Shyama Prasad Mukherji Rurban Mission

Brief description :

SPMRM is “Development of a cluster of villages that preserve and nurture the essence of rural community life with focus on equity and inclusiveness without compromising with the facilities perceived to be essentially urban in nature, thus creating a cluster of “Rurban villages”.
The aim of SPMRM is to create 300 rural growth clusters across the country. In the first phase, 100 clusters will be taken up, thereafter more clusters will be identified based on the progress of the scheme.The Scheme Outcomes are:

  • Bridge the rural urban divide- economic, technological and those related to facilities and services.
  • Spreading development in the region.
  • Attracting investments in the rural areas.
  • Stimulating  local  economic development  with emphasis on reduction of poverty and unemployment in rural areas.

Rurban Cluster & Categories of Clusters in NRuM :

A ‘Rurban cluster’, would be a cluster of geographically contiguous villages with a population of about 25000 to 50000 in plain and coastal areas and a population of 5000 to 15000 in desert, hilly or tribal areas. As far as practicable, clusters of village would follow administrative convergence units of Gram Panchayats and shall be within a single block/ tehsil for administrative convenience.
Rurban clusters would be developed by provisioning of training linked to economic activities, developing skills & local entrepreneurship and by providing necessary infrastructure amenities.The Mission recommends fourteen desirable components for an ideal Rurban cluster.
There are two types of clusters in NRuM :-

  • Non-Tribal Cluster
  • Tribal Cluster

14 Desirable Components Recommended Under the Mission :

The following components are envisaged as desirable components in each cluster:

Serial Number Recommended Components Serial Number Recommended Components
1 Skill development training linked to economic activities 2 Agro Processing, Agri Services, Storage and Warehousing
3 Fully equipped mobile health unit 4 Upgrading school/higher education facilities
5 Sanitation 6 Provision of piped water supply
7 Solid and liquid waste management 8 Village streets and drains
9 Street lights 10 Inter- village road connectivity
11 Public transport 12 LPG gas connections
13 Digital Literacy 14 Citizen Service Centres- for electronic delivery of citizen centric services/e- gram connectivity. Components pertaining to agriculture and allied activities would be required to be given special emphasis while developing these clusters


What is Critical Gap Funding & Total Mission Funding :

The project is envisaged to be funded through convergence of various Centrally Sponsored, Central Sector and State Government Schemes pertaining to the chosen components under the Mission. Critical Gap Funding (CGF) is proposed to be provided through this Mission to the clusters to bridge the gap posed by availability of scheme funds and fulfilling the development aspirations of the ‘Rurban Cluster’. The CGF would be capped at 30% of the capital cost or Rs. 30 crores whichever is lesser for plain areas and Rs. 15 crores or 30% of the capital cost for desert, hilly and tribal areas. The operations and maintenance expenses of the project will be recovered through user charges as per the user charges policy in the state with shortfall supported by the state budget.

The total funding requirement estimated for the scheme is Rs.5142.08 crore from 2015-16 to 2019-20.


Methodology for Selection of Non-Tribal Clusters :

For selection of Non-Tribal clusters, the Ministry would provide a list of leading sub districts to each State, within which the clusters could be identified. The selection of these sub districts by the Ministry would be based on parameters such as (i) Decadal Growth in Rural Population (ii) Decadal Growth in Non-Farm work participation (iii) Presence of Economic Clusters (iv) Presence of places of Tourism and Religious significance and (v) Proximity to Transport Corridors. Appropriate weightages have been given for each parameter.

Thereafter, within these sub districts, so identified by the Ministry, the State Governments could select the clusters and while doing so, could include the following performance parameters:

  • Decadal growth in Rural Population
  • Percentage Enrollment of girls in secondary schools
  • Performance in Swacch Bharat Mission (Grameen). vii. Good Governance Initiatives by Gram Panchayats
  • Rise in Land Values
  • Percentage Households with Bank accounts under Pradhan Mantri Jan Dhan Yojana
  • Decadal growth in Non-Farm Work force participation


Methodology for Selection of Tribal Clusters :

For identification of the tribal clusters, the Ministry would select the leading sub districts falling within the top 100 tribal districts of the country, based on the Scheduled Tribes population. The selection of these sub districts would be based on parameters such as (i) Decadal growth in Tribal Population (ii) Current Tribal Literacy Rate (iii) Decadal growth in Non-Farm Work force participation (iv) Decadal growth in Rural Population and (v) Presence of Economic Clusters. Appropriate weightages would be given respectively for each of these parameters while selecting the sub-districts.
Thereafter, within these sub districts so identified by the Ministry, the State Governments could select the clusters and while doing so, could include the following performance parameters:

  • Decadal growth in Tribal Population
  • Growth in Tribal Literacy rates
  • Decadal growth in Non-Farm work force participation


The Implementation Framework for the Mission at National level :

The project is to be implemented in a Mission mode.The NRuM will be run at the Centre, by the National Mission Directorate headed by the Joint Secretary, in-charge of the National Rurban Mission (NRuM), Ministry of Rural Development (Ministry). This Mission Directorate would be supported by a National Mission Management Unit (NMMU).
An Empowered Committed (EC) headed by Secretary, MoRD, will be constituted at Ministry, which will approve the ICAPs submitted by the States and approve the CGF for the cluster and take other necessary decisions and steps to ensure coordination with other Central Ministries and State Governments, to facilitate successful implementation of the Scheme.
An Expert Group will be constituted at Ministry which will comprise representatives of relevant institutions and departments and eminent persons in the related sectors of the Mission.The mandate of the Expert Group will be to evaluate the ICAPs before it is sent to the Empowered Committee for final approval.Ministry may also seek guidance from the Expert Group on matters related to SPMRM from time to time during the Mission period.


The Implementation Framework for the Mission at State level :

A District Project Management Unit (DPMU) may be set up at the District Collector’s office with upto three professionals, (i) Regional Planning Specialist; (ii) Convergence Specialist and (iii) Rural Development and Management Specialist.
The District Project Management Unit will report to the District Collector. This unit shall be responsible for coordinating with implementing departments/agencies for ensuring notification of planning areas and related spatial planning matters, convergence of schemes planned in the ICAP in an integrated and time- bound manner. These DPMUs shall also work in close co- ordination with the SPMU.


The Implementation Framework for the Mission at Cluster level :

A Cluster Development and Management Unit (CDMU) will be set up for each Rurban cluster comprising at least two professionals, (i) Spatial planning professional and (ii) Rural management/development professional.
This unit will closely monitor the spatial planning aspects and the ICAP preparation for the cluster and will also closely monitor the progress of the activities in the cluster and provide regular updates to the DPMU/SPMU.


The Fund Flow Mechanism :

The Critical Gap Funding (CGF) approved for the Rurban Cluster will be transferred from Ministry to the State Government, which in turn will ensure that it will be credited into a dedicated bank account maintained by the SNA. The CGF for each cluster will be divided into three instalments, over a period of three years, in accordance with the project schedule finalized during the approval of the SPMRM project.

The SNA would then transfer the funds for the development of the clusters to a dedicated bank account at the District Level. The District Collector shall utilize the funds from this account for the components of the ICAP proposed to be funded by CGF. The State Governments/Gram Panchayats may utilize these dedicated bank accounts for channelizing any additional funding for the Rurban cluster.

For Central Sector, Centrally Sponsored and State Sector schemes converged under the National Rurban Mission (NRuM) for a cluster, the fund flow arrangement shall be in accordance with the relevant Scheme Guidelines and these funds will not be routed through the dedicated bank accounts at the State and the district level.


The Fund Release Pattern under this Mission :

The Ministry shall release Rs. 35 lakhs (Rupees thirty five lakhs only) per Rurban cluster approved in the State for preparation of ICAPs. This will be adjusted against the 2% administrative budget for each State.
The funds would be released in three instalments at appropriate stages of the project cycle as illustrated below:

  • The first instalment – 30% of CGF will be released after the approval of the ICAP by the Ministry.
  • The second instalment – 30% of CGF will be released after submission of DPR approvals by SLEC, approval of the final CGF for the project by the Ministry, which will be followed with commencement of construction activities at the site.
  • The third instalment –40% of CGF will be released after submission of Utilization Certificate in accordance with GFR rules and a field visit by Ministry.

The SNA shall transfer 35% of the CGF received as third instalment to the Project and the balance 5% of the CGF shall be transferred by the SNA after completion of construction of all project components. The SNA shall verify the completion of the project through site visits. A copy of the completion report will have to be sent to the Ministry for information and record.

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