Rapid
urban population growth and accelerated economic development
are exerting pressure on the provision of public services
in urban areas, particularly in the delivery of infrastructure
services, such as urban transport. However, many cities
have not come up with plans and investments in urban transport,
which is resulting in chaotic traffic and transport conditions
in several cities. This paper highlights this deficiency
by analyzing the scenario, estimating the basic investment
needs in urban transport, and discussing the methods of
resource mobilization. It also discusses the alternative
methods of laying down urban transport infrastructure through
funding channels and partnership mechanisms, given the services
fall beyond the purview of municipal functions.
Increasing
economic growth, improving trade, and commerce and enhancing
employment options are at the core of development goals
of the economies across the world. At the same time, economic
growth is now increasingly coming from non-traditional sectors,
such as services, which have more of an urban base. Infrastructure
is considered as critically important for achieving the
goals of economic development, and urban infrastructure
assumes further importance in growing economies, such as
India, wherein urban areas are increasingly contributing
to the country's economic growth. The Expert Group on India's
Infrastructure (1996) (also known as Rakesh Mohan Committee)
had estimated the annual investment requirements of funds
for urban infrastructure at Rs. 28,298 cr during the period
1996-2001. This amount was meant for providing all major
civic services, such as urban water supply, sanitation,
roads, and street lights; it, however, did not account for
the investment requirements of the providing urban transport,
which is a very important and enabling function of urban
economy. Urban transport provides the much needed mobility
between work/business centers and residences in cities,
so that firms and households can organize at the respective
locations in economic production and consumption activities,
hence makes lot of economic sense. |
