Union Cabinet okays CITIIS 2.0 seeking to support projects promoting circular economy

New Delhi, May 31 (PTI) The Union government Wednesday approved the City Investments to Innovate, Integrate and Sustain (CITIIS) 2.0 programme that seeks to support projects promoting a circular economy with a focus on integrated waste management at the city level, said Information and Broadcasting Minister Anurag Thakur.

CITIIS 2.0, approved by the Union Cabinet at a meeting chaired by Prime Minister Narendra Modi, will run for four years beginning this fiscal in partnership with the French Development Agency (AFD), Kreditanstalt f r Wiederaufbau (KfW), the European Union (EU), and the National Institute of Urban Affairs (NIUA) in 18 cities.

The programme envisages supporting competitively selected projects promoting a circular economy with a focus on 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, Thakur told reporters here.

Reacting to the Cabinet’s decision, Prime Minister Modi said the step aligns with India’s commitments towards a better and more sustainable planet.

“The Union Cabinet’s approval for the innovative CITIIS 2.0 programme will foster a circular economy and enhance climate resilience across our cities. This step aligns with India’s commitments towards a better and more sustainable planet,” he said in a tweet.

The funding for CITIIS 2.0 would include a loan of Rs 1,760 crore or Euro 200 million with AFD and KfW contributing Euro 100 million each and a technical assistance grant of Rs 106 crore (Euro 12 million) from the EU, Thakur said.

CITIIS 2.0 aims to leverage and scale up the learnings and successes of CITIIS 1.0 which was launched jointly by the Ministry of Housing and Urban Affairs, AFD, EU and NIUA, in 2018 with a total outlay of Rs 933 crore.

Thakur said that 80 per cent of the expenditure will be borne by the Central government and the rest by the state governments. However, for hill states and northeastern states, they will contribute only 10 per cent and the rest 90 per cent of expenditure will be borne by the Union government, he said.

Asked whether a particular state can have two or more smart cities, he said the country has been divided into six regions under the scheme with at least one smart city selected from each region.

Under the plan, smart schools and biodiversity parks will be developed and energy-saving technology will be developed in 18 cities, Thakur added.

In a statement, the government said CITIIS 2.0 will supplement the climate actions of the Centre through its ongoing National programs (National Mission on Sustainable Habitat, AMRUT 2.0, Swachh Bharat Mission 2.0 and Smart Cities Mission), as well as contributing positively to India’s Intended Nationally Determined Contributions and COP 26 commitments.