PIB Summaries 07 August 2023

CONTENTS

1. CITIIS 2.0 Program
2. Vivad se Vishwas II

CITIIS 2.0 Program

Context:

Recently, the Government has approved the ‘City Investments to Innovate, Integrate and Sustain 2.0 (CITIIS 2.0)’.

Relevance:

GS III: Infrastructure

Dimensions of the Article:

1. About CITIIS Program
2. CITIIS 2.0 Program
3. What is the Smart Cities Mission?

About CITIIS Program:

• The CITIIS (Cities Investments to Innovate Integrate and Sustain) Challenge was launched in partnership with AFD and the European Union.
• It aimed to extend a loan of EUR 100 million for the implementation of innovative projects selected through an All-India Challenge in sectors like sustainable mobility, public open spaces, urban governance & ICT, and social and organizational innovation in low-income settlements.
• The program was launched on July 9, 2018, and completed activities such as preparatory workshops, proposal submission by cities, evaluation of proposals, and selection of 12 projects in a record time.
• Currently, the 12 projects are being implemented in cities like Agartala, Amaravati, Amritsar, Bhubaneshwar, Chennai, Dehradun, Hubbali-Dharwad, Kochi, Puducherry, Surat, Ujjain, and Visakhapatnam.

CITIIS 2.0 Program:

• The program aims to support selected projects that promote circular economy, integrated waste management at the city level, climate-oriented reform actions at the state level, and institutional strengthening and knowledge dissemination at the national level.

Duration and Partnerships:

• The program will span over four years, from 2023 to 2027.
• It is conceived and will be implemented in partnership with the French Development Agency (AFD), Kreditanstalt für Wiederaufbau (KfW), the European Union (EU), and the National Institute of Urban Affairs (NIUA).

Funding:

• The funding for CITIIS 2.0 includes a loan of ₹1,760 crore split equally between AFD and KfW.
• Additionally, there is a technical assistance grant of ₹106 crore from the European Union.

Components of CITIIS 2.0:

CITIIS 2.0 comprises three major components:

• Financial and technical support for developing projects focused on building climate resilience, adaptation, and mitigation in up to 18 smart cities.
• Interventions at the central, state, and city levels to further climate governance.
• Promoting circular economy with a focus on integrated waste management at the city level.

What is the Smart Cities Mission?

• The Smart Cities Mission is an initiative of the Union Housing and Urban Affairs Ministry that was launched by Prime Minister Narendra Modi on June 25, 2015.
• Cities across the country were asked to submit proposals for projects to improve municipal services and to make their jurisdictions more liveable.
• Between January 2016 and June 2018 (when the last city, Shillong, was chosen), the Ministry selected 100 cities for the Mission over five rounds.
• The projects were supposed to be completed within five years of the selection of the city, but in 2021 the Ministry changed the deadline for all cities to June 2023, which was earlier the deadline for Shillong alone.

What kinds of projects were proposed?

• After the Ministry gave broad guidelines to the participating cities, the project proposals ranged from making certain stretches of roads more accessible and pedestrian-friendly to more capital-intensive ones like laying water pipelines and constructing sewage treatment plants.
• All 100 cities have also constructed Integrated Command and Control Centres to monitor all security, emergency and civic services.
•  During the peak of the Covid-19 pandemic, these centres were converted into emergency response units by many of the cities.

Vivad se Vishwas II

Context:

Recently, the Ministry of Finance launched the scheme, “Vivad se Vishwas II to effectively settle the pending contractual disputes of government and government undertakings. The scheme was announced in the Union Budget 2023-24 by the Union Finance Minister.

Relevance:

GS III: Indian Economy

Dimensions of the Article:

1. Vivad Se Vishwas-II Scheme:
2. Objectives
3. Coverage

Vivad Se Vishwas-II Scheme:

• Vivad Se Vishwas-II Scheme is a voluntary settlement initiative designed to address long-standing contractual disputes involving government entities.
• It is tailored for disputes where the Arbitral Award is under legal challenge, providing a framework for efficient resolution.

Key Features:

• Targeted Cases: The scheme focuses on disputes where the Arbitral Award is contested in court.
• Standardized Terms: The scheme introduces standardized terms for settlements.
• Graded Settlement Options: Options for settlement are provided based on the extent of dispute pendency.
• Arbitral Award: This is a final award that concludes arbitration proceedings.

Objectives:

• Efficient Resolution: The scheme aims to expedite the resolution of contractual disputes.
• Ease of Doing Business: It seeks to enhance the business environment by facilitating smoother interactions with government agencies.
• Investment Promotion: Encourages fresh investments in the country by establishing a conducive dispute resolution mechanism.

Implementation:

• Digital Platform: The scheme will be executed through an online mechanism on the Government e-Marketplace (GeM) portal.

Coverage:

• Government Agencies: The scheme applies to disputes with Central government entities, including autonomous bodies, public sector banks, financial institutions, and central public sector enterprises.
• Union Territories: Disputes with union territories and the National Capital Territory of Delhi and their agencies are covered.
• Opt-Out Provision: Certain organizations, like metro corporations with a 50% Centre stake, can choose to opt out if they secure board approvals.

Settlement Amount:

• Court Awards: For cases with court awards, the settlement amount can reach up to 85% of the net awarded or upheld sum by the court.
• Arbitral Awards: For arbitral awards, the settlement threshold is “up to” 65% of the net amount.