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Smart Cities Mission - India Opportunities for UK Businesses Analysis of Lighthouse Cities

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Smart Cities Mission - India Opportunities for UK Businesses Analysis of Lighthouse Cities Smart Cities Mission - India Opportunities for UK Businesses Analysis of Lighthouse cities June 2016 Table of contents Contents Page no. Smart Cities Mission in India – executive summary 5 Limitations of the study 22 List of abbreviations 23 Broad overview - analysis of opportunities in lighthouse cities 25 . Ranking and location 26 . Overall proposed investments 27 . Proposed sources of funding 28 . State-wise proposed capital investments 29 . City-wise capital investments 30 Detailed sectoral analysis of lighthouse cities 32 . Built Environment 33 . Transportation 37 . Water and Waste Management 42 . Energy 47 . Technology Infrastructure 52 Page 2 Table of contents Contents Page no. Public Services 57 Opportunities for UK businesses 61 . Opportunities for services and advisory based firms 62 . Opportunities for OEMs/vendor firms/suppliers 64 . Opportunities for implementation agencies/system 66 integrators/assembly firms Detailed opportunity analysis of the 20 lighthouse cities 68 . Ahmedabad 69 . Belagavi 81 . Bhopal 94 . Bhubaneshwar 103 . Chennai 116 . Coimbatore 124 . Davanagere 137 . Guwahati 147 Page 3 Table of contents Contents Page no. Indore 157 . Jabalpur 171 . Jaipur 185 . Kakinada 197 . Kochi 209 . Ludhiana 221 . New Delhi 232 . Pune 244 . Solapur 256 . Surat 267 . Udaipur 278 . Visakhapatnam 288 State-wise procurement policies 300 Annexures 305 Page 4 Smart Cities Mission Executive Summary Executive Summary Background to India’s Smart Cities Mission To sustain the rapid urbanisation India is witnessing, the Government of India / Ministry of Urban Development (MoUD) in 2015 had launched a bold and ambitious ‘Smart Cities Mission’. This mission focuses on improving quality of life of city dwellers through sustainable, citizen-centric and inclusive development, which aims at providing missing links in the urban infrastructure and to create replicable models for other aspiring cities in the country. Through the Smart Cities Mission, Govt. of India had announced its intention to develop 100 cities as Smart Cities over the next 5 years. The Smart City Mission had laid out a framework of competition, i.e. ‘City Challenge’ where each of the potential 100 smart cities prepares their proposals (Smart City Proposal) for participation in the ‘City Challenge’. The Smart City Proposal (SCP) was expected to contain a local area development plan (Area Based Development or ABD) along with model chosen, i.e. whether retrofitting or redevelopment or Greenfield development or a mix thereof and additionally had a Pan-City dimension (Pan City) with smart solutions. In January 2016, as per the Smart City Mission guidelines, 20 out of the 100 smart cities were selected in the Round 1 of City Challenge, which are now called ‘Lighthouse cities’. These 20 cities are now in process of implementing the projects that were identified in their respective Smart City Proposal. Opportunity for UK businesses This report is based on the analysis of the proposed initiatives / investments by each of the 20 ‘Lighthouse cities’ in their ‘Smart City Proposal’ submitted to MoUD as a part of Smart City Challenge. The ‘Smart City Proposal’ submitted by the cities can be accessed at http://smartcities.gov.in/winningCityp1.aspx Page 6 Executive Summary Each of the ‘Lighthouse cities’ have identified initiatives / investments depending on multiple factors such as local requirement, ability to manage the change, present maturity levels in municipal bodies etc. The report provides information on the proposed initiatives / investments in a structured manner. Further the report has identified several key cities with opportunities for UK based businesses. This has been done based on multiple approaches as given below: 1) Analysis based on value of investments / proposed capital expenditure The projects / initiatives proposed by each city have been grouped based on commonality of project characteristics or sector (Built Environment, Transportation, Water & Waste Management, Energy, Technology Infrastructure, Public Services). Cities with highest value of investments / proposed capital expenditure within each sector / sub-sector have been listed in the report. 2) Analysis based on segmentation of businesses The report takes an approach of grouping UK businesses into; Services & Advisory, OEM & Vendors and Implementation agencies, and then looking at sector wise potential opportunities. Cities with the highest capital expenditure under each of the business segments have been listed. 3) Additional parameters for doing business The report has evaluated the ‘Lighthouse cities’ based on additional parameters for doing business such as sources of funding for proposed projects, location analysis / air connectivity, ‘ease-of-doing-business’ ranking of the states etc and listed out few cities. This report has identified focus cities only of the basis of reports’ methodology. This does not imply lack of opportunities in any specific city or sector that have not been listed out. UK businesses may refer to the detailed profile of each of the city and consult UKTI for pursuing specific opportunities. Page 7 Executive Summary Analysis based on proposed capital expenditure A total of GBP 4,822 m of capital investments have been proposed across 20 cities, (GBP 3,570 m of ABD and GBP 1,251 m of Pan City). For assessing addressable market and timelines for diverse types of business opportunities across 20 proposals, the report has categorized the smart initiatives into six ‘sectors’, and further they are classified under ‘subsectors’ based on the project types. For identifying the focus cities with significant business opportunities, the report list outs cities on the basis of the highest proposed investments (aggregate project costs of ABD and Pan City) in the top three subsectors, and identifies key projects in the selected subsectors. Built Environment Built environment sector refers to all of a city’s initiatives related to buildings, parks and public open spaces, with opportunities in redevelopment planning, urban place making, green building design, engineering, construction and project management, etc. A total of GBP 1,667 m investment is proposed in the projects grouped under the Built Environment sector. The report has identified top three subsectors (highest proposed investments) within Built Environment and has identified focus cities which have proposed these projects. a. Urban Redevelopment and Housing subsector has the largest proposed project investments of GBP 806 m with most projects being land monetisation initiatives / commercial exploitation of land parcels. Bhubaneshwar, Indore, Bhopal, Ahmedabad are some of the cities with higher proposed investments. b. Buildings subsector has the total proposed project investments of GBP 281 m with many projects focusing on ‘green building features’ and ‘green real estate’. Jabalpur, Bhubaneshwar, Belagavi and Kakinada are some of the cities with higher proposed investments. c. Waterfront Development has the total proposed project costs of GBP 248 m, with projects along the both river and sea. Guwahati, Visakhapatnam and Coimbatore are some of the cities with higher proposed investments. Page 8 Executive Summary Transportation Transportation sector comprises of projects pertaining to all forms of mobility. A total of GBP 1,052 m investment is proposed in the projects grouped under the transportation sector. The report has identified top three subsectors (highest proposed investments) within transportation sector and has identified focus cities which have proposed these projects. a. Right of Way (RoW) re-design has the total proposed project investments of GBP 478 m with projects mostly related to redesign of road and junction geometry, provisioning for non-motorised transport facilities, pedestrian facilities etc. Solapur, Belagavi, Guwahati, are some of the cities with higher proposed investments. b. Intelligent Traffic Management subsector has total of GBP 311 m proposed project investments relating to traffic light synchronization, intelligent car parking systems, intelligent public transport systems etc. Indore, Jabalpur, Bhubaneswar are some of the cities with higher proposed investments. c. Public Transport subsector has the total proposed project investments of GBP 196 m, related to smart city bus services, multi-modal hubs, smart bus shelters etc. Pune, Ludhiana, Belagavi are some of the cities with higher proposed investments. Water and Waste Management The water and waste management sector comprises projects pertaining to supply networks of water and waste water, sanitation, solid waste management etc. A total of GBP 823 m investment is proposed in the projects grouped under the water and waste management sector. The report has identified top three subsectors (highest proposed investments) within water and waste management sector and has identified focus cities which have proposed these projects. Page 9 Executive Summary a. Waste Water Management subsector has the total proposed project investments of GBP 427 m comprising projects pertaining to SCADA system deployment at Sewage Treatment Plant / network, trenchless pipe laying for sewer lines etc. Jaipur, Kakinada, Surat are some of the cities with higher proposed investments. b. Water Supply Distribution subsector has total of GBP 246 m proposed project investments comprising projects pertaining to 24x7 water supply, drinking water kiosks, improving existing water supply networks etc. Kochi, Davanagere, and Belagavi are some of the cities with higher proposed
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