PURA Provisioning of Urban Amenities in Rural Areas

Context : PURA re-released as PURA 2.0

• 1500cr in 12th plan- measly support for a positive program to develop infra in rapidly urbanizing but unrecognized Census Towns, increases CT from Rs. 1000 to Rs. 3200 cr in 10 years (Census Towns -> town having more than 5,000 populations with a density of 400 people per square kilometer and where the male population engaged in non-agricultural activities is more than 75 percent)
• private companies in consultation with Gram Panchayats, which will be the nodal agency, can take up projects like sanitation, water supply, street lighting, roads and solid and liquid waste management on user-charges basis in the census towns
•  Rural Development Ministry providing a grant of 40 to 50 crore rupees; 70 to 80 crore rupees will be mobilized by ongoing central schemes, while the private sector is expected to bring in about 20 crore rupees. The Private Company in consulation with the Gram Panchayat will get the lease of 10 years for the physical infrastructure to be developed in such towns to recover the investment

Fortune at the Bottom of the Pyramid

• Tested business modes  ITC e choupal, HUL Shakti rural women entrepreneus, Tata Kisan Kendra, DCM shriram hariuali kisaan bazaar, SEWA, BASIX
• Public private partnership has seen Common Service centres under SEWA SREI sahaj e- village program -CSCSs in 6 states, providing G2C and B2C
• Common service centers - CSC operator as a Village level Entrepreneur VLE, State Center Agency SCA, State designated agency SDA , 3tier system
• Sahaj , a non banking finance company SREI subsidiary, part of NeGP - last mile access to organizations looking to offer services to >2000 population villages
• VLEs are local entrepreneurs , who offer services like zZIT education, tailway tickets, mobile recharge, insurance cover etc  -

PURA 1.0 (APJ Abdul Kalam's idea)

Freedom to PPP to provide add on revenue generating facilities like Village Linked Tourism Rural markets, warehousing, schools integrated rural hubs

• 15 clusters in 10 states, amenities by private players - water supply sewage roads drainage and telecom and electricity ,funding support by ADB and MEA as well 
• Bharat nirman, private investments and O&M for 10 years under contract, growth center of gram panchayat core- infra + economic regeneration
• Features  25 sq km 3-4 Panchayats, roads, drainage, 5 pits for SWM, Skill development  Lead Economic Activity, street lights, internet kiosks, biomass gas generation, 1MW plant
• PPP 78:22 for infra, 100% orivate for revenue generation, VGF, Risk mititgation and rish sharing between shareholders
• Total 619 districts, 6484 blocks, 2,55,000 panchayats, 5,93,731 villages, 5.4cr BPL hh
• Model
• Micro consumer/producer and innovators connected physically, financially, and information/knowledge based with rural entrepreneurs, giving him economic connectivity with formal economy
• Convergence seen in NRLM, TSC and NRWDP in capital expenditure  provisioning, private player gets land free for public amenities, revenue sharing for other activities, after 10 years, reverts back to GP/state for maintenance and use