In a letter to the Chief Secretaries of these states, Union Urban Development Secretary Rajiv Gauba has highlighted the need for statutory ULBs for planned and coordinated infrastructure development, enhancement of revenues and efficient delivery of services to citizens, an official release said.
He also said that "The opportunity of planned urban development might get lost if unplanned construction and ad hoc provisioning of infrastructure is allowed to take place over a long time".
As per 2011 Census, there are 3,784 Census Towns as against 1,362 in 2001.
A Statutory Town is one with a municipality, corporation, cantonment board or notified town area committee. As per 2011 Census, there are 4,041 such towns as against 3,799 in 2001.
Gauba also informed the states that conversion of Census towns into statutory ULBs entitle them to central assistance as per the guidelines of 14th Finance Commission.
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