-- The India Smart City Opportunity -- An Enovado White Paper

April 2017

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Contents Executive Summary 2-3

Foreword 4-6

Urban Economics 7-8

De-coding The Smart City 9-13

Introducing Smart Solutions 14

India's Urban Spaces 15-17

Custom Investment Approaches 18-19

Case study 1-New Delhi 20

Case Study 2- Japiur 21

Case Study 3- Vishakpatnam 22

Case Study 4- Ludhiana 23

Case Study 5- Jabalpur 24

Merits and Cautions of SMART catalyst approach 25-26

Comprehensive Smart City list 27-28

Smart Short List 29

Opportunities for the Private Sector 30-31

Smart Energy Management Technological Opportunities 32-35

Smart Water Management Technological Opportunities 36-38

Smart Transport Management Technological Opportunities 39-41

Smart Waste Management Technological Opportunities 42-43

Potential Industry Body Collaborators for Corporates 44-45

Potential State Collaborators for Corporates 46-48

Potential Private Collaborators for Corporates 49-51

Policy Insight Via Economic Urban Minister 52-53

Conclusion 54

Appendix 55

About Enovado 55

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Executive Summary

The word “smart city” evokes a vision of a city which is superior in planning and is highly digitized in terms of facilities and infrastructure. This vision, although it may be a definite priority for the Indian Government's desire to create 100 intelligent cities over the next 3 years, is a hard task to accomplish without significant foreign collaboration and investment. A necessary and undeniable partner in making such a vision a success is the participation of private sector FDI.

With technology as the enabler, corporates and cities should follow a path of identifying a city’s core economic strength. The basis for which will allow it to transform it core through technology whereby acting as a catalyst around which to build a range of smart solutions.

India being a unique and diverse nation, its cities reflect a similar array in opportunities, weakness’ and barriers. There is however a tremendous requirement of smart solutions common across most cities by way of smart energy, water, waste and transportation investments which foreign players can exploit. The verticals offer opportunity by way of manufacturing, consultation, analytics, management, innovation and private-public partnership.

With the present wave of urbanization sweeping across India which in twenty years will witness 590 million Indians living in cities (twice the current population of the USA) that will generate 70% of the nation's employment rate gives us a flavor for the stakes involved in the Smart City initiative. An estimated $1.2 billion already allocated by the Indian government and a further $1.2 trillion1 required to turn the Indian Smart City initiative into reality, the recently elected Modi government has passed sweeping reforms in liberalizing foreign flows across virtually all sectors. The Indian government’s mission to woo foreign counterparts is gathering steam with several nations already having put their foot through the door.

1 een.ec.europa.eu/tools/services/EVE/Event/DownloadAttachment?attachmentID...

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This report provides a detailed framework for potential foreign investors who seek to successfully align themselves with this ambitious project. Insight has been gained through exclusive access with the Government of India’s Economic Affairs Wing, secondary data, and a collection of previously released case studies.

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2 http://pib.nic.in/newsite/PrintRelease.aspx?relid=105487

“Cities on the past were built on river banks, they are now built along

highways. But in the future, they will be built based on the availability of

optical fiber network and next-generation infrastructure.”- Narendra Modi- Prime Minister Of India.

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Foreword India is a country with a rich past of cities rising to prominence and taking their place in the pages of history. The birthplace of major world religions, art and culture these cities also served political, social and economic ends. Historically and presently the direction of great cities is guided, in principal, by the political establishment and further galvanized by its citizens. Think the city of Jericho, the world’s most ancient city fueled by free thinkers and commerce or great inclusive parliamentary processes of Rome allowing it flourish

Our world stands on the cusp of experiencing the largest wave of urbanization on human history.3 With India being the world’s 2nd most populous nation and projected by the United Nations (UN) to overtake China 6 years hence, the call for responsible and imminent policy action to embrace this megatrend is paramount and more so than ever in a nation such as India4

The 2011 Indian Census found nearly 31% of India’s vast population lives within urban centers and contribute a handsome 63% toward India’s Gross Domestic Product (GDP). By 2030, we can expect the figures to rise 40% and 75% respectively. Without a shred of doubt, India’s cities are its chief catalyst towards economic prosperity.

Prior to its election, the foresight in India’s Narendra Modi led government recognized the challenge which lay ahead for the nation. 5 Through launching the “100 Smart City Mission” the Government of India (GoI) seeks to answer India’s mass urbanization trajectory while creating a bounty of FDI opportunities.

The intent: a new breed of cities will mark the future of Indian urban development. Unlocked by technological breakthroughs, the Smart City Initiative gives requires an equally ‘smart’ policy to guide and

3http://www.businessinsider.com/stocks-urbanization-india-china-brazil-2011-2?IR=T 4 http://www.bbc.com/news/world-asia-33720723 5 100 new cities; enabled with the latest in technology and infrastructure - adhering to concepts like sustainability, walk to work etc., and focused on specialised domains”. Source: Election Manifesto, 2014, Bharatiya Janata Party 3 The attempt to create Smart Cities backed by governments in India however could be seen during previous regimes as well. Some examples are GIFT (Gujarat International Finance Tec-City) city in Ahmadabad, new cities and smart communities along Delhi Mumbai Industrial Corridor (DMIC), Krishnapattam port city among others.

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attract smart foreign origin investment. Much of this investment requires a deep courting of foreign direct investment (FDI) flows manifested by a combination of technology, know-how and advisory. With an earmark of US$1.2 trillion6

federal budget allocation over 20 years and further supplemented by foreign collaborations (Japan International Cooperation Agency investing US$4.5 billion) recent FDI norm relaxations offers the international investment community generous scope for sustainable and positive returns.

Adopting a combination of the UN and other worthy authority’s definition of a ‘Smart City’,7 this report is a step towards peeling back the many layers of opportunity offered towards the FDI community through the Indian Smart City drive.

6http://www.mckinsey.com/global-themes/urbanization/urban-awakening-in-india 7 https://www.geospatialworld.net/article/welcome-to-the-future/

United Nations Smart City Definitions

“A smart sustainable city is an innovative city that uses information and communication technologies (ICTs) and other means to improve quality of life, efficiency of urban operation and services, and competitiveness, while ensuring that it meets the needs of present and future generations with respect to economic, social and environmental aspects as well as cultural.”

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Other Smart City Definitions “The rudiments of what constitutes a Smart Sustainable City which we define

as a city in which ICT is merged with traditional infrastructures, coordinated

and integrated using new digital technologies” (Batty,et.al,2012)

A Smarter City uses technology to transform its core systems and optimize

finite resources. At the highest levels of maturity, a Smarter City is a

knowledge- based system that provides real-time insights to stakeholders, as

well as enabling decisionmakers to proactively manage the city’s

subsystems. Effective information management is at the heart of this capability,

and integration and analytics are the key enablers. (IBM, 2013)

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Urban Economics The uniqueness of each city has its roots in its history, culture and identity. Though tradition commands the nurturing and preservation of the old, the present millennia demands a new urban fabric; the need to build intelligent cities. A vital cog in a nation's economy; a city provides its inhabitants with opportunities, prosperity and perks. Hence, the onset mass urbanization the world has been experiencing over the last few years. However, as people flock, issues of sustainability must arise with limits being breached- a once village grows into a town, a city, a metropolis, a mega-city and ultimately decay into a ‘necropolis’.

2017 Global Population Density per sqm2:

Current socio-economic trends suggest that – in order to successfully meet these challenges – the number of cities in India will have to increase drastically. (By way of comparison, China has over 160 cities with a population over one million whereas India has less than 40). To support these new cities as they strive to address the challenges of urban transport and mobility, water distribution, waste management, etc. there is much work to be done.8. India must develop a comprehensive, supportive policy framework for new urbanization that establishes key, guiding principles and identifies the enablers – like technology, financing and talent attraction – that will be crucial to the implementation of new, livable and sustainable urban spaces. 9

With the Indian economy currently purring along at an enviable rate, the World Bank anticipates its expansion to flirt with the 8.5% in the near term10. It is no secret the Modi government aspires India to crack into the double-digit GDP growth club. Research reveals the

8https://terraurban.files.wordpress.com/2014/01/kolkata-study_april-2014.pdf 9 www.worldometers.info/world-population/ 10http://www.worldbank.org/en/news/press-release/2016/06/07/world-bank-cuts-2016-global-growth-forecast

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possibility of achieving a 1.5%11 bump in current GDP- propelling it past the 10% threshold- would be possible should the government pursue for the development of smarter urban cities. The stakes have never been higher.

Currently, with 31% of the Indian population living in cities, India’s urban citizens contribute 63% towards the national GDP. By 2030, India’s rapidly growing population will be comprised of 40% urban citizens who will in turn provide a 75% share towards the national GDP.

The unleashing of India’s economic potential through 100 smart cities bears potential to benefit both India and foreign investors. For instance, foreign companies can profit from the sale of wireless technology and various technical know-how products towards shaping the Smart City drive. Similarly, regional and local governments may profit by selling ‘right-of-way’ to providers of smart solution services across their cities. While the urban population enjoys the benefits of cost-effective, transparent, consistent power solutions.

India’s urban fabric by 2030:

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11http://www.mckinsey.com/global-themes/urbanization/urban-awakening-in-india 12 http://www.mckinsey.com/global-themes/urbanization/urban-awakening-in-india

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De-coding the Smart City

With various definitions on what truly comprises a “Smart City”, de-coding its identity varies considerably and is essentiall1. For consistency, we adopt that put forth by the UN through the ‘United Smart Cities program’ which focuses upon:

• Urban mobility • Sustainable housing • Clean energy • Waste management • ICT

To meet the objectives of:

1. Decreasing vulnerability of cities to urban migration, demographic changes, environmental degradation and climate change

2. Reducing carbon footprint of cities 3. Enhancing the quality of life for inhabitants 4. Improving the environmental quality of the cities 5. Establishing public-private partnerships (PPPs)13

The GoI endorses the UN footprint with a further objective of creating a replicable model which will act like a lighthouse to other aspiring cities.14

In a country known for policy ‘flip-flop’ the Smart City Initiative has gathered admirable traction- a testament towards it being a policy priority. With a mission to cover 100 cities over FY2015 - FY2019 for driving inclusive economic growth to further the people’s quality life by utilizing leading technology as an enabler. Countries such as Japan, U.S.A. and Germany lead the forefront; all eyeing a lucrative slice of the Smart city pie.

13 https://sustainabledevelopment.un.org/partnership/?p=10009 14 Smart City Mission Transform-Nation Ministry of UD, GoI, June 2015. pg 5

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Presently, there are four strategic vehicles of Area-based development applicable to developing a smart city.

• Retrofitting • Redevelopment • Greenfield • Pan-city

Retrofitting: introduces planning initiatives in an existing built up area to mold it towards achieving the Smart City objectives. Only areas more than 500 acres will be considered as potential retrofitting sites. In this model, given that most existing structures will remain intact, the foreign players can expect more intensive infrastructure service level opportunities. Re-development: aims to replace the existing built-up environment with the purpose of co-creating a new layout comprised of new infrastructure via mixed land use and increasing urban density. Redevelopment plans will be allowed in areas more than 50 acres. Akin to retrofitting, foreign players can seek to leverage their competitive advantage in large scale infrastructure project implementation. Greenfield: Looks towards introducing most the Smart solutions identified across vacant areas more than 250 acres. Greenfield investments will use innovative planning, plan financing and plan implementation techniques. Greenfield developments are geared towards addressing areas around established cities to ease their growing population pressure. Pan-city: development seeks to apply the Smart Solutions to pre-existing cities with the purpose of garnering both grassroots and macro-level economic rewards. One would expect pan-city applications in the context of aiding urban mobility and power solutions. For example, by installing smart modern traffic management systems to reduce commuter time which in turn reaps positive economic spin off effects through higher productivity.

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Area based Smart city development options:

Process Retrofitting Redevelopment Green-field

Type of development

Existing developed area

Existing urban sprawl (including bus stations, train.)

Vacant land

Land extent required

500 acres’ minimum

50 acres’ minimum 250 acres’ minimum per township

Focus for development

Zero emissions initiative-liquid and solid discharge High speed & bandwidth connectivity CCTV surveillance in all public areas

In addition to all the retrofitting components: Redevelopments with higher FAR and lower ground coverage to provide more green footprints in the city smart measures to make the buildings more green & efficient

In addition to all redevelopment components: Trade facilitation, incubation, skill development center

Infrastructure development

Quality electricity and water supply Through smart metering Installation of LED lighting, intelligent traffic and parking management Development of pavement and cycle tracks

Road widening, allocation of recreational and open spaces

Development of base physical infrastructure such as roads, power, sewage, water supply, waste mgmt. Quality infrastructure for health, education and recreation Provision and implementation of multi modal transportation system,

Implementation (No. of years)

5 years 5 years 5 years

Implementation (through)

Special purpose Vehicle (ULB, State)

Special purpose Vehicle (public/private developer) Equity participation by Goi, ULB’s, state

Special Purpose Vehicle (public/private developer) Equity participation by Goi, ULB’s, state

Selection process

Selection through city challenge competition

Selection through city challenge competition

Selection through city challenge competition

Planning principles

Planning in an existing built up area with municipal ward and citizen participation

Replacement of an existing built up area and preparing a new layout plan with enhanced infrastructure

Introduction of smart solutions in a vacant area using innovative planning

Case examples Connaught place in Delhi

Kidwai Nagar in Delhi GIFT city Gujarat

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Regardless of which of the four approaches a private firm seeks to gain market entry, their submitted proposals are first evaluated by the city seeking to acquire a Smart city title. Evaluation is based upon the basis of how greatly they enrich anyone of four “smart pillars” of a city (as illustrated in the depiction below) or more. Upon selection being selected by the city as their smart technology collaborator, the content is a part of a higher-level application that is representative of the all smart sectors within a city. This document will chart a roadmap that demonstrates a city’s ability to truly transform and have a positive impact upon economic, physical, social and institutional infrastructure. The strength of a cities application will form basis upon the scorecard which the federal government will mark with the intention of selecting the highest scoring candidates to receive federal funding to put their roadmap into actual practice.

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Economic

Infrastructure

Physical Infrastructure

Social Infrastructure

Institutional Infrastructure

Citizen Participation

Technology enabler

Sustainable Smart Management

Employment Quality of life

SKILLS INVESTMENTS

Inclusive development- Smart pillars of foundation

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Introducing Smart Solutions The smart solutions sought by the GoI opens an arena of investment opportunities. With the Smart city initiative falling under a 100% FDI norm companies can look toward establishing a host of market entry solutions ranging from greenfield to subsidiary solutions. And, through the PPP alliance, foreign companies can align with government agencies to participate in promising urban development projects.

Smart cities herald a new age. Calling upon information technology underlines and re-shapes the traditional landscape of roads, bridges and buildings forming a seamless core infrastructure. The digital network utilizes network sensors, wireless capabilities, digital camera and harnesses the insights gained from data analytics to reduce a city's carbon footprint, efficiency and the quality of life for its citizens.

For a nation, such as India, the realization of this dream in effect warrants a major paradigm shift from the ground up. The demand for state of the art technology, know-how, consultancy will in turn give birth to many opportunities. Particularly, for foreign companies who hold competitive advantages in utilities, security systems, water & waste management, environment.

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15 www.economictimes.indiatimes.com/wealth/here-are-9-smart-indian-cities-to-invest-in/

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India’s urban spaces New Delhi:

New Delhi is the second most populous city in the world16 and the nation's capital boasting the second highest GDP in the country17. With its northern location settled along the banks of the holy Yamuna River, from a historical perspective, it is one of the oldest inhabited cities in the world. Delhi is home to India’s most important political institutions encompassed within its sprawling metropolis. Recent economic strides have attracted many immigrants from neighboring states earning it a ‘cosmopolitan city’ status. The key service industries of New Delhi include Telecommunications, I.T., Banking and Finance, Media and Tourism.

Mumbai:

As the capital city of the state of Maharashtra, Mumbai is also the financial and economic powerhouse of India. Contributing a hellacious 25% of industrial output and 70% of capital transactions18 to India’s economy, Mumbai is globally seen as a true megacity along with likes of New Delhi19. Viewed as the Hollywood of the East, Mumbai is home to Bollywood- a premier film and entertainment district. Premier financial institutions such as the Reserve Bank of India (RBI) and the National Stock Exchange (NSE) of India are in Mumbai. Being home to the headquarters of several multinational companies has transformed Mumbai into the commercial capital of India.

Pune:

The city of Pune, also in the state of Maharashtra, is a favorite amongst the FDI community and lauded for its educational facilities. Serving as an industrial manufacturing focal point, Pune is home to two of the world’s largest two-wheeler manufacturers- Bajaj Auto and Tata Motors. The presence of several billion-dollar software industries

16http://www.un.org/en/development/desa/news/population/world-urbanization-prospects-2014.html 17 https://data.gov.in/keywords/gdp 18https://www.jpmorganchase.com/corporate/Corporate-Responsibility/document/gci_mumbai_02.pdf 19https://www.allianz.com/en/about_us/open-knowledge/topics/demography/articles/150316-top-20-megacities-by-population.html/#!mda241e35-6d74-4b18-a8de-f938294c319b

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through the likes of Tech Mahindra, WIPRO, Infosys, TCS, etc. have contributed towards the development of sizable I.T. clusters.

Chennai:

Straddling the Bay of Bengal coast line, Chennai is the capital city of Tamil Nadu. While impressive in Its hardware manufacturing, healthcare and the IT industries, roughly 30% of all automobile components manufactured in India emanate from Chennai20. Unlike many of other India’s cities, Chennai hosts world class infrastructure- a major international airport, two major ports and five seamless national highways. Due to the tremendous contribution towards India’s automotive exports Chennai admirably is referred to as the, 'Detroit of Asia'.21

Kolkata:

Kolkata, nestled in West Bengal, is a city seeped in education and industry. Once commonly referred to as the ‘forgotten capital’, a surge in recent economic activity has catapulted it towards one of India’s major cities. With a 72%22 compound annual growth rate (CAGR) of the I.T. sector, Kolkata is taken as a serious investment destination. Housing a population of nearly 5 million inhabitants, Kolkata is the third largest metropolis in India and renowned hotbed of educational talent.

Bengaluru:

Bengaluru is an I.T. powerhouse commonly referred to as ‘The Silicon Valley of India’. Originally known as the ‘Garden City” for its abundance of parks and greenery Bengaluru prides itself on housing the premier research institutes of India. A recent McKinsey study states by 2020 Bengaluru, will become the largest I.T. cluster on the planet — overtaking Silicon Valley — with 2 million I.T. professionals, 6 million indirect I.T. jobs, and $80 billion in I.T. exports. Bangalore’s population has doubled over the past 15 years, to 11.5 million.23

20 http://iaccindia.com/userfiles/files/TN%20Industry%20-%20Sectorwise.pdf 21 http://iaccindia.com/userfiles/files/TN%20Industry%20-%20Sectorwise.pdf 22http://www.dqindia.com/wb-is-growing-at-a-cagr-of-72-while-indian-it-is-growing-at-34/ 23http://www.pri.org/stories/2016-05-06/indias-silicon-valley-bangalore-fast-becoming-serious-global-player

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Custom investment approaches Enovado believes within each city therein lies a “SMART catalyst”. The foundation and identification of this is born from a city’s primary economic strength. While some cities are manufacturing hubs, others may be agriculture powerhouses. Today’s catalysts are tomorrow’s enablers who form the bedrock of smart transformation and whose unlocking offer substantial business opportunity all underlined by one common denominator- technology.

The GoI aims to create 100 smart cities by 2019. Presently, 20 cities have been finalized to be India’s exemplary model for the other 80 to follow. After analysis of each of these twenty cities economic profiles a SMART catalyst has been discerned for each. We simulate five unique case studies to highlight and advise on how technology as an enabler give birth to producing smart business. Furthermore, through a real-world case study comparison we demonstrate the ability for our recommendations to tangibly manifest themselves past the ink.

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Round 1: Smart City short list & SMART CATALYST

City, State SMART catalyst

City, State SMART catalyst

Bhubaneswar, Odisha Handicrafts Indore, M.P. Services

Pune, Maharashtra Automotive New Delhi, Delhi Governance

Jaipur, Rajasthan Tourism Coimbatore, Tamil Nadu

IT

Surat, Gujarat Gemstones Kakinada, A.P. Fertilizer

Kochi, Kerala Shipbuilding Belagavi, Karnataka Automotive

Ahmedabad, Gujarat Textile Udaipur, Rajasthan Tourism

Jabalpur, M.P. Agriculture Guwahati, Assam Oil Refinery

Visakhapatnam, A.P.

Logistics Chennai, Tamil Nadu IT

Solapur, Maharashtra Textile Ludhiana, Punjab Manufacturing

Davangere, Karnataka

Agriculture Bhopal, M.P. Trading

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Case study 1- New Delhi + Smart Governance Catalyst

• Easing the ability for Delhites to avail of government services will transform the city

• Need for minimal manual government intervention in governance process

• Need for Smart energy solutions • Need for Smart traffic systems

CARDINAL INSIGHT

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Case study 2- Jabalpur + Smart Agriculture Catalyst

• Need for Smart education to equip illiterate farmers on means to boost productivity

• Need for Smart logistics to support post-Harvest activity

• Need for Smart healthcare to take care of poor farmers and laborers

CARDINAL INSIGHT

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Case study 3- Ludhiana + Smart Manufacturing Catalyst

• Need for Smart infrastructure to reduce the impact manufacturing activities have upon the environment

• Smart Education with an emphasis on technical skill • Need for Smart energy management systems to

monitor and distribute

CARDINAL INSIGHT

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Case study 4- Jaipur + Smart Tourism Catalyst

• Need for Smart infrastructure to support movement of tourists

• Necessity for Smart administration and Governance to provide ease of access, information and support to tourists

• Need for Smart education to leverage tourist attractions into lucrative entertainment centers

• Requirement for Smart rural and urban waste management solutions

CARDINAL INSIGHT

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Case study 5-Visakhapatnam + Smart Logistics Catalyst

• Need for Smart infrastructure to support influx of logistics transportation load

• Smart traffic management system implementation for multi modal capabilities

• Need to develop Smart education centers for developing in-house technical logistics solutions

CARDINAL INSIGHT

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Merits & Caution of SMART Catalyst approach The SMART catalyst approach makes more conceptual order and analysis for foreign players towards extrapolating and identifying specific smart solutions for India’s Smart City candidates. As with every tool, it brings with it certain strengths and weaknesses which solution providers must consider.

Merit

• Investment towards SMART catalyst solutions promote focused growth and development with positive spin off effects to grow ancillary industries.

• Allows for skill development in line with city’s primary economic strength.

• Innovative skill development promotes inclusive growth and prosperity, touching upon the lowest income strata.

• The provision of focused health care and environmental solutions determined by the SMART catalyst minimize waste by providing specialized answers to specific social and environmental problems.

• Makes a strong case for priority investment segments of infrastructure in line with the economic strength of the city.

• Ensure probability of balance between social and industrial needs whereby serving the all-important purpose of the Smart City objectives.

Caution:

• While focusing activity upon the SMART catalyst an eye must be kept out for other smart strides and solutions.

• Must be cautious of an overexploitation of SMART catalyst

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• SMART catalyst based solutions may require tedious environmental and social assessment.

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Comprehensive Smart City list

The notification by the Ministry of Urban Development to rollout 100 Smart cities has been organized along Economic criteria and Geographic inclusivity. Economically, 69 cities are included in the master list as they account for 54% of the nation's incremental GDP till 2025, based on Geographic inclusion, all state capitals have been included (8), a variety of primary heritage/tourist cities (12), numerous hilly coastal cities (4) and a sizable batch of mid-sized cities (7) comprise this category. Foreign suitors may refer towards this list as potential target markets for products that require innovation and technology. Economic Criteria

69 cities with 54% of GDP

Geographic Criteria

STATE CITY 12 STATE CAPITALS

Andhara Pradesh Viskapathnam, Vijaywada Agartala

Bihar Patna Aziwal

Chattisgarh Rajpur, Durg Dispur

Gujarat Ahmedabad, Surat, Vadodra, Rajkot Gangtok

Haryana Gurgaon, Faridabad Imphal

Jharkhand Jamshedpur, Ranchi, Dhanbad Itanagar

Karnataka Bengaluru, Mysore, Hubli-Dharwad Jammu & Kashmir

Kerala Kochi, Thrissur, Kannur, Malappurum

Khozikode, Thirvananthapuram

Kohima

Madhya Pradesh Indore, Bhopal, Jabalpur, Gwalior Shilong

Maharashtra Mumbai, Pune, Nagpur, Nasik, Vasai,

Solapur, Bhiwadi, Aurangabad

Shimla

Orissa Bhubaneshwar 8 Tourist or Heritage cities

Punjab Ludhiana, Amritsar, Jalandar Amarvati

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Rajasthan Jaipur, Kota, Jodhpur, Bikaner Ajmer

Tamil Nadu Chennai, Coimbatore, Madurai, Salem Badami

Telangana Hyderabad Dwarka

Uttar Pradesh Lucknow, Varanasi, Ghaziabad, Agra

Meerut, Allahabad

Mathura

West Bengal Kolkata, Asansol Gaya

Others Goa, Delhi, Chandigarh, Pondicherry Puri

Warangal

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Smart cities allocated state wise

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Opportunities for Private Sector The logic of smart solutions across various verticals ideally optimizes resources through more efficient and real-time collection of consumption patterns and habits. This information enables better monitoring and management on the part of service providers and further enables consumers to make more informed use of resources through mature consumption. In turn, this reduces service operating costs and extends the operating life of existing infrastructure. The benefits are aplenty. In their truest essence, Smart city solutions are disruptive technologies which require system wide deployment. To yield the most benefits existing processes will need to change. Furthermore, successful deployment will require collaboration between multiple actors along the value chain. Though various cities require different smart solutions there are four core elements which encompass numerous product and service market potential that share a common thread across many of the 100 Smart cities across India.

Advanced Western European players have strengths in design, research, finance, and engineering services serving as a natural match with the GoI’s Smart City requirements. We recommend that businesses consider the following four verticals studied in this report are fundamentally material to achieving India’s Smart City ambitions.

• Smart energy management system & technologies • Smart water management system & technologies • Smart transportation management system &

technologies • Smart waste management system & technologies

Application for private players in each of the sphere can be achieved through five primary methods.

• Consultancy: Private sector consultant firms can help local governments in coming up with effective plans for the smart city project. Many such firms have

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already been employed in planning of projects by state governments.

• Data analytics: The seamless integration of smart

technologies within a city relies heavily upon gaining deep insight from data collected through IoT applications. Private businesses with a legacy of planning of projects, architecting solutions upon the building blocks of data can aid the Indian government in swifter roll-out of cutting edge projects and subsequent management.

• Project implementation: Private sector can be involved in public-private partnerships(PPP) for implementation of major projects that are conceived under the smart city mission. In addition, private parties can also be involved on a contractual basis for completing a project.

• Innovation & manufacturing: Firms can, and are, expected delve deep into research and development activities to consistently push the boundaries towards developing innovative and cost-effective ideas to better serve the core elements of the Smart City. This involves a variety of the manufacturing components and user-end products that embody the smart solutions spirit.

• Management: Private sector players may contractually bind themselves towards managing an eclectic range of institutional facilities based on superior technical know-how and expertise.

The presence of private players is essential for effective implementation of the smart city mission. It would ensure the necessary level of competition and effective capacity building, thereby making the proposed cities ‘smart’ in real sense.

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Smart Energy Management Technological Opportunities

The world over, energy systems around are seeing increased demand as populations rise and energy consumption per head increases. Energy systems in countries such as India are facing increasing maintenance and upgrade costs to keep up with demand and ageing infrastructure, whilst those in developing countries are racing to keep up with exploding energy demand. These factors drive the need to improve energy management to increase energy efficiency and resilience.

Smart energy management technologies can help Indian utilities and distributors to forecast and manage loads better, reduce the need for costly infrastructure expansion, and improve service quality and customer satisfaction. Meanwhile consumers benefit from service quality reliability improvements, new tariff options, the ability to reduce their energy bills. However, the full benefits to all parties will not accrue unless the whole energy system is made smart end-to-end.

Increasing energy efficiency, promoting energy conservation and improving how we manage energy is vital to addressing and meeting the challenges facing Indian Smart cities. Investment in energy management can help India to better adjust to fluctuations in demand, reduce the need for capacity expansion, and decrease greenhouse gas emissions, while providing valuable savings to

Smart Energy Management

Smart energy management technology is defined here as technology that makes use of data or information to improve the management of energy. This is sometimes closely tied to, but is distinct from technology which generates renewable or sustainable energy. (For this report we focus only on smart energy management technologies in

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customers. Smart energy management is central to this solution; it enables the benefits of energy efficiency and improved resource management to be fully realized and promotes the development of a flexible and resilient energy sector.

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India is ranked as the third largest market for smart grids; it is expected to install 130 million smart meters by 202124. Its motives for smart grid developments are focused largely on meeting and managing future demand, which is expected to quadruple by 203025,

as well as reducing losses to the electricity network, estimated to be about 30%. As a country, which does not yet have full household electricity penetration, India is poised to leapfrog technology when it develops its smart energy networks. India is already facing severe challenges with its grid - in July 2012 it suffered the biggest blackout in history, which cut power to 700 million people in 28 states. The blackout has helped to galvanize support behind India’s grid modernization program. India has created a Smart Grid Task Force and a Forum which has brought together leading suppliers from around the world, such as GE, Siemens, and Schneider Electric. The Government is carrying out pilot smart grid programs in 8 cities. Cities have set targets for smart meter installation, such as Bangalore which aims to have one million smart meters installed over the next year. With its myriad of utilities, India is not an easy market to penetrate; nonetheless, it is very open to attracting foreign partners. The state of Maharashtra, for example, has partnered with Siemens to install smart grid technologies.

24 http://cmrindia.com/india-energy-vision-2015-the-future-lies-in-smart-grids 25http://articles.timesofindia.indiatimes.com/2012-08-01/india/32979728_1_power-sector- transmission-technical-loss

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Smart Water Management Technological Opportunities

To an economy heavily reliant upon agriculture, water is an invaluable and critical resource for the new breed of Indian cities and its management poses many challenges for the local government. Across Indian cities where low precipitation is common, compounded by drought, it is essential for smart water conservation management realistic sustainably. However, towards India’s extreme South and East, many of its cities face the other side of the coin: copious rainfall which overwhelms a city’s infrastructure, housing, basic amenities and acts as a perfect carrier for water borne illnesses.

With most of India’s Smart cities requiring effective water management technology, both the opportunities and challenges for this sector are immense. The drive to provide better services at an affordable cost is challenging. Entrenched players in the Water utilities industry along with and various stakeholders will need to leverage technological innovation to achieve positive strides in this crucial sector.

With both the demand for water and the cost of water treatment on the rise, a simultaneous reduction in the supply of water means most Indian cities are now facing huge challenges in managing and delivering safe supplies of water to those living and working in cities. The United Nations predicts that global water demand will rise by 40% between now and 2020 and that this will be 50% higher in developing countries- with emphasis upon India.26 These challenges also provide opportunities to those countries and businesses that are ready to exploit them.

26Water 20/20 Bringing Smart Water Networks into Focus, SENSUS 2012

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Smart Water Management

Smart water management is defined here as a system is one in which technology manages the distribution and management of water resources, where advanced water treatment is present, where demand-side efficiency is enabled and where products improve water efficiency and food production.

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Smart Transportation Management Technological Opportunity

Heady urbanization across India confronts its cities with congestion, carbon emissions and pollution. Congestion costs the Indian economy upwards of $10.8bn a year in lost economic activity27. The growing demand for smart transport solutions to address congestion from city authorities and commuters means that the Indian ‘Smart Transport’ market, inclusive of digital and physical infrastructures, and associated design and advisory services, is amongst the fastest growing and most lucrative investment sectors.

Fortunately, akin to India rapid development, the transportation systems industry also taking forward bound leaps. Disruptive and key advancements in communication technology combined with innovation in transport technology enable cities to provide an efficient and seamless movement of people, goods and services from place to place.

Increased urbanization and population growth in cities, driving down energy costs, improving standards of safety, finding more sustainable methods of travelling and a desire for better integration of transport modes, are some of the challenges which confront city managers when they develop their transport policies. Advancements in technology are now providing global opportunities in smart transport management as cities try to reduce the burden of congestion and improve the lives of their residents.

27 http://www.arabiangazette.com/india-traffic-congestion-losses/

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Smart Transportation Management

Smart transportation management is defined here as one which empowers people to take more control through informed choice of how and when they access transport towards benefits managing their time. A smart transport system is one which integrates information from different modes of transport, including trams, trains, buses, and tube, etc. and also facilitates the efficient movement of goods through across a city by ensuring its logistics do not become a burden on a

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Smart transport management will be a crucial cog in India’s 100 Smart City Initiative. At the technical layer, it involves the integration of technology and communication to a deliver a platform which provides users with a more encompassing view of transport. It provides the ‘Smart City’ owners with a system that allows for an all- encompassing system that enables a strategic approach to transport management in a city. A smart transport approach needs to be sustainable, citizen-centric, and support economic development.

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Smart Waste Management Technological Opportunities

The primary focus of Smart technologies and systems dedicated towards managing waste in India’s cities seeks to enhance the efficiency and effectiveness of its collection and separation. A chief driver for Indian cities towards the development of effective waste management is the mass levels of urbanization and population growth across cities. As one of the fastest growing GDP’s in the world, waste is an irrefutable byproduct of heightened economic activity. Through smart management of its waste India’s new age cities can look towards an improvement in economic productivity, positive externalities and a higher quality of living for its citizens.

With waste collections and disposal being crucial towards establishing an intelligent system. Presently, India has an embryonic waste management sector. Across its urban landscape, ‘dumping’ is prolific as are enormous landfill sites, along with common practices of burning. The harmful effects on both human life and the environment are tremendous. With growing levels of education and a demand for a better quality of life, India’s citizens are appreciating the positive effects stemming from innovative waste management systems. Shedding years of neglect, the Indian government is prioritizing the issue and have made in-roads towards the development of small scale organic treatment processes such as Anaerobic Digestion.

Smart Waste Management

Smart waste management is defined here as: (i) The collection and dissemination of waste as of economic activity (ii) The efficient regulation, monitoring, collection and controlling the of waste, from its creation to its recycling stage. (iii) Maintaining facilities / amenities, which are mandatory required to be observed through the course of these activities to prevent the spread of health and environmental epidemics

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With a stellar track record in developing smart waste solutions-European experts, businesses and solutions providers would do well to create and transport their immense know-how in this sector towards the vast Indian market for smart waste solutions.

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Potential Industry Body Collaborators for Corporates SMART CITIES COUNCIL – INDIA

Address: A-303, Navabharat Estates, Zakaria Bunder Road, Sewri West, Near Railway Station, Mumbai- 400015

Website: http://smartcitiescouncil.com/tags/india-smart-cities Details: The Smart Cities Council is an advisor and market accelerator. They promote the move

to smart, sustainable cities. They also contribute to their partners' business success through advocacy.

MUMBAI FIRST

Address: Jolly Maker Chambers II, 47, Nariman Point, Mumbai- 400021

Website: http://www.mumbaifirst.org Details: Mumbai First's is a non-profit organization functioning as think tank for the city,

consisting of businesses and financial institutions. Mumbai First’s role is researching, catalyzing, advocating and networking. 9 expert committees on Housing, Physical Infrastructure, Economic Growth, Governance, Health, Environment, Security and Smart Cities.

CONFEDERATION OF INDIAN INDUSTRIES (CII)

Address: The Mantosh Sondhi Centre, 23 Institutional Area, Lodhi Road, New Delhi-110003

Website: www.cii.in Details: CII National Mission on Smart Cities is a platform focused on smart cities, where private

companies and government bodies both are part of the platform, which is a common platform for interaction and information transfer. CII National Mission on Smart Cities has signed several MoUs and has formed consortiums with private and government stakeholders.

FEDERATION OF INDIAN CHAMBERS OF COMMERCE AND INDUSTRY (FICCI)

Address: Federation House , Tansen Marg, New Delhi- 110001

Website: www.ficci.com Details: FICCI as an industry federation is actively working and focusing on Urban infrastructure

and smart cities space. They are actively working on creating platforms for government and private players who are involved in smart cities projects.

MAHARATHA CHAMBER OF COMMERCE, INDUSTRIES AND AGRICULTURE

Address: 505 and 506 A and B Wing, MCCIA Trade Tower, S. L. Kirloskar International Convention Centre Complex, Senapati Bapat Road, Pune- 411 016

Website: www.mcciapune.com Details: Mahratta Chamber of Commerce, Industries and Agriculture is an industry federation

working with members and stakeholders of various sectors in and around the region of Pune. They are involved in submitting an economic development report related to the urban developments of Pune to Pune Metropolitan Regional Development Agency.

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MCCIA is an important industry federation actively working and focusing on smart cities and development happening in and around that space.

GLOBAL RELATIONS FORUM

Address: Clover Centre, 121 B Wing, Camp, Pune- 411001

Website: www.gr-forum.org Details: Intermediary organization working with companies in the framework of infrastructure

development both with countries in Europe and with industry stakeholders in India.

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Potential State Collaborators for Corporates MINISTRY OF URBAN DEVELOPMENT

Address: Nirman Bhawan, room no. 122-C, Maulana Azad Road, New Delhi– 110011

Website: http://indiansmartcities.in/ Details: The Ministry of Urban Development have assigned a dedicated department for regulating and

managing the overall development of ‘Smart Cities’ in India. The 100 Smart cities project declared by the Government of India falls under the jurisdiction of the ministry. The ministry is working with master developers (Private sector companies) for developing the several smart cities being implemented in India.

MUMBAI METROPOLITAN REGION DEVELOPMENT AUTHORITY (MMRDA)

Address: Bandra - Kurla Complex, Bandra East, Mumbai- 400051

Website: www.mmrda.maharashtra.gov.in Details: MMRDA is a government agency working for urban and infrastructure development for the Mumbai

Metropolitan Region. MMRDA is responsible for the One BKC project in Mumbai and several other smart infrastructure initiatives dedicated towards metropolis of Mumbai.

CITY AND INDUSTRIAL DEVELOPMENT CORPORATION OF MAHARASHTRA (CIDCO)

Address: CIDCO Bhavan, 6th floor, Sion Panvel Road, CBD Belapur, Navi Mumbai – 400614

Website: www.cidco.maharashtra.gov.in Details: CIDCO is a city planning organization created by the Government of Maharashtra. They are working on

several smart cities projects with private companies. CIDCO has launched their own program with a self-funding of INR 340 Bn for smart cities for Navi Mumbai (Navi Mumbai is the New Mumbai region adjacent to the Greater Mumbai region).

MUNICIPAL CORPORATION OF GREATER MUMBAI (MCGM)

Address: BMC Head Office, 4th Floor, Annex Bldg, Fort

Website: www.mcgm.gov.in Details: Is the government body which looks after proper functioning and services of Mumbai and Greater

Mumbai Region. They are also involved in projects related to urban infrastructure development and smart cities development and remodeling.

NATIONAL INFORMATICS CENTRE (MAHARASHTRA STATE CENTRE)

Address: 11th Floor, New Administrative Building, Mantralaya, Madam Cama Road, Mumbai- 400032

Website: www.maharashtra.nic.in Details: The National informatics Centre is the central ICT department, which works with the state government

of Maharashtra. They are working with the state government for ‘Digital India Programme’. Relevant for ICT companies interested in working with state government for projects and safe city projects.

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MUMBAI METRO RAIL CORPORATION LTD. (MMRCL)

Address: NaMTTRI Building, Plot No. R-13, ‘E’- Block, Bandra Kurla Complex, Bandra (East), Mumbai- 400051

Website: www.mmrcl.com Details: MMRCL is responsible for metro projects within the Mumbai Metropolitan Region. They

collaborate with other urban development agencies such as MMRDA, MCGM for metro rail development and infrastructure in and around Mumbai region. They have a sound track record of foreign collaboration.

PUNE MUNICIPAL CORPORATION (PMC)

Address: PMC, Shivaji Nagar, Pune- 411005

Website: www.punecorporation.org Details: The PMC controls the entire administration, governance of Pune. The PMC is in charge of

the civic needs and infrastructure of the metropolitan region of Pun and are keen to collaboarte with private sector players.

PUNE METROPOLITAN REGIONAL DEVELOPMENT AGENCY (PMRDA)

Address: S.No 152-153 Maharaja Sayajirao Gaikwad Udyog Bhawan, Aundh, Pune- 411007

Website: Under development Details: PMRDA is responsible for urban development of Pune metropolitan region. Very similar to

Mumbai Metropolitan Regional development agency (MMRDA). PMRDA is responsible for most of the upcoming urban infrastructure projects in and around Pune region. They will work with Pune Municipal Corporation (PMC) and Pimpri Chinchwad Municipal Corporation (PCMC) – the two major municipalities in Pune.

PIMPRI CHINCHWAD MUNICIPAL CORPORATION

Address

:

Mumbai-Pune Road, Pimpri, Pune- 411018

Website

:

www.pcmcindia.gov.in

Details: Pimpri Chinchwad is an adjacent municipality to the metropolitan region of Pune. The PCMC is responsible for governance, administration and metropolitan development of Pimpri Chinchwad region.

SURAT MUNICIPAL CORPORATION (SMC)

Address: Muglisara, Main Road, Surat- 395003 Gujarat, India.

Website: www.suratmunicipal.gov.in

Details: Surat Municipal Corporation is a local self-government, which came into being under the provisions of the Bombay Provincial Municipal Act, 1949 carries out all the obligatory & discretionary functions prescribed thereunder. Maintenance, governance and development for the City of Surat. SMC will be working with federal government, state government of Gujarat and private sector companies for developing Surat as a smart city.

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NAGPUR MUNICIPAL CORPORATION (NMC)

Address: Muglisara, Main Road, Surat- 395003 Gujarat, India.

Website: www.nmcnagpur.gov.in

Details: Nagpur Municipal Corporation is responsible for maintenance, governance and development for the City of Nagpur (second capital of Maharashtra). NMC will be working with federal government, state government of Maharashtra and private corporations

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Potential Private Collaborators for Corporates

(master system integrators)

NAGPUR MUNICIPAL CORPORATION (NMC)

Address: Muglisara, Main Road, Surat 395003 Gujarat, India.

Website: www.nmcnagpur.gov.in

Details: Nagpur Municipal Corporation is responsible for maintenance, governance and development for the City of Nagpur (second capital of Maharashtra). NMC will be working with federal government, state government of Maharashtra and

ESSEL INFRA PROJECTS AND SMART UTILITIES

Address: 513/A, 5th floor, Kohinoor City, Kirol Road, L.B.S Marg, Kurla (W) Mumbai- 407020

Website: http://esselinfraprojects.com

Details: One of the fastest growing companies having diversified interests in infrastructure projects, Essel Infraprojects Ltd. Is a successful venture by the Essel Group with 3 SBUs & 6 business verticals comprising of order book value USD 3.3 billion and a National footprint in more than 11states and across 50 cities. The group ventured in Infrastructure space in 2007 in Surface Transport Segment & today has presence in Transport (Roads), Power Transmission & Distribution, Urban Infrastructure, Environment (Municipal Solid Waste), Renewable Energy (Solar & Hydro), Integrated Utilities (Power, Water, Solid Waste Management & Cable & Broadband)

LARSEN & TOUBRO

Address: R&D House, ECC Division, 3rd floor, Gate No.1 , Powai Campus, Saki Vihar Rd, Mumbai- 400072

Website: www.larsentoubro.com

Details: Larsen & Toubro, India's largest engineering and construction company, has formed a new unit to cater to smart cities, security solutions and communication projects, expecting the business to grow to $1 billion in three to four years, driven by the government's push in these areas.

RELIANCE INFRASTRUCTURE LTD.

Address: Reliance Energy Centre, Santacruz – East, Mumbai- 400055

Website: www.relianceada.com

Details: Reliance Infrastructure, a part of Reliance Group, is India's leading utility company having presence in across the value chain of power business i.e. Generation, Transmission, Distribution, EPC and Trading and the largest infrastructure company by developing projects in all high growth areas in infrastructure sector i.e. Roads, Highways, Metro Rails, Airports and Specialty Real Estate

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MAHINDRA SPECIAL SERVICES GROUP (MAHINDRA SSG)

Address: 5th floor, Times Square, Western Express Highway, Andheri (E), Mumbai, Maharashtra- 400069

Website: http://mahindrassg.com

Details: Mahindra Special Services Group is a corporate security risk consulting firm that helps organizations reduce risk and enhance competitive advantage. With a core team comprising of ex-forces officers and domain experts, Mahindra SSG’s risk mitigation advisories enable major corporate clients to secure their physical and information assets. They are one of private players working as a ‘Master System Integrator’ for smart and safe city projects within the Smart Cities Mission. They have already implemented Safe city project for Lucknow in Uttar Pradesh – India

TATA PROJECTS

Address: 11th Floor, Hiranandani Knowledge Park, Powai, Mumbai- 400076

Website: www.tataprojects.com

Details: Tata Projects is one of the fastest growing and most admired infrastructure companies in India. It has expertise in executing large and complex industrial and urban infrastructure projects. The company operates through four strategic business units - Industrial Infrastructure, Urban Infrastructure, Quality services and Utility services. The Company provides turnkey end to end solutions to setup power generation plants, power transmission & distribution systems, fully integrated rail & metro systems, commercial buildings & airports, chemical process plants, water and waste-water management solutions, complete mining and metal purification systems. They are also interested in the Smart Cities Mission by Government of India.

IL&FS SMART CITY INITIATIVE Address: 301, Dev Arc, Nr. Fun Republic Junction, S.G. Highway, Ahmedabad- 380015

Website: www.ilfsindia.com

Details: Networking giant Cisco has collaborated with Infrastructure Leasing & Financial Services (IL&FS) Technologies to jointly develop digital solutions to tap into the multi-billion-dollar opportunity in the smart city space in India. The companies will jointly develop Internet of Everything (IoE)-based digital solutions to pursue opportunities in the infrastructure sector and smart cities in India. Infrastructure Leasing & Financial Services (IL&FS) and Gujarat International Finance Tec-City Company Ltd (GIFTCL) recently announced the signing of a memorandum of understanding (MoU) with Siemens Ltd to develop Smart Mobility Solutions for GIFT City. GIFTCL is a 50:50 joint venture of Gujarat Urban Development Company Ltd and infrastructure development company IL&FS.

PRATIBHA INDUSTRIES Address: Universal Majestic, 13th & 14th Floor, P. L. Lokhande Marg, Ghatkopar Mankhurd Link

Road, Opp. RBK International School, Govandi, Mumbai- 400043 Website: www.pratibhagroup.com

Details: Pratibha Industries is providing society with quality infrastructure in execution / construction of complex & integrated water transmission & distribution projects, water

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treatment plants, elevated and underground reservoirs, mass housing projects, commercial complexes, pre-cast design & construction, road construction and real estate.

HINDUSTAN CONSTRUCTION COMPANY (HCC) Address: Hincon House, LBS Marg, Vikhroli West, Mumbai- 400083

Website: www.hccindia.com

Details: HCC Group delivers excellent engineering & construction services. They are pioneers in the Indian infrastructure industry. They have a project near Pune ‘Lavasa’. Lavasa is a private, planned city being built near Pune. It is stylistically based on the Italian town Portofino, with a street and several buildings bearing the name of that town. A 25,000 acres (100 km2) or 8,000 acres (32 km2) project being developed by HCC and are highly interested in developing Smart city solutions with foreign collaborators.

TRACTEBEL ENGINEERING Address: 2nd Floor, Building No. 10-C, DLF Cyber City, Gurgaon- 122 002 Haryana

Website: www.tractebel-engineering-gdfsuez.com/offices/asia/india

Details: Tractebel Engineering Pvt Ltd is the wholly owned Indian subsidiary of Tractebel Engineering. Since the company entered the Indian market in 2000, it has established itself as the preferred engineering consultant for Gas & Power projects, in both the Indian public and private sector. Tractebel Engineering was awarded several ISO certificates which testifies of its strong commitment to Excellence towards Quality, Health, Safety & Environment. Along with TERI (The Energy Research Institute-India) they are working on a detailed project report as a consultant empaneled by Government of India for the smart city plan of Dharamsala.

MICROSOFT CORPORATION

Address: Level 10, Tower C, Epitome, Building No 5, DLF Cyber City, Phase 3, Gurgaon- 122002

Website: www.microsoft.in

Details: Microsoft India is collaborating and identifying opportunities within the Smart Cities Mission for ICT and ITes sectors across the board with foreign partners.

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Policy Insight-Exclusive interview: New Delhi, 04-01-17

Experiencing a major demographic shift, the bulk of India’s population will look to migrate from villages into cities in search of new opportunity. This new mass-migration of urban dwellers will be supported by the “Smart City” initiative, which aims to upgrade and build 100 cities stressing urban mobility, low-cost housing, and sanitation and sewerage.28 Enovado had the opportunity to conduct an exclusive interview with one of the chief economic advisors for urban development for Prime Minister Modi, Dr. Kumar V. Pratap. Dr. Pratap shed light on what implications this initiative holds for German investors, and he identified several major areas for foreign collaboration in high-tech functions to serve the Smart City initiative.

Q. We have all read the statistics on India’s burgeoning population.

India’s people continue to be its greatest asset and its creates cost, you

can say. To what effect does the Smart City project alleviate such

pressures on India?

28 Embassy Of India, Berlin, Press release, https://www.indianembassy.de/pdf/Press_Release_Smart_Cities_Mission_Statement.pdf

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A. To house what is projected to become the world’s most populous

nation, the basic building blocks of any smart city would be the

creation of homes and apartments built with the utilization of

environmentally friendly technologies, sustainable amenities and non-

traditional building materials. The undertaking of this would open

massive opportunities for construction machinery, sanitation

equipment, waste and water management equipment, and other

capital goods in which German and other European manufacturers

excel in.

Q. With the building blocks on place India also has a notorious track-

record in being unable to basic amenities to its citizens. How do the

provision of facilities, products and manufactured technologies relating

to water, electricity and efficient waste management feature in Mr.

Modi’s Smart City plan?

A. With the creation of smart cities, the energy upon which they run

will be generated through technologically advanced methods. With

high unmet current demand and an estimated future market demand

of 900 GW by 2032, India’s power generation, transmission and

distribution systems are undergoing a massive transformation in

capacity and technology absorption. 29 A “Smart Grid” is being

proposed to supply the smart cities with electricity, while technology

breakthroughs in thermal, hydro and nuclear power capacity are

being sought. India has been doubling its capacity and investment in

renewable energies every year for the last three years. the Indian

federal government has targeted the development of 100 GW of new

solar energy and 60 GW of new wind energy capacity by 2020; a

huge jump from the current levels. The immense technical knowhow,

expertise and knowledge possessed by advanced European

manufacturers could play a key role in India achieving its proposed

targets.

Q. The word ‘green’ goes hand in hand with all things ‘Smart’ can you

shed light on opportunities in green capital good sector for the foreign

investment community Dr. Pratap?

A. With its committed mission for clean and green products, India in

general and smart cities will require machinery and equipment to

assist its cities and local industrial firms to effectively reduce their

29 Make In India, http://www.makeinindia.com/article/-/v/defense-indigenisation-the-way-forward

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pollutants and waste. Effluent treatment, water management, carbon

mitigation and air pollution control are a few of the key areas within

this sector which beckon German skill sets. These requirements, in

conjunction with the Modi government's “Clean India” initiative, serve

two sets of very important nationwide goals. Earlier this year saw the

German government announced an interest in developing three smart

cities - Kochi, Bhubaneswar and Coimbatore- by equipping and

collaborating with Indian players to develop smart solutions. Germany

has already been engaged in a wide variety of project areas which

aid smart cities via sustainable mobility, waste and water

management systems as well as efficient energy solutions.

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Conclusion The Smart city mission is one of the biggest initiatives undertaken in the history of any Indian government leadership profile towards the betterment of its citizens. Coincidently it is also one of the largest offerings for FDI investment across an eclectic range of sectors. Designed to inspire a trinity of partnerships through the private, public and overseas investment community- the diversity in stakeholder’s profile demands out-of-the-box creativity and involvement from all actors.

The states must play a defining role in (re)creating the landscape of their urban territories by providing visionary leadership and agile governance. Private players- both foreign and local - must contribute by way of supplying quality state-of-the-art products, competence in project implementation, management, conception and creation via a technological lever. While the Citizen participation in utilization, feedback and active interaction with deployed smart solutions will be crucial for sustainable yet nimble development.

With India being a rapidly developing economy, the mass wave of urbanization being experienced makes the Smart City initiative a prerogative for all present and future Indian citizens. Thus, the execution of this plan could make India take a major leap in the race of development while simultaneously opening a sea of opportunities for foreign investors.

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Appendix About Enovado

Our mission is to provide refreshing new solutions to the traditional world of FDI.

Enovado offers FDI consulting services, such as strategy, marketing or lead generation support to investment promotion agencies, and helps companies investing abroad with various market entry related activities like export promotion, location analysis, site selection or M&A.

While we deeply believe in the strength of our traditional hands-on approach to FDI, we differentiate ourselves from our competition by combining these methods with state-of the-art tools and solutions.

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