Additional Items for Smart City Applications: Green Buildings and Strategic Planning

As cities around the world race to become smarter and more sustainable, the focus isn’t just on digital infrastructure or connectivity-it’s also on how we design and build the physical environment. Two key areas are gaining critical importance in smart city applications: energy efficiency through green building standards, and strategic planning through area-based development. These additional items are not just nice-to-haves; they’re essential components that determine whether a smart city can truly deliver on its promise of sustainability and inclusive growth.

Why green buildings matter in smart city development 🔗

Buildings are significant contributors to urban energy consumption and carbon emissions. In cities, structures account for a substantial portion of emissions stemming from both construction and ongoing operations. This makes green building adoption a non-negotiable priority for any city aiming to be “smart” in the truest sense.

A green building uses less water, optimizes energy efficiency, conserves natural resources, generates less waste, and provides healthier spaces for occupants compared to conventional structures. These buildings incorporate features like renewable energy integration, rainwater harvesting, wastewater recycling, and the use of sustainable construction materials with low embodied carbon.

The 80% green building mandate 🔗

Under the Smart Cities Mission guidelines, there is a specific requirement that sets smart cities apart from conventional urban development. For redevelopment and greenfield models of smart cities, at least 80% of buildings must be energy-efficient and green. This ambitious target ensures that new construction and major urban renewal projects prioritize sustainability from the ground up.

This mandate applies specifically to two development models: redevelopment projects that replace existing built-up areas with enhanced infrastructure, and greenfield developments that create smart solutions in previously vacant areas of 250 acres or more. The requirement doesn’t apply to retrofitting projects where existing structures largely remain intact.

Green building certification systems in India 🔗

To achieve these targets, cities can leverage several established rating systems. The Indian Green Building Council (IGBC), formed by the Confederation of Indian Industry in 2001, leads the green building movement in the country. IGBC offers various rating systems including those for green homes, factories, townships, and even entire cities.

The Green Rating for Integrated Habitat Assessment (GRIHA), developed by TERI, provides another nationally recognized standard. Additionally, the Bureau of Energy Efficiency’s Energy Conservation Building Code (ECBC) sets energy efficiency standards for commercial buildings, with energy performance indices that help classify buildings as ECBC-compliant.

These rating systems assess buildings across multiple parameters including site selection, water efficiency, energy optimization, materials used, indoor environmental quality, and innovative design features. Developers in cities like Mumbai, Pune, and Hyderabad are increasingly adopting these standards, recognizing that the additional capital expenditure is typically offset by significant long-term operational savings.

Strategic planning and area-based development 🔗

Beyond green buildings, smart city applications must incorporate strategic planning processes that ensure comprehensive and inclusive urban growth. The Smart Cities Mission specifically emphasizes area-based development as its core strategy, moving away from scattered project implementation toward focused, replicable urban transformation.

Understanding area-based development models 🔗

The strategic components of area-based development include three distinct approaches, each suited to different urban contexts:

Retrofitting introduces smart planning in existing built-up areas of more than 500 acres. Since existing structures largely remain intact, this model focuses on intensive infrastructure upgrades and smart applications. Cities identify areas in consultation with citizens and prepare strategies based on existing service levels and resident aspirations.

Redevelopment involves replacing existing built environments with new layouts featuring enhanced infrastructure, mixed land use, and increased density. This model targets areas of more than 50 acres and enables co-creation of entirely new urban spaces. Notable examples include the Bhendi Bazaar Project in Mumbai and East Kidwai Nagar redevelopment in New Delhi.

Greenfield development introduces smart solutions in previously vacant areas of more than 250 acres using innovative planning and financing tools. India’s Dholera Smart City along the Delhi-Mumbai Industrial Corridor exemplifies this approach, with digital fiber embedded in roads and thousands of sensors connected to central operations.

Pan-city initiatives for inclusive development 🔗

A critical addition to area-based development is the pan-city initiative. Since smart city projects take a compact area approach, the Mission requires at least one city-wide smart solution to ensure all residents benefit from the transformation. This makes the development process more inclusive rather than concentrated in selected zones.

Pan-city initiatives involve applying smart solutions to existing city-wide infrastructure using technology, information, and data. Examples include intelligent traffic management systems that reduce commute times, city-wide waste water recycling programs, and smart metering systems for better resource management. These solutions create positive effects on productivity and quality of life across the entire urban population.

The collaborative planning process 🔗

Strategic planning for smart cities is inherently collaborative. The Smart City Proposal preparation requires extensive citizen consultations to identify needs, aspirations, and priorities. This process brings together multiple stakeholders-residents welfare associations, taxpayer groups, slum dwellers, NGOs, and technical experts-to co-create solutions.

Cities must also seek convergence with other government schemes during the planning stage. This includes alignment with programs like the Atal Mission for Rejuvenation and Urban Transformation (AMRUT), Swachh Bharat Mission, Digital India, Housing for All, and various state-level initiatives. Such integration prevents duplication of efforts and maximizes resource utilization.

Essential features every smart city proposal must include 🔗

Beyond the 80% green building requirement for redevelopment and greenfield projects, smart city proposals must incorporate several mandatory elements. These include assured electricity supply with at least 10% energy from solar sources, adequate water supply including wastewater recycling and storm water reuse, comprehensive sanitation and solid waste management, and robust IT connectivity.

Physical infrastructure requirements include pedestrian-friendly pathways, non-motorized transport facilities, intelligent traffic management, smart parking systems, and energy-efficient street lighting. Cities must also ensure visible improvements like replacing overhead wiring with underground systems and maintaining encroachment-free public areas.

For greenfield developments specifically, at least 15% of total housing must fall in the affordable housing category. This ensures that new smart city areas don’t become exclusive enclaves but remain accessible to economically disadvantaged sections of society.

Implementation through special purpose vehicles 🔗

To ensure effective execution, each smart city operates through a dedicated Special Purpose Vehicle (SPV)-a limited company with equal equity participation from the state and urban local body. The SPV has complete operational freedom to plan, appraise, implement, and monitor smart city projects.

This institutional arrangement ensures dedicated focus, streamlined decision-making, and accountability. The SPV can enter into public-private partnerships, issue contracts, and mobilize additional resources from markets based on its creditworthiness. A full-time CEO leads the SPV, with the board including representatives from central government, state government, and independent directors.

Challenges and the path forward 🔗

Despite clear guidelines, implementation of green building mandates and strategic planning faces several hurdles. Financial constraints often deter developers from investing in green technologies, even though long-term benefits typically outweigh upfront costs. Awareness gaps among stakeholders about green building advantages persist, and bureaucratic processes can slow adoption in rapidly expanding urban centers.

However, progress is evident. As of recent reports, the Smart Cities Mission has completed over 7,500 projects across 100 cities, with investments exceeding ₹1.5 lakh crore. All 100 smart cities now have operational Integrated Command and Control Centres using technologies like artificial intelligence and Internet of Things for better city management.

The emphasis on neighborhood-led planning, decentralized governance, and innovative financing models provides a successful precedent for comprehensive urban development. As cities continue to evolve, the integration of green building standards and strategic area-based planning will determine whether smart city initiatives deliver truly sustainable and inclusive outcomes.

What do you think? How can cities better incentivize private developers to meet the 80% green building target? And what role should citizen participation play in shaping area-based development plans for your neighborhood?

References

1. https://en.wikipedia.org/wiki/Green_building_in_India
2. https://policy.asiapacificenergy.org/node/2665
3. https://pmc.ncbi.nlm.nih.gov/articles/PMC11393528/
4. https://www.teriin.org/buildings
5. https://www.india.gov.in/spotlight/smart-cities-mission-step-towards-smart-india
6. https://medium.com/mckinsey-global-institute/smart-from-the-start-6-examples-of-greenfield-smart-city-projects-from-around-the-globe-2db82ac702e9
7. https://unhabitat.org/smart-cities-mission-india-localizing-sustainable-development-goals
8. https://www.ibef.org/government-schemes/smart-cities-mission