On 27 March 2025, MP Belagavi Jagadish Shettar raised a query in the Lok Sabha regarding the extension of the Smart Cities Mission term. The Minister of Housing and Urban Affairs responded unequivocally, stating that there would be no further extension.
In July 2024, the Government of India had already extended the mission period until 31 March 2025 to ensure the completion of the remaining 10% of projects. This extension was communicated to the participating cities as being carried out without any additional cost, using funds from the already approved financial allocation under the mission. All ongoing projects were scheduled to be completed by the new deadline.
The Smart Cities Mission, which was launched in 2015, initially selected 100 cities through a competitive process from January 2016 to June 2018. These cities were granted a five-year window from their selection date to execute their proposed projects. In 2021, the ministry had further extended the deadline for all 100 cities until the end of June 2023.
Meanwhile, Belagavi Smart City Ltd has floated a short-term tender, with an advertisement in the Deccan Herald for an Immersive Learning Solution in Belagavi City. This tender, which includes a five-year operation and maintenance plan, warranty, and on-ground support, is scheduled to open on 15 April 2025.
According to an earlier article in Sakal, several projects remain pending in the city, including and for which tenders were floated recently:
- Road development, drainage, and decorative lighting in Kakti
- Installation of drinking water kiosks and a bus shelter in Kakti
- CCTV setup at Kakti police station
- Pavers, decorative light poles, RCC drainage, and underground cabling in Vijay Nagar
- Road development and other facilities in Shivabasava Nagar
- Heritage Park – Phase 2
- Art Gallery
- Development of an Aviation Gallery
- Construction of villages showcasing India’s rural culture
- City bus terminal
The above four items have been stalled for years due to their location in the Vaccine Depot area and ongoing court cases.
With the mission term concluding on 31 March 2025, approximately 93% of the planned projects have been completed(All India), marking a significant milestone in India’s urban development journey. However, the uneven performance across cities has left some initiatives incomplete. In response, the government has tasked state authorities with ensuring the completion of these pending projects.
Looking ahead, the Urban Challenge Fund is emerging as a potential successor to the Smart Cities Mission or, at the very least, a notable evolution in the government’s urban development strategy. Unlike the previous mission, which was largely funded by central government allocations, the Urban Challenge Fund aims to leverage market-based financing mechanisms and foster private sector participation through public-private partnerships. The absence of new financial allocations for the Smart Cities Mission in the Union Budget 2025-26 further underscores this strategic shift toward the Urban Challenge Fund for future urban initiatives.