Hyderabad, Oct 18 (UNI) Andhra Pradesh Chief Minister Y S Rajasekhara Reddy today called for Public-Private Partnerships (PPP) in infrastructure development in urban areas, considering the fast pace of urbanisation.
Speaking at a workshop on 'Mainstreaming PPP in the Urban Sector' organised by the Ministry of Finance, Ministry of Urban Development and Asian Development Bank (ADB) here, he said the PPP model was the need of the hour, to offset the imbalance in migration to the cities from villages and the lack of infrastructure.
As the government was unable to provide all facilities, private parties should join hands with the public sector, he said.
Union Urban Development Minister S Jaipal Reddy said the PPP mode should be encouraged to meet the requirements of urbanisation.
''Urbanisation in the country is slower than the rest of the world.
Jawaharlal Nehru National Urban Renewal Mission(JNNURM) is envisaged to provide infrastructure in 63 cities,'' he said.
With Rs 50,000 crore each from both the Centre and state governments, a total of Rs one lakh crore would be spent on several infrastructure facilities in cities recognised by the Centre.
Preservation of water bodies and solid waste management would be the prime areas, where the private parties could play a prominent role with the government assitance. Citing an example, he said the PPP model was adopted for the setting up of the International Convention Centre and the Commonwealth Games Village in Delhi.
ADB (South Asia Department) Director General Kunio Senga said it was extending loans for private projects to encourage PPP for infrastructure growth.