Smart Cities Mission SPVs
The Smart Cities Mission (SCM) was launched in 2015 to revolutionise urban development in India. The initiative aimed to encourage innovation and improve infrastructure in selected cities. By March 2025, the SCM had achieved remarkable progress, with over 93% of its 8,000 projects completed and nearly 99.44% of its ₹48,000 crore budget disbursed. This success is attributed to the establishment of Special Purpose Vehicles (SPVs) and Integrated Command and Control Centres (ICCCs) in 100 cities.
Special Purpose Vehicles (SPVs)
SPVs were created under the Companies Act, 2013. They are joint ventures between State/UT governments and Urban Local Bodies (ULBs). The SPVs manage the implementation of SCM projects. They have demonstrated agility and innovation in delivering complex urban projects. The collaboration has strengthened institutional capacity in urban management.
Integrated Command and Control Centres (ICCCs)
ICCCs serve as central hubs for urban management. They enable data-driven governance and real-time decision-making. These centres improve traffic regulation, public safety, disaster response, and waste management. They are crucial for effective urban practice and operational effectiveness.
Future of SPVs and ICCCs
As the SCM concludes in March 2025, the Government of India plans to extend the operations of SPVs and ICCCs. An advisory has been issued outlining their future roles. This includes completing ongoing projects and preparing operation and maintenance plans. The aim is to repurpose SPVs to address emerging urban challenges.
Strategic Engagement Domains
The advisory identifies five areas for SPV engagement –
- Technology Support: Assisting ULBs with data systems and cyber hygiene.
- Project Implementation: Acting as agencies for Central and State schemes.
- Consulting Support: Providing advisory services based on institutional experience.
- Research and Assessment: Aiding evidence-based planning and coordination.
- Investment Facilitation: Driving economic development through project structuring. States are encouraged to empower SPVs to charge fees for their services.
This will enhance the financial sustainability and operational autonomy of these entities.
Long-term Integration
The Ministry of Housing and Urban Affairs (MoHUA) has urged states and Union Territories to incorporate SPVs and ICCCs into their governance frameworks. This integration will ensure that the benefits of the Smart Cities Mission continue to support urban development in India.
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