop a draft plan for the improvement of the district as a whole. In addition, the
planning efforts should selectively channelise social and economic activities to second-
order cities, and concentrate new investments in clusters that can have a high multiplier
effect. Planning should also recognise the need for integrating industrial development
with cultural development too, and ensure that social infrastructure (schools, colleges,
parks, hospitals, housing, etc) are co-developed along with industries.
Land use is an area of particular concern, where bottlenecks to development persist. It is
the responsibility of the government to ensure an adequate supply of land use for
productive as well as community purposes, and ensure that all sections of society have
access to land and shelter. This can only begin if we first document the actual state of
land-use, especially in the cities, as opposed to creating various proposals that take no
account of existing land use, whether legal or otherwise. The segregation of land use by
purpose has also failed as a policy. A committee to review the various land use
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regulations may be set up, and based on its recommendations, an Urban Land Policy may
be formulated.
A speedier process for land acquisition for development projects is also needed, along
with rules to ensure that acquired land is immediately put to the purpose for which it is
being taken. At the same time, land acquisition should be guided so that it conforms to
planning; for instance, land acquisition by the KIADB should also be made only in
consultation with the municipal or planning authorities, and not in isolation. It is further
imperative that all land records in the state be computerised, and an Urban Bhoomi
program launched to clear land records of their various discrepancies and disputes to title.
Land-based taxes, including the taxation of vacant land in specific areas, should be
introduced.
Reforms are also needed in the legislative arena, to ensure that the objectives of the new
policy are met. The Karnataka Land Revenue and Reforms Act may be revised and its
rules simplified. The Karnataka Town and Country Planning Act may be replaced by a
Karnataka Urban and Regional Planning Act.
3. Reducing and eliminating poverty
Nearly a third of the State's population lives below the poverty line. In urban areas, the
growth of employment in the informal sector has not been accompanied by corresponding
rise in the availability of housing; as a result large numbers of people now live in slums,
without adequate access to education, health or sanitation. The actual extent of this
shortfall is also not well known, as the data on poverty levels and extent is very poor, and
based on thresholds that do not properly reflect the cost of living in urban areas. The
development programs for the poor are also not sufficiently participatory, and this too
must be revised.
After due assessment of the extent of urban poverty, programmes focusing on shelter,
employment, education, health and community participation must be developed. These
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initiatives must also be managed in an integrated manner, ideally through a single agency
(an Urban Poverty Alleviation Cell or Authority) with comprehensive responsibility for
all aspects of poverty alleviation, focusing not only on issues listed above, but also on
economic aspects such as livelihoods, skills, access to credit, etc. The Karnataka Slum
Clearance Board Act also needs to be revised to cede portions of its mandate to the new
Cell. Considering the range of issues that need to be managed under the broad umbrella
of 'Urban Poor', a policy may be devised separately to address these in an integrated
manner.
Since the very origin of slums is due to the lack on availability of suitable low-cost
housing for the poor, an extensive program of housing development focused on this
section of the population must be developed. Legislation to recognise the tenurial rights
of the urban poor in slums must be enacted. Public-private partnerships that allow an
effective transition from slum housing to properly developed alternatives should be put in
place. These should also be linked, wherever possible, to skills development and
employment training so that the urban poor become self-reliant as quickly as possible.
4. Provision of Urban Infrastructure Services
Infrastructure provides the backbone for development, and without adequate strength in
this aspect, urban development will continue to be constrained. A powerful strategy to
strengthen the backbone of infrastructure for four key urban areas - drinking water
supply, sanitation, solid waste management and transport - is needed. Local bodies must
be made responsible for responsible for water supply, and KUWS&DB as well as
BWSSB should be suitably restructured to work on capacity creation in the cities. A
regulatory authority, rather than a Water Supply Council, as proposed by the KUIDFC, is
needed to’ complement this. Apart from providing services to the poor on a subsidized
basis, it is important that an appropriate mechanism be developed for recovering the cost
of water supply. Unaccounted-for-water must be halved at least, from the present 30-40
per cent to no more than 10-15 per cent.
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Alongside, an equal focus on conservation is needed so that the available water is put to
the best use. The potential of surface water in urban areas to provide additional sources to
augment piped water should also be studied. Clear measures of the efficiency of water
supply, e.g. the number of hours of supply available daily, are also needed.
Sanitation - i.e. the waste management of human excreta, but also the management of
larger public health issues linked to this - must be the responsibility of the local bodies.
Toilets must be provided to every home in all urban areas, and a target date fixed to
achieve this. Since the capital expenditure needed for sewerage systems is high, these
must be confined to the larger cities, and in the smaller towns more local solutions for
sanitation must be developed, using funds also from the Centrally sponsored scheme for
Integrated Low Cost Sanitation. Sewage treatment plants must also be established
wherever sewerage systems are in place, reuse of treated water for non-potable purposes •
must also be taken up widely.
Solid waste management services, provided by ULBs, must be integrated and self-
contained, including the development of appropriate means locally to handle waste
management activities. Awareness programs to promote good sanitation and waste
management practices must also be taken up.
Transportation services within cities should focus on multiple modes, including a
separate and clear emphasis on non-motorised transport. City mobility plans should be
prepared for all Class I cities. The policies and initiatives for city transport should
prioritise public transport so as to achieve a much higher share for this sector than for
private transport. The financing and pricing of public transport, as well as the pricing of
private transport-linked needs like parking, should also reflect this new priority. Inter-city
connectivity along the identified corridors for urban development should also be
strengthened, and seamless transfers between different types of public transport solutions
should be facilitated everywhere. Airports in Mysore, Hubli-Dharwad and Belgaum
should be upgraded to serve as new hubs of connectivity in the state.
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The Bangalore Metropolitan Land Transport Authority, as also the transport planning
bodies in the other areas where MFCs are constituted, should be made a statutory body,
with the powers to necessary enforce its planning decisions. Also, in transport, as well as
in water supply and sewerage, an Urban Services Regulatory Authority may be
contemplated, to clarify the policy on cost recovery and subsidy.
5. Environmental sustainability of urban areas
Without enforced standards for the quality of air and water, and also for the consumption
of energy, our urban areas will become unsustainable, and this must be addressed
urgently to halt and then reverse the decline in environment quality in urban areas.
Programs for conservation of water resources, rejuvenation of lost resources, and for
management water to increase re-use, is needed. Air quality monitoring should also be
made more wide-spread, and linked to the public health focus in cities and towns. Energy
conservation must be incentivised through proper pricing of power, and also through
programs that recognise efforts to reduce the need for power.
Alongside these, a focus on the built, natural and cultural heritage of the cities and towns
should also be developed. This is especially needed to ensure that there is no further
erosion or loss of this heritage. An Urban Arts/Heritage Commission should be created
for both Bangalore and Mysore, and another for the State as whole. This body should be
able to call upon sufficient funds to ensure heritage conservation and protection.
Legislative amendments needed to enable the conservation of privately-owned heritage
buildings are also needed.
6. Democratic urban governance
Despite the passage of the 74th Constitutional amendment almost two decades ago, most
states, including Karnataka, have not fully devolved urban governance functions to their
respective local bodies. Also, the full extent of citizen participation in urban governance
that is envisioned in the Act has not yet taken place. The clear need on this front is to
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complete this transformation towards full, devolved, participatory governance, in line
with the report of the Kasturirangan Committee (Expert Committee on Governance in
Bangalore), and subsequent recommendations from other advisory bodies to the State
government.
The separation of powers between a deliberative, legislative council and an executive
commissioner must be replaced by a system where political accountability and
responsibility go together. To achieve this, executive powers must be vested in the
elected representatives. A number of steps may be taken in this regard, including the
institution of directly elected mayors in cities and towns, who along with a mayoral
committee drawn from the councillors, will exercise executive powers. Alternately, the
mayor may be drawn from among the councilors themselves, but with more powers than
he currently holds, and also a meaningfully longer tenure in office (Mayor-in-Council).
Such direct accountability is preferable, as it helps to build city leadership everywhere in
the state.
Alongside this, a system of elected ward committees, with members ideally drawn from
different neighbourhoods within a ward through elections, should also be introduced in
all Class I cities (neighbourhood committees themselves are needed in all municipal
areas). The winners in each of the neighbourhood area elections may be the members of
the ward committee, with the councillor as the chairman of the said committee. Further,
citizen engagement should also be taken up through the establishment of a system of
grievance redress, and instituting 'time-bound' delivery of public services, along with
monitoring and review. Citizens may also be brought into the budgeting process, so that
the plans for various cities and towns reflect the priorities of the locals themselves.
To complete this transformation, the delineation of powers to local bodies should be
followed by providing the requisite financial autonomy to them, as also administrative
freedom. The extent of these may vary according to the size of the urban area, but over a
phased period all functions listed in the 12th schedule should be devolved. The various
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state government-level para-statals currently performing some of these functions should
be brought under the authority of the municipal body itself.
The legal framework around municipal governance will also need to be overhauled, with
suitable revisions to laws governing planning, development and regulation in addition to
the Karnataka Municipalities Act, 1964 and the Karnataka Municipal Corporations Act,
1976. Specific legislation is also needed to address the development of Bangalore, whose
problems and needs are of a vastly different scale from those of other cities.
7. Mobilisation of adequate financial resources
The resource gap for the development of urban areas in Karnataka is estimated to be
nearly Rs 100,000 crores, with Bangalore alone accounting for over 50% per cent of this.
However, ULBs are usually unable to raise anything like this figure (ironically, despite
this,their expenditure has remained lower than their revenues!). Town municipal councils
and town panchayats, in particular, are badly off, depending on grants for very high
proportion of their financial needs.
Property tax administration needs to be improved, particularly in terms of coverage and
collection. Various exemptions are granted to educational and charitable institutions, as
also government properties; these must be reviewed. Property taxes must be delinked
from other levies, which should be made on their own merit. The potential of
advertisement tax also needs to be better exploited. A rationalization of tariffs for various
services provided by ULBs is also needed, based on the principle of full cost recovery,
after subsidies have been duly excluded.
A number of alternative sources of funding may also be considered, including (a) treating
land as a resource, and pricing its use accordingly, (b) accessing capital markets and
multilateral institutions for loans, (c) PPPs to reduce the government burden on
expenditure, especially capital expenditure, and (d) out-sourcing of non-governance
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functions. The creation of capital assets should not be treated as a government
responsibility alone.
ENSURING CONTINUITY IN URBAN DEVELOPMENT
One of the key shortcomings in past efforts at development has been the lack of
continuous attention for the development of urban areas. To avoid this in the future, a
State Urbanisation Commission or Council should be set up, with proper membership
from experts to periodically review progress based on the State's Urban Development
Policy, and to make revisions as and when they are deemed needed by the government.
This Commission may take the place of the State Town Planning Board, and hold a more
comprehensive mandate suitable to the development of policy as well as oversight of
implementation. A Karnataka Urban Renewal Mission is also needed to focus proper
attention to those cities that are now outside the ambit of JnNURM.
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AGENDA FOR ACTION
1. Set up State Urbanisation Commission/Council (in place of the State Town
Planning Board).
2. Constitute Metropolitan Planning Committee for Bangalore, Hubli-Dharwad,
Mysore
3. Reconstitute District Planning Committees as per the 74th Constitutional
Amendment.
4. Prepare State Spatial Perspective Plan / Regional Development Plans
5. Reorganise ULB structure / Introduce new Mayoral System
6. Constitute Ward Committees in Class 1 cities (by direct election) and
Neighbourhood Committees in all municipal areas.
7. Devolve functions to ULBs as per XII Schedule over a phased period.
8. Abolish Urban Development Authorities - vest planning powers in ULBs.
9. Formulate Urban Land Policy - Set up a Committee to review Land Use
Regulations.
10. Establish Karnataka Urban Renewal Mission (KURM) to focus on infrastructure
development in small and medium cities.
11. a)Amend Land Acquisition Act, Karnataka Land Revenue Act, and Karnataka
Land Reforms Act - simplify procedures for acquisition/purchase of land.
b)Replace Karnataka Town and Country Planning Act by Karnataka Urban and
Regional Planning Act
12. Set up Urban Poverty Alleviation Authority/Cell in ULBs - Revise Karnataka
Slum Improvement an Clearance Board Act.
13. Restructure para-statal organizations - KUWS&DB, BWSSB, BDA, BMRDA,
KSICB
14. Set up Urban Services Regulatory Authority - clarify policy on cost recovery and
subsidy (water, sewerage, transport)
15. Prepare City Mobility Plans for Class I cities.
16. Streamline Property Tax administration - review exemptions, cesses.
17. Promote transparency and accountability through citizen participation.
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18. Formulate Municipal Personnel Policy - to guide recruitment, postings,
promotions and training.
19. Bangalore - take action on Expert (Kasturirangan) Committee Report on Urban
Governance in Bangalorejenact separate legislation for Bangalore
20. Promote research and capacity-building in urban planning and administration.
Background - Need for Urban Development Policy
1.1
Today, half the world’s population lives in urban areas. By 2050, 70% of the
population will be urban. India has been witnessing massive urbanization but it is
not rapid compared to many developing countries in Asia, Africa and Latin
America. Over the five decades since independence, India’s population tripled
from 350 million in 1947 to 1027 million in the year in 2001. During the same
period, the urban population grew almost twice as fast - from 50 million to 285
million. Nevertheless, urban population as a proportion of the total population is
still low in India-just 27.8% (2001).
1.2
Cities are considered engines of economic growth. In developing countries such
as India, economic growth is inevitably accompanied by a continuous process of
urbanization. People move from rural to urban areas and from agricultural to non-
agricultural occupations. The process of urbanization should hot, however, be
viewed purely in demographic terms as a change in rural-urban population ratio; it
involves profound social, economic, environmental and cultural transformation.
There is also a trend towards redistribution of political power away from villages.
1.3
Although only 28% of the people in India live in urban areas; the contribution of
the urban sector to the national economy is as high as 62% (of GDP) and this is
expected to rise to 75% by 2021. At the same time, much of our urban growth
has been chaotic and the mismatch between the demand and supply of
infrastructure and services has raised questions about our ability to govern our
cities. The issues relating to fostering economic growth and coping with urban
growth underscore the need to devote greater attention to the development of our
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towns and cities from a policy perspective.
Politically, higher urban populations
signify increase in the number of urban electoral constituencies in democratic
India.
It is, therefore, important to understand the process of urbanization in
different regions and design appropriate policies of urban development.
1.4
Karnataka is the eighth largest state in India covering an area of 1,91,791 Sq kms
and has a population of about 57 million (current estimate). Demographically, it
is about the size of Britain (58.3m), France (58.7 m), Italy (57.2 m) and Thailand
(59 m). Geographically, it comprises three regions- the plains, the coastal and the
hilly and covers seven agro- climatic zones. The people of the state inhabit 28000
villages and 237 towns and cities.
1.5
Karnataka is one of the more industrialized and urbanized states in India.
In
terms of contribution to the State economy, agriculture has been showing a
declining trend. Its share in GSDP halved from 36% in 1993 to 18% in 2005. On
the contrary, employment in agriculture decreased from 65% to just 61% during
the same period.The pressure thus continues to be high. While the contribution of
industry to GDSP has remained somewhat constant around 27% that of the
service sector has increased significantly to 54%. The growing disparity between
agriculture and other sectors is likely to have a significant impact on the urban
economy.
1.6
The Government of India provided a constitutional status to the urban local
government in 1993 with the objective of improving the quality of life in cities.
Several economic and social changes have been taken place during the last 15
years. However, with most of the Urban Local Bodies short of authority and
capacity, managing and developing the urban areas poses a major challenge.
1.7
Government of Karnataka set up a Committee on 31-12-2008 to study the various
issues relating to urban governance and prepare an Urban Development Policy for
the state in the context of the 12th Schedule to the 74th Constitution Amendment
Act and with a view to meet the challenges created by rapid urbanization in the
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State. What follows is an attempt at formulating an Urban Development Policy
for Karnataka State.
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Urbanization Trends in Karnataka
2.1
The total population of Karnataka in 2001 was 52.7 million of which the urban
population was 17.9 million or 34%. Karnataka ranks fourth in the degree of
urbanization among the major states in India after Tamil Nadu, Maharashtra and
Gujarat as can l?e seen from Table 1. The decadal growth of urban population in
Karnataka over the last 100 years is shown in Table 2.
During the last five
decades, urbanization in Karnataka registered rapid growth except during 1951-61
when the rate of growth was only 18.26%. The highest growth was recorded
during 1941-51 (61.7%) and 1971-81 (50.6%). However, during the following
two decades, the eighties and nineties, the rate of growth of urban population
declined to 29.09 and 28.85% respectively.
2.2
Significantly, the urban population in Karnataka has been growing faster than the
rural population. During 1991-2001, the former registered a growth rate of nearly
29% compared to 12% of the latter.Three factors account for the growth of
urbanization in the State - natural growth, migration and reclassification of cities.
2.3
Towns have been classified into six categories on the basis of their population
size.
In order to appreciate the direction of the urbanization process, it is
necessary to examine the distribution of population between different classes of
towns and regions and their growth trends.
2.4
There are 237 census towns or urban settlements are spread over 1,91,791 sq. kms
in Karnataka.
Their classwise and demographic distribution may be seen in
Table- 3. The most significant feature to be noted is that as much as 120 lakhs or
66.4% of the urban population of the state is concentrated in 23 class I cities. The
largest number of towns (101) is in class III category accounting for 17% of the
urban population or 31 lakh people. The highest growth rate has been registered in
Class I towns (34%) followed by Class III towns (4.82%) and Class II (2.81%).
Other classes have shown negative growth rates.
21
I
Urban Development Policy
2.5
The number of towns in the state has not increased significantly. There were 216
towns in 1901, the number went up to 286 in 1951 and declined thereafter to 230
in 1971 and is now 237.
Most of the urban growth can be attributed to
enlargement of existing towns than to the emergence of new towns.
2.6
There are wide variations in the degree of urbanization in different districts of the
state as shown in Map 1. Bangalore Urban with 88% of its population living in
urban areas is the most urbanized district and accounts for 13% of the urban
population of the state. The second most highly urbanized district is Dharwad
with an urban population of 55%. All the other districts have less than 40% of the
people living in urban centres. Urbanization is lower than 30% in ten districts and
less than 20% in nine districts. The least urbanized district is Kodagu (13.8%).
Districtwise details are given in Table 4.
2.7
An important feature of Karnataka’s urbanization is the distribution of urban
population along major transport corridors, viz., Bangalore-Belgaum, Mysore-
Kolar and Mangalore-Karwar (coastal tract). More than 65% of the state’s urban
population is concentrated in these three corridors.
2.8
It is evident that the urbanization pattern in Karnataka is not uniform throughout
the state and there are wide variations in the spread and intensity of urbanization
in different regions. A study of the regional pattern of urbanization carried out by
ISEC(Sastry 2005) across the four physiographic regions of the state viz., Coastal,
Malnad, Southern Maidan and Northern Maidan reveals the following:
(i)
The highest urbanized region is Southern Maidan (81%) and least
urbanized is coastal region (7%); medium levels of urbanization in Malnad
and Northern Maidan.
(ii)
By regional concentration of towns, northern maidan has the highest
concentration (71 numbers), and the coastal region least number of towns
(30),
(iii)
By functional distribution of towns in the state, about
22
I
Urban Development Policy
(a)
(b)
(c)
(d)
2.9
14 percent specialized in secondary sector, namely manufacturing
28 percent in tertiary sector
31 percent in primary sector and
26 percent in multi functions
With 67% of the urban population living in 23 cities, the urban settlement
structure in Karnataka is top heavy. There is considerable imbalance in the
distribution of urban population of the State, Bangalore city alone, accounting for
10.5%. Only in seven districts is the proportion of urban to total population
higher than the state average.
23
J
Urban Development Policy
Map 1: Urban Population In Karnataka (District Wise) 2001
URBAN POPULATION IN KARN ATflKA (DISTRICT WISE) 2DD1
STATE AVERAGE: 33.98%
. (
7
INDEX
1
C
LESS THAN 20%
■ wto
I
«SWA»»
J-:
1*
TO 30%
30% TO 40%
50%TCfr3%
ABOVE 80%
liii
MJ
L *•-•
a-
*
j^XTXb..J
X
NOTE: NO CITIES / TOWNS HAVE URBAN POPULATIONS IN THE RANGE
OF 40%-50% AND 60% - 50%
24
I
I
Urban Development Policy
2.10
One of the major factors contributing to the imbalance in Karnataka’s
urbanization pattern as well as the State’s development process is the
concentration of economic activities in Bangalore and its emergence as a primate
city. No other city in the state has been able to function as a counter magnet to
Bangalore which accounts for 80% of the sales tax and 75% of the corporate tax
collection in the state.
2.11
Bangalore, which had a population of 5.6 million in 2001 is currently estimated to
have 7 million and has been one of the rapidly growing metropolitan cities in
India. An analysis of the decadal growth (Table-5) shows that the city recorded
its highest growth rate of 91.5% during 1941-51.
The decade 1971-81 also
registered an impressive growth rate of 76 percent, the highest for any metropolis
in India. While there has been a decline in the following decades - 39.8% during
1981-91 and 37.7% during 1991-2001, the growth rate has been relatively high
compared to several other cities in the country. The population of Bangalore is
estimated to rise to 7.8 million by 2011 and 10.7 million by 2021.
2.12
The salient features of Karnataka’s urbanization process are the following:
1) The urban population has been growing faster than the rural population but the
rate of growth has been declining over the last two decades.
2) There are wide regional disparities in the degree of urbanization.
3) Migration is towards the higher order urban centres with 66% of the urban
population concentrated in 23 Class I cities.
4) Bangalore, the only metropolitan city in the State, enjoys demographic and
economic dominance.
5) Hubli-Dharwad and Mysore are emerging as metropolitan cities.
6) By 2025, 50% of Karnataka’s population (40 million) is expected to live in urban
areas.
25
I
Urban Development Policy
Challenges of Urbanization
The key challenges posed by urbanization in Karnataka are summarized below:
Unbalanced Urbanization
3.1
As in the case of economic and human development, there are serious regional
imbalances in urban development in Karnataka, as noted in the previous chapter.
Much of the imbalance is caused by the huge gap between the size and economic
role of Bangalore and the next largest cities in the State or what may be called the
‘Bangalore-Centric’ development. Hubli-Dharwad, the second largest city in the
state has a population of less than a million. The enormous advantages Bangalore
enjoys pull migrants and investments to the capital city. This has also exerted
pressure on Bangalore’s infrastructure and services.
How to accelerate urban
development in other regions of the state without sacrificing the interests of
Bangalore constitutes a formidable challenge.
Urban Poverty
3.2
In Karnataka, the rate of urban poverty is more than that of rural poverty. The
urban poverty ratio of 32.6% in Karnataka is also higher that that of several other
states as well as of all-India levels as can be seen in Figure 1.
Figure 1: Urban Poverty Levels across states (2004-05)
35
32.6
30
600
26
25
700
500
22.2
20.2
20
400
15
300
1O
200
5
10O
o
o
GUJ
KER
iWi Urban Poverty
INDIA
MAH
Urban Poverty Line
Source: Press Information Bureau, Government of India, March 2007
26
u
Urban Development Policy
It is interesting to note that urban poverty level is higher than the all India average
of 25% in highly industrialized states such as Maharastra (32.2%), Andhra
Pradesh (28%) and Karnataka (32.6%), except Gujarat which has the lowest rate
of 13%. Karnataka also fares poorly in respect of another dimension of poverty,
namely, Monthly Per Capita Expenditure (MPCE) where it ranks tenth among all
states (Figure 2). While it is slightly better than the all-India average, it is much
lower than Kerala, Maharastra and Gujarat.
The MPCE, is particularly low
among SC/STs, Muslims and OBCs. The high level of urban poverty and low
level of MPCE in the state are a cause of concern.
Figure 2: Urban Monthly Per capita Expenditure Comparison
' -Sri |
1600
14QQ
iiiiiii
ill
„ 111Lt l ft ■■111
1200-
800
IP
INDII
KU
T*
OUJ
RIH
KEft
SCBT RpMm
OSC
Source: Sachar Committee report, Gol, 2006
Urban Land Management
3.3
Supply of serviced land is critical to urban development. The absence of a well
developed urban land market in India and the increasing demand for serviced land
has resulted in rising land prices, speculation and growth of informal settlements.
Government policies relating to supply of land are deemed restrictive and
hampering investments and development.
Poor land management is a serious
problem in all urban areas which is reflected in violation of land use regulations
and illegal constructions.
3.4
The land requirement for urban use in Karnataka is estimated to be 5,67,285
hectares by the year 2025. According to this estimate, about 1,40,262 hectares
27
u
Urban Development Policy
additional land would be required. The district wise urban land requirements are
given in Table 6. Requirements vary from a high of 74,952 hectares in Bangalore
Urban District to a low of 5,714 hectares in Kodagu district. While meeting land
requirements for the purpose of housing (especially for the poor) industry and
infrastructure, it is also important to ensure optimum utilization of land.
Housing and Slums
3.5
Housing is recognized as a basic human right. According to Census 2001, there is
a housing shortage of 1.76 lakh units in urban Karnataka, of which 1.17 lakh
houses which
^‘ ion and 0.59 lakh houses are required to
’
quality of housing, nearly 78% of houses
deal with crov
are permanent, about 18% are semi-permanent structures and only 1,50,170 (4%)
are temporary structures.
3.6
In respect of slums, Karnataka fares comparatively better than most of the states
except Kerala.
It may be seen from Figure 3, that only 7.8% of the urban
population of the state lives in slums in 35 towns compared to 10.4% in Tamil
Nadu, 24.9% in Andhra Pradesh and 27.3% in Maharastra. According to NSSO,
58th round (2002) survey of urban slums, the number of slums in Karnataka is
estimated to be 1983 with 4,83,828 households.
Figure 3: Comparison of Urban Population in Slums
Comparison of select states - Slums
BO T
77
CSaNc cf town® reporting stums
Ratio of Slum to Total Urban Population
60 -I
-J 70%
41
35
40
03
-r 30%
27.3%
4 25%
j 15%
4 10%
» -
13
5%
i
0*
4-
0
KER
KAR
GUJ
TN
AP
MAH
Source: Census 2001
28
Urban Development Policy
3.7
Infrastructure Gaps
a)
Water Supply: As per the Census 2001, 92.2% of urban households in
Karnataka have access to safe drinking water compared to 80.9% households in
rural Karnataka. However, in 23 out of 29 districts, more than 90% have access
to safe drinking water but in four districts, viz., Bidar (nearly 30%), Dakshina
Kannada (39%), Uttara Kannada (less 50%) and in Udupi ( 31.6%), the majority
lack access. In a number of towns, water is supplied once in 3-5 days. The per
capita supply ranges from 40-100 Ipcd.
In terms of sources of drinking water in urban areas, 78.4% of urban households
have access through taps, 7.5% through tube wells and the remaining through
other sources such as ordinary wells.
75 towns, where water is supplied by
KUWS&DB depend on ground water as a primary source. The sustainability of
ground water for continued use for drinking purposes is an issue that needs to be
addressed. 42 towns in the state are yet to be covered by surface water supply.
b)
Sanitation: Access to bath rooms and latrines within the house and type
of drainage are the two key indicators of sanitation. The proportion of urban
households having bath rooms and latrines within the house in the State is 79.1%
and 75.2 percent respectively. In other words, nearly 25% households needs to be
provided with toilets.
However, there is significant regional disparity with a
number of northern districts lagging behind. Coverage of toilets is below 50% in
the five districts of Gadag (33.5%), Bagalkot (33.7%), Koppal (39.4%), Raichur
(43%) and Bijapur (43.2%). The coverage is more than 80% only in 6 districts of
the State.
In respect of drainage connectivity for waste water outlet in urban households, it
is observed that 19% lack in any kind of drainage facility, 41.6% have closed
drainage and 39% have open drainage.
29
Urban Development Policy
c)
Domestic Energy: Domestic energy includes energy for lighting, heating
and cooking. Electricity is the primary source of energy for heating and is used
by 90.5% of the households which is slightly below the all India figure of 92%.
8.8% of the households still use kerosene. Three districts of Koppal, Raichur and
Bagalkot have relatively less access to electricity i.e., less than 80%. For cooking
purposes, 44%of the urban households of the state use LPG, 27.6% use fire wood
and the remaining nearly 24% use kerosene and other fuels.
Gujarat has the
highest proportion of LPG users (58.7%) while in Kerala it is as low as (35%).
Fire wood is still used by a fairly large number of people.
Nearly 73% of urban households in the state have access to all three basic
facilities viz., water, electricity and toilets.
This would mean that there are
9,73,184 households without access to all three facilities.
What is more
distressing is there are 2,44,179 households without access to any of these three
facilities (See Map 2).
4
30
Urban Development Policy
Map 2: Karnataka- % Households having all 3 facilities - Urban (2001)
(Water, Electricity, Toilets)
> fwk*w- Urfen
an «
MMH '^> -
’
.VI.
ww 7^ * »
>^1
Urhm
sww. - «w#-w
Souroe; Censw 2001
d)
Road Infrastructure: Roads constitute the arteries of cities and are
critical to rapid urban development. Urban Karnataka suffers from serious
deficiencies in road infrastructure- inadequate road capacity, poor quality of
roads, impediments on roads such as potholes, depressions etc which hinder
free movement of vehicles and cause accidents. The existing road length and
3l
Urban Development Policy
the required road length as per the norms recommended by the Adhoc
Committee on Transport in 2002 are given in Figure 4.
Figure 4: Requirement of Roads as per Normative Standards
10,000 T
9,000 8,000 7,000
6,000 5,000
4,000
3,000
2,000
1,000
0 ~
9,301
8,549
/
I
Ml
fl
Mfl
6.526 /
T
-- 160%
...,2OS
B0%
fl^fOdlfl . Ilfl "
cc
dC (Clns I) CMCfCImll)
[ [a*-'.csm, Existing Road Length (tans)
—I Reqt>4ie<i road length
TMC
40%
0%
TP
—♦—Gap tet existHig neiwotk(%>~|
Source: Status of Urban Infrastructure in Karnataka, KUIDFC, 2005
The shortfall in the road network ranges from 13% in class II cities to 56% in
Class I cities. The poor condition of roads also contributes to traffic congestion
and accidents. An analysis of the type of the roads shows that as much as 36% of
the roads in most of the towns and cities of the State are kachcha roads except in
City Corporation areas where it is 13%. Tar roads in non Corporation urban areas
constitute less than 40%.
Another serious drawback in our cities is the poor
quality of side walks or foot paths; in most places, they are virtually absent. This
indicates the lack of concern for pedestrians.
The maintenance of storm water drains leaves much to be desired. Most of the
drains are open drains which join naalaas or water bodies. At times, the storm
water and sewerage water gets mixed and lead to water contamination. Irregular
desilting results in blocking of drains.
Street lights are essential not only to provide lighting at nights but also from the
point of view of safety. The maintenance and performance of street lighting in
most urban centres is poor. Table 7 shows that about a third of the lights either do
not function or malfunction. Even in a city like Bangalore, street lighting needs
considerable improvement.
32
Urban Development Policy
e) Urban Transport: The spatial and economic growth of urban Karnataka in the
last three decades has placed a heavy demand on its transport facilities. The State
has witnessed a steep increase in the number of motor vehicles in recent years.
The number of vehicles increased from 16 lakhs in 1991 to 82 lakhs in 2008-09, a
five fold increase in 18 years. It must, however, be pointed out that bulk of them
i.e., as many as 30 lakh vehicles have been concentrated in Bangalore (40%). The
modal split indicates that 71.6% of the vehicles are two wheelers followed by cars
(10.5%), goods vehicles (3.56%) and auto rikshas (3.5%). One of the reasons for
increase in number of private vehicles in the State is inadequate public transport
services. Urban transport and traffic is one of the most serious challenges faced
in all the major cities in Karnataka and India.
t
Solid Waste Management
3.8
While there is no precise assessment of the waste of municipal solid waste
(MSW) generated in most of the towns, it is estimated that Bangalore generates
about 3000 i^retric tons per day and the other urban areas generate 4,300 tons a
day. About 23% of the waste generated does not get collected. The more serious
problem relates to the lack of treatment and disposal facilities. The unscientific
manner of disposal of solid waste, dumping in open sites and low lying areas
constitutes a serious public health issue.
All the ULBs are spending a
considerable part of their budget on solid waste management (including the
salaries of concerned staff) and cities are nowhere as clean as they should be.
Environmental Challenges
3.9
The physical expansion and demographic growth of urban areas have exerted an
adverse impact on the urban environment.
The large scale conversion of
agricultural land in the urban periphery for urban uses like industries, housing and
infrastructure has resulted not only in loss of greenery but in creation of urban
heat islands.
A large number of trees and water bodies have given way to
concrete structures.
The increase in motor vehicular traffic in cities and
industrialization have contributed to air pollution which in turn has an adverse
33
Urban Development Policy
effect on the health of the people. Cities are huge consumers of energy and
resources generating more waste than they can absorb.
The increasing
consumption of water is leading to depletion of water resources, particularly
underground water.
The enormous quantities of waste generated in cities
proliferation of slums and lack of sanitation are serious environmental hazards.
Urban Governance
3.10 There is a multiplicity of laws and institutions governing the urban areas in the
State. There are 219 Urban Local Bodies (ULBs) or Municipalities which have
elected representatives.
Besides, there a number of parastatal organizations
catering to ULBs specialized services like water supply, land development,
housing , slum improvement etc While the ULBs are governed by municipal
laws, others are governed by separate statutes.
The ULBs in the state suffer from several weaknesses such as shortage of
financial resources, lack of adequate professional manpower and lack of
autonomy.
The 74th Constitution Amendment Act envisages that the
Municipalities would be developed into units of self government and the
Legislatures have been empowered to provide the ULBs with
authority
necessary
and resources. The implementation of the provisions
Amendment Act in
State
of the
Karnataka has been tardy. The State Government
continues to exercise considerable control over the ULBs and
decentralization in the true
there is little
sense of the term.
The administrative system in our cities suffers from institutional
weaknesses.
Conflicts of jurisdiction and authority, inefficient planning systems,
transparency and accountability and poor
lack
of
management capacity characterize
the urban institutions.
Resources
3.11
Urban infrastructure development is highly capital intensive.
According to a
study carried out by KUIDFC, the total requirement of the State (excluding
34
I
Urban Development Policy
Bangalore) to provide normative standards of water supply, UGD, SWM and
SWD will be Rs.30,760 crores at 2008-09 prices and another Rs.6037 crores for
operation and maintenance of the assets to be created over the five year period
2010-15. The requirement of Bangalore over the next five years as per the study
carried out by M/s. CRISIL is Rs. 27,825 crores for the above services and an
additional Rs. 25,299 crores for transport and traffic. Thus the total requirement
of the State of the order of Rs. 90,000 crores,which could with escalation well
rise upto Rs 100,000 crores.
The pace of urban infrastructure development in Karnataka depends to a
extent on mobilizing the needed resources and
building the
large
institutional
capabilities for service delivery.
35
Urban Development Policy
Government Intervention
Five Year Plans
4.1
As most of India is rural, the planning process had been biased in favour of rural
development. Urban development had for long been a low priority area in the
policies and plans of both Central and State Governments. Financial allocations
for urban development in the Five Year Plans of Karnataka was less than 10%
upto Sixth Plan and has ranged from 11.5 to 15.3% between the 7th and 9th Plans.
It was only in the 10th Plan that the proportion has gone up 20% (Table 8).
Master Planning
4.2
The Master Plan is a statutory document prepared under the Karnataka Town and
i
Country Planning Act for the Local Planning Area. It is considered an instrument
to regulate the planned growth of land use and development. Earlier, the Act
required the preparation of an Outline Development Plan (ODP) and then a
Comprehensive Development Plan (CDP). The CDP included a Land Use Plan
including zoning regulations and proposals for future development. The Act was
amended in 2005 to provide for the preparation of a single Master Plan.
In Karnataka, the Master Plans; has been prepared for 96 cities and towns. These
plans have provided a physical>frame of land use for a projected city population
over a period of 10-20 years,
°f them have included programmes for urban
development, mainly for land development and housing. However, the Master
Plan has proved to be an inadequate instrument to fulfill the goals of planning for
socio-economic development or regulating spatial development.
74th Constitutional Amendment Act
4.3
The most significant policy change in the urban sector came in the form of the
74th Constitutional Amendment Act 1993 which aims at decentralization of urban
governance in the country. Eighteen functions have been identified under the 12th
schedule to the Constitution (Table 9) to be performed by the ULBs.
It is,
36
Urban Development Policy
however, left to the State Legislatures to decide which of the functions should be
decentralized and at what point of time. The other salient features of the CA are
the following:
(1)
(2)
(3)
(4)
Setting up State Election Commission
Setting up State Finance Commission
Setting up District Planning Committee
Setting up Metropolitan Planning Committee
In Karnataka, the State Election Commission has been set up to conduct
elections to the local bodies. State Finance Commissions have been set up once
in five years as mandated by the Constitution- the first in 1994 and the second in
2000.
The devolution of funds to ULBs has been based mostly on the
recommendations of the two SFCs (with some modifications). The 3rd SFC has
given its report in 2008 and is yet to be acted upon.
The District Planning Committees have been set up but they are hardly
functional. The Metropolitan Planning Committee which is applicable only in
case of Bangalore has not been set up so far. Functional autonomy of ULBs is
presently limited. Out of 18 functions, only 11 are presently in the domain of the
municipalities. The remaining functions are not purely local and have state-wise
policy implications. Therefore, it needs to be examined as to in what manner and
to what extent these functions can be entrusted to the municipalities.
Integrated Development of Small and Medium Towns (IDSMT)
4.4
A centrally sponsored scheme, IDSMT was initiated in the 6th Five Year Plan i.e.,
1979-80, and targeted at strengthening small and medium towns (up to a
population of five lakhs). The aim was to develop these towns as regional growth
centers so that migration to large cities could be reduced. 107 towns in the State
were included under this scheme to improve infrastructure facilities and create
employment opportunities.
37
Urban Development Policy
The IDSMT scheme has failed to achieve its objectives,
The
implementation of the scheme suffered from several problems. There was delay
in the release of funds to ULBs and the funds allotted were not fully utilized. The
returns from investments such as sites, shopping complexes etc was poor.
Swarna Jayanti Shahari Rojgar Yojana (SJSRY)
4.5
The aim of this scheme is to provide gainful employment to the urban poor and
consists of two components :
(1) Urban Self Employment Program (USEP),
(2) Urban Wage Employment Program (UWEP).
The scheme started in 1997 as per the guidelines of Government of India and is
funded on a 75:25 basis between the Center and State. The USEP provides for
setting up micro enterprises, development of women and children in urban areas
(DWACUA), Thrift and Credit Groups (TCG), and training. The UWEP provides
employment to BPL families by taking up works which will improve
infrastructure facilities like roads, drainage, community toilets etc.
The performance under this scheme has been fairly good in terms of expenditure.
Out of Rs.62 crore released between 2005-06 and 2007-08, about Rs.49 crores or
79% has been spent. The performance in terms of actual employment generated
and reduction of urban poverty needs to be properly evaluated.
Jawaharlal Nehru National Urban Renewal Mission (JNNURM)
This project was launched by Government of India in December 2005 to
4.6
encourage cities to initiate steps to bring about substantial improvement in the
existing service levels in a financially sustainable manner. It comprises two sub
missions on: (i) Urban Infrastructure and Governance and (ii) Basic Services to
the Urban Poor.63 cities have been selected under this Mission including
Bangalore and Mysore from Karnataka.
4.7
The main thrust of the submission on Urban Infrastructure Governance is on
infrastructure projects relating to water supply and sanitation, sewerage, solid
38
Urban Development Policy
waste management, road development, urban transport and the development of
old city areas. The pre requisites for central assistance under the scheme are the
preparation of the City Development Plan (CDP), Detailed Project Report (DPR)
and drawing of timelines for implementation of urban sector reforms.
The
funding pattern consists of central share of 35%, state share 15% and ULB share
of 50% for Bangalore, and 80%, 10% and 10% correspondingly for Mysore.
Under Basic Services to the Urban Poor, the central share is 50% for Bangalore
and 80% for Mysore and the State/ ULB share is 50% and 20% respectively.
4.8
City Development Plans for Bangalore and Mysore have been prepared and
approved by Government Of India. The capital investment plan envisaged in the
CDP is of the order of Rs.22,536/- crores for Bangalore and Rs. 1969 crores for
Mysore spread over a period of six years between 2006-07 and 2011-12. The
projects approved till the end of 2007 amounted to Rs.2604 crores for both the
cities.
4.9
Implementation of urban reforms prescribed by Government of India at the State
and ULB level is essential for availing Central assistance under this program. The
reforms classified as mandatory and optional are listed in Table 10. Karnataka
has implemented reforms pertaining to rent control, repeal of Urban Land Ceiling
Act, Municipal Accounting and internal earmarking of the funds to the urban poor
and computerization of land and property. Measures have been initiated to make
rain water harvesting mandatory to frame by-laws for re-use of recycled water and
to encourage public private partnership. The Urban Infrastructure Development
Scheme for Small and Medium Towns (UIDSSMT) is being implemented in 17
towns and projects worth Rs.345 crores have been approved so far, towards water
supply, sewerage, roads and drains.
Externally Aided Projects
4.10
A number of externally aided projects for improving urban infrastructure
development are under implementation in the State. These include:
39
Urban Development Policy
•
ADB assisted Karnataka Urban Infrastructure Development Project (KUIDP)
covering the towns of Mysore, Ramanagaram, Channapatna and Tumkur at a
project cost of $107 million.
•
ADB assisted Karnataka Urban Development and Coastal Environmental
Project (KUDCEMP) covering 10 coastal towns at a project cost of Rs.998
crores.
•
World Bank assisted Karnataka Urban Water Sector Improvement Project
(KUWASIP) in the three cities of Belgaum, Gulbarga and Hubli-Dharwad at a
project cost of Rs.227 crores.
•
ADB assisted North Karnataka Urban Sector Investment Program (NKUSIP)
in 25 towns of North Karnataka at a project cost of Rs. 1236 crores.
•
World Bank assisted Karnataka Municipal Reforms Project (KMRP) aimed at
institutional development for improving delivery of urban services at a project
cost of Rs. 1364 crores. (I Phase - 74 towns, II phase - 90 towns).
The first three projects have been completed while the other two are in the initial
stages.
Impact of Government Policies and Programs
4.11
The programs taken up for the improvement of our towns and cities and the
various sectoral policies pertaining to housing, water, industry etc have impacted
urban development in the state in the following manner:
(1)
The investments made so far have provided certain basic
infrastructure facilities in relation to water supply, sanitation,
sewerage, solid waste management, roads and housing but they have
40
Urban Development Policy
not been adequate to meet the growing demands of the urban
population.
(2)
The master plans prepared for various towns and cities have guided
city development only partially. There is considerable unplanned
development in all cities.
(3)
Development in other sectors have contributed to urban development
in a positive and negative manner. Industrial development has
contributed substantially to the growth of cities, employment
generation and urban prosperity as also to urban chaos and pollution.
4.12
The lack of a policy focus to urban development has resulted in distorted
development of our towns and cities.
Government intervention has come in
adhoc and piecemeal fashion in the form of certain legislations, sectoral policies
and various projects and schemes as described above.
It is essential to take a
holistic view of urban growth in Karnataka and formulate a policy for urban
development.
41
Urban Development Policy
Urban Development Policy for Karnataka
5.1
The broad objectives of an Urban Development Policy for Karnataka are:
•
To define a vision of urban development in Karnataka
•
To provide the framework and strategy for guiding the urban
development of the State to realize the stated vision.
Urban Vision
5.2
To create / recreate towns and cities
•
that are economically productive
•
that are inclusive and are free from poverty
•
that are environmentally sustainable
•
that are culturally vibrant
•
that have dynamic local governments capable of providing good
governance and effective service delivery.
5.3
Policy Framework
•
Urban Development Strategy
•
Urban Planning - New Approach
•
Reducing and eliminating urban poverty
•
Provision of Urban Infrastructure Services
•
Environmental sustainability of cities
•
Democratic Urban Governance
Resource Mobilisation
Urban Development Strategy
Aligning Urban Development with State Development Strategy
5.4
Urban development is not an exclusive sector and can not be viewed in isolation.
It is multi- sectoral in character and as such needs a holistic approach. As the
National Commission on Urbanisation (NCU 1988) observed, urbanization was
42
Urban Development Policy
not an aberration in space but an inevitable concomitant of economic change. It is,
therefore, impoilant to align urban development with the strategy for economic
and human development of the State. Karnataka’s Vision Document- 2020 has
spelt out the core elements of Karnataka’s Vision thus:
1.
Ensure safety and security of all citizens and uphold peace and communal
harmony in the State.
2.
Eliminate poverty and deprivation at all levels and achieve Millennium
Development Goals (MDGs) by 2015.
3.
Enhance human capabilities to promote equitable growth covering all
sections of people and regions of the State.
4.
Make Karnataka a globally competitive destination and a leader among
Indian states.
5.
Institutionalize good governance across the State through enhanced
transparency, accountability and participation.
5.5
To realize the vision, the following, among others, have been identified as key
areas of transformation:
•
achieving a sustainable and orderly process of industrialization and
urbanization
•
build and sustain Bangalore’s global leadership in science, technology
and knowledge based industries
•
improve governance through wider participation and deep democratic
decentralization
5.6
Industrialization and urbanization are now concentrated in and around Bangalore.
An analysis of private investments made in Karnataka upto the end of 2008 shows
Bangalore cornering a lion’s share - over 50% in respect of projects with
investment upto Rs.50 crores and 30% in case of projects worth Rs.50 crores and
above. In the sphere of public investments in water sector alone, the four stages
43
Urban Development Policy
of Cauvery Water Supply Scheme for Bangalore have absorbed an investment of
Rs. 1715 crores compared to Rs. 1529 crores invested by KUWS&DB for all
schemes across the state (Table 11).
It would appear that the approach to
development has been Bangalore-centric.
But then, Bangalore enjoys the
advantages of agglomeration, specialization and migration.
It is, therefore,
necessary to adopt a strategy of developing other urban centres in the state
without undermining the importance of the capital city.
5.7
Bangalore itself suffers from inadequate infrastructure and environmental
degradation.
There is thus a need to expand the horizon and plan for the
development of the metropolitan region of Bangalore with a view to disperse the
economic activities in the region relieving congestion in the city.
Unbalanced Growth, Inclusive Development
5.8
Regional disparities have been a prominent feature of Karnataka’s economy.
Promoting equitable growth covering all sections of people and regions of the
State is, therefore, a core element of Karnataka’s vision.
The high power
committee for removal of regional imbalances headed by D.M.Nanjundappa
identified 114 out of 175 taluks in the State as backward of which 59 were in
North Karnataka and 55 in South; further 26 of the 39 “most backward taluks”
were from North Karnataka.
The Committee recommended a number of
measures towards reducing disparities and the state government has set up a
committee to examine and implement the recommendations.
5.9
Economic concentration and regional disparities are a global phenomenon. There
are geographically disadvantaged people in all large countries such as China,
Brazil and India and in all large provinces or states like Andhra Pradesh,
Maharashtra and Karnataka.
Economic growth has been unbalanced in
developing countries and so has been urbanization. This continues to be so in
spite of State policies of providing incentives to attract private investments to
backward areas. The question then is how to ensure that the fruits of growth
44
Urban Development Policy
reach the areas that are less urbanized and not economically prosperous. The
World Development Report 2009 has observed that “balanced growth” has proved
elusive and has argued that while growth may be unbalanced, development can be
inclusive.’ Instead of dispersing production broadly across the state, it can be
concentrated in locations conducive to growth (economic density). At the same
time, it is possible to raise the living standards of people residing in backward
*
areas by focusing on human development- education, health, nutrition and
sanitation - and improving connectivity or reducing distance. This may push
people from rural to urban areas or from less developed to more developed areas.
People migrate in order to reduce their distance to economic opportunity. Such a
process of economic integration can help achieve the benefits of uneven growth
and inclusive development.
Co-ordination of Sectoral Policies
5.10
It is important to ensure coordination of sectoral policies which impinge on urban
development such as those relating to industrial development, infrastructure and
tourism.
5.11
The Karnataka New Industrial Policy (2009-14) aims at creating an enabling
environment for robust industrial growth.
The key strategies advocated are
development of industrial corridors, developing infrastructure with private sector
participation, encouraging Special Economic Zones, creating industrial townships,
developing sectorwise industrial zones to minimize migration of people to urban
centres, providing incentives to attract investments to backward regions,
simplification of land acquisition procedures and measures to protect environment
and encourage energy and water conservation in industry.
5.12
The Infrastructure Policy (2007) aims to expand and upgrade the infrastructure
facilities in the state to meet the growing requirements of industrial and
agricultural sectors and envisages a key role for the private sector in developing
infrastructure and offers certain incentives.
45
Urban Development Policy
5.13
The State’s Tourism Policy (2009) aims to give a new thrust to tourism in the
State by providing incentives and concessions to build hotels, way side facilities,
amusement parks etc. The infrastructure plan to be prepared aims at connectivity
and common facilities at all major tourist destinations by providing Heli services
and providing air operations.
5.14
The various sectoral policies outlined above have some common features viz.,
development of infrastructure, encouraging private sector participation, incentives
and concessions to invest in industry and infrastructure. All these activities are
related to the activities of urban development authorities in some way or the other
in terms of urban planning, land acquisition, sanctioning of building plans under
the Municipal and Town Planning Acts, approvals for water supply, sewerage,
electricity and pollution control. The KIADB which acquires land for industrial
purpose will have to plan acquisition of land in consultation with Urban
Development Department and its agencies such as the ULBs and the Urban Land
Development Authorities so as to ensure that industrial development takes place
in accordance with the master plan of the cities concerned and the spatial plans of
districts and regions.
5.15
Establishment of SEZs (with a minimum size of 1000 hectares) will have
tremendous impact on the growth and development of cities located in the vicinity
of the SEZs. The Master Plan will have to take into consideration the multiplier
effect of SEZ and plan to deal with the problems of migration, housing and
infrastructure.
Tax concessions granted to SEZs are bound to have serious
repercussions on the finances of the local bodies. It is, therefore, proposed that
the SEZ shall share the revenue with the ULBs under whose jurisdiction they are
located.
Similarly, industrial townships which manage their own civic affairs
would have to compensate ULBs for the external benefits they enjoy.
46
Urban Development Policy
5.16
The corridor development envisaged in the industrial development policy will
have to be linked to the urban development corridors which are emerging as a
result of the process of urbanization.
Development of industrial zones to
minimize migration to urban centres is not a desirable objective. Rather, the aim
should be to minimize migration to large cities, especially to Bangalore.
Industrial zones should be set up near existing towns which can emerge as growth
centers.
5.17
A mechanism must be evolved to facilitate coordinated policy decisions where
interests of different departments such as industry, agriculture, infrastructure and
tourism are involved avoiding conflicts. It is suggested that an Urban Impact
Statement must be prepared for all projects, public or private, to be implemented
in Class I cities or their periphery and it must form part of the project clearance
process in any department.
Local Economic Development (LED)
5.18
Local governments have an important role to play to improve the attractiveness of
an area and generate the potential for economic growth. Cities must position
themselves to derive the full benefits of globalization. The purpose of Local
Economic Development is to build the economic capacity of a local area- town,
city, region- to improve its economic future and the quality of life of its people. It
also aims to raise the standard of living of the poor and weaker sections.
5.19
LED should form an integral part of the strategic planning process of a city. The
LED programmes should be decided by the local government in consultation with
the local community- business associations, NGOs etc. Programmes can include
skill development, assisting SMEs, investing in infrastructure etc.
5.20
It is suggested that Local Economic Assessment be carried out, initially in a few
select towns and cities to identify the key factors enabling and constraining
47
Urban Development Policy
sustainable economic development. This should be followed up by an action plan
to create better conditions for economic growth and employment generation.
Competitive Cities
5.21
Our cities have a key role to play in making Karnataka a globally competitive
destination. Globalisation has impacted not only the economy in India but its
cities.
Bangalore has been influenced by globalization in two ways:
it has
emerged as one of the top technological hubs in the world; secondly, its spatial
structure has been partially shaped in the last two decades by the locational
choices of the I.T.Industries.
States in India are competing to attract foreign
investments, particularly in the LT. sector, mainly on the strength of their cities-
Bangalore, Delhi, Mumbai, Chennai and Hyderabad. We are now in an era of
competitive cities and Karnataka must look beyond Bangalore and build a few
other cities which over a certain period can become globally attractive.
48
Urban Development Policy
Urban Planning- A New Approach
Integrating spatial planning with economic development planning
6.1
Urban planning in the State, as in the rest of the country, has been mostly
a
identified with town planning or land use, planning. It is necessary to broadeif the
vision of the urban planning process and integrate spatial planning with economic
development planning. The 74th CAA has provided a new framework to the
planning process and mandates:
a)
Constitution of a District Planning Committee at the district level charged
with the responsibility of preparing a draft District Development Plan.
b)
Constitution of a Metropolitan Planning Committee in every metropolitan
area which would be responsible to prepare a draft development plan for
the metropolitan area.
c)
Municipalities to be responsible for urban planning including town
planning and for preparation of plans for economic development and
social justice.
The Constitution does not provide for planning at the state level which is guided
by the Five Year Plan. From the perspective of urban development, however, it is
essential to formulate a spatial plan at the state level.
State Level Spatial Planning
6.2
The approach to urban development in the Five Year Plans has been ad hoc and
piecemeal. As pointed out by the National Commission on Urbanisation, there
has been a lack of spatial concern in the planning process, and no efforts have
been made to link the process of urbanization with the general pattern of
economic development.
Spatial planning deals with a hierarchical system of
settlements and plays a vital role in investment decisions depending on the growth
49
Urban Development Policy
potential of different settlements. Planned economic development should take
into account the locational aspects of development.
The objective of spatial planning is to generate a process of spatial development
which optimizes utilization of resources, reduces regional, spatial and economic
imbalances, strengthens rural and urban relationships, protects the environment
and maintains an ecological balance (NCU). A State-level Perspective Spatial
Plan must be prepared highlighting policies relating to the development of the
thrust areas of the State like development of natural resources, regional
development, settlement pattern, population distribution policy, transportation
networks, water and power supply systems, areas of tourist interest and
environmental issues.
The spatial planning strategy should include:
a)
•i
selective channelisation of socio-economic activities to second-order
cities.
b)
selective concentration of infrastructure in central villages and small and
medium towns depending on their potential with the objective of
equipping them to play a role in absorbing new migrants, maintain a
desirable rural-urban continuum and reduce the cost of urbanization.
*
c)
planned development of specialized regions and corridors.
Regional Development
6.3
The Industrial Policy of the state aims at industrialization in backward regions and
also development of industrial corridors and identifying potential locations to set
up industries. In this context, it is essential to identify a spatial configuration of
the existing and future urbanization in or near cities and along emerging urban
corridors.
The study undertaken by Centre for Policy Research, New Delhi
(2001) has identified the following urban corridors:
50
Urban Development Policy
Urban Corridors
Corridors
Bangalore-Belgaum
Mysore-BangaloreKolar
(excluding
Bangalore)________
Corridor
3 Coastal
(Mangalore-UdupiKarwar)__________
Total_____________
Source: Census of India, 1991
_1_
2
1991___________
%age of
total urban
__ population
48.08
66,88,598
10.90
15,16,417
Urban
Population
2021*____________
%age to total
urban
population
1,56,55,905 _____________ 57.58
34,01,154
12.51
Urban
population
8,15,740
5.86
16,09,415
5.92
90,20,755
64.85
2,06,66,474 |
76.01
It may be observed that the Bangalore- Belgaum Corridor will house 58% of the
urban population in Karnataka with about 60 million population. The Mysore-
Bangalore-Kolar Corridor (excluding Bangalore) will accommodate 34 lakhs
(12.5%) and Mangalore-Udupi-Karwar coastal corridor will house 16 lakhs (6%)
of the total urban population. Thus, 76% of the urban population will be found in
14 out of 28 districts in the State by 2021.
In addition to above three urban corridors, two urbanizing regions are likely to
emerge viz., Hospet-Bellary-Raichur and Bijapur-Gulbarga-Bidar.
The National Commission on Urbanisation recommended the development of
Spatial Priority Urbanization Regions (SPURs) in the following regions in
Karnataka:
(1)
(2)
(3)
(4)
Hospet-Bellary-Raichur
Tumkur-Bangalore-Hosur-Mysore-Mandya
Belgaum-Hubli-Dharwad-Davanagere-Harihar
Ratnagiri-Goa-Karwar-Mangalore
Managing corridors and regions in terms of urbanization and industrial
development will be a major challenge. They will include both urban and rural
areas and give rise to polynodal urban centres. Planning for regional development
therefore becomes crucial.
*
[
Hp-'oo
!'
)
i
Urban Development Policy
Hubli-Dharwad, Mysore, Mangalore and Gulbarga representing different regions
may be developed as Priority Cities.
Planning for the District
6.4
District Planning Committees have been set up in all the districts in the state.
However, they are not effective and none of them has been able to prepare a
development plan for the district in a manner envisaged in the Constitution.
According to Article 243 ZB of the Constitution, the DPC has to perform the
following functions:
i)
Consolidation of the plans prepared by the panchayats
and municipalities in the District
ii)
Preparation of a draft development plan for the district as ,
a whole and
iii)
Forwarding the plan ( by the Chairperson) to the State
Government.
While the above functions are mandatory, the Constitution does not bestow any
powers relating to implementation or monitoring of the development plans on the
DPC. It is also silent on the role of the Government. It is suggested that a time
limit of three months may be fixed for the State Government to approve the
District Level Plan failing which approval should be presumed. Further, the DPC
may also be entrusted with the functiop of monitoring the implementation of the
plan.
For the purpose of planning, District is like a Region. Rural- urban integration is a
complex function and a number of problems are bound to arise between the fast
urbanizing and intervening rural areas such as sharing of water and other natural
resources, location of industries, environmental conservation etc. The role of a
rural-urban platform such as the DPC, therefore, becomes very vital in district
planning. The DPC must be provided necessary professional support for
preparation of the plan as well as monitoring its implementation.
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Urban Development Policy
Planning for metropolitan areas
6.5
Although Bangalore is the only metropolitan city in Karnataka at present, HubliDharwad and Mysore are fast emerging as metros and as such, it is necessary to
plan for orderly development of these three metropolitan areas in the State.
The Bangalore metropolitan area covers an extent of about 1307 sq. kms of which
about 420 sq kms is earmarked as agricultural land or green belt. The Bangalore
City Corporation or BBMP which has been extended recently from an area of 223
sq. kms to 709 sq. kms comes within the metropolitan planning area.
The
Bangalore Development Authority is the Planning Authority for the metropolitan
area and is also responsible for land development and housing. With increasing
urbanization in its hinterland. Bangalore is facing enormous challenges in
providing infrastructure and services to meet the needs of the growing population.
The BMRDA was set up in 1985 to address the problems of the region and
prepare a Structure Plan. But this Authority has not been able to function in the
manner envisaged by the law makers.
The Expert Committee on the Governance of Bangalore has suggested setting up
a Metropolitan Planning Committee for the Bangalore Metropolitan Region
(8,000 sq. kms) covering Bangalore Urban, Bangalore Rural and Ramanagaram
districts. The composition, powers and functions of the MPC as recommended by
Expert Committee may be adopted.
In order to deal effectively with the planning and development issues of HubliDharwad and Mysore, Metropolitan Planning Committees must be set up for these
two cities now itself without waiting for the next Census in 2011 when their
population will go beyond one million. The physical jurisdiction of these two
metropolitan areas must be carefully demarcated taking into consideration the
peripheral outgrowths and potential for urban expansion.
53
Urban Development Policy
Planning at the city level
6.6
Under the Constitution, urban planning and town planning as also social and
economic development and protection of the environment are functions to be
performed by the urban local bodies.
However, in Karnataka, these
responsibilities have not yet been assigned to the municipalities. Once the scope
of the municipal functions is expanded, municipal management will acquire a new
dimension. To the traditional municipal functions of water supply, sanitation,
solid waste management and regulatory functions such as licencing, construction
of buildings, regulation of food establishments etc, will be added planning and
development functions.
At present, Master Plans under the KTCP Act are prepared by the Local Planning
Authorities or UDAs. Under the JNNURM, the Municipalities are expected to
prepare a City Development Plan. The present practice of having a master plan, a
city development plan and a comprehensive development plan should be given
up. Only one plan should be prepared at the city level which includes the spatial
plan, development plan and development control measures and such plan should
be prepared by the Municipality. The capacity of ULBs should be enhanced to
take on planning responsibilities.
The time frame for different plans will be as follows:
(a)
(b)
(c)
(d)
A 15-20 year Spatial Perspective Plan for the State.
A five year development plan for the district/ metropolitan area.
A five year plan for each municipality with city / town.
Annual plan for the district and the local body with budgetary allocations.
Land Use Planning
6.7
Land Use Plan is part of the Master Plan of a city and includes zoning and sub
division regulations, and building bye laws.
The policy of segregation of land uses has not succeeded and deviations from the
prescribed land use pattern are common.
It is therefore necessary to adopt a
flexible policy of compatible uses which will establish a proper relationship
between residence, work place and transportation. Land use forms the basis of
54
Urban Development Policy
city structure and influence the pattern of city development. As such, each city
must carefully integrate its land use plan with its transportation and development
plan.
Government should undertake a comprehensive review of the existing planning
standards such as densities, FAR, setbacks etc., with a view to secure optimum
utilization of urban space and ensure that the built form is culturally and
aesthetically adopted to the environment. Urban design and urban aesthetics
should form part of the urban planning process.
Development Management
6.8
Master Planning has failed to achieve its objective of ensuring planned and
orderly development of cities.
The instrument of zoning and sub-division
regulations and Building Byelaws, collectively called ‘Development Control’
measures have promoted an attitude of ‘control’ rather than ‘development’.
Control has bred corruption resulting in rampart violation of laws. The scale of
violations in Karnataka prompted the government to bring in a law, the Karnataka
Regularisation of Unauthorized Constructions Act into regularize the illegal
constructions in cities. Such a legislation can act as an incentive to further
violations but it also points to the need for fresh thinking on the way we have
been planning and managing our cities and enforcing our laws.
Urban planning must shift its emphasis from land use planning to guiding the
complex process of socio-economic change. The term ‘development control’ must
be replaced by ‘development management’ to trigger a change in the mindset of
our law makers and law enforcers. The objective should be to facilitate a pattern
of development that serves the needs of the people including the employment and
housing needs of the poor, ensure smooth conduct of the city’s activities and is
conducive to the creation of a safe and aesthetic environment. In view of the
constraints of space, an urban structure must be evolved which will enable
development of ‘compact cities’ instead of vast ‘urban sprawls’. The relationship
55
Urban Development Policy
between transportation and city structure is vital and the aim should be to reduce
enforced movement, particularly motorized transport to the minimum.
The creation of a good city must begin with the neighbourhood unit which has
been ignored while preparing our city plans. Planning is as much a bottom up as a
top down process and must recognize the requirements of the neighbourhood and
gradually embrace the larger units like the ward, the zone and the city as a whole.
The evolving city structure should enable the citizens to derive the benefits of the
quality of life obtainable in a smaller centre as well as the economies of scale
flowing from a larger entity.
Urban Land and Housing Policy
6.9
Urban land is a limited resource with competing demands. As such, Government
must intervene in the urban land market through a well formulated policy. The
objectives of such a policy are to achieve:
i)
an appropriate supply of urban land for productive as well as community
purposes
ii)
greater equity including access by low income families to adequate shelter
iii)
spatial distribution of population and activities consistent with State
priorities and
iv)
optimum utilization of land.
The strategies to achieve these objectives are:
i)
Land Use Planning.
ii)
Land acquisition for public purpose.
iii)
Land Registration System that guarantees title to property.
iv)
Housing policy with focus on the weaker sections and low income groups.
v)
Fiscal measures.
56
Urban Development Policy
Land Acquisition
6.10
Land can be acquired under the Land Acquisition Act 1894 for any public
purpose including housing and infrastructure development.
The process of
acquisition is lengthy and cumbersome resulting in enormous delay and cost
escalation. The law which is more than a century old needs to be revised to meet
the requirements of rapid development. As this is a central legislation, the Central
government must be moved in this regard. Some of the important changes that
can be made are as follows:
a.
Under the present Act, a person not satisfied with the award of
compensation by the Land Acquisition Officer may refer the
matter to the court. Instead of making the reference to the court, a
Tribunal may be set up to deal with matters relating to revision of
compensation
b.
It is necessary to make provision for alternate means of
acquisition/ compensation such as Land Pooling, Transfer of
T/
Development Rights and other land sharing arrangements with
farmers and land owners.
c.
i
The KIADB is empowered to acquire land for industrial purpose
under the KIADB Act. The process of acquisition under this law
through negotiation has been faster. A provision may be included
in the KIADB Act making it mandatory for the KIADB to obtain
clearance of the municipal or planning authorities, when land is
acquired in the urban areas or within a radius of 5 kms. In respect
of Bangalore, BDA should be made the sole land acquisition
authority for any project and KIADB should cease to operate
within the BMR. It should also submit an Urban Impact Statement
while developing any industrial estates
57
Urban Development Policy
Land Title Registration
6.11
When an immovable property is transferred by way of sale, mortage etc what is
registered is the deed and not the title. Absence of clear title to property is one of
the Reasons for dubious transactions and enormous amount of litigation in our
country. It is also a hurdle to obtaining easy credit for housing or other purposes.
It is, therefore, essential to introduce a system of state guarantee to title of land or
property or a Property Title Certification system which is also one of the reform
measures under JNNURM. All land records in ULBs must be computerized. An
Urban Bhoomi Program must be initiated. A Directorate of Urban Land Records
must be created to deal with all matters relating to city survey, maintenance of
land records and certification of land title.
Fiscal Measures: Land is a resource and land-based taxes are an important source .
of revenue. They can also be used as an instrument to regulate land use. Apart
from property tax which is also land based, levy of the following taxes can be
considered.
Vacant Land Tax: Developed urban land is scarce and keeping such land vacant
for long must be subject to heavy taxation. Such tax can also be used to curb
’ speculation. Presently, vacant sites are taxed nominally as part of property tax.
Betterment Fee: It is levied under KTCP Act whenever there is change of land
use, or development taxes place on the land which can yield a better income to the
owner.
Impact Fee: It is levied to finance additional city level services.
Valorisation charges: They are levied to recover specific project costs.
Housing Policy: The Government of India (Ministry of Housing and Poverty
Alleviation) came out with a National Urban Housing and Habitat Policy in 2007.
58
Urban Development Policy
According to the policy document, 99 percent of the housing shortage of 24.7
million at the end of X Five Year Plan in India pertained to EWS and LIG groups.
6.12
The national policy goal is “Affordable Housing for All” The main features of the
policy are:
a)
Increasing supply of land for EWS/ LIG categories- earmark 10-15% of
land in every public / private housing project.
b)
Optimum utilization of land by providing spatial incentives like
relaxation of FAR (20-25%) for weaker sections, issuance of TDR for
clearance of transport corridors and availability of FAR in outer zones.
c)
Using technology for modernizing the housing sector; put in place
concept of ‘green’ and ‘intelligent’ building.
d)
Removing legal, financial and administrative barriers to facilitate access
to tenure, land finance and technology.
e)
Promote public-private partnership in housing projects.
f)
Use regional planning approach and develop green field townships.
N
Karnataka should prepare a State Urban Housing Policy and an Action Plan for
which Central Government assistance will be available.
59
Urban Development Policy
Urban Poverty Alleviation
7.1
Nearly a third of the urban population of Karnataka living in poverty is
unacceptable and reflects the glaring contradictions in our society. It is obvious
that the response to the problem of urban poverty so far has been indifferent and
half-hearted. The government needs to adopt a proactive and imaginative policy
in understanding and addressing the problems of the urban poor.
7.2
Who are the urban poor? The Government of Karnataka has adopted the norm of
income limit to define the poor / EWS which is Rs. 11,800 per annum. However,
urban poverty manifests itself in various forms such as:
Proliferation of slums
•
Fast growth of an informal sector
•
Increasing casualisation and underdevelopment of labour and crushing
pressure on civic services
•
High rate of educational deprivation and health contingencies retarding
growth of physical and mental capacities, growing sense of hopelessness,
rising crime rates and group violence.
7.3
The poor data on the subject makes the task of finding solutions more
complicated. It is therefore essential to begin with an assessment of poverty in the
urban areas of the State. We may adopt the method of Participatory Poverty
Assessment (PPA) which seeks to strengthen poverty assessment processes
through:
i)
stakeholder involvement and thereby increase in achieving
legitimacy for anti- poverty strategies
60
Urban Development Policy
ii)
enriching the analysis and understanding of poverty by including
the perspective of the poor
iii)
providing a diverse range of valuable information on a cost
effective, rapid and timely basis
7.4
After an assessment of the poverty situation in the State, an Action Plan for
Poverty Reduction must be prepared, focusing on the following areas.
1) Shelter related programmes
2) Employment generation
3) Education and Health
4) Community participation
Insecurity of tenure, low level of water availability, poor sanitation and lack of
housing space are the main shelter related issues. The shelter programme should
therefore be designed in such a way that it ensures the poor access to these basic
requirements.
7.5
The fundamental problem of the poor is their inability to procure land and shelter
through market transaction. Under JNNURM, one of the optional reforms is
earmarking at least 20-25% of developed land in all housing projects (public and
private agencies) for EWS / LIG category with a system of cross-subsidization. In
Karnataka, the Urban Development Authorities have a policy of earmarking 30%
of the sites in any layout for the urban poor. Keeping in view the high urban land
prices as well as the difficulty of procuring land, the government must discontinue
the practice of allotting the individual sites and go in for Group Housing
programmes. In the case of slums, the policy should be in-situ development to the
extent possible, and in respect of slums in locations which are untenable (for
example, along storm water drains) re-location can be resorted to.
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7.6
Public-Private-Partnership programmes have been under consideration for the
past few years, but has not taken concrete shape. So far as providing shelter to the
urban poor is concerned, efforts of some NGOs such as AV AS in Bangalore have
yielded very good results. Government should actively encourage NGOs and
CBOs in providing shelter to the poor through stakeholders’ participation. A
World Bank study on housing policies in developing counties has found that
community organizations do a better job of targeting funding to the needy
households than the government.
7.7
Programmes launched by the Government such as SEPUP (Self Employment
Programme for the Urban Poor) and SJSRY have yielded mixed results. The
reach of the programmes is limited and there is lack of convergence of the
programmes implemented by several departments. The focus should be on
training and skill development which will enable the poor to not only find
employment but increase their productivity and earnings.
7.8
Education and health facilities especially for females should be an important part
of any poverty alleviation programme. Social security cover needs to be provided
for those who are unable to participate in the employment programmes.
7.9
Apart from the municipalities, a number of other government departments and
agencies are involved in poverty alleviation programme. It is therefore essential to
put in place an institutional arrangement to ensure: (a) convergence of
programmes , and (b)coordination of activities.
7.10
In the larger cities, the Municipal Corporation should act as the nodal agency for
all urban poverty alleviation programmes. A special cell must be created in each
Corporation headed by a full time officer who would be responsible for
implementation of all programmes relating to the urban poor. In other
Municipalities, a similar cell must be set up under the chairmanship of the CEO,
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Urban Development Policy
Zilla Panchayath who is also responsible for the implementation of the District
Development Plan.
*
7.11
It is also necessary to effect legislative changes which will recognize tenurial
rights for shelter and workspace to facilitate non formal or informal sector
activities in urban areas. Procedures for granting titles for lands and approvals for
construction need to be simplified.
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Urban Infrastructure Services
*
8.1
Provision of infrastructure services is fundamental to economic growth and urban
development. Urban infrastructure covers the following:
a) Water supply for drinking, industrial, commercial and public uses
b) Sewerage and drainage
c) Solid Waste Management
d) Road Infrastructure
e) Urban Transport
0 Power / Energy
Water Supply
8.2
The Government of Karnataka came out with an Urban Drinking Water and
Sanitation Policy (UDWSP) in 2002. The main objectives of the policy are to
ensure demand based universal coverage of water supply, commercial and
economical sustainability of the operations and a minimum level of service to all
citizens. The basic features of the policy are :
1. ULBs will be responsible for water supply and sewerage services from
water catchment to waste water treatment. However, ULBs will have the
choice of providing the service directly through public bodies or private
sector participation arrangements.
2. The KUWS&DB and BWSSB will be responsible for capacity creation and
augmentation in all ULBs and for O&M in selected ULBs. The role of these
two Boards will be suitably re-structured.
3. An appropriate mechanism will be established to recover the full cost of
providing service from the users of water. However, subsidies will continue
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l
for the extremely poor. Tariff will be structured such as to disincentivize the
excessive consumption and wastage of water.
4. Capital investments will be based on principle of optimal utilization of water
and financial resources and the returns on investment encourage private
sector participation in gradual manner.
The government will have the responsibility of regulation, monitoring and
evaluation of the efficiency of the operations.
8.3
The above policy statement, is yet to be followed up by implementation. A
number of water supply projects have been taken up to augment water supply but
deficiencies continue in the form of inability to provide water as per the
prescribed norms, inefficiency in distribution systems, serious water losses,
commercially non-viable water supply systems and lack of coordination between
different agencies. The average number of hours of water supply per day has
actually declined- from 9 hours in 2003 to 7 hours in 2006 in Municipal
Corporations, (excluding Bangalore) and from 10 to 7 hours in Town Panchayats.
8.4
Water is a critical resource and will simply be the most limiting factor, if not
made available in right quantity, to urban development. Considering the existing
shortage of water supply to the urban areas in the state and the enormous cost and
problems associated with the augmentation of water supply, the following issues
become relevant:
Conservation of the water resources of the State
•
Adoption of alternative methods of augmenting supply
•
Reducing water losses / UFW
•
Pricing of water
•
Scope for private sector participation
•
Institutional framework
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Urban Development Policy
I
8.5
Conservation of water resources is an area that needs to be co-ordinated with the
Water Resources Departments and Zilla Panchayaths who have a major role to
play in protection and rejuvenation of tanks and other surface water sources.
ULBs must take up alternative methods of augmenting water supply such as rain
water harvesting and recharging ground water. A time bound programme must be
chalked out to reduce water loss or UFW which is of the order of 30-40%, the
ultimate aim should be to reduce UFW to 10-15%.
8.6
The KUIDFC has come out with a proposal to set up a State Urban Water Supply
Council (SUWSC), which would oversee the water supply and sewerage
operations of the ULBs, provide technical assistance to ULBs and act as an
advisor to the government. It is also envisaged that the Council will play a co
ordinating role between ULBs and the Water Boards and also perform regulatory
functions. It would not be proper for the same body to combine the functions of
oversight, monitoring and coordination as well as regulation. It would be more
appropriate to set up a regulatory authority rather than a council. The KUWS&DB
should be equipped with sufficient technical capacity to guide the ULBs.
8.7
The question of private sector participation must be approached with caution.
There are apprehensions in the minds of the people about the role of the private
sector in the management of public water supply systems. The World Bank aided
project under implementation in the cities of Belgaum, Gulbarga and Hubli-
Dharwad, experimenting with private sector participation on a pilot basis should
be carefully studied and further steps taken in involving the private sector. People
must be made aware of the distinction between privatization and private sector
participation where the ULB will continue as the owner of the project and carries
the responsibility to provide water supply.
8.8
The overall objective must be to improve the efficiency of the supply and
distribution systems, reduce water losses and aim for 24/7 supply in the long run.
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Urban Development Policy
Sanitation
Traditionally, sanitation refers to the waste management of human excreta but in a
8.9
broader sense, it is associated with public health and environmental impacts. It,
therefore, includes waste management -solid waste, industrial and hazardous
waste, drainage and the management of drinking water supply. The Ministry of
Urban Development, GOI brought out a National Sanitation Policy in 2008. The
vision for urban sanitation in India is set forth thus:
“All Indian cities and towns become totally sanitized, healthy and livable and
•ensure and sustain good public health and environmental outcomes for all their
citizens with a special focus on hygienic and affordable sanitation facilities for the
urban poor and women”.
8.10
In order to achieve the above vision, the following key policy issues need to
addressed:
8.11
(1)
Public awareness
(2)
Social and environmental aspects of sanitation
(3)
Fragmented institutional roles and responsibilities.
(4)
Lack of integrated city wide approach
(5)
Limited technology choices
(6)
Reaching un-served and poor
(7)
Lack of demand responsiveness
In Karnataka, policy needs to focus on the following:
(1) provision of toilets to all of the house holds in urban areas without toilet facility.
I
Special attention must be paid to districts with very poor coverage such as Gadag,
Bagalkote, Koppal, Raichur and Bijapur. A target date must be fixed for 100%
coverage.
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Urban Development Policy
(2) extension of sewerage facilities - Building of sewerage systems is capital
intensive. As such, it may be confined to the large cities and low cost sanitation
facilities may be provided in the smaller towns. The Centrally sponsored scheme
of Integrated Low Cost Sanitation which provides subsidy from Central
Government to the extent of 75% should be fully availed.
(3) sewage Treatment Plants must be established wherever sewerage facilities are
being provided. At present, sewage treatment plants have been set up in 46 cities
in the state, but only 29 are functioning.
(4) recycling and re use of treated waste water for non potable purposes.
A State Sanitation Strategy may be prepared covering all aspects pertaining to
sanitation and a City Sanitation Plan may be prepared for every city and town. The
municipality should be responsible to monitor the implementation of the plan.
Solid Waste Management
8.12
Solid Waste Management is one of the most basic functions of every municipal
body. The unclean state of our cities is a sad reflection of the inability of ULBs to
provide basic services. A number of Committees have been set up to address this
issue and the matter even went up to Supreme Court which gave directions to GOI
to take steps to implement the recommendations of these committees. GOI issued
Municipal Solid Waste Management Rules 2000 laying down new procedures for
collection, segregation, storage, transportation, processing and disposal of waste.
The standards prescribed in the Rules have not so far been fulfilled by any city.
8.13
Karnataka has formulated a policy on Integrated Solid Waste Management in
2000. The objectives of the policy are the following:
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Urban Development Policy
(a)
providing directions for carrying out waste management activities in a
manner which is not just environmentally, socially and financially
sustainable but is also economically viable;
(b)
establishing an integrated and self contained operating system
for
Municipal Solid Waste Management (MSWM) which would include
the development of appropriate means and technologies to handle
various waste management activities.
(c)
enhancing the ability of the ULBs to provide waste management
services to their citizens.
The principles to guide the future approach of MSWM procedures relating to
collection, transportation and treatment of waste have been spelt out.
It is
necessary to lay down timelines to implement the plan. Emphasis shall be placed
on promoting awareness about the importance of waste management from the
point of view of health and environment.
Urban Transport
8.14
Transport policy is central to sustainable development as it has an impact on the
structure of human settlements.
Traffic demand will only increase in future
because of the population and economic growth.
Urban transport should be
examined in the inter city and intra-city contexts.
8.15
The large size of Karnataka state and the location of the capital in the southern
part of the state underscores the importance of rapid connectivity between urban
centers. The economic development of the state is intimately related to upgrading
the transport facilities across the state. The transport strategy must include
(a) promoting multimodal transport facilities between cities - by road , rail and
air.
(b) upgrading transport infrastructure
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Urban DevelojiAnt Policy
8.16
In respect of inter-city transport, it is essential to adopt a co-ordinated approach as
a number of agencies are involved viz., the National Highways, State Public
Works Department, State Road Development Corporation, Railways and Civil
Aviation authorities. The basic objective must be to reduce travel time between
cities. This can be achieved by providing excellent quality of roads, high speed
trains, and linking the state capital to all major cities and district head quarters of
the state by air.
While Bangalore has an international airport, the airport
infrastructure in Mysore, Hubli-Dharwad, and Belgaum should be upgraded to
national standards. The expansion of Mangalore airport needs to be speeded up.
8.17
Transportation services in a region often account for decisions relating to location
of industries, townships and other commercial projects. Transportation planning
can therefore be used as an instrument to regulate migration to large cities. It is
suggested that potential commuter sheds (in a raidus of 50-60 kms) be established
which can optimize travel and help in regional development.
The regional
transportation corridors already noted (Bangalore to Belgaum etc) must be
supplemented by regional transportation services. As the National Commission
Urbanization noted, “the solution to urban transportation lies in developing the
regional transportation services, optimal placement of activities in commuter
sheds,
integration
of inter urban
transportation services
with
regional
transportation services”.
8.18
In respect of intra-city transport, the approach would depend on the size of the
city. Bangalore which has grown enormously in size and population is witnessing
massive investments for improvement of its road infrastructure and building the
metro rail transit system. Mass rail transportation is suitable only for large metros
and there is no need to introduce such a system in any other city in the state. With
regard to Hubli -Dharwad, a fast rail shuttle should be introduced between Hubli
and Dharwad (covering 18 Kms) by the Railways. If need be, an additional rail
track must be built which will serve as suburban rail between Hubli and Dharwad.
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8.19
Some other issues which need attention in respect of urban transport have been
spelt out in the National Urban Transport Policy the following issues are
mentioned in particular:
(1)
integrated land use and transport planning
(2)
priority to use of public transport
(3)
financing and pricing of public transport
(4)
priority to
non motorized transport and discouraging use of
personal motors vehicles
(5)
8.20
Parking
The overall objective of the transport policy is to ensure safe, affordable, quick,
comfortable, reliable and sustainable access for the growing number of city
residents to jobs, education and recreation.
8.21
The Government of Karnataka has set up a Directorate of Urban Transport to plan
and co-ordinate transportation services in all the cities in the State. It should
initiate preparation of city level transportation plans. For Bangalore, a separate
Metropolitan Land Transport Authority has been set up with Chief Secretary as
Chairman. The BMLTA should be made a statutory body with powers to enforce
its decisions.
8.22
Decentralized Utilities
For Public utility services (energy, water supply,
sewerage, etc.) the shortfall in availability on adequate inputs can be partially
addressed by encouraging consumers themselves to generate and use these
locally. This is not only economically advantageous (since it would avoid
transmission losses and other wastage substantially), it will also lessen the state’s
burden in providing these utilities to consumers. Further, it may even be permitted
for those who (generate power / harvest water/manage sewerage through self
managed STPs) to allow their surplus capacity to be made available to the public
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service grid (for power, water and sewerage respectively), and financially
compensated for this, as is the case for existing producers of these inputs.
8.23
Karnataka Urban Renewal Mission (KURM): With the Jawaharlal Nehru National
Urban Renewal Mission, there is now a lot of money being invested in
infrastructure and other improvements in the large cities and towns, but there is
little attention on the smaller cities and towns not withstanding UIDSMT. To over
come this imbalance, there is a need for a Karnataka Urban Renewal Mission,
along the lines of JnNurm, but specifically focused on the municipalities that are
not covered by the national mission. In these smaller towns too, a dedicated
programme of legislative, administrative, financial and other reforms must be
taken up so that their growth similar to that of the larger cities. This alternatives
for those seeking to migrate to big cities.
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Urban Development Policy
Environmental Sustainability
9.1
Sustainable urban development is not a choice but a necessity if cities are to meet
the needs of their citizens (United Nations 2007).
9.2
Some of the most critical problems facing our cities concern the health impacts of
urban pollution generated by inadequate water, sanitation, drainage, poor waste
management and air pollution. This set of problems known as the ‘Brown
Agenda’ combined with what are called the ‘Green Issues’ such as depletion of
water and forest resources, upgradation of environmentally fragile lands,
occupation of areas prone to flooding, landslides etc. and the carbon emissions
from energy use, heating, industry and transport now known as ‘Climate Change
Issues’ all pose serious challenges to the health of the eco system of a city and its
people. To tackle these issues, an Urban Environmental Management Action Plan
must be formulated. A city specific plan would be required for large cities such
as Bangalore, Hubli-Dharwad, Mysore and Mangalore and a common strategy can
be evolved for other towns and smaller cities in the State. The major components
of the action plan could be the following:
i)
Conservation of water resources: The objective should be to reduce
the
demand for fresh water.
rain water
ii)
Conservation measures such as
harvesting should be made mandatory.
Waste Water Management: The recycling and re-use of waste water
should be encouraged in cities which generate substantial quantities
of sewerage and sullage. Decentralized waste water treatment plants
must be set up at appropriate places.
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Urban Development Policy
Hi)
Controlling Air pollution: Air quality monitoring systems must be
set up to measure various pollutants like particulates carbon dioxide,
carbon monoxide etc Controlling air pollution depend upon factors
such as density of vehicular traffic and emission from industries. The
Prevention of Air Pollution Act will have to be enforced strictly.
iv)
Energy Conservation:
Cities consume enormous quantities of
energy. In view of the shortage of electrical power, it is imperative
to promote the use of renewable energy such as solar and wind
power and other energy efficiency measures. Urban design will have
to take into account the efficient use of energy and promote green
buildings.
Urban Conservation and Built Heritage
9.3
Urban conservation has been defined as follows:
“Urban conservation seeks to retain that part of the urban environment whose
character is improvement of national or local heritage. It also seeks to enhance the
environmental character by ensuring that the siting and the design of any new
development is complementary to it”. We have several towns and cities in Karnataka
with precious heritage which needs to be protected. This heritage may be in the form
of:
•
Buildings or places of architectural, historical or cultural importance.
•
Unique temples, mosques, and other monuments
•
Designed environments such as Rulssel Market or City Market in Bangalore,
Connought Place in Delhi etc.
•
Water front areas: lakes, rivers or sea.
•
Centers of recreation and tourism -natural or man made
Other items may be added depending on their significance to heritage.
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Urban Development Policy
9.4
It is necessary to enact a law to ensure the protection of heritage. Bangalore city
had an Urban Art Commission which was unfortunately wound up a few years
back. An Urban Art Commission or a Heritage Commission should be set up, one
each, exclusively for Bangalore and Mysore and another for the State as a whole
through legislation with statutory powers to carry out urban conservation
effectively. This should be followed up by
i)
provision of adequate funds for carrying out the activities of the
Commission and
ii)
amendments to the Town and Country Planning Act and the Municipal
Acts in order to conserve the private buildings which have a heritage
value. Urban conservation should be regarded as an integral part of the
urban planning process and suitable changes incorporated in the master
plan and building regulations.
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Urban Development Policy
Democratic Urban Governance
Democratic Framework
10.1
The passage of 74th CAA has provided new opportunities for urban governance
reforms in the country. The municipal bodies have for the first time been provided
the constitutional status of the third tier of government. They have been vested
with increased responsibilities as a result of the devolution of 18 functions
through the 12th schedule to the Constitution. Clearly, the intention of the
Constitution is to provide a democratic structure of governance at the local level.
10.2
Local democracy is based on the principle of subsidiarity i.e., functions which are
local in nature should be performed by the local government. Thus, public health,
water supply, sanitation, public works, public safety, welfare, recreation and
regulation of construction, food and trade activities all come within the domain of
the local bodies^. Besides these traditional core functions of municipalities, the
Constitution has included certain other functions like planning for economic
development and social justice, urban poverty alleviation, and urban and town
planning. However, while recognizing local governments and providing a list of
functions which could be performed by them, the Constitution does not directly
endow (jnem with any functions, responsibilities and powers. They derive their
powers and functions from the States through specific legislation. Thus, in
practice, it is the state governments which determine the degree of autonomy of
the local bodies.
10.3
The reality of urban governance in Karnataka and in India general, in the context
of a local government, stands in contrast to the philosophy of the Constitution.
The colonial authoritarian structure of city governance continues to this day with
resistance to sharing political power with local urban institutions. We, therefore,
find a scenario where apart from urban local bodies, there is a host of parastatal
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and departmental agencies dealing with urban services. This is particularly so in
metropolitan cities where there are separate government agencies dealing with
water supply and sewerage, transport, land and infrastructure development etc.
State level institutions such as the Karnataka Urban Water Supply and Drainage
Board, Karnataka Slum Clearance Board, Bangalore Water Supply and sewerage
Board and Bangalore Development Authority, discharge some of the municipal
functions. Even in the fiscal domain, the municipalities have very limited access
to powers of taxation.
10.4
The argument for the state government or its agencies excercising some of what
are generally municipal functions is that urban development requires depoliticized
responses. The parastatals which enjoy greater functional autonomy than
municipalities are said to be in a better position in terms of managerial efficiency
and technical capacity to perform development functions. These arguments may
appear valid only because the municipalities lack the autonomy to manage their
affairs but if we are wedded to the policy of democratic governance, and
decentralization, the answer actually lies in the empowerment of the urban local
bodies which calls for redesigning of the local political institutions.
New Institutional Arrangements
10.5
The image of local government is equally characterized by democracy and
efficiency. This should be the guiding principle. The elected representatives
formulate the policy and set the targets.
The administration’s task is to support
the elected representatives in this endeavour and reach the defined targets without
detailed political supervision.
10.6
The present system of separation of powers between the deliberative wing (the
Council) and the executive wing (the Commissioner and his staff) must be
replaced by a system where political responsibility and accountability go together.
This is possible only if the executive powers are vested in the elected
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representatives. The first requirement in a democratic society is that government,
whether central or local, should be accountable to the electorate.A non-elected
individual, no matter how dedicated he may be, can not pass the acid test of
accountability.
10.7
In order to strengthen the democratic structure of urban local governance, new
institutional arrangements are imperative.
10.8
The following alternative proposals can be considered:
i)
Directly elected Mayoral system:
The Mayor or the President of the
Municipality is directly elected by the people of the city or town for a period of 5
years (or 4 years) and vested with executive powers.
The Mayor/ President will
constitute a Committee of not more than ten members or 10% of the strength of the
council whichever is less. This Committee will function as a cabinet at the city
level and each member of the Committee will be entrusted with specific subjects or
portfolios by the Mayor/ President. Rules will have to be framed defining powers
to be exercised by the Mayor / President, the Committee and the individual
members. The Commissioner or the Chief Officer will be the Chief Administrative
Officer of the municipality and will exercise powers as defined under the Act and
the Rules. He shall be appointed by the Mayor after a procedure of selection from
amongst suitable candidates whose qualification shall be prescribed under the
rules.
ii)
Mayor-in-Council System: Under this model adopted by the Kolkota Municipal
Corporation, the Mayor is indirectly elected i.e., he is elected by the Council from
amongst the elected Councilors, as is the present practice in Karnataka. However,
the Mayor will have a term of 5 years and will be the chief executive of the
corporation. The Mayor appoints the members to what is known as Mayor-inCouncil which functions as a Cabinet.
The Commissioner is the Principal
Administrative Officer and is responsible to the Mayor.
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Urban Development Policy
10.9
The system of directly elected Mayor is preferable as it helps to build city
leadership. Many of the liberal democracies in the world have directly elected
Mayor who plays the role of not just a city father but of a city leader.
10.10 The primary objective of any model of local government should be (i) effective
delivery of public services and (ii) ensuring public accountability. Administrative
efficiency alone can not be the criterion of good urban governance, political.
participation is equally important. Lord Ripon who laid ths foundation of local ,
government in India observed, “It is not primarily with a view to improvement in
administration that this measure is put forward and supported. It is chiefly
desirable as an instrument of political and popular education” (Ripon Resolution
1930)
Ward Committees
10.11 In large cities, powers and functions need to be further decentralized to the gross
root level. Article - of the Constitution provides for the constitution of ward
committees in larger municipal areas. It is proposed that Ward Committees may
be constituted in all cities in the State with a population of over one lakh. There
can be one ward committee for a population ranging from 10,000 to 30,000 based
on the total population size. The number of members per ward committee should
not exceed 10 excluding the ward councillor who shall be the Chariman of the
committee. All the other members of the committee will also be directly elected
by the people.
Neighbourhood Area Committee (NAC)
10.12 In towns where there are no Ward Committees, Neighbourhood Area
Committee(NAC) may be constituted for a population not exceeding 3000 (in
Bangalore, it may extend upto 5000). People of the Neighbourhood may directly
elect members of the NAC including a Convenor. NACs can be encouraged even
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Urban Development Policy
in cities with Ward Committees,in which case,the convenor can be member of the
Ward Committee.
Functions of Municipalities
10.13 With continuous growth of urban population, the scope of urban governance has
broadened as cities are faced with the challenges of not only providing basic civic
services but dealing urban infrastructure development. The 12th schedule to the
Constitution includes not only the core local functions to be performed by the
ULBs but planning and development functions which encroach on the territory of
the State Government. Clarification of functional responsibilities is therefore a
pre-requisite for an efficient local government.
The delineation of the functions should be followed by providing the necessary
financial autonomy and administrative autonomy through delegation of powers.
The extent of autonomy or delegation may vary depending on the size of the city.
The role of parastatal organizations with respect to different classes of cities
should also be clearly defined.
Taking into consideration the political,
administrative and financial capabilities of the three classes of ULBs, we may
adopt a policy of decentralising functions listed in the 12th schedule over a phased
period and simultaneously build capacities of these institutions to take on greater
responsibilities. The ultimate goal should be to reduce the role of the State
Government and the parastatal organizations and enable the ULBs to emerge as
units of self government.
Role of parastatals
10.14 Development authorities for urban areas in the state are constituted under the
Karnataka Urban Development Authorities Act. There are at present 28 Urban
Development Authorities (UDAs) and 25 Town Planning Authorities besides 45
Municipal Planning Authorities. A review of the performance of the UDAs in the
state reveals that 5 of them viz., Gadag, Haveri, Udupi, Chamarajanagar and
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Madikeri have not executed any town planning scheme so far. Six UDAs viz.,
Kolar, KGF, Tumkur, Davanagere, Mandya and Chitradurga have implemented
the scheme in a somewhat satisfactory manner, while the performance of the
remaining UDAs can only be termed poor. Many of the schemes taken up by
UDAs are not demand based with the result that the plots allotted remain vacant
for long. Moreover, the required infrastructure and services are not provided even
after sites are allotted. It is also observed many schemes have been executed in
violation of the Master Plan. On the whole, the UDAs have not achieved the
purpose for which they have been set up. They suffer from lack of resources as
well as technical and administrative capacities.
10.15 According to the 74th CAA, ULBs should be entrusted with the planning function.
It is only appropriate that the elected civic body which has been mandated to
provide civic services is also given the responsibility for planning and regulating
the development of the city. It is, therefore, suggested that the UDAs and Local
Planning Authorities where they exist may be abolished. The jurisdiction of the
municipalities may be extended to cover the peripheral areas developed by UDAs,
after proper scrutiny. In any case, the District Planning Committee is expected to
integrate the urban and rural plans. As such, every urban area should become part
of the district planning process. This would imply that all ULBs in the state are
assigned urban and town planning functions. They will prepare the Master Plan
for the city or town and enforce the zoning regulations as also the city
development plan for providing necessary infrastructure services. It is advisable
to have a single integrated plan incorporating the land use plan and the
development plan for the city. It is equally important to develop the capacities of
the ULBs in urban planning by appointing trained professions.
Personnel Policy (HRD)
10.16 Effective delivery of civic services demands greater professionalism and
accountability in urban management. The present policy and rules relating to
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municipal or Government personnel are not conducive to developing professional
competence and accountability.
It is, therefore, necessary to amend the
recruitment rules to enable municipalities to attract, motivate and retain qualified
personnel. The rules should provide for inducting professionals in the areas of
urban planning, traffic and transportation engineering, sanitary engineering,
municipal financing etc.
Postings and transfers need to be rationalized.
The frequent changes of
Commissioners of Municipalities will have on adverse effect on the organization.
A minimum tenure of three years should be provided to the Chief executives of
Municipalities.
The recruitment boards should provide for appointments of
professionals and specialists from the open market or by deputation of suitable
persons from State/ Central or even private sector organizations. Specialists can
also be appointed on contract basis.
Management of a city, particularly larger cities is becoming increasingly complex
and sets it apart from the normal programmes of a State Government or other
sectors Urban local governance demands responsiveness to civic services
concerning daily necessities of water, sanitation, power and transport.
Management of these tasks involves detailed planning, raising of resources,
project implementation and organization of maintenance. At the same time, the
city managers need an understanding of the dynamics of demography, change in
land use patterns and the evolving social and economic demands of the city.
There are also elements of regulations, licensing and law enforcement. Thus, the
personnel required to perform multifarious tasks of the scope and quality that the
citizens demand must be of good caliber.
Capacity Building
10.17 A well conceived decentralized process should include the strengthening of
capabilities of local government. In fact, the ‘weakness’ of local governments is
being used as an excuse to retain powers with the State Government.
It is,
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Urban Development Policy
therefore, the responsibility of the State Government to assist the ULBs to
s
improve the institutional capabilities through programmes of capacity building.
A programme of municipal development could be devised based on different
requirements of the municipal bodies in the State. The programme could cover
the following areas:
•
Solid Waste Management
•
Land use planning capacity
•
Community participation and NGO/ CBO development
•
Public awareness and education
•
Operation and maintenance
•
Baseline for environmental monitoring by the municipal authorities
•
Personnel policy and regulations
•
Municipal Finance Management
It is extremely important to strengthen the Town Planning Department
is the nodal agency to supply town planners to several ULBs and
other
which
urban
organizations in the State. It would also provide technical
guidance to ULBs. At
the State level it should be involved in preparing
level
state
and
regional
spatial plans.
Capacity Building can be of two types: (i) Institutional Training and (ii) Systems
Improvement within the organization. The State Institute of Urban Development
in Mysore provides training facilities but are mostly confined to the middle level
management. It would be useful to set up a separate Institute for Urban Planning
and Management in Bangalore that acts as a centre for training and research in the
urban sector. The Institute can also undertake preparation of basic documents
such as survey and mapping of the utilities, roads, storm water drains etc and
develop new tools for efficient urban management, such as GIS, GPS and other
computer based applications.
83
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Urban Development Policy
Participatory City Governance
10.18 Although we have adopted the system of representative democracy, there is
growing aspiration among the citizens for participation in city governance. NGOs
and CBOs have proved to be effective co-partners in many areas of urban services
contributing to a people’s perspective on plans developed by the official
machinery as well as in specific areas. For instance, NGOs in Bangalore have
taken active part in slum redevelopment; Residents Welfare Association have
participated in solid waste management, and some professional groups have
reacted to the provisions of the Master Plan and offered their suggestions.
It
would, therefore, be important for Government and local bodies to respond
adequately to public opinion and build consensus on key issues of development.
10.19 Promoting a culture of transparency and openness would help building public
confidence and also improve the level of accountability and responsiveness.
10.20 The Right to Information Act is a legal tool available to the public to seek
information from any government organization. One of the reforms suggested
under JNNURM is enactment of a law for public disclosure of information.
An
irhportant provision (hardly noticed) relating to access to information is contained
iarRule-I (2 and 3 of schedule Taxation rules) of the Karnataka Municipal
Corporations act 1976.
Under this rule, the assessment books and particulars
relating to any assessments shall be open at all reasonable times and without
charge to inspection by any person who pays any tax to the Corporation or its
authorized agent.
Apart from legal provisions, the institution of the Ward
Committee should be recognized as a key element in ensuring public satisfaction
with the services provided by a Municipality at the grass root level. It is also
important to promote the spirit of neighbourhood which is fast disappearing in
cities. Neighbourhood Area Committee can play a useful role in voicing the
needs of their areas. Participatory Budgeting, Social Audit of public projects and
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Urban Development Policy
public consultation on key issues are other means of promoting transparency and
public participation.
Citizen Participation in Neighbourhood Improvement
10.21 In many cities and towns, there is a healthy tradition of people coming together
(often under the aegis of housing or commercial associations) to seek
improvements in their areas. However, these efforts now taken place without a
framework of policy support, and are therefore ad-hoc. Instead, we must put in
place a formal governance mechanism by which a variety of responsibilities
(municipal services, security, education, health, etc.) can be augment by private
citizens working in collaboration with government departments.
Such arrangements must also allow financial participation on a voluntary basis
by the residents themselves, and formal managerial control over
localissues
like
traffic, parking, cleanliness, etc. This will allow the municipalities to focus their own
resources on the most needy parts of the
have high flexibility than city-
city / town. Citizen-led initiatives also often
wide programs, and can be more focused on local
issues in each neighbourhood as a result. The state must actively encourage such
arrangements to seed and foster Neighbourhood Improvement Programs.
Legal Framework
10.22 There is a multiplicity of laws governing the urban areas in the state. These laws
may be classifieds as follows:
Planning Legislation:
1. The Karnataka Town and Country Planning Act, 1961
2. Bangalore Development Authority Act, 1976
3. Bangalore Metropolitan Region Development Authority Act, 1985
4. Karnataka Urban Development Authorities Act, 1987
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Urban Development Policy
Municipal Legislation:
1. The Karnataka Municipalities Act, 1964
2. The Karnataka Municipal Corporation Act ,1976
Development Legislation:
1. The Karnataka Industrial Area Development Act, 1966
2. The Karnataka Housing Board Act ,1962
3. The Karnataka Urban Water Supply and Drainage Board Act, 1973
4. The Karnataka Slum Area (Improvement) and Clearance Act, 1970
5. Land Acquisition Act, 1894.
Regulatory Legislation :
1. The Karnataka Land Reforms Act, 1964
2. The Karnataka Land Revenue Act, 1964
3. Karnataka Registration Act
Apart from the Acts, there are rules and by-laws regulating various activities in
urban areas.
10.23 Many of the laws have become outdated and need to be revised. The Karnataka
Town and Country Planning Act hardly deals with country planning. There are
also overlapping and conflicting provisions in various Acts. For example, both
BDA and BMRDA are designated as coordinating authorities in their respective
Acts, in practice neither of them performs the functions of coordination. The
Karnataka Land Revenue Act and Land Reforms Act contain obsolete provisions
relating to conversion and transfer of land which were perhaps relevant 30-40
years ago.
The rapid growth of urbanization and industrialization in the state over the last
three decades have brought about economic and social changes which call for
corresponding changes in the laws of the State. It is, therefore, essential to revisit
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Urban Development Policy
all the laws impinging on urban development and evolve a new legal framework
which will address the present and future demands of urban development. The
following suggestions are made in this regard:
1.
The Karnataka Town And Country Planning Act must be replaced by the
Karnataka Urban and Regional Planning and Development Act which will
address the planning needs of towns, cities and regions and provide an
integrated approach to urban development. This Act should provide for
setting up Metropolitan Planning Committee and District Planning
Committee. It should also contain provisions relating to land use and
development, land acquisition, assembly and disposal. Innovative methods
of land acquisition such as land pooling, land sharing with farmers and land
owners, TDRs private sector participation in land development should also
find a place.
2.
The Karnataka Urban Development Authorities Act may be repealed.The
provision relating to conversion of agricultural land for non-agricultural
purposes in the Karnataka Land Revenue Act should not be applicable to
people whose agricultural land comes in urban or metropolitan areas. The
use of land in urban areas is governed by the Master Plan and as such, the
rules relating to change of land use in the Town and Country Planning Act
(New Act) should apply.
3.
The transfer of agricultural land through sale, lease or mortgage requires
permissions of the Revenue Authorities under the Karnataka Land Reforms
Act. This restriction along with the provision relating to conversion of
agricultural land has contributed to enormous delays in land acquisition and
corruption and has acted as an impediment to rapid housing and urban
development. This restriction needs to be removed to facilitate smooth
transfer of agricultural land for urban uses.
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Urban Development Policy
4.
The Municipal Acts require thorough revision based on the new structure of
urban governance to be adopted. It is essential to have clarity of the
functional responsibilities of each authority.
The new municipal laws
should reflect the spirit of 74th Constitutional Amendment which aims to
make ULBs units of self government.
5.
Regulatory provisions relating to licensing and permission of buildings,
trading, industrial and commercial activities should be made simple and
oriented to the living needs of citizens and development needs of the city. It
is suggested that license or sanction for plans to construct residential
buildings in plot size of 40’X60’or less be done away with. The building
should, however, conform to provisions of building byelaws and the
architect concerned would be responsible for violations. A copy of the
building plan must be filed in the office building plan must be filed in the
office of the concerned engineer on time or physically.
6.
The legislative changes required for Bangalore Metropolitan region may be
made in accordance with the recommendations of the Expert Committee on
the Governance of Bangalore.
88
!
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Urban Development Policy
Financing Urban Development
Financial resources are required for the following activities:
11.1
i)
Provision of municipal services
ii)
Operation and Maintenance of assets(O&M)
iii)
Infrastructure Development
iv)
Debt Servicing
The ULBs in general are characterized by low municipal receipts leading to low
11.2
municipal expenditure and low level of municipal services. This can be explained
by low elasticity and buoyancy of local taxes, poor tax administration and lack of
financial autonomy for local governments. The trend in the growth of municipal
finances in Karnataka is shown below:
Municipal Finances, ULBs in Karnataka (in Rs lakhs)
R
siTl
Particulars
FY 02
Fy 03
FY 04
FY 05
FY06
No.
1
Revenues
66271.54
72034.32
67582.36
63195.96
89108.66
2
Expenses
68484.67
60957.56
60415.47
60443.21
80490.39
11.3
It is interesting to note that the expenditure of ULBs has remained lower than the
revenue. A similar trend is visible in respect of per capita income and
expenditure. Table 12 shows this is consistently true for all types of ULBs for the
period 2002-07. In other words, the capacities of the ULBs to spend is poor. The
III SFC has observed that in most cases ULBs are unable to spend their entire
revenue. In fact, the gap between per capita revenue and expenditure has been
increasing - from less than Rs. 100 during 2002-03 and 2003-04 to over Rs.200
during 2004-05 and 2005-06. For the year 2006-07, there is a huge difference of
Rs.701/- between per capita revenue of Rs. 1141 and per capita expenditure of
Rs.440. Bangalore’s per capita revenue and expenditure are one of the lowest in
the country.
11.4
The resource base of the ULBs is composed of:
Own revenue (tax and non-tax)
(1)
Government grants
(2)
User charges
(3)
External assistance (loans)
(4)
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Urban Development Policy
Devolution Framework
11.5
Under Article 243Y of the constitution, the State Finance commission is expected
to:
■
undertake a review of the finances of municipalities.
■
estimate the future financial requirements of municipalities.
■
design a package of: a) taxes, duties, tolls and fees that may be i) assigned to
municipalities and ii) shared between the state and municipalities, and (b)
grant-in-aid that may be extended to municipalities out of the consolidated
fund of the state.
■
suggest measures for strengthening the financing of municipalities.
The state’s devolution of revenue grants thus takes place through the institution
of the SFC. The framework of devolution suggested by the SFCs demarcated the
amount of state resources to be made available to the local governments and
applied a percentage share on that amount for devoluation to rural and urban
local bodies. According to the Government Order of April 12, 2006, based on the
recommendations of the II SFC, the share of ULBs in the State’s NLGORR* is
to be increased from 6% in 2005-06 to 8% in 2009-10. Government chose to
adopt the principle of NLNORR* instead of NLGORR recommended by II SFC.
Government Grants
11.6
An analysis of the revenue sources of ULBs carried out by III SFC shpws that
over 60 percent of their revenues comes from government grants, as shown in
Table 13.
The dependency ratio of City Corporations and City Municipal
Councils is less than 50% compared to Town Municipal Councils and Town
Panchayats where it is more than 50%.
11.7
An important recommendation of SFC pertains to earmarking of funds for what is
known as Global Protection and Global Provision. Global Protection includes
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Urban Development Policy
committed expenditure on payment of salaries and pension contribution to
municipal employees, shortages in repayment of loans and power sector dues.
Global provision includes items such as shortfalls in the ULB share for water
supply and sewerage projects, shortfall in externally aided projects, settlement of
arrears of cess and provision for incentivisation funds.
11.8
An assessment of the devolution process indicates that there are delays in
implementation of the recommendations of SFC leading to accumulation of
undevolved amounts to ULBs. The undevolved amount for 2007-08 stood at
Rs.525 crores. Secondly, the State’s policy of intervention to protect the interests
of ULBs by payment of municipal dues through SFC devolutions may be well
intentioned but it could act as a disincentive to improving their own revenues. It
is suggested that an Urban Finance Framework be developed in a manner that
ensures consistent support in the form of grants and at the same time link it to the
performance of ULBs.
Tax Revenue
11.9
Municipalities are empowered to levy taxes on i) buildings or lands or both
(property tax), ii) advertisements, iii) toll on vehicles other than those taxed under
Karnataka Motor Vehicles Taxation Act, 1957, and iv) water rate on water
supplied by the Municipalities. Property tax is the major source of tax revenue
for ULBs, an average of 53% of own revenues. The ARV system which was in
vogue in the state has been replaced by the Capital Value System. The new
system is more rational and has come to be accepted by all municipalities. It is,
however, necessary to take measures to improve tax administration in terms of
coverage of properties (a good percentage of properties escape taxation) and
collection efficiency. At the end of March 2009, arrears to the tune of Rs. 160
crores of property tax was outstanding, (excluding Bangalore) the average
collection percentage being 52. The performance of different classes of ULBs in
tax collection may be seen in Table 14.
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Urban Development Policy
11.10
The exemption granted to certain categories such as educational and charitable
institutions needs to be reviewed to ensure that the exemptions are genuine.
Properties belonging to State or Central government are exempted wherever they
are not used for residential or commercial purposes. There is no reason why
government properties should be exempted from taxation. At present, a number
of cesses or charges for other services are clubbed with property taxes. It stands
to reason that the property tax is delinked from other levies which should be based
on their own merit. Advertisement tax is a good source of revenue in larger cities
but has not been exploited adequately.
Pricing of services- Tariff Policy
11.11 A basic principle of local finance is, wherever possible, charge. Local taxes
should be viewed as a form of benefit tax or user charge for services provided at
the local level. In this premise, it is now being argued that services such as water
supply, sanitation and solid waste management should be priced on the basis of
the cost of provision. The aim is not just recovering the cost but to ensure that
under pricing does not lead to over consumption.
At the same time, it is
important to remember that it is the State’s responsibility to provide the minimum
level of basic services for all sections of the population irrespective of their status
and affordability. It must be borne in. mind that traditionally property tax has
been regarded as a general purpose tax to take care of the civic services to be
provided by the municipalities.
11.12 There is, no doubt, a need for rationalization of tariff on services like water
supply, sewerage and public transport considering the enormous increase in the
capital and O&M costs of providing them. It is desirable to set up a Regulatory
Authority for municipal services such as water supply, sewerage and public
transport. Its functions will include determination of tariff from time to time based
on rational criteria and giving due consideration to the principle of equity and
such other regulatory matters as government may decide. Government’s policy
should be based on the principle of full cost recovery and compensating the
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Urban Development Policy
service provider where the weaker sections are to be subsidized. To the extent
possible, price adjustments could be made through a system of cross-subsidy.
Shortfalls, if any should be made good by the Government through budgetary
provision. There can also be a case where Government desires to consciously
promote a cause such as public transport with a view to curb use of private
transport as a part of urban transport policy. Here again, Government should
compensate the losses to the Transport Corporation, if any, on account of a
deliberate pricing policy.
Correspondingly, it should be possible to adopt a
suitable parking policy in cities to mobilize revenues by levy parking charges.
Funding Capital Expenditure
11.13 Capital expenditure is usually met through budget provision and institutional
finance. Institutions such as HUDCO and multilateral agencies like ADB and
World Bank have been extending financial assistance to ULBs and other urban
development authorities to build infrastructure and housing. Alternative sources
of financing that can be tapped are:
Land as a resource Land is the most productive asset owned by Municipalities and
UDAs. They can increase their revenues through:
a)
Betterment levies, impact charges, development charges etc;
b) Transfer of Development Rights (TDR). In Bangalore, TDR has been
used to acquire land for the purpose of road widening;
C)
Parking fee can be a very good source of revenue in cities where the
number of vehicles on the streets is increasing.
d) Levy of a fee on tapping of ground water.
Access to capital markets: Cities like Bangalore, Hyderabad, Ahmedabad etc have
raised funds through municipal bonds. It is essential to enhance credit worthiness
of municipalities to raise funds from capital market.
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Urban Development Policy
Multilateral institutions like the World Bank, ADB and JBIG provide long term
debt with comfortable terms of repayment. Karnataka has been availing funds
from this source during the last 10-12 years.
Public-Private Partnership is being increasingly advocated for infrastructure
development in recent years. Karnataka Government has issued policy guidelines
on PPPs. Negotiating and operating PPPs require a professional approach and as
such ULBs and urban authorities should equip themselves adequately for the
implementation of PPP ventures.
Private sector participation in delivery of municipal services is seen as
contributing to efficiency and cost effectiveness. There are different options for
private sector operations such as service contract, management contract, lease,
concession and BOT/ BOO. Options must be exercised carefully depending on
the nature of the project and expected outcomes.
There is a view that business must be made to participate in the process of
creating new social assets in the city as social wealth is created over generations
and its exploitation for private profit without participation in its creation and
upkeep is not fair.
A system can be devised whereby businesses are given
exemptions or incentives when they create assets such as housing and
infrastructure.
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Urban Development Policy
Agenda for Action
1
Set up State Urbanization Commission Council (in place of State Town Planning
Board)
2
Constitute Metropolitan Planning Committee for Bangalore, Hubli-Dharwad,
Mysore
3
Reconstitute District Planning Committeess as per 74th CA
4
Prepare State Spatial Perspective Plan / Regional Development Plans
5
Reorganize ULB structure / Introduce new Mayoral System
6
Constitute Ward Committees in Class I cities (direct election)and Neighbourhood
Committees in all municipal areas
7
Devolve functions to ULBs as per XII Schedule over a phased period
8
Abolish Urban Development Authorities - vest planning powers in ULBs
9
Formulate Urban Land Policy - Set up a Committee to review Land Use
Regulations
10 Establish Karnataka Urban Renewal Mission (KURM) to focus on land /
infrastructure development in small medium cities
11 Amend Land Acquisitions Act, Karnataka Land Revenue Act, Reforms Acts-
simplify procedures for acquisition / purchase of land
12 Replace KTCP Act by Karnataka Urban and Regional Planning Act
13 Set up Urban Poverty Alleviation Authority Cell in ULBs - Revise KSCB Act
14 Restructure parastatal organizations - KUWS&DB,BWSSB,BDA,
BMRDA,KSICB
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Urban Development Policy
15 Set up Urban Services Regulatory Authority- clarify policy on cost recovery and
•»
subsidy (water , sewerage, transport)
16 Prepare City Mobility Plans for Class I cities
17 Stream line Property Tax administration- review exemptions, cesses.
18 Promote Transparency Accountability through citizen participation
19 Formulate Municipal Personnel Policy - to guide recruitment, postings,
promotions and training
20 Bangalore - Take action on Expert (Kasturirangan) Committee Report on Urban
Governance in BMR
21 Promote Research and Capacity Building in urban Planning and Management
96
Urban Development Policy
Table 1: Ranking of major States by level of Urbanisation-2001
Sl.No.
State
2
3
India_____
Tamil Nadu
Maharastra
Gujarat
Percentage of Urban Population to
total population - 2001________________
_______________ 27.9________________
________________ 44_________________
________________ 42_________________
37.3
4
Karnataka
34
Table 2: Decadal growth of Urban Population in Karnataka
Year
Number of
towns
Total
Population
Urban
Population
1__
1901
1911
1921
1931
1941
1951
1961
1971
1981
1991
2001
2
215
180
193
210
207
285
213
227
250
254
237
3______
13,054,754
13,525,251
13,377,599
14,632,992
16,255,365
19,401,956
23,586,772
29,299,014
37,135,714
44,800,468
52,733,958
4______
1,639,900
1,563,772
1,840,687
2,239,134
2,753,967
4,453,480
5,266,493
7,122,093
10,729,606
13,850,702
17,919,858
Class
Table 3: Classwise distribution of urban population - 2001
Population
No of
Population (in Proportion
lakhs)
(InPercentage)
size
towns
I_
II
III
IV
V
VI
> 1 lakh
50,000 to
99,999
20,000 to
49,999
10,000 to
19,999
5000 to 9,999
Less than
5,000
All
Percentage of
urban to total
population
5___________
12.56 _______
11.56 _______
13.76_______
15.30 _______
16.94 _______
22.95 _______
22.33_______
24.31 ________
28.29_______
30.91________
33.98
Percentage
decadal
growth rate
6
-4,64
17.71
21.65
22.99
61.71
18.26
35.23
50.65
29.09
28.85
Decadal
percentage
1991-01
24
27
120.43
17.26
67.2
9.6
4-33.7
4-69.5
101
30.96
17.3
+26.2
53
8.39
4.7
-21.6
27
5
1.92
0.22
1.1
0.1
-31.9
-71.4
237
179.19
100
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Urban Development Policy
Table 4 :Ranking of districts based on Level of Urbanization
in Karnataka- 2001_______________
Percentage of urban to
SI. No.
District
total population
________ 3_________
1
__________ 2
_______ 88.08________
Bangalore (Urban)
1
2
_______ 54,98________
Dharwad_______
_______ 38.41________
3
Dakshina Kannada
4
Mysore________
_______ 36.90________
5
Gadag_________
_______ 35.18________
_______ 34.86________
6
Bell ary_________
7
Shimoga_______
_______ 34.79________
_______ 30.30________
8
Davanagere_____
9
Bagalkot_______
_______ 29.00________
Uttar Kannada
_______ 28.67________
10
Gulbarga_______
_______ 27.13________
11
_______ 25.42________
12
Raichur________
Kolar__________
_______ 24.75________
13
14
Belgaum_______
_______ 24,06________
_______ 22.94________
15
Bidar__________
_______ 21.87________
Bijapur________
16
_______ 21.67________
Bangalore Rural
17
_______ 20.79________
Haveri_________
18
_______ 19.64________
Tumkur________
19
19.52_
20
Chickmagalur
_______ 18.60________
21
Udupi__________
_______ 18.15________
22
Chitradurga_____
_______ 17.70________
Hassan_________
23
_______ 16.61________
24
Koppal_________
_______ 16.02________
25
Mandya________
_______ 15.37________
Chamrajnagar
26
13.80
Kodagu
27
Table 5: Decadal Growth of Population of Bangalore
% Increase over
Population
Year
10 years
1,59,046
1901_______
+ 19.1
2,89,485
1911_______
+25.3
1921_______
2,37,496
+29.0
3,06,470
1931_______
+32.7
1941_______
4,06,760
7,78,977
+91.5
1951_______
+54.0
11,99,931
1961_______
+37.8
16,53,779
1971_______
+76.2
1981_______
29,13,537
+30.04
33,02,296
1991_______
2001
|
+30.61
43,13,248
Source: census of India
98
■
Urban Development Policy
s
Table 6:District wise projected population and Land requirement for Urbanization - 2025
Projected Population -2025
SI.
No.
1
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
District
Total
_______ 2
Bangalore Urban
Bangalore Rural
Belgaum_______
Bellary_________
Bidar__________
Bijapur________
Bagalkot_______
Chickmagalur
Chitradurga_____
Chamrajnagar
Davanagere_____
Dharwad_______
Dakshina Kannada
Gulbarga_______
Gadag_________
Hassan_________
Haveri_________
Kolar__________
Koppal______
Kodagu______ ~
Mandya_______ _
Mysore________ '
Raichur________
Shimoga_______
Tumkur________
Udupi__________
Uttara Kannada
State
Urban
3
4
8867262
8867262
1726817
3071010
6482302
2280957
3052720
986869
2311433
817307
2884679
1025084
856727
2502205
1877778
663010
2421502
873711
1628149
589237
2874040
974297
2986638
828219
2867739
946553
4888499
1684471
1583865
526495
3028034
1034700
2015563
742645
4085680
1445886
626694
1767172
894476
333701
3032425
1127951
4197005
1382897
2490389
877342
2677267
870808
4248145'
1539301
2118646
727793
2249426
788854
83104048
35145389
% Urban
Population
5
100.00
______56.23
______35.19
______ 32.33
______35.36
______35.54
______34.24
______35.31
______36.08
______36,19
______33.90
_____ 27.72
______33.01
______34.46
______33.24
_____ 34,17
_____ 36.85
_____ 35.39
_____ 35.46
_____ 37.31
_____ 37.20
_____ 32,95
_____ 35,23
_____ 32.53
_____ 36.23
_____ 34,35
_____ 35.07
42.29
Urban Land
Requirement - 2025
% of geo.
(In Ha.)
area______
6___
7
74152 _____ 33.86
18723 ______ 3.22
38152 ______ 2.84
37395 ______ 4,44
11900 ______ 2,18
27301 ______ 2,61
9422 ______ 1.43
12581 ______ 1.75
9796 ______ 1.17
9984 ______ 1.76
13505 ______ 2.24
32831 ______ 7.76
23108 ______ 4.77
25851 ______ 1.59
36349 ______ 7.81
13916 ______ 2.04
11800 ______ 2.43
18345 ______ 2.23
9303 ______ 1.10
5714 ______ 1.39
11625 ______ 2.34
17881 ______ 2.85
16992 ______ 3.06
16312 ______ 1.93
17531 ______ 1,65
26920 ______ 7.48
19895 ______ L93_
2.96
567285
Table 7: Performance of ULBs on street lighting
SI.
No.
_1__
2
3
Items
No of street lights not functioning__________
No of street lights mal functioning_________
No of street lights exceeding the burning hours
Numbers
10-12%
10-30%
35%
99
Urban Development Policy
Table 8: Proportion of Urban Development outlay in Five Year Plans
SI.
No.
Plan Period
1
Third Five Year Plan
Fourth Five Year Plan
Fifth Five Year Plan
(1974-79)__________
Sixth Five Year Plan
(1980-85)__________
Seventh Five Year Plan
(1985-90)__________
Eighth Five Year Plan
(1992-97)__________
Ninth Five Year Plan
(1997-2002)________
Tenth Five Year Plan
(2002-07)
2
3
4
5
6
7
8
Outlay for Urban
Development
(in crores)
5.00
250.00
440.00
35.00
128.00
1350.00
Total Outlay
(in crores)
% to Total
2.00
7.95
9.48
2500.00
215.00
8.6
5500.00
743.41
13.52
11000.00
1266.10
11.51
31144.87
4770.66
15.32
50850.00
10354.73
20.36
100
Urban Development Policy
Table 9: Twelfth Schedule to the Constitution
(Article 243- W)
1. Urban Planning including town planning.
2. Regulation of land-use and construction of buildings.
3. Planning for economic and social development.
4. Roads and bridges.
5. Water supply for domesticjndustrial and commercial purposes.
6. Public health, sanitation conservancy and solid waste management
7. Fire services.
8. Urban forestry, protection of the environment and promotion of
ecological aspects.
9. Safeguarding the interests of weaker section of society, including
the handicapped and mentally retarded.
10. Slum improvement and upgradation.
11. Urban poverty alleviation.
12. Provision of urban amenities and facilities such as parks, gardens,
playgrounds.
13. Promotion of cultural, educational and aesthetic aspects.
14. Burials and burial grounds, cremations, cremation grounds and
electric crematoriums.
15. Cattle pounds, prevention of cruelty to animals.
16. Vital statistics including registration of births and deaths.
17. Public amenities including street lighting, parking lots, bus stops
and public conveniences.
18. Regulation of slaughter houses and tanneries.
|-|p-)00
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(
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I
A?
Urban Development Policy
Table 10: Reforms Proposed under JNNURM
3
Mandatory Reforms-State Level
_________ _____
SI: Implementation of 74th Constitution Amendment Act_____
S2: Integration of City Planning and Delivery Functions______
S3: Rent Control Reforms_____________________________
S4: Rationalisation of Stamp Duty_______________________
S5: Repeal of Urban Land Ceiling and Regulation Act [ULCRA]
S6: Enactment of Community Participation Law____________
S7: Enactment of Public Disclosure Law
Mandatory Reforms ULB Level
LI: E-Governance____________
L2: Municipal Accounting______
L3: Property Tax_____________
L4: User Charges_____________
L5: Internal Earmarking of Funds for Services to Urban Poor
L6: Provision of Basic Services to Urban Poor
Optional Reforms-State Level_______________
01: Introduction of property title certification system
04: Ear marking of at least 20-25 percent of developed land in all housing projects (both public
and private agencies) for EWS/LIG category with a system of cross subsidization
05: Simplification of legal and procedural framework for conversion of agricultural land for nonagricultural purpose____________________________________________________
06: Introduction of Computerized process of Registration of Land and Property_____________
OlO: Encouraging Public Private Partnership
Optional Reforms-ULBLevel
__________________ _
02: Revision of Building Byelaws to streamline the approval process_____________________
03: Revision of Building Byelaws to make rainwater harvesting mandatory in all buildings____
07: Byelaws on reuse of recycled water___________________________________________
08: Administrative Reforms_________ __ ________________________________________
09: Structural Reforms
102
Urban Development Policy
Table 11: Investment in Karnataka - Share of Bangalore (upto 31-12-2008)
in Rs. Crores
Project Cost
Below Rs.50 crores
State_____________
Bangalore
Rs.50 crores +
State________
Bangalore
No. of
Projects
(Private)
1311
Investmet
Employment
18302
377951
678
(51.7%)
195
9357
(51%)
65255
254901
(67%)
565451
85
(43.2%)
19650
(30)
451495
(79.85%)
Investment in Water Supply Schemes (2008)
No.
of Investment
Projects_____
State
by 447
1529
KUWS&DB
Bangalore (BWSSB) Cauvery I 1715
IV
+ (3383)
Cauvery IV- estimated
Phase II
Table 12: Per capita Revenue and Expenditure of ULBs
for the period 2002-07
{in Rupees)
Type
ULB
___ 2002-03
Rev
Exp
380
470
City
Corporations
City Municipal
378
256
______ Councils
296
Town
277
Municipal
______ Councils
Taluk
362
216
Panchayats
_________ Total
339
275
Rev: Revenue, Exp: Expenditure
Financial Years
2004-05"
2003-04
Rev
Exp
Rev
Exp
513
482
521
387
___ 2005-06
Rev
Exp
696
505
___ 2006-07
Rev Exp
502
1198
427
308
467
293
513
304
879
425
394
314
498
237
484
310
1115
423
442
288
595
285
606
346
1362
514
420
334
523
264
536
323
1141
440
*1
103
•v
Urban Development Policy
Table 13 : Percentage Distribution of Revenues of ULBs (2002-07)
Types of revenue sources
Type of Urban local body
TP
TMC
CC
CMC
12.07
Property taxes________________
20.47
15.99
9.23
0.04
Advertisement________________
0.15
0.07
0.00
0.01
Theatre tax__________________
0.00
0.00
0.00
Entertainment tax_____________
0.00
0.00
0.00
0.00
0.02
0.04
0.02
Professional tax______________
0.03
Construction or building tax
0.13
0.16
0.27
0.23
Consumption tax______________
0.56
0.17
0.66
0.00
0.04
Duties______________________
0.52
0.11
0.00
Transfer of immovable properties
1.32
0.58
0.39
1.16
2.24
0.43
0.40
Registration and stamps________
0.10
Charges, fees and fines_________
7.10
1.95
1.11
0.90
2.14
2.15
2.38
Cess________________________
5.09
0.09
0.69
0.05
Tolls________________________
13.03
13.45
General grants________________
11.12
14.69
44.27 ,
50.07
57.48
Specific grants_______________
47.51
Head of transfer____________.
9.25
6.80
3.59
Scheme_____________________
0.04
0.15
0.00
12^9
Others
9.72
7.93
6.67
Total 100%
100%
100%
100%
Total
15.76
0.08
0.00
0.00
0.03
0.22
0.33
0.13
1.00
1.05
3.16
3.03
0.19
13.17
47.83
4,06
0.08
9.89
100%
Table 14: Property Tax Collection - Performance of ULBs
SI.
No.
1
2
2
4
5
Name of ULB
City
Corporations
CMC
TMC
TPS_______
NACs
8937.34
Total
demand
15123.46
Total
Collection
8969.08
5774.37
2566.35
1182.52
28.62
18489.2
13391.14
5504.87
1997.69
31.69
36048.85
6963.87
3119.92
929.07
28.63
20010.57
Opening
Balance
6186.12
Demand
7616.77
2938.51
815.17
3.07
17559.64
(Rs. in akhs)______
Balance
Percentage
6154.38
59.31
6427.26
2384.94
1068.62
3.06
16038.26
52.00
56.68
46.51
46.51
261.00
104
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