Smart Cities Initiative has come up with tremendous investment and business opportunities across several sectors for the industry. 99 cities have been selected as of now with a total outlay of INR 2.04 lakh crores. These cities have started implementing various projects such as Smart Road Infrastructure, Solar Rooftops, Command Control Centre, Intelligent Transport System and Smart Parks, etc. Projects worth INR 2350 Crores have been completed. Projects worth INR 20852 crore are under progress.
The Indian market at present is very promising. With several futuristic infrastructure missions and big value projects announced, the market potential, in terms of underlying business opportunities, is huge. The country is said to be at a brink of smart & urban transformation. However, execution of such smart projects would require smart procurement policies.
The Central Ministry in the domain has restricted itself from the key operational matters by setting up SPVs with majority shareholding in the hands of state government/ UT administrations and ULBs. Hence the procurement actions of smart city SPVs is driven by the state specific procurement legislations. However, the procurement contract for smart city projects would require adoption of smart procurement framework, must be based on service & performance and should involve newer methods of tendering.
FICCI is thus hosting a detailed stakeholder consultation - Procurement 4.0 Reforming the Frameworks on Wednesday, 25th April 2018 in FICCI, Federation House, to review the projects in smart cities tendered/executed so far, understand the procurement challenges from both industry and government perspective and come up with recommendations for drafting smart procurement frameworks which will facilitate the ease of doing business in India and ensure successful/effective Government-to-Business engagements.