Atal Mission for Rejuvenation and Urban Transformation (AMRUT)

The purpose of Atal Mission for Rejuvenation and Urban Transformation (AMRUT) is to 

• (i) First priority under AMRUT is to ensure water supply connections to the 2.25 Crore urban households 
• ensure that every household has access to a tap with assured supply of water and a sewerage connection; 
• (ii) increase the amenity value of cities by developing greenery and well maintained open spaces (e.g. parks); and 
• Developing one park in each city every year is mandatory.

• (iii) Reduce pollution by switching to public transport or constructing facilities for non-motorized transport (e.g. walking and cycling). 

All these outcomes are valued by citizens, particularly women, and indicators and standards have been prescribed by the Ministry of Urban Development (MoUD) in the form of Service Level Benchmarks (SLBs). 

• AMRUT is a move ahead from JNNURM (Jawahar Lal Nehru National Urban Renewal Mission).

The Mission will focus on the following Thrust Areas: 

• i. Water Supply, 
• ii. Sewerage facilities and septage management, 
• iii. Storm Water drains to reduce flooding, 
• iv. Pedestrian, non-motorized and public transport facilities, parking spaces, and 
• v. Enhancing amenity value of cities by creating and upgrading green spaces, parks and recreation centers, especially for children.

Implementation of this Mission will be linked to promotion of urban reforms such as e-governance, constitution of professional municipal cadre, devolving funds and functions to urban local bodies, review of Building bye-laws, improvement in assessment and collection of municipal taxes, credit rating of urban local bodies, energy and water audit and citizen-centric urban planning. 

• 10 percent of budget allocation will be given to States/UTs as incentive based on achievement of reforms during the previous year.
• A reform matrix with timelines would be circulated to States in the Guidelines. 

This Mission will be implemented in 500 cities and towns each with a population of one lakh and above, some cities situated on stems of main rivers, a few capital cities and important cities located in hilly areas, islands and tourist areas.

Under this Mission, States get the flexibility of designing schemes based on the needs of identified cities and in their execution and monitoring.

States will only submit State Annual Action Plans to the Centre for broad concurrence based on which funds will be released. 

• In a significant departure from JNNURM, Central Government will not appraise individual projects. 

Funding:-

• Central assistance will be to the extent of 50 percent of project cost for cities and towns with a population of up to 10 lakh and one-third of the project cost for those with a population of above 10 lakh. 
• Central assistance will be released in three instalments in the ratio of 20:40:40 based on achievement of milestones indicated in State Annual Action Plans. 
• AMRUT seeks to lay a foundation to enable cities and towns to eventually grow into smart cities. 

The Cabinet has also approved Central funding under AMRUT to the projects sanctioned under JNNURM and not completed. 

JNNURM projects relating to urban development sanctioned during 2005 -2012 and achieved physical progress of 50 percent availing 50 percent of central assistance released and those sanctioned during 2012-2014 will be supported till March, 2017. 

Accordingly, 102 and 296 projects respectively will get Central support for balance funding to complete these projects.In addition, substantial private investments would be mobilized by states and urban local bodies through PPP model as required to meet project costs.