Private investment essential for smart cities: top official

Says urban development ministry is in the process of finalising the guidelines for private participation

Private investment is welcome and essential for the development of smart cities in the country said a top official of the urban development ministry.

“A substantial amount of investment should come from the private sector. The ministry is in the process of finalising the guidelines for that, so that we can receive maximum investment,” said Shankar Aggarwal, secretary, Ministry of Urban Development on Saturday.

A hundred smart cities is one of the dream project of the Narendra Modi-led government.

Shankar said the private sector was "most willing" to participate in the smart city project but they need to be ensured that they will get returns for their investment. "Although the private investors were willing to take business risks, they would not be eager to bear political peril. Their investments should be safe and also fetch returns," he said. "We can involve the private players by the promise of equity share."

Shankar also said the final policy guidelines on establishing smart cities will be finalised within the next three months.

When asked why West Bengal does not feature in the smart city plan, he said: "The locations of the smart cities have been decided in proportion to the total population.”