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14. URBAN DEVELOPMENT

Economic development, degree of industrialization, development of roads and transport, etc. are associated with the growth of urbanization. Apart from these, urbanization is concomitant of rising real per capita income, division of labour, specialization, economics of scale, technological advancement, upgradation of skills, market penetration, leap frogging growth of service sector etc. Urban development is one of the key indicators for socio economic development of the society. Tamil Nadu is the most urbanized State in , according to the provisional figures released by , 2011. There is no standard definition of urban as it varies from country to country. India’s urban areas are defined by two criteria viz. (1) area which comes under Corporations, Municipal Corporations and Town Panchayats and (2) area which satisfies the conditions of having a minimum population of 5000, at least 75 per cent of male work force engaged in non-agricultural sector and a population density of at least 400 persons per sq. km.

14.1. Trends in Urbanisation in Tamil Nadu vis-à-vis All India:

Since urban transition requires massive expansion in urban infrastructure and services, the Government has to plan for providing the services to the needy. In order to provide services to this sector, the trend of urbanization in Tamil Nadu is analysed with the data released by the latest Census. Tamil Nadu ranks third with 9.3 per cent of the total urban population of India having the absolute number of 3.5 crore people.

The following table presents the latest population figures according to the Census 2011.

Table:14.1-Tamil Nadu Population, 2011 (In crores) Region 2001 % 2011 % Difference 1. Rural 3.49 55.9 3.72 51.6 0.23 2. Urban 2.75 44.1 3.49 48.4 0.74 Total 6.24 100.0 7.21 100.0 0.97 Source: Census 2011(Provisional)

The proportion of urban population increased to 48.4 per cent in 2011 from 44.1 percent, compared to the previous Census. The level of urbanization increased from 27.8 per cent in 2001 Population Census to 31.2 per cent in 2011 Population Census at all- India. Factors that led to faster rate of urbanization are the process of industrialization, rural-to-urban migration due to “pull” and “push” factors and availability of basic facilities. Better educational and health facilities in urban areas are also the attractive forces.

According to 2011 Population Census, the level of urbanization differs remarkably across the States. Tamil Nadu stands first with 48.45 per cent followed by Kerala (47.72%), Maharashtra (45.23%) and Gujarat (42.58%). For all India, it is at 31.16 per cent. In Assam, Bihar and Orissa the urbanization rate is below 20.

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Table – 14.2 : Trend in Urbanisation Rate by Major States

State Urbanisation Rate 1981 1991 2001 2011 Andhra Pradesh 23.32 26.89 27.08 33.49 Assam 9.88 11.10 12.73 14.08 Jharkhand - - 22.25 24.05 Bihar 12.47 13.14 10.47 11.30 Gujarat 31.10 34.49 37.35 42.58 Haryana 21.88 24.63 29.00 34.79 Karnataka 28.89 30.92 33.98 38.57 Kerala 18.74 26.39 25.97 47.72 Chattisgarh - - 20.09 23.24 Madhya Pradesh 20.29 23.18 26.67 27.63 Maharashtra 35.03 38.69 42.40 45.23 Orissa 11.79 13.38 14.97 16.68 Punjab 27.68 29.55 33.95 37.49 21.05 22.00 23.38 24.89 Tamil Nadu 32.95 34.15 43.86 48.45 Uttaranchan - - 25.9 30.55 Uttar Pradesh 17.95 19.84 20.78 22.28 West Bengal 26.47 27.48 28.03 31.89 All India 23.34 25.71 27.78 31.16 Source: Growing Urbanisation and Vibrant Urban Development.

Swelling urbanisation compels the State Government to focus on improving the basic amenities to the urban population in general. The basic amenities include (i) providing water supply, (ii) sewerage facilities, (iii) better sanitation, (iv) solid waste management and (v) housing for the urban poor. In order to provide all the basic amenities to the holistic development of urbanization, the government envisaged the following administrational framework.

14.2. General framework of Urban Local Bodies:

The urban local bodies are responsible to provide basic services such as roads, streetlights, storm water drains, primary health care, education. There are 10 Corporations, 150 Municipalities and 559 Town Panchayats. The administrative control of Corporations comes under the purview of the Commissioner, while the Directorate of Municipal Administration is the authority in charge of the Municipalities. The Directorate of Town Panchayats is the administrative authority for the Town Panchayats. From the year 2008-09 onwards, the number of Corporations had increased to 10 with the inclusion of Vellore and Thoothukudi Corporations along with the existing Chennai, Madurai, Coimbatore, , Salem, Thirunelveli, Erode and Tiruppur Corporations.

Based on the annual income and population, the 150 Municipalities and 559 Town Panchayats were classified into different grades as mentioned below.

While the income limit for classification of Municipalities had been revised during 2008-09, the income limit of Town Panchayats remains unchanged.

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Table-14.3: Classification of Municipalities Sl. Grade Annual income No. of No. (` in crores) Municipalities 1. Special grade Above 10.00 22 2. Selection grade 6.00 – 10.00 35 3. First grade 4.00 – 6.00 36 4. Second grade Below 4.00 45 5. Third grade Population above 30,000 12 Total 150 Source: Policy Note 2011-12 of MA&WS department.

Table-14.4: Classification of Town Panchayats Sl. Grade Annual income No. of Town No. (`in lakhs) Panchayats 1. Special grade Above 20.00 12 2. Selection grade 16.00 – 20.00 244 3. Grade – I 8.00 – 16.00 221 4. Grade – II 4.00 – 8.00 82 Total 559 Source: Policy Note 2011-12 of MA&WS department.

14.3. Water Supply:

As far as Tamil Nadu is concerned, based on the availability of drinking water facility to the urban sector, the quality and quantity of water supply facility is graded as good, average and below average. As per the latest figures, one third of the Corporations (barring Chennai) were provided with the standard norm of 110 lpcd of water supply, 30 per cent of the Municipalities with 90 lpcd and 62 per cent of the Town Panchayats with 70 lpcd of water. In other words, the status in providing water supply was improved in the ULBs as compared to the previous years. Table presented below indicates a comparative picture of the quality of water supply provided to the ULBs during 2008-09 and 2010-11.

Table – 14.5 : Status of Drinking Water Supply to the ULBs Good Average Below average Total Sl. Civic Status 2008- 2010- 2008- 2010- 2008- 2010- 2008- 2010- No. 09 11 09 11 09 11 09 11 Corpor- 2 3 7 6 1. - - 9 9 ations (22.2%) (33.3%) (77.8%) (66.7%) Munici- 45 45 87 92 16 13 2. 148 150 palities (30.4%) (30.0%) (58.8%) (61%) (10.8%) (9%) Town 324 348 219 206 18 5 3. 561 559 Panchayats (57.8%) (62.2%) (39.0%) (36.9%) (3.2%) (0.9%) Total 371 396 313 304 34 18 718 718 Source: Policy Note of Municipal Administration and Water Supply 2008-09 and 2011-12.

Providing water to the urban population is the foremost priority for the Corporations. It is noted that 135 lpcd per capita norm was fixed for the urban population. However, this could not be achieved in the Corporations including Chennai. The Institute of Financial Management and Research (IFMR) study reveals that the median of only 28.88 lpcd per capita was achieved till date which shows that nearly 78.61 percent of shortage was reported in water supply scheme with respect to the Corporations. In the case of Municipalities, the norm was fixed as 135 lpcd for the Under Ground Sewerage (UGS) Municipalities and 90 lpcd for non-UGS

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Municipalities. The results of the study undertaken by the IFMR showed that only 27 municipalities were covered by UGS wherein 75.14 lpcd of water was provided leaving a shortage of 44 per cent. In the case of 123 municipalities, water supply was provided with 16.5 per cent shortage. The following table presents the findings of the IFMR study.

Table-14.6 : Daily per capita Water Supply (lpcd) Sl.No. ULB Norm Actual (median) % shortage 1. Corporation (10) 135 22.88 78.61 2. Municipality (150) UGS (27) 135 75.14 44 Non-UGS (123) 90 75.14 16.5 Source: Results of IFMR Study

14.3.1. Distribution System of Water in ULBs:

Water supply in urban localities, coupled with road net work and storage capacity ensures the effective distribution system. Providing clean drinking water to the urban population is one of the fundamental responsibilities of the local bodies. The results of the study conducted by IFMR on delivery of water supply and its distribution system are presented in the following table.

Table-14.7 : Distribution System of Water in Local Bodies.

Sl.No. ULB No. Non- Norm Median % Achieve- achiever (%) ment 1. Corporations 10 3 85 94 (+)9 2. Municipalities 150 - 85 89 (+)4 Source: IFMR Study.

Three Corporations in the State had not achieved the desired norm of 85 per cent of areas covered with water supply distribution and remaining seven corporations had the median level of more than the norm prescribed. However, all the Municipalities had achieved the norm fixed. Hence, the Government should focus on the distribution system and also provision of treatment plants with required storage capacity in the coming years. The study also reveals that 87 out of 150 Municipalities did not have treatment capacity. Only 56 municipalities had 100 per cent treatment capacity of water supply need.

14.3.2. Water Supply Schemes under Implementation:

Water Supply Improvement Schemes (WSIS) to 46 towns including 7 Schemes funded by Kfw(German) and 4 Schemes funded by JICA covering 19 Municipalities, 27 Town Panchayats at a cost of `367.48 crore benefitting 14.75 lakh population are under implementation. It was programmed to complete the Water Supply Improvement Schemes to 30 towns with 5.68 lakh population covering 4 Municipalities and 26 Town Panchayats during 2011-12.

As stated above, under Kfw (German) funding, the following Water Supply Improvement Schemes in 7 Municipalities at an estimated cost of `165.33 crore benefiting a population of 3.61 lakh are taken up for implementation.

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1. WSIS to ThiruvannamalaiMunicipality - `36.66 crore 2. WSIS to UdhagamandalamMunicipality - `27.20 crore 3. WSIS to KadayanallurMunicipality - `21.41 crore 4. WSIS to PallipalayamMunicipality - `11.66 crore 5. WSIS to InamkarurMunicipality - `18.57 crore 6. WSIS to Karur Municipality - `24.67 crore 7. WSIS to Thanthoni Municipality - `25.16 crore

A revised plan outlay of `1778.62 crore for the year 2011-12 had been allocated for the Urban Development sector including water supply and sanitation. This is 32.4 percent higher than the Revised Budget Estimate for the year 2010-11.

Table-14.8: Revised Estimate for the year 2011-12 (` in lakhs) Sl. Sector 2009-10 2010-11 2011-12 No. (Accounts) (R.E.) (R.B.E.) 1. Water Supply and Sanitation 164.81 400.31 339.29 2. Urban development 1035.97 943.18 1439.33 Total 1200.78 1343.49 1778.62 Source: Policy Note MAWS ,2011-12.

14.4. Roads:

Roads are the important component in the urban development. They provide links not only to the cities from the villages but also help in improving the socio economic development of the society. Road infrastructure is important in its own right and is in the nature of a local public good. There are important urban-rural linkages and externalities. In Tamilnadu, road connectivity in urban as well as in the villages is rated as good as compared to the other parts of the nation. Hence, many schemes are being implemented in Tamilnadu for laying and improving the condition of roads. The following table presents the status of ongoing schemes in Tamilnadu.

Table-14.9: Progress of Road works during 2010-11 Schemes No. of Comple- Length ULB Allote- Spent works ted (in k.m) ment (` in taken up (` in lakhs) lakhs) 1. NABARD 658 655 838.90 TPs(390) 109.57 N.A 2. Special Roads 540 906 TPs (540) 340.00 248.00 Programme 3. National 18 18 N.A N.A 43.08 24.29 Calamities Relief Fund 4. Urban roads 4158 3067 1826 150 65000 N.A (N)&9 Corp. Source: Compiled from Policy note of MAWS 2011-12.TP- Town Panchyats,N.A-Not Available, M-Municipalities.

The above table indicates that government allotted `650.00 crores for undertaking road works in the urban areas and 3067 works were completed as against the total number of 4158 proposed works (74%). Similarly, Under Special Road

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Programmes, an amount of `248.00 lakhs was spent against the allocation of `340.00 lakhs in select 540 Town Panchayats. NABARD scheme has provided an assistance of `109.57 lakhs for the execution of road works in 390 Town Panchayats up to 2010- 11.

14.5. Employment Generation:

Swarna Jayanthi Shahari Rozgar Yojana, a shared scheme by the Centre and State for urban poverty alleviation in the ratio 75:25 aims at providing self- employment and wage employment to the urban poor through skill development training. During 2011-12, a sum of `15.13 crores had been allotted. The five major components of the scheme are, (i) Urban Self Employment programmes(USEP), (ii) Skill Training for Employment Promotion amongst Urban Poor(STEP-UP), (iii) Urban Women Self help Group (UWSG), (iv)Urban Wage Employment Programme (UWEP) and (v) Urban Community Development Network (UCDN).

14.6. Housing for the Urban Poor:

Basic Services to the Urban Poor (BSUP) and Integrated Housing and Slum Development Programme (IHSDP) are the important Sub-Missions of Jawaharlal Nehru National Urban Renewal Mission. These schemes aim at an integrated development of housing and infrastructure such as water supply, sewerage, storm water drainage, streetlights in slums in the identified Town Panchayats. The construction of 4624 dwelling units with infrastructure facilities was taken up under IHSDP at an estimated cost of `59.44 crore in 25 Town Panchayats. So far, 3466 works had been completed at a cost of `44.45 crore and the remaining works were in progress. Similarly, 3099 dwelling units with infrastructure works were taken up under BSUP at an estimated cost of `41.61 crore in 17 Town Panchayats. So far, 1812 works had been completed at a cost of `28.06 crore and the remaining works are in progress.

14.7. Urban Water Supply and Sanitation:

The Japan International Cooperation Agency (JICA) is providing a financial assistance for water supply and underground sewerage system to the urban local bodies at a cost of `344.70 crores and is being under implementation. During the year 2011-12, 6 Water Supply Schemes were undertaken in the Urban Local Bodies and a sum of of `198.25 crore and `84.98 crore was released as loan and capital grant respectively. The Government approved a project of the same objective with long term financial assistance from the German Bank for Development (KfW) at an estimated cost of `500/- crore for undertaking 8 Water Supply, 3 Storm Water Drain and 2 Under Ground Sewerage Schemes in the ULBs.

14.8. Sewerage, Sanitation and Solid Waste Management:

The increase in urban population has exerted pressure on the provision of sewerage sanitation and solid waste management to the ULBs, which leads to health hazards to the living urbanite if properly not managed. In Chennai, around 11,000 metric tonnes of solid waste is generated by the Municipalities and 4000 metric tonnes by Town Panchayats per day. Out of 150 Municipalities, 27 were not covered

215 by Under Ground Sewage(UGS) and 14 Municipalities were engaged in the formation of UGS. The percentage of roads covered with sewerage was also less than median calculated by the IFMR study in many of the local bodies. However, collection performance of local bodies as Solid Waste was reported as 100 per cent in all Corporations and in 83 out of 150 municipalities. It is also noted that 34 and 127 Municipalities did not have composite yard and land filling site respectively. The has released `255.32 crores to modernize the existing Solid Waste Management system for Chennai corporation Under JNNURM. Under this two dumping yards at Perungudi and Kodungaiyur were identified for the setting up of an Integrated Solid Waste Management System at a cost of `190.00 crores under PPP model on DBMOT(Design,Build,Operate, Maintain and Transfer) basis. A sum of `37.56 crores had been spent on this Scheme. Under NABARD, a sum of `4.88 crores had been provided for the construction of 76 sanitary complexes in 47 Town Panchayats of which 75 were completed.

14.9. Developments under Jawaharlal Nehru National Urban Renewal Mission:

Under the JNNURM scheme, Chennai, Madurai and Coimbatore Corporations having a population of more than one million were declared as “Mission Cities”. Essential projects such as water, underground sewerage scheme, storm water drain and solid waste management, etc. were sanctioned at a total cost of `732.32 crore and `767.38 crore for Madurai & Coimbatore respectively during 2011-12. Some of the urban development works taken under JNNURM in the three Corporations are given below.

Table-14.10: Sector wise fund released under JNNURM (`in Crores) Name of the Sector Madurai Coimbatore Chennai Water Supply 71.23 113.74 633.03 Construction of CDs for water supply 9.15 - - Solid Waste Management 74.29 96.51 190.00 Under Ground Sewerage 229.34 377.13 - Storm water Drains 348.31 180.00 1448.00 Total 732.32 767.38 2271.03 Source: Computed from Policy Note of Municipal Administration and Water Supply Department,2010-11.

14.10. Urban Housing:

Housing is one of the essential components for human life next to food and attire. Good housing helps to enhance productivity of labour. In order to lead a decent living, providing quality housing to all the sections of the society is the foremost task of the Government. For attaining this, the government had developed a multipronged strategy in which the housing needs of economically weaker sections, slum tenements and loan requirements of the society are met by the parastatal agencies like TNHB, TNSCB, Co-operative housing federation etc.

Tamil Nadu Housing Board (TNHB) is one of the agencies in the State to cater to the needs of the people for housing in the urban areas. Since inception, it has constructed about 4 lakh dwelling units, of which 72.75 percent were allotted for middle, lower and economically weaker sections of the society. During the year 2010-

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11, the construction of 6364 dwelling units were completed at a cost of `742.64 crores. It was proposed to construct 2427 units during the year 2011-12 at a cost of `340 crores in the State. In addition to its own construction activities, TNHB acted as the nodal agency for the Centrally sponsored Interest Subsidy scheme for Housing the Urban Poor (ISHUP). Tamil Nadu Slum Clearance Board (TNSCB) which looks after the needs of the slum families has constructed 1.13 lakh houses/ tenements since its inception. To improve the living conditions of the urban poor, the government implemented the schemes viz., i) In-situ tenement schemes, ii)In-situ plotted development and infrastructure improvement and iii) Rehabilitation and Resettlement Scheme. During the period from 2011-2016 , the Board programmed to construct 1.58 lakh tenements at a cost of `10,076.77 crores under schemes such as JNNURM, RAY etc., Under the scheme of JNNURM, through the submission programme of BSUP, it was proposed to construct 44870 tenements at a cost of `1,939.48 crore, of which 6300 tenements had been completed. The above integrated township scheme was funded by the Government of India, Government of Tamil Nadu and the beneficiaries in the ratio of 50:40:10 respectively. In addition to this, other resettlement programmes for the Tsunami affected families are under progress in the State via Emergency Tsunami Reconstruction Project (ETRP) and Rajiv Gandhi Rehabilitation Package.

The Co-operative Housing Societies in Tamilnadu provide shelter to their members by forming layouts with basic amenities and providing housing finance. Out of 1034 Cooperative housing socities, 816 are affiliated with the Tamil Nadu Co- operative Housing Federation Ltd., (TNCHF). It mobilizes finances for housing through Government and Government agencies like LIC Housing and Urban Development Corporation, National Housing Bank, HDFC, Commercial and Cooperative banks. Since its inception, the federation financed an amount of `4752.88 crore upto May, 2011. During the year 2010-11, interest concession was announced for the loanees of Cooperative Hosing Societies. The housing needs of the government servants are met through ‘House Building Advance’ provided by the government. During the year 2011-12, a sum of `138 crores had been allocated for the employees of the State Government under this scheme.

14.11. Construction of Bridges:

A total number of 8 bridge works (Rail Over Bridges and Under Bridges) had been taken up in Chennai at a cost of `231.71 crore to decongest the traffic. Out of these 8 works, 3 works had been completed and the remaining 5 were in progress as stated below:

Table-14.11: Construction of Bridges in Chennai Corporation Sl.No. Name of the work Allotment Date of (` in crores) Completion 1. Work on rail under bridge at Monegar Choultry 10.55 December 2011 Road (M C Road) 2. Work on Rail Over Bridge at Rangarajapuram 15.74 Under progress 3. The Rail Over Bridge work at Kathivakkam 12.20 December 2011 High Road - Cochrane Basin Road 4. The Rail Under Bridge work at Villivakkam 13.39 November 2011 5. The Rail Under Bridge work at Korukkupet,* Not available To be takenup * taken up after completion of the Kathivakkam High Road –Cochrane Basin Road over bridge, which is in progress. Source: Policy Note of Municipal Administration and Water Supply Department,2010-11

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14.12. Funding and Implementing Pattern:

Tamil Nadu Urban Finance and Infrastructure Development Corporation Ltd. (TUFIDCO) acts as a nodal agency for JNNURM under two sub components namely Infrastructure & Governance (UIG) and Urban Infrastructure Development Scheme for Small and Medium Towns(UIDSSMT). The funding pattern of UIG is as given below:

Table – 14.12 : Funding Pattern City Grant (%) Loan from financial Centre State institutions / own (%) Chennai 35.00 15.00 50.00 Madurai & Coimbatore 50.00 20.00 30.00 Source: Policy Note of Municipal Administration and Water Supply Department,2010-11

Under this scheme, the Government of India had sanctioned 48 projects at an estimated value of `5250.15 crore for three mission cities, viz. Chennai, Madurai and Coimbatore.

Table – 14.13 : Financial details (` in Crore) No. of Project GOI GoTN FI / Projects Cost Share Share Own fund Share Chennai 35 3585.43 1294.40 533.42 1757.61 Madurai 8 838.52 419.26 167.70 251.56 Coimbatore 5 826.20 413.10 165.24 247.86 Total 48 5250.15 2126.76 866.36 2257.03 Source: Computed from Policy Note of Municipal Administration and Water Supply Department,2010-11

14.13.Urban Infrastructure Development Scheme for Small and Medium Towns (UIDSSMT):

This is one of the Centrally-sponsored schemes for the provision of civic amenities to all the cities / towns not covered under JNNURM. The cost of the project is shared by Government of India, Government of Tamil Nadu and Urban Local Bodies/Financial Institution in the ratio of 80:10:10. Under this scheme, basic civic amenities such as water supply, underground sewerage and solid waste management were undertaken. Out of 122 projects sanctioned by SLSC at a cost of `706.18 crore under this scheme, 88 projects had been completed. 13 projects were under execution and the remaining 21 projects were yet to be started.

14.14. Tsunami Emergecy Assistance project (TEAP) and Emergency Tsunami Reconstruction Project (ETRP):

To rehabilitate the livelihood of tsunami-affected coastal population, Asian Development Bank granted a sum of `63.67 crore for 19 town panchayats in 5 coastal districts of Kancheepuram, Villupuram, Cuddalore, Nagapattinam and Kanyakumari of which `62.09 crore had been spent as on 31.10.2009. Under ETRP, an amount of `17.51 crore was spent for the construction of 57 houses in 18 town panchayats of 6

218 coastal districts viz., Kancheepuram, Villupuram, Cuddalore, Nagapattinam, Kanyakumari and Thoothukudi as on 31.01.2010.

TWAD board had got assistance from the Asian Development Bank (ADB) under TEAP for providing 36 water supply schemes and 5 recharge structures to the affected habitations at a cost of `84.37 crores. Out of this, 33 water supply schemes and 4 recharge structures had been completed at a cost of `73.81 crore.

14.15. Hogenakkal Water Supply and Fluorosis Mitigation:

The water quality status of Dharmapuri and Krishnagiri districts revealed high fluoride and other contaminants in the ground water, which was adversely leading to diseases such as dental fluorious, blue baby syndrome, skeletal fluorious etc. To provide safe drinking water to the people of these districts, the Government of Tamil Nadu commenced the project of Hogenakkal Water supply and fluorious mitigation with financial assistance from the Japan International Co-operation Agency (JICA). This project was planned in the beginning of 2008 and is scheduled to be completed by December 2012. The total cost of the project was estimated as `1334 crore and revised to `1928.80 crore with an annual maintenance cost of `63.67 cores. This scheme would benefit 29.80 lakh people in 3 Municipalities (Dharmapuri, Krishnagiri and Harur), 17 Town Panchayats and 18 Panchayat Unions.

14.16. Mass Rapid Transit System (MRTS) in Chennai:

The phase-I and phase-II of the MRTS development projects had been completed and were in operation. The connectivity to the length of 5 kms from Velachery to St. Thomas Mount in order to complete a rail loop at an estimated cost of `496 crore was under progress and expected to be completed by December 2012. The cost of implementation is shared by the Government of India and Government of Tamil Nadu in the ratio33:67.The Government of Tamil Nadu have so far released `106.67 crores for the project.

14.17. Outer Ring Road:

To relieve traffic snarls and congestion within the city roads and catalyze the even dispersal of urban growth, the plan for the formation of Outer Ring Road in the outskirts of the Chennai Metro Area was approved by the Government. Land acquisition for the Phase-I of the Outer Ring Road project from NH-45 to NH-205 for a distance of about 29.2 kms had been completed and for Phase II land acquisition for a length of 32.8 km is under progress. The Phase I project would facilitate 6 lane traffic at a cost of `1081.40 crore under BOT and is implemented by the Tamilnadu Road Development Corporation which is expected to be completed by December 2012.

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14.18. Chennai Metro Rail Limited (CMRL):

CMRL is started as a special purpose vehicle (SPV) to execute Chennai Metro rail works modern and economical rapid transit system is under way in order to tackle the traffic congestion experienced in the State. The project is designed by the Delhi Metro Rail Corporation (DMRC) and funded by the Japan International Co-operation Agency (59%) and is shared by Central (20%) and State (21%). The total length would be 45.1 km of which 21.1 km would be elevated and 24 km would be underground. The project cost is estimated as `14,600/- crore in 2007 which was likely to increase by 23 per cent to `18,000/- crore. Corridor I had 12 underground stations and 6 elevated stations. Corridor II would have 9 underground stations and 8 elevated stations.

Table – 14.14 : Stretches of Metro Rail Project

Total length Underground Elevated Sl.No. Corridor (km) (km) (km) 1. Washermenpet to Airport 23.1 14.3 8.8. Chennai Central to 2. 22.0 9.7 12.3 St.Thomas Mount Total 45.1 24.0 21.1

Phase I of the project would be completed by the year 2014-15.In the Detailed Project Report of CMRL, it is estimated that 7.74 lakh passengers would travel per day during the year 2016 and 12.85 lakh passengers per day during 2026 and this would be achieved by providing feeder bus services to all Metro stations since the metro would be connected to all passengers hubs in the city.

14.19. Urban Slums and Emergence of Informal Sector:

Mushrooming growth of urban slums arises due to spill over of rural population who are in search of gainful employment in urban areas. Slums are seen as a blot on the urban landscape. Slums are characterised by unauthorised settlement, overcrowding, thatched houses, deterioration in many public services, shortages of housing, low education, lack of health care, poor health indicators, low hygiene, high urban unemployment, the worsening of income distribution, commission of crimes, constricted outlook and dearth of basic amenities. The slum dwellers are packed like

220 sardines. The Slum Clearance Board constructs and provides tenements for the slum dwellers. There are specific schemes and programmes to ameliorate their socio- economic conditions. In Chennai, 15-20 per cent of the population are slum dwellers. The Government is trying to make urban areas a slum-free pockets. Urban renewal is the principal objective of the Government.

Another cost of urbanisation is emergence of informal sector. The informal sector is a euphemism for cheap labour employment, based on landlessness and unemployment. A situation of polarization of income within urban centres had developed leading to worsening of income distribution. Casual labour and petty trading are predominant in the informal sector. The socio-economic conditions of people coming under informal sector are relatively deplorably poor. This sector merits serious focus of urban planners.

To conclude, urbanisation offers vast opportunities for increasing employment, output and saving and possibilities for increased future investment in both urban and rural areas. Urbanisation is necessary to increase productivity in rural areas by providing assured markets for agricultural produce and stimulating specialisation of agriculture between regions. The urban renewal strategy needs huge financial commitment on the part of the Government. The implementation of MGNREGA puts a break on rural-to-urban migration to a great extent. Works seek the unemployed instead of the unemployed seeking works in rural areas. The Jawaharlal Nehru National Urban Renewal Mission has been addressing the task of creating urban infrastructure. The functional efficiency of urban local bodies needs to be toned up.

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