Launched in 2015, the Smart Cities Mission (SCM) aimed to reshape urban landscapes in India by promoting innovation, sustainable infrastructure, and efficient governance. By March 2025, the mission had completed over 93% of its 8,000 projects and disbursed nearly 99.44% of its allocated Rupees 48,000 crore budget. Much of this progress is credited to the strategic use of Special Purpose Vehicles (SPVs) and Integrated Command and Control Centres (ICCCs) across 100 designated cities.
Role Of Special Purpose Vehicles (SPVs)
Formed under the Companies Act, 2013, SPVs operate as joint ventures between State or Union Territory governments and Urban Local Bodies (ULBs). These entities are responsible for executing Smart City projects. Their autonomy and flexibility have played a key role in overcoming implementation challenges and strengthening local governance mechanisms.
Function Of Integrated Command And Control Centres (ICCCs)
ICCCs are established as the technological nerve centres of smart cities. They integrate real-time data to support governance decisions related to traffic management, public safety, emergency response, and waste control. These centres have enhanced the ability of city administrations to respond promptly and efficiently to urban issues.
Continuation Beyond SCM
With the official timeline of the SCM concluding in March 2025, the Government of India has recommended extending the roles of both SPVs and ICCCs. An advisory has been issued urging cities to focus on completing remaining projects, creating long-term operation and maintenance strategies, and adapting these structures to meet future urban development challenges.
Key Focus Areas For SPVs
The advisory outlines five strategic domains for SPVs post-2025:
Technology Support: Assisting ULBs in managing urban data and ensuring digital security.
Project Execution: Serving as implementation arms for various central and state government schemes.
Advisory Services: Leveraging their project experience to guide policy and operational strategies.
Research & Evaluation: Supporting planning through data-driven insights and outcome assessments.
Investment & Economic Development: Structuring investment-ready projects and charging fees to ensure long-term sustainability.
Integrating SPVs And ICCCs Into Governance
The Ministry of Housing and Urban Affairs (MoHUA) has advised state and UT governments to integrate these entities into existing governance systems. This move aims to retain the benefits of the Smart Cities framework and continue fostering inclusive, sustainable, and technology-driven urban growth across India.
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