Report of the Steering Committee on Urban Development (Including Urban Transport), Urban Housing and Urban Housing and Urban Poverty (With Focus on Slums) for the Tenth Five Year Plan(2002-2007)

Abstract

The Steering Committee on Urban Development for the Tenth Five Year Plan (2002–2007) highlighted key challenges in urban governance, focusing on urban poverty, slums, housing, transport, and civic infrastructure. Provisional data from the 2001 Census revealed that urban centers, now totaling 5,161, continue to grow steadily, with substantial variation across States and cities, while about 37% of the urban population resides in million-plus cities. Rapid urbanization has stressed infrastructure and services, including water supply, sanitation, roads, drains, solid waste management, and street lighting, exposing the inadequacy of institutional arrangements and decentralized governance. Urban local bodies (ULBs) face fragmented responsibilities, limited financial autonomy, outdated taxation systems, and reliance on State governments, inhibiting functional autonomy. The second round of State Finance Commissions has improved resource allocation but disparities persist, particularly between larger and smaller cities. Capacity building is critical, emphasizing property taxation, user charges, professionalized administration, modern accounting, participatory management, and training programs. Effective urban governance requires systematic data collection, urban mapping using GIS, and accurate assessment of service gaps. Central assistance, including programs like AUWSP, IDSMT, Megacity Schemes, NCR Plan, HUDCO loans, and tax-free bonds, has been uneven, necessitating substantial increases in funding and support to strengthen ULBs, upgrade infrastructure, and ensure sustainable urban development during the Tenth Plan.