Staff Reporter

THRISSUR: Union Minister for Urban Development S. Jaipal Reddy has said that funds under the Jawaharlal Nehru National Urban Renewal Mission (JNNURM) can be made use of only by urban bodies that are prepared to implement the associated reform package.

Inaugurating a workshop on JNNURM for the Mayors and people's representatives of south Indian States at the Kerala Institute for Local Administration (KILA) at Mulankunnathukavu near here on Monday, the Minister said that scrapping of the Urban Land Ceiling Act and Rent Control Act and imposition of user charge on services such as water supply on affluent sections were some of the reform proposals.

Corporations must switch over to the double-entry accounting system and use facilities such as GIS during their Plan formulation. The Corporations must make their financial position known to the people on a continuous basis. City Development Plans (CDPs) submitted by the Corporations for getting the funds would be subjected to strict appraisals by competent agencies. There would be constant monitoring of the expenditure of the funds, Mr. Jaipal Reddy said.

The Minister said the Centre proposed to sanction Rs.50,000 crore as aid to urban bodies under the JNNURM in the next six years.

Since local bodies and State Governments were expected to contribute an equal amount, Rs.1,00,000 crore was likely to be spent for the development of urban areas in the country in the next six years under the Mission.