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Smart Cities of India

  • September 2015
  • 108 pages
  • Frost & Sullivan
Report ID: 3326326

Summary

Table of Contents

Smart Cities of India : Strategic Analysis of Smart City Market Opportunity in India

This study explores the Indian Government's $7.3 billion Smart City mission aimed at applying smart solutions to improve infrastructure and service delivery in Indian cities. It covers various aspects of the Internet of Things (IoT), including how it will be put to work to create smart energy, smart transportation, smart infrastructure and smart buildings, smart security, smart or connected homes, and smart healthcare. The study provides a summary of the key financial mechanisms and operating models that will be used by the relevant stakeholders in the implementation of smart city projects. Also included are insights into key drivers and challenges impacting smart cities.

Key Findings

-Around % of the total Indian population ( million) will be living in urban areas in 2025; cities will account for % of the country’s GDP in 2030. Delhi, Tamil Nadu, Karnataka, Maharashtra, Madhya Pradesh, West Bengal, and Gujrat will have an above % urbanization rate.

-Although the Central Government has committed to the development of smart cities in India, state/ULB*-level strategies are yet to be formulated. ULBs will seek expertise and private collaboration to step forward with the most viable operating model and smart city pitch.

-India will need an estimated investment of $ billion to be pumped into its basic urban infrastructure until 2020, of which more than % will have to invested in basic urban roads and mass transit systems. The smart component will comprise only % of the total project development cost.

-As many as + companies will contribute to the development of smart cities in India, including power solutions, realty and infrastructure, and technology companies. Technology will become core to a successful smart city implementation.

-With a planned smart cities, each of India’s states will have at least 1 smart city. will be completed by 2019, along India’s most ambitious infrastructure project, the Delhi-Mumbai Industrial Corridor.

-Financing mechanisms include in-house government sources, grants, and PPPs with equities and bonds; more than % of the funds will have to be raised through private sources. GOI’s efforts to create tools that include reduced FDI norms and viability gap funding will be instrumental in terms of channelizing funds.

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