Note4Students
From UPSC perspective, the following things are important :
Prelims level: Government schemes and Initiatives; AMRUT;
Mains level: Challenges in Rural-Urban Area;
Why in the News?
India is currently experiencing an urban transformation due to significant demographic shifts and increasing infrastructure needs. To effectively address these challenges, it must adopt a holistic urban-rural continuum approach.
Issue of Over-Centralisation of Finances:
- Over Financial Centralisation: Recent times have seen an over-centralization of finances, which has negatively impacted financial decentralization and autonomy for local bodies.
- The 13th Finance Commission highlighted that local bodies are being “asphyxiated” due to this centralization.
- Tied vs. Untied Grants: Local bodies face financial constraints because grants are often tied to centrally sponsored schemes.
- The rise in property tax needs to match the rise in State Goods and Services Tax to avoid losing tied grants, which have increased relative to untied grants over the years.
- Programmatic Limitations: Flagship programmes like the Swachh Bharat Mission and Atal Mission for Rejuvenation and Urban Transformation (AMRUT) fail to address the urban-rural continuum effectively.
- Urban-Rural Continuum Challenge: Infrastructure funding for areas like sewage treatment plants often excludes contiguous urban villages and census towns, which are integral parts of the broader urban ecosystem.
Initiatives taken by the Government:
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Governance models needs to be revisited:
- 73rd and 74th Constitutional Amendments: District Planning Committees, including Zila Panchayats and urban local bodies, need to be empowered to address the urban-rural continuum effectively.
- Strengthening District Planning Committees: Currently, District Planning Committees are often subordinate to the district bureaucracy. Strengthening these committees can better integrate urban and rural planning and improve governance.
- Integrated Planning: The current approach to separate urban and rural local bodies needs updating. Given India’s rapid urbanisation, there is a need for integrated and joint planning to address the blurring lines between urban and rural areas effectively.
- Collaborative Infrastructure Planning: Solid waste management and other infrastructure projects could benefit from collaborative planning at the district or regional levels, rather than being implemented in a compartmentalised manner.
Way forward:
- Enhance Financial Decentralisation and Flexibility: Reform financial mechanisms to reduce centralisation, provide greater autonomy to local bodies, and ensure grants are more flexible, allowing for better alignment of local needs with urban-rural continuum challenges.
- Strengthen Integrated Planning Frameworks: Revise governance models to empower District Planning Committees for more cohesive urban-rural planning, and promote collaborative infrastructure development across district and regional levels to address the interconnectedness of urban and rural areas.
Mains PYQ:
Q What are ‘Smart Cities’? examine their relevance for urban development in India. Will it increase rural-urban differences? Give arguments for ‘Smart Villages’ in the light of PURA and RURBAN Mission. (UPSC IAS/2016)
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