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Planning the Sustainable Planning Way: the Sustainable Challenges Way: and the Challenges Road Ahead and the | COLLIERS Road Ahead INTERNATIONAL | COLLIERS INTERNATIONAL | 04
Planning the Sustainable Planning Way: the Sustainable Challenges Way: and the Challenges Road Ahead and the | COLLIERS Road Ahead INTERNATIONAL | COLLIERS INTERNATIONAL FOREWORD FOREWORD Mr. Joe Mr.Verghese Joe Verghese ManagingManaging Director Director Colliers International Colliers International India India nfrastructure Infrastructure planning andplanning sustainable and development sustainable development go hand in handgo hand and none in handcanand existnone without can the exist without other. For planning the other.to For be aplanning success,tohuman be a success, involvement human is mandatory. involvementIndia is mandatory. is home to India 1.34 is billion home to 1.34 people, almost billion 18%people, of totalalmost mankind, 18%andof total one ofmankind, the fewand countries one of witnessing the few countries urbanization witnessing at theurbanization rate at of +34%. India the also rate ranks of +34%. at 112 India outalso of 156 ranks countries at 112 out (*)of– 156 and countries these three andfactors these three in tandem factors offer in tandem an offer mmense opportunity an immense to the opportunity developedtocountries the developed and the countries global agencies and theto focus globaltheir agencies sustainable to focus their efforts on India. sustainable efforts on India. ndia has improved India hasfromimproved its 2017 fromranking its 2017 of ranking 116 and ofthat’s 116 anda step that’s in the a step rightin direction the right with direction the with the potential to potential achieve to theachieve global the sustainability global sustainability targets for targets the entire for the mankind, entire for mankind, the next for several the next several generations!generations! Thus, it is absolutely Thus, it imperative is absolutely for theimperative world to support for theIndia world withtotechnical supportwherewithal India with technical and financialwherewithal support in itsandendeavor financial to support have sustainable in its endeavor development to have sustainable for all. development for all. ndia has shown India hasthe shown inclination the inclination to exceed to theexceed sustainable the sustainable targets andtargets has come and hasa long come way a long in way in mplementingimplementing the Sustainable the Development Sustainable Development Goals (SDGs).Goals There(SDGs). is a focused Therepolicy is a level focused thrustpolicy by the level thrust governmentby forthe thegovernment key initiatives for like the Smart key initiatives Cities. NITI like Aayog Smart has Cities. been NITIat Aayog the forefront has been in tracking at the forefront in ndia’s progress tracking in theIndia’s implementation progress of in the theSDGs. implementation However, we of need the aSDGs. lot more However, integrationwe between need a lot more the Centre integration and the States between for policies, the Centre funding and the andStates implementation for policies,asfunding we goand forward. implementation The vast as we go differences forward. in the infrastructure, The vast differences resourcesinand thescale infrastructure, of development resources acrossandvarious scale states of development require across each state to various have specific states require plans and eachpolicies state toandhave the Centre specificneeds plans toandcontinue policiesto and support the Centre all the needs to States and varying continuepolicies. to support all the States and varying policies. Realizing this Realizing need forthis decentralization need for decentralization of planning, the of NITI planning, Aayogthe tracked NITI the Aayog progress tracked of the all States progress of all and UTs on States 62 Priority and UTs Indicators on 62 Priority selectedIndicators by the SDG selected India Index by the last SDG year. India One Index suchlastState year. thatOne hassuch State made significant that has progress made significant in achievingprogress its SDGs in isachieving West Bengal. its SDGs The isState Westhas Bengal. been Thein the State forefront has been in the of green planning forefrontandofdevelopment green planning andand is one development of the few and states is one that of the formed few states the Green that City formedMission the Green City way back inMission 2017 towayfocus backoninenvironment 2017 to focus protection on environment and sustainable protectiondevelopment. and sustainable West development. Bengal’s West serious concern Bengal’s for air serious quality, concern water for resources, air quality, waste water management resources,and waste climate management change issues and climate has change been an integral issuespart has been of itsan planning integral to partpromote of its planning sustainable to promote growth sustainable and healthygrowth life style and for healthy its life style citizens. for its citizens. thank CREDAII thankBengal CREDAIfor Bengal giving us for this giving opportunity us this opportunity to partner towith partner them with for the themBengal for the Global Bengal Global Business Summit- Business2019. Summit- I hope that 2019. Colliers I hopeInternational that Colliers India’s International report on ‘Planning the Sustainable India’s report on ‘Planning the Way: Challenges Sustainable and Way: the Road Challenges Ahead’and the Road brings to theAhead’ forefront, bringsthe to the key forefront, progress the thatkeyIndia, progress that particularly,India, the State particularly, of West the Bengal, Statehasof West madeBengal, in sustainable has made planning. in sustainable planning. | 02 | 02
Planning the Sustainable Planning Way:the Challenges Sustainable andWay: the Road Challenges Aheadand | COLLIERS the RoadINTERNATIONAL Ahead | COLLIERS INTERNATIONAL 03 | 03 |
Planning the Sustainable Planning Way:the Challenges Sustainable andWay: the Road Challenges Aheadand | COLLIERS the RoadINTERNATIONAL Ahead | COLLIERS INTERNATIONAL FOREWORD FOREWORD Mr. Nandu Mr. Nandu Belani Belani Director Chairman, Belani Group Belani Group & President, CREDAI Bengal rem ipsum dolor Infrastructure sit amet,and consectetur real estate adipiscing taken together elit, issed a major do eiusmod sector that tempor propels incididunt far-ranging ut labore development of the dolore magnaeconomy. aliqua.Over Ut enim the past ad minim 7 yearsveniam, we havequis witnessed nostrud how exercitation the West Bengal ullamcoState laboris Government nisi ut has laid great quip ex ea commodo emphasis consequat. on strengthening Duis aute existing irureand dolor building in reprehenderit new infrastructure. in voluptate This velit has esse included cillum under its ambit, ore eu fugiat townships, nulla pariatur. road networks, Excepteurindustrial sint occaecat infrastructure cupidatatetc. nonCompared proident, to sunt 2010-11, in culpa physical qui officia infrastructure has serunt mollitgrown anim byid almost est laborum 4 times.* Thus it has also become important to understand the sustainability quotient of such proliferation of infrastructure. d ut perspiciatis unde omnis iste natus error sit voluptatem accusantium doloremque laudantium, am rem aperiam, As industry eaqueinfluencers ipsa quae ab andillo entrepreneurs, inventore veritatisI believe et quasi urbanarchitecto and regional beatae planners vitae have dicta to guide this nt explicabo.change. Nemo enimIt is important ipsam voluptatem for urban quia planning voluptas professionals sit aspernaturto create aut oditrevitalization aut fugit, sed projects, quia addressing nsequuntur population magni dolores growth,eosenvironmental qui ratione voluptatem degradation,sequi and resource nesciunt.scarcity. Neque porro Planning quisquam is also necessary est, in new dolorem ipsum and existing quia dolor communities, sit amet, consectetur, which requireadipisci extensive velit, development sed quia nonand numquam improved infrastructure, eius modi including mpora incidunt housing, ut labore roadsetanddolore highways, magnam water aliquam and sewer quaerat systems, voluptatem. schools, Ut health enim adcare minima facilities, veniam, and parks. s nostrum exercitationem ullam corporis suscipit laboriosam, nisi ut aliquid ex ea commodi nsequatur? InQuis shortautem we have vel toeum keepiure on striving reprehenderit to createqui andinimplement ea voluptate responsible velit esse planning-policies quam nihil to match our lestiae consequatur, global peers. vel illum qui dolorem eum fugiat quo voluptas nulla pariatur? vero eos etOver accusamus the past four et iusto years, odioit has dignissimos been an immensely ducimus educative qui blanditiis journey praesentium to have co-partnered voluptatumwith the West eniti atque Bengal corrupti Government quos dolores for hosting et quas a sectoral molestias sessionexcepturi at the Government’s sint occaecati annual cupiditate investmentnonsummit ‘Bengal ovident, similique Global sunt Business in culpa Summit’ qui officia (BGBS). deserunt It has mollitia helped industry animi, idand est government laborum et dolorum peers dissect fuga. a plethora of harum quidemsignificant rerumaspects facilis est of real et expedita estate anddistinctio. infrastructure. Nam libero tempore, cum soluta nobis est gendi optio cumque nihil impedit quo minus id quod maxime placeat facere possimus, omnis uptas assumenda The sectoral est, omnis session dolor thisrepellendus. year, with knowledge Temporibus partner autemColliers quibusdam International et aut officiis will provide debitis a platform to rerum necessitatibus discuss and deliberate saepe eveniet on the ut opportunities, et voluptatesunique repudiandae advantages sint in investing et molestiae and development non of an cusandae. Itaque ecosystemearumwhich rerum can propel hic tenetur a resilient a sapiente and environment-friendly delectus, ut autgrowth reiciendis of West voluptatibus Bengal. iores alias consequatur aut perferendis doloribus asperiores repellat I thank Colliers International for collaborating with us as Knowledge Partner for this sectoral session at BGBS 2019 and I hope that this report on ‘Planning the Sustainable Way : Challenges and the Road Ahead’ will essay the urgent need for responsible management of resources leading to sustainable development. *As per a World Bank Report 2016 | 04
Planning the Sustainable Way: Challenges Planning and the the Sustainable Road Way: Ahead | COLLIERS Challenges INTERNATIONAL and the Road Ahead | COLLIERS INTERNATIONAL India isIndia urbanising is urbanising India’s current India’s 5.3 billion square green building 5.3 feet (492.6 billion footprint current green million square is about building feet square footprint is ab (492.6 million square rapidly,rapidly, with anwith an meters) , ranked second, ranked meters) only to second the United only to the United 3 3 States. Policymakers, States. developers Policymakers,anddevelopers and estimated 2017 urban estimated 2017 urban corporations are increasinglyare corporations identifying the identifying the increasingly environmental, environmental, social and economic social benefits and economicof benefits adopting greenadopting initiatives.green initiatives. population of 34%,of 34%,Various state governments population Various stateincluding governmentsPunjab,including Punjab compared to the to the 11.4% compared Haryana, West Bengal, Haryana, 2) offer incentives 2) offer Maharashtra West Bengal, suchincentives as a higher (see Figure Maharashtra floor such as space (see Fig a higher floor sp 11.4% inin 1904 1904.. 11 index, financialindex, assistance for green developments. andassistance financial faster clearances Making a building for green developments. and faster cleara Making a building green focuses green on water efficiency, focuses energy on water efficiency, energy By 2030, the country By 2030, is expected the country to be home to beefficiency, is expected home the sustainability efficiency, theofsustainability materials andof materials and to seven mega-cities to sevenwith a population mega-cities withabove a populationresources above 10 and resources indoor environmental and indoor quality environmental quality 10 million 2, nearly 600 million 2 million Indians , meaning nearlyor600 40% million Indians control.or control. of the country's40%population will likelypopulation of the country's live in will likely live cities. This demands a systemic in cities. change This demands in a systemic change in urban planningurban and sustainable planning and development, sustainable development, Our estimates, along withalong with Our estimates, otherwise thereotherwise will likelythere be tremendous will likely be tremendous pressure on civic infrastructure pressure on civic leading to infrastructure leading to environmental environmental degradation and air pollution. degradation industry analysts and air pollution. industryindicate analyststhat indicate that Therefore, holistic city planning Therefore, holisticiscity required to is required to planning deal with issues such deal with asissues water such supply, as water supply, the initial incremental capital the initial incremental capital electricity, waste management, electricity, rubbishtraffic snarls management, traffic snarls and pollution. Urban planningUrban and pollution. in India needs to planning in India needs to be a creative andbe ascientific creativeprocess to meet and scientific the to meet process investment the of 8-10 % of investment in 8-10 a % in a enormous goals of upgrading enormous goalsthe of cities to the cities to upgrading support the growing support population, the growing while providingwhile providing population, momentum to support momentum the to government’s support the 2015 building’s green government’s 2015 development building’s can green development Smart Cities Mission Smart at the same Cities Mission time. at the same time. be recovered in two to three be recovered in two to three Fig. 1 Fig. 1 Urbanisation Urbanisation in India in India years due years to the due large to savings in savings the large 11.4% 11.4% 1904 census 1904 census energy andenergy resource and costs. resource 4 costs.4 28.5% 28.5% Sustainability has been taught Sustainability hasasbeen the core of as the core o taught 2001 census 2001 census urban planningurban and architecture planning and forarchitecture years, yet for years, y widespread adoption has been widespread lacking. adoption hasAlthough been lacking. Altho the Green Ratingthefor Integrated Green Rating Habitat for Integrated Habitat 31.1% 31.1% Assessment (GRIHA) organisation Assessment (GRIHA)has devised has devis organisation 2011 census 2011 census a rating programme in programme a rating India, it is exclusively in India, itfor is exclusively the residential the sector, and onlysector, residential the Central and only the Central 34.0% 34.0% Public Works Department Public Works of Department India has included of India has includ 2017(estimate) 2017(estimate) its mandate. its mandate. 1 World Bank 1 World Bank 2 UN World Cities Report 2016 2 UN World Cities Report 2016 3 IGBC 3 IGBC 05 | 05 | See also: India Achieves 5 Billion Sq.also: See Ft. Green Building Footprint. India Achieves CIIFt. 5 Billion Sq. - Indian GreenGreen Building Building Council, Footprint. CII -2018 Indian Green Building Council, 2018 4 4
Planning the Sustainable Way: Challenges Planning and the the Sustainable Road Way: Ahead | COLLIERS Challenges INTERNATIONAL and the Road Ahead | COLLIERS INTERNATIONAL Fig. 2 Fig. 2 States States providing benefitsbenefits providing for GREEN BUILDINGS for GREEN BUILDINGS The Government TheofGovernment India (GoI) has several of India (GoI) has several programmes, as noted below,astonoted programmes, meet below, the to meet the burgeoning infrastructure burgeoning needs and improve infrastructure needs and improve the overall development the overallofdevelopment cities. We of cities. We recommend that these programmes recommend that thesebeprogrammes more be more well integratedwell across government integrated acrossagencies and agencies and government local authorities so that local the desired authorities objectives so that the desired objectives are achieved. are achieved. olliers International Source: India Research Colliers International Smart Cities Mission Smart Cities Mission Housing for allHousing for all Atal Mission for AtalRejuvenation Mission for and Rejuvenation and most development As mostindevelopment India is led byin the India is led by the Urban Transformation (AMRUT) Urban Transformation (AMRUT) ate sector, private we believe thatwe sector, there mustthat believe be there must be push and both pull to increase push thetogreen and pull increase the green HRIDAY (National Heritage HRIDAY City Heritage City (National ding footprint in India. building Incentives footprint and Incentives and in India. Development Development and Augmentation and Augmentation rnmental programmes governmentalshould push should push programmes Yojana) Yojana) lopers to increase developersconstruction to increaseofconstruction green of green dings whilebuildings clearer articulation while clearer articulation of the National Mission of the on sustainable National Mission on sustainable efits of occupying benefitsgreen buildingsgreen of occupying shouldbuildings shouldhabitat habitat in end-users. pull in end-users. Clean India mission Clean India mission | 06 | 06
Planning the Sustainable Planning Way: Challenges and the Way: the Sustainable Road Challenges Ahead | COLLIERS INTERNATIONAL and the Road Ahead | COLLIERS INTERNATIONAL Adopting the United Adopting the Nations United Nations Sustainable Development sustainable Goals goals development In 2015, the GoI made a commitment In 2015, the GoI made at athe UN commitment TheUN at the SDGs are a comprehensive The SDGs are adevelopment comprehensive agenda development a General AssemblyGeneral to implement Assembly the to Sustainable implement the Sustainableto be implementedtoby bethe countries based implemented by theon their based on th countries Development Goals (SDGs). It involved Development makingIt cities Goals (SDGs). nationalcities involved making circumstances nationaland feasibility. The circumstances andSDGs feasibility. The SDG smart, sustainablesmart, and engines of progress sustainable and enginesby 2030 of progressconsist of 17 goalsconsist by 2030 with 169 targets of 17 goals as with a continuation 169 targets as a contin in addition to the in goals of ending addition to thepoverty, goals ofproviding ending poverty,ofproviding the Millennium of Development the MillenniumGoals . India is Goals5. India is Development 5 housing and basichousing services to basic and all by services the earlyto 2020s. focused all by the early on the goals 2020s. for which focused on thedata is for goals available. which data is available The National Institution for Transforming The National Institution forIndia Transforming India Aayog (NITI Aayog) has (NITI Aayog been Aayog) entrusted haswithbeentheentrusted with At thetheend of 2018, At NITI Aayog the end tracked of 2018, NITItheAayog progress tracked the pro responsibility of overseeing the of responsibility implementation overseeing theofimplementationof all states of and union of all territories states and on 62 priority union territories on 62 priority SDGs while the Ministry of Statistics SDGs while and of Statistics andindicators selected the Ministry by the SDG indicators India by selected Index. BelowIndia the SDG is Index. Bel Programme Implementation ProgrammeisImplementation entrusted with is entrusted the withsnapshot of thetheperformance snapshot of in theFigure 3. performance in Figure 3. developing a national indicator developing framework a national for framework for indicator measuring the targets associated measuring with the the targets SDGs. with the SDGs. associated Fig. 3 Fig. 3 Performance Snapshot of SDGs Performance Snapshot of S When reading SDG WhenIndia Index reading Scores SDG Indiawithin Index each Scoresgoal, within each goal, leading states/UTs canstates/UTs leading be identified canunder each goal be identified under each goal Goal 6: Clean water & Goal 6: Clean water Sanitation Sanitation Goal 4: Quality Goal 4: Quality Gujrat, Chandigarh, Gujrat, Chandigarh, Education Education Dadra & Nagar Dadra & Nagar Goal 1: No Poverty Goal 1: No Poverty Haveli, Lakshwadeep Haveli, Lakshwadeep Kerela & Chandigarh Kerela & Chandigarh Tamil Nadu& Puducherry Tamil Nadu& Puducherry Goal 5: Gender Goal 5: Gender Goal 7: Affordable Goal 7: Affo Equality Equality & Clean energy & Clean ene Goal 2: Zero Hunger Goal 2: Zero Hunger Kerela, Sikkim, Kerela, Sikkim, Andaman & Nicobar Andaman & Nicobar Tamil Nadu & Tamil Nadu & Goa and Delhi Goa and Delhi Goal 3: Good health GoalIsland 3: Good health Chandigarh Chandigarh Island & well being & well being Kerela & Puducherry Kerela & Puducherry Goal 10: Reduced Inequality Goal 10: Reduced Inequality Goal 8: Decent work & Goal 8: Decen Meghalaya, Mizoram, Telangana, Dadra Meghalaya, Mizoram, Telangana, Dadra economic growth economic grow & Nagar Haveli, Daman && Diu, NagarLakshadweep Haveli, Daman & Diu, Lakshwadeep Goal 9: Industry, Innovation Goal 9:& Industry, Innovation & Infrastructure Infrastructure Goa & Daman & Diu Goa & Daman & Manipur, Delhi & Puducherry Manipur, Delhi & Puducherry Goal 13: Peace, justiceGoal 13: Peace & strong institutions & strong instit Himachal Pradesh & Himachal Prade Puducherry Puducherry Goal 11: Sustainable Goal 11: Sustainable cities and communitiescities and communities Goa, Andaman & Goa, Andaman & Nicobar Islands Goal 12: Life on Land Goal 12: Life on Land Nicobar Islands Assam, Chhattisgarh, Goa, Manipur, Assam, Odisha, Uttrakhand, Chattisgarh, Dadra Goa, Manipur, & Uttrakhand, Dadra & Odisha, Source: NITI Aayog Source: NITI Aayog Nagar Haveli, Lakshadweep Nagar Haveli, Lakshwadeep 5 The Millennium Development5 Goals were the eight The Millennium international Development development Goals goals were the eight for the yeardevelopment international 2015 that had been goals forestablished following the year 2015 the been that had Millennium Summit established of the United following Nations in the Millennium 2000, of the United Nations Summit following the adoption of the United Nations following Millennium the adoption Declaration of the United Nations Millennium Declaration 07 | 07 |
Planning the Sustainable Planning Way: Challenges and the Way: the Sustainable Road Challenges Ahead | COLLIERS INTERNATIONAL and the Road Ahead | COLLIERS INTERNATIONAL martSmart Cities Cities ission Mission Smart Cities Mission, The Smart together Cities Mission, together Housingwith for All, is planned Housing for All,tois planned to tate implementation of the priority facilitate implementation of the priority ainable Development Goals Sustainable Development Goals Gs), namely poverty, (SDGs), employment, namely poverty, employment, basic amenities. and basic amenities. overnment aims to build 20 million The government aims toaffordable build 20 million affordable 6 for urbanhomes poor by6 2022 for andpoor urban initiated the and initiated the by 2022 Cities Mission Smartin 2015 CitiestoMission sustainably in 2015develop to sustainably develop ties across 100 the country making cities across thethem citizen country making them citizen y by providing environment-friendly friendly urban by providing environment-friendly urban ructure where all smart facilities infrastructure where allcan easefacilities can ease smart fe. their life. mart Cities The Mission Smartis an urban Cities renewal Mission is an and urban renewal and tting programme by theprogramme retrofitting GoI with the bygoal of with the goal of the GoI ating city functions, integratingefficiently utilisingefficiently city functions, scarce utilising scarce ces and improving resources theand quality of life.the improving It isquality of life. It is d with the SDGs alignedand addresses with the SDGs issues relating issues relating and addresses ic services to including clean water basic services and clean water and including tion, inclusive city planning, sanitation, development inclusive city planning, of development of al and social infrastructure, physical and socialrecycling and infrastructure, recycling and of waste, and useofofwaste, reuse renewables, and use among other of renewables, among other s. factors. three yearsIntotheMarchthree2018, yearstheto Smart March Cities 2018, the Smart Cities n utilised less than utilised Mission 5% of itslesstotal project than 5% of its total project t, which hasbudget, led to criticism which hasofled thetolagging criticism of the lagging mentation. However, looking However, implementation. at it differently, looking at it differently, nly 5% of thewithfunds onlyutilised 5% of 7the, the programme funds utilised7 , the programme ot burnt through has not its burnt budget. With 95% through of the With 95% of the its budget. ted INR2.03budgeted trillion (USD28.7 billion) (USD28.7 INR2.03 trillion still left, billion) still left, an consider onethe initial spending can consider theasinitial part spending of the as part of the mentation, returning deep insight implementation, and lessons returning deep insight and lessons ure projects.forThe successful future projects.implementation The successful implementation remaining budget can build on of the remaining the experience budget can build on the experience first 5% of ofthethe budget, first 5%with of city the and areawith budget, levelcity and area level firmly in place planswhenfirmlyfurther funding in place whenisfurther funding is ed. allocated. of Housing and Urban Affairs, Government 6 Ministry of India of Housing and Urban Affairs, Government of India es.gov.in 7 Smartcities.gov.in | 08 | 08
Planning the Sustainable Planning Way: Challenges and the Way: the Sustainable Road Challenges Ahead | COLLIERS INTERNATIONAL and the Road Ahead | COLLIERS INTERNATIONAL Three Three factors for success factors for success Colliers International believes there are three important factors for successful implementation of large-s initiatives such as the Smart Cities Mission. First is the political willingness, with a policy framework be Colliers International believes there are three important factors for successful implementation of large-scale subset of this factor. The second factor is financial strategies for implementation, and lastly technical initiatives such as the Smart Cities Mission. First is the political willingness, with a policy framework being a wherewithal to execute the project successfully. subset of this factor. The second factor is financial strategies for implementation, and lastly technical wherewithal to execute the project successfully. Currently it is difficult for Urban Local Bodies Political will and (ULBs) to gain access to credit to support the Currently it is difficult for Urban Local Bodies policy Political will and framework cities initiative due to their historically poor (ULBs) to gain access to credit to support the smart creditworthiness, lack of assets to be offered a policy framework cities initiative due to their historically poor collateral and opaque financial reporting. More creditworthiness, lack of assets to be offered as recently, ULBs have started improving their fin collateral and opaque financial reporting. More transparency; however, the quality of reporting The Indian bureaucracy has shown a rare recently, ULBs have started improving their financial inconsistent across the country. To continue th collaboration between the national government and however, the quality of reporting is transparency; The Indian bureaucracy has shown a rare momentum of the smart cities project, the the states, with the prime minister’s office and the across the country. To continue the inconsistent collaboration between the national government and government has realised the to need improve t national Ministry of Urban Development momentum (MoUD) of the smart cities project, the the states, with the Prime Minister’s Office and the creditworthiness of ULBs. As ULBs’ credit rat working in tandem with states and municipalities. government Byhas realised the need to improve the national Ministry of Urban Development (MoUD) improve, additional financing mechanisms like December 2018, most selected cities have creditworthiness of ULBs. As ULBs’ credit ratings working in tandem with states and municipalities. By municipal bonds should become available. developed a process to take the projectsimprove, towards additional financing mechanisms like December 2018, most selected cities have award, execution and commissioning. municipal bonds should become available. developed a process to take the projects towards The national government has two additional re award, execution and commissioning. streams, green bonds and infrastructure lease The national government has two additional revenue Green Bonds are used to fund clean energy pr streams, green bonds and infrastructure leases. Companies that raise money through these bon Green Bonds are used to fund clean energy projects. must invest the proceeds in areas that are Companies that raise money through these bonds Identified funding environmentally friendly such as renewable en must invest the proceeds in areas that are waste management, clean transport or sustain sources Identified funding environment friendly such as renewable energy, land use. Looking to the future, we expect the waste management, clean transport or sustainable sources government to take advantage of concessions, land use. Looking to the future, we expect the including tax exemptions, to increase domestic government to take advantage of concessions, demand for green bonds. Furthermore, issuing In the last three years, various marketingincluding schemes,tax exemptions, to increase domestic sovereign green bond would be a clear signal demand financing and implementation strategies for smart for green bonds. Furthermore, issuing a In the last three years, various marketing schemes, government’s support for sustainability and the sovereign cities have been debated. Projects with steady and green bond would be a clear signal of the financing and implementation strategies for smart environment, making green bonds more attrac government’s assured cash flow such as sewage treatment plants, support for sustainability and the cities have been debated. Projects with steady and investors. toll roads, parking and health centres areenvironment, easily making green bonds more attractive to assured cash flow such as sewage treatment plants, marketable and can be financed through investors. a Monetizing infrastructure, converting non-reve toll roads, parking and health centres are easily public-private partnership (PPP) model. generating assets into sources of revenue, is a marketable and can be financed through a Monetizing infrastructure, converting non-revenue Public-Private Partnership (PPP) model. additional source of funding for smart cities. W Funding of medium-term projects, such generating as exhibitionassets into sources of revenue, is an recommend leasehold rights for land allotted and convention centres with inconsistentadditional cash flow,source of funding for smart cities. We alongside such infrastructure initiatives be on Funding of medium-term projects, such as exhibition recommend leasehold rights for land allotted should largely be managed by the national 99-year lease, rather than the current practice and convention centres with inconsistent cash flow, alongside such infrastructure initiatives be on a government and state schemes, as well as 30-year lease. This would make these projects should largely be managed by the national 99-year lease, rather than the current practice of a borrowing from various development banks. Funding investor-friendly and provide more certainty fo government and state schemes, as well as 30-year lease. This would make these projects more for long term projects can come from charges levied investors looking for an eventual exit from the borrowing from various development banks. Funding investor-friendly and provide more certainty for for using smart facilities, user fees, impact fees and projects. demand for green bonds. for long term projects can come from charges levied investors looking for an eventual exit from these beneficiary charges, among other sources. for using smart facilities, user fees, impact fees and projects. beneficiary charges, among other sources. 09 | 09 |
Planning the Sustainable Planning Way: Challenges and the Way: the Sustainable Road Challenges Ahead | COLLIERS INTERNATIONAL and the Road Ahead | COLLIERS INTERNATIONAL rmore, issuing a sovereign green bond would ear signal of the government’s support for ability and the environment, making green more attractive to investors. Technological acumen Technological acumen On the technology front, the Smart Cities Mission marries physical and technology infrastructure, e technology front, the Smart Cities Mission where data analytics and advanced software es physical and technology infrastructure, automatically manage various functions including data analytics and advanced software street lighting, water treatment plants and traffic. atically manage various functions including lighting, water treatment plants and traffic. Implementation of such a smart city requires massive bandwidth. The competitive information and mentation of such a smart city requires communications technology (ICT) sector in India ve bandwidth. The competitive information and ensure bandwidth availability and competitive unications technology (ICT) sector in India pricing. Late entrants like Reliance Telecom have e bandwidth availability and competitive forced other players to remove bottlenecks in their g. Late entrants like Reliance Telecom have networks and reduce pricing, resulting in an d other players to remove bottlenecks in their expanding technology infrastructure which can rks and reduce pricing, resulting in an support the ICT requirements of smart cities. ding technology infrastructure which can rt the ICT requirements of smart cities. The technological expertise acquired from developing smart cities in India, combined with the chnological expertise acquired from existing Make-in-India programme and the easing of oping smart cities in India, combined with the regulations on multinationals manufacturing in India ng Make-in-India programme and the easing of have opened opportunities abroad. As domestic tions on multinationals manufacturing in India momentum for the smart cities initiative grows, India opened opportunities abroad. As domestic is poised to become the exporter of smart city. ntum for the smart cities initiative grows, India solutions after the first wave of smart cities is sed to become the exporter of smart city. commissioned, starting in 2022-23. ons after the first wave of smart cities is issioned, starting in 2022-23.become the ter of smart city solutions after the first wave art cities is commissioned, starting in 23. | 10 | 10
Planning the Sustainable Way: Challenges Planning and the Road Ahead | COLLIERS the Sustainable INTERNATIONAL Way: Challenges and the Road Ahead | COLLIERS INTERNATIONAL Smart Cities. Smart Citie PlanningPlanning for the next phase for the next phase 11 | 11 |
Planning the Sustainable Way: Challenges Planning and the Road Ahead | COLLIERS the Sustainable INTERNATIONAL Way: Challenges and the Road Ahead | COLLIERS INTERNATIONAL With the political will With and the political will and policy frameworks policy frameworks firmly in firmly place,inthe place, the teething hiccups already teething hiccups already overcomeovercome andand thethe project contracting, and project contracting, and fundingfunding mechanisms identified, the road ahead is mechanisms leading identified, the road ahead is to successful leading to implementation of the Smart Cities successful implementation of theMission. Smart We believe the critical factor the Cities Mission. We believe for successful critical implementation is the transfer of ownership factor for successful implementation is of the projects to private agencies. the transfer of ownership of theTheprojects private sector offers the capability, to private agencies. Thebandwidth privatenotsector to mention the funding mechanism for executionnot offers the capability, bandwidth andtoefficient implementation in a time bound manner. mention the funding mechanism for execution and efficient implementation in a time bound manner. | 12 | 12
Planning the Sustainable PlanningWay: the Sustainable Challenges Way: and the Challenges Road Ahead and |the COLLIERS Road Ahead INTERNATIONAL | COLLIERS INTERNATIONAL Kolkata Kolkata Attempting Attempting to renewtothe renew health theofhealth the city of the city West BengalWest opted Bengal out ofopted the Smart out ofCity the Mission Smart City mission Fig. 4 Fig. 4 Noteworthy Investments Noteworthy Investments in in and initiatedand its initiated own Greenits City own Mission Green City instead mission instead Sustainable Development Sustainable Development The Green City The Mission Green City envisages Missionimplementation envisages implementation of In August 2018, Asian Development Bank of sustainable sustainable strategiesstrategies to supporttooverall supportcity overall city In August 2018, Asian Development Bank approved approved a financing package of INR17.4 billion a financing package of INR17.4 billion (USD245 development.development. The Urban Development The Urban Development Department Department is (USD245 million)million) to provide safe, safe, to provide sustainable sustainable drinking water drinking water service servicetotomillions of people millions of peopleininthree districts of is the implementing the implementing agency foragency the Green for the CityGreen City Mission three districts of West Bengal affected by West Bengal affected by arsenic, fluoride, and Mission in West in West Bengal, Bengal, withwith the the statestate government government salinity. arsenic, fluoride, and The project salinity. is planned The project is to provide sponsoring the sponsoring project. the project. planned to provide continuous potable water metered continuous potable water through connections to about 390,000 individual through metered connections to about 390,000 households in the districts of North 24 Parganas, individual households in the Bankura anddistricts of NorthThis project plays a Purba Medinipur. The missionThe aimsmission to focusaims on to environmental focus on environmental 24 Parganas, Bankura pivotaland rolePurba Medinipur. in reducing poisoning from arsenic and protection and protection sustainableand sustainable developmentdevelopment across the across the This project playsfluoride a pivotal role while in reducing preserving groundwater and poisoning from arsenic andresilience enhancing fluoride towhile climate change. city. In 2017,city. West In Bengal’s 2017, West Green Bengal’s CitiesGreen MissionCities Mission preserving groundwater and enhancing identified target identified areastarget and developed areas andaction developed plans.action plans. resilience to climate change. The missionThe aimedmission to trigger aimed extensive to triggerdevelopment extensive development In April 2018, Poland launched a new programme - across 1,937across schemes 1,937 at schemes an estimated at ancost estimated of cost of the ‘West Bengal Project’ to strengthen bilateral INR6.53 billion INR6.53 8 billion8million) (USD92.2 (USD92.2 in itsmillion) first year in its first year of cooperation In April 2018, Poland withaIndia launched newand facilitate greater collaboration in the mining sector. The proposed of implementation. implementation. The schemes The schemes involve green involvespace green space programme - the ‘West Bengal Project’ to solutions are not only aimed at increasing mining strengthen bilateral cooperation with India andrelate to development, development, high mast lighting, high mast sustainable lighting, sustainable public public output and productivity, facilitate greater collaboration but also in the miningand safety, clean coal environmental sustainability transport, installation transport, of installation CCTV security, of CCTV conservation security, conservation sector. The proposed solutions technologies, are not energy only efficient generation, of water bodies, of waterdevelopment bodies, development of road medians/of road medians/ aimed at increasing mining output transportation and related areas. and other productivity, but also relate to environmental central reservation, central reservation, landscaping landscaping and tree planting, and tree planting, sustainability and safety, clean coal among otheramongprojects. other projects. technologies, Source: energy Asian Development Bank,generation, efficient The Economic Times transportation and other related areas. The adoptionThe of adoption the GreenofCitythe Mission Green City andMission other and other Source: Asian Development Bank, The Economic Times green buildinggreen programmes building programmes by the state by government the state government is planned toissave planned resources to saveand resources mitigateand mitigate environmental environmental impacts. Adopting impacts. guidelines Adoptingand guidelines andWest BengalWest allowsBengala 10% allows a 10% monitoring benchmarks monitoring benchmarks are critical to arethe critical success to the of success of additional floor additional space floorindexspaceif index if this project, this and project, we recommend and we recommend routine programme routine programme developers adopt developersa green adopt ratinga green rating monitoring to monitoring ensure resource to ensure conservation resource conservation and and system. However, system,sometimes but these incentives the are environmental environmental goals are achieved. goals are achieved. incentives are notnotlinkedlinkedwith with actual building actual building performance. performancewhich This may result in The state government The state government has also garnered has alsoinvestment garnered investment may result in poorpoor performance performance compared to from institutions from and institutions countries and(see countries Figure (see 4) forFigure 4) compared for toconventional conventionalbuildings. We developmentdevelopment of the state ofandthetowards state and sustainability. towards sustainability. buildings. We recommend recommend improved building improved building monitoring monitoring and fines andfor fines for non-compliance. non-compliance. TheThe performance performanceshould shouldbebemeasuredmeasuredon a graduated on a graduated basis,basis, requiring requiringimprovement, not improvement, justnotadhering just adhering to a minimal to a minimal standard. standard. 8 Media report, West8 Bengal Media urban report,department West Bengal urban department 13 | 13 |
Planning the Sustainable PlanningWay: the Sustainable Challenges Way: and the Challenges Road Ahead and |the COLLIERS Road Ahead INTERNATIONAL | COLLIERS INTERNATIONAL 1937 1,937 extensive extensive development schemesschemes development 9.5 9.5 + 6 + 0.6 MN SQ FT MN SQ FT MN SQ FT MN SQ FT inrinr 6.536.53 bn bn stimated Cost Estimated mplementation in the first Cost implementation year in of the first year of Grade A office Grade space Under-development A office space Under-development office space office space Rajarhat Rajarhat KolkataKolkata | 14 | 14
PlanningWay: Planning the Sustainable the Sustainable Challenges Way: Challenges and the and |the Road Ahead Road Ahead COLLIERS | COLLIERS INTERNATIONAL INTERNATIONAL The satelliteThe citysatellite of New city Town, of Rajarhat, New Town, is Rajarhat, a is a Activities/PoliciesActivities/Policies Fig. 5 Fig. 5 high growth commercial high growth commercial area and under intensearea and under intense in Sustainable in Sustainable development. development. Currently it Currently it hassquare has 9.5 million 9.5 million square Development Development Space Space feet 9 (882,900 square metres) feet (882,900 square metres) of Grade A office 9 of Grade A office space with anspace with an600,000 additional additional 600,000 square feet square feet Renewable Energy (55,762 square metres) of office space underspace under (55,762 square metres) of office Renewable Energy development, development, in addition to in the addition to the new residential new residential The State Government is planning to and infrastructure and infrastructure development. development. In areas with In areas with install a grid-connected solar roof-top PV The State Government is planning to install such intensesuch intense development, development, constructionconstruction and and system in government buildings a grid-connected including solar roof-top PV system demolition demolition (C&D) waste(C&D) is oftenwaste is often created created in large in large in government buildings of local bodies. All buildings state including buildings government of local bodies. departments and All allstate government district quantities. We believe that sustainability quantities. We believe that sustainability should should departments and all district magistrates magistrates have been involved in be infused inbedevelopment infused in development practices, including practices, including have been involved in implementation of the implementationprogramme. of the programme. The Renewable The West Bengal stringent implementation stringent implementation of C&D waste of C&D waste West Bengal Renewable Energy Agency is the Energy Development managementmanagement rulesinintegrated rules integrated in building by-laws. building by-laws. Development Agency is the agency implementing implementing for the programme. Emerging micromarkets Emerging micromarkets require robust urban require robust urban agency for the programme. planning andplanning should aimand to should aim to minimise theminimise impact of the impact of construction and rapid urbanisation. construction and rapid urbanisation. To achieve To achieve the Green City Mission goals, the Green City Mission goals, monitoring of monitoring of Clean Transportation Clean Transportation building building design design anduse and materials, materials, of energy use of energy efficient and efficient technology technology complianceand compliance with the with the The Department of Environment is The Department of Environment is financing sustainability guidelines sustainability guidelines are essential. are essential. financing the introduction of 20 the introduction of 20 compressed natural compressed natural gas buses gas (CNG) (CNG)inbuses in the Asansol and the Asansol and Durgapur Durgapur areaarea as of as part part their clean fuel The state government The state government of West of West Bengal, which Bengal, which of their clean fuel initiative. initiative. CNG are less polluting than CNG vehicles has shown serious concern has shown serious concern for air quality, water for air quality, water vehicles are less polluting diesel than or petrol diesel buses. Theor Durgapur–Asansol resources and waste management, is now region petrol buses. The has an abundant supply of coal bed Durgapur–Asansol resources and waste management, is now methane, which should keep the fuel integrating climate change in its planning, to region has an abundant supply of coal integrating climate change in its planning, to transport cost to a minimum. bed methane, which should keep the promote sustainable growth promote sustainable growth and a healthy life and a healthy life fuel transport cost to a minimum. styles for its citizens. Figure 5 styles for its citizens. Figure 5 shows the list of below shows the list of initiatives that initiatives that the state government isthe state government is implementing. implementing. Waste Management Waste Management The Kolkata Solid Waste Improvement Project is an integrated The Kolkatamunicipal Solid Waste solid Improvement Project waste management system involving is an integrated municipal solid waste six municipalitiesmanagement system involving around Kolkata. One six compost plant in municipalities around Kolkata. One compost each municipality plant in each municipality complements one complements one common sanitary common sanitary landfill and leachate landfill and leachate treatment treatment facility. facility. The capacity of each The capacity ofcompost each compost plant plant is 153 is per day and the tonnes 153 tonnes permost day unique and thefeature most isunique the sharing of one feature is the sharing sanitary of one by landfill sanitary all six municipalities. landfill by all six municipalities. Adaptation Adaptation An Integrated Coastal Zone Management Project (ICZMP)An Integrated project Coastal Zone Management is being implemented byProject the West(ICZMP) Bengalproject is being implemented by the West Bengal Department of Environment. The Department of objectives of theEnvironment. project are toTheprotect objectives the of the project are to protect livelihood of residents, the livelihood of residents, to to minimise minimise damage in coastal areas, and to damage in coastal areas, and to protect protect coastal ecosystem and biodiversity. coastal ecosystem and biodiversity. The The ICZM project covers the coastal region of ICZM project covers the coastal region of South 24 Parganas and East Midnapore. South 24 Parganas and East Considering theMidnapore. impacts of the climate Considering the change impactsin of the climate coastal belts, the successful change in coastal belts, the successful implementation of ICZM should improve the implementation resilience of ICZM should improvecommunity. of the coastal the resilience of the coastal community. Source: theclimategroup.org Source: theclimategroup.org 9 As of Q4 2018 9 As of Q4 2018 15 | 15 |
PlanningWay: Planning the Sustainable the Sustainable Challenges Way: Challenges and the and |the Road Ahead Road Ahead COLLIERS | COLLIERS INTERNATIONAL INTERNATIONAL Kolkata Kolkata gets gets itslabel! its green green label! New Town in New WestTown Bengalin West is theBengal latest isgreen the latest green city. The city. The fast-growing fast-growing satellite citysatellite has been city has been as recognised recognised as a by a Green City Green the Indian Green City byGreen the Indian Building Building Council Council (IGBC). New(IGBC). New Town Town acquired theacquired the for green label green label for several several reasons reasons including: including: The New Town TheKolkata New Town Kolkata Development Development Authority launched Authority launched 20 GPS-enabled20 GPS-enabled waste managementwaste management vehicles. As vehicles. As discussed discussed earlier, earlier, tracking tracking and and reporting reporting progress is progress is criticalsustainability critical to meeting to meeting sustainability goals, and GPSgoals, helpsand GPS helps municipal municipal officials trackofficials track the the collection andcollection and transportation transportation of waste. of waste. The city The city has rolled outhas rolled a fleet of out a fleet of air-conditioned air-conditioned electric electric buses, buses, as well as charging as four well as four charging points. points. New Town New Town features features a well-maintained a well-maintained and landscaped and landscaped Eco-Park, incorporating Eco-Park, incorporating various watervarious bodies.water bodies. The park’s The park’s replicas of thereplicas of the seven seven wonders wonders of the of thebecome world have world have a become a major tourist major tourist attraction. attraction. The city also The has city wateralso has water ATMs at the ATMs at the Eco-Park. Eco-Park. Individuals/families Individuals/families staying at thestaying at the township cantownship go to the can go to the nearest ATM nearest throughoutATMthe throughout the day day to collect to collect water water at a lower at a lower price than price than available available in the market.in the market. The townshipThehastownship launchedhas bike-share system, launched asystem, a bike-share increasing theincreasing thefor opportunity opportunity people to for people choose to choose sustainable sustainable transport transport instead instead of taking cars.of taking cars. | 16 | 16
Planning the SustainablePlanning Way: Challenges and the Way: the Sustainable RoadChallenges Ahead | COLLIERS INTERNATIONAL and the Road Ahead | COLLIERS INTERNATIONAL ANNEXUREANNEXURE Case Study Case | Study Infinity| Infinity IT Lagoon IT Lagoon LEED Platinum LEEDRated Platinum Rated Green Building, GreenCertified Building, Certified by Indian Green Building by Indian Green Building Council (IGBC) Council (IGBC) Total Area Total Area 447,000 447,000 (41,545 square metres) (41,545 square metres) sq ft sq ft Infinity IT Lagoon Infinityis IT one of theisfirst Lagoon oneIGBC Certified of the Platinum first IGBC Certified Platinum Rated Commercial Green Buildings Rated Commercial Green in Eastern BuildingsIndia in Eastern India 17 | 17 |
Planning the SustainablePlanning Way: Challenges and the Way: the Sustainable RoadChallenges Ahead | COLLIERS INTERNATIONAL and the Road Ahead | COLLIERS INTERNATIONAL ous sustainable Various elements have sustainable been incorporated elements including: including: have been incorporated The building’s open The space allows building’s open space allows Flexible, efficientFlexible, Heating,efficient ventilation, and Ventilation, and Heating, glare-free northern light and controlled glare-free northern light and controlled air conditioning (HVAC)and electrical Air Conditioning (HVAC) and electrical southern sun exposure. southernUtilising systems have been daylightUtilising daylight sun exposure. employed systems have been employed and installed daylight controlsdaylight and installed reduce controls the reducebuilding-wide the sobuilding-wide that the structure so that the structure need for artificial lighting need along the for artificial lighting along the operates within operates the conservation within thegoals conservation goals interior perimeter of the building. interior perimeter of the building. outlined by the LEED Core and Shell outlined by the LEED Core and Shell version 2.0 framework. version 2.0 framework. The building’s core The has been designed building’s core has on been designedAnonintegrated storm water management An integrated storm water management an east-west axis to block the harsh low an east-west axis to block the harsh low system is designed to reduce the impact system is designed to reduce the impact angle sun and act as a buffer for the angle sun and act as a buffer for the of storm water runoff on surrounding of storm water runoff on surrounding air-conditioned air-conditioned spaces. spaces. waterways. waterways. The efficient building envelope The efficient provides building a envelope Efficient provides a plumbing fixtures Efficient and fittings plumbing are and fittings are fixtures suitable base forsuitable tenantsbase to acquire LEED designed for tenants to acquire LEED to reduce water use by more designed to reduce water use by more Commercial Interior certification. Commercial Interior certification. than 60% compared to conventional than 60% compared to conventional buildings. buildings. The building’s white membranewhite The building’s roof membrane roof The building provides fresh air The building ventilation provides fresh air ventilation minimizes heat gain that would contribute minimizes heat gain that would contribute above the minimums required by the code above the minimums required by the code to the heat island to effect. the heat island effect. and has systemsand in place that monitor has systems thethat monitor the in place air quality, providing a clean, air quality, safe anda clean, safe and providing healthy environment forenvironment healthy tenants. for tenants. The building allows The for an open building planfor an open plan allows interior environment that interior encouragesthat environment a encourages a visual connection with the building’s visual connection with the building’s exterior spaces,exterior including the 1,000 spaces, acre the 1,000 acre including natural lake surrounding natural lakethesurrounding building. the building. culars Conventional Conventional Particulars IT Lagoon IT Lagoon Savings Savings Building Building Water Total Water rvation CoNSUMPTION 310,000 310,000 200,000 200,000 110,000 110,000 /Day Litres/Day Water Fresh Water mption Consumption 310,000 310,000 117,000 117,000 193,000 193,000 /Day Litres/Day e DischargeSewage Discharge 143,000 143,000 Zero Discharge Zero Discharge 143,000 143,000 /Day Litres/Day due to onsite due to onsite treatment and treatment and reuse reuse rical Load Electrical Load 5,000 5,000 3,000 3,000 2,000 2,000 ay KVA/Day rical Load Electrical Load 749,000 749,000 332,000 332,000 417,000 417,000 ay KWH/Day | 18 | 18 y company nity data data Source: Infinity company data company Source: Infinity company data
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