PANAJI: With the Union government selecting Panaji in the fast track round of the Smart City Mission, the Corporation of the City of Panaji (CCP) has swung into action and has proposed to setup the special purpose vehicle (SPV). CCP commissioner Dipak Dessai has approved the proposal and the decision will now go to the council. Dessai will also hold the post of chairman on the board of the SPV.
The capital city bagged the coveted ‘smart city tag’ under the government’s flagship Smart City Mission joining 12 other cities out of the 23 that were part of the fast track round.
As per the norms laid down by the union ministry of urban development, the implementation of the Smart City Mission at the city level will be done by a special purpose vehicle created specifically for the purpose. The SPV will plan, apprise, approve, release funds, implement, operate and evaluate the smart city development projects, as per the Smart City guidelines.
The SPV will have a chief executive officer and will have nominees of central government, state government and CCP on its board, a government official said. Though the special purpose vehicle will have access to the funds provided by the central government under the Smart Cities Mission, the funds will be in the form of a tied grant and will be kept in a separate grant fund, sources said.
The council will have to give its approval for the formation and registration of the SPV, sources said. While the SPV will implement the smart city proposal, it can also appoint project management consultants for designing, developing, managing and implementing area-based projects.
One of the primary reasons for the creation of a SPV for the Smart City Mission is to ensure operational independence and autonomy in decision making and mission implementation, core issues that led to the failure of the earlier Jawaharlal Nehru National Urban Renewal Mission.
Credits ET Realty