The Comptroller and Auditor General (CAG) of India has pointed out shortcomings in the implementation and sustainability of projects under the Smart Cities Mission (SCM) in Dehradun in a report covering the period from 2017-18 to 2022-2023.
The report was submitted to the state assembly on Tuesday and reviewed the work of Dehradun Smart City Limited (DSCL), the special purpose vehicle set up in September 2017 under the Companies Act, 2013, to implement the mission in the city.
The Center launched the Smart Cities Mission on June 25, 2015, with the aim of promoting cities that provide basic infrastructure, a better quality of life, a clean and sustainable environment, and the application of smart solutions. Dehradun was selected in the third round of the mission in June 2017 and was the only city from Uttarakhand to be selected under the programme.
Under the scheme, a budget of $1,000 crore under an equal sharing pattern between the Center and the state. During the audit period, the funds amounted to… $Of this, Rs 737.50 crore has been released $Rs 634.11 crore was spent between 2016-17 and 2022-23.
The audit found several deficiencies in the implementation of projects and in the operation and maintenance of infrastructure built under the mission, raising concerns about its long-term sustainability.
According to the report, many of the smart solutions proposed in the detailed project report were dropped during implementation or remained ineffective due to insufficient planning. The biometric, sensor-based solid waste management module developed in March 2022 under the e-management solutions of the Doon Integrated Command and Control Center project remained unused until February 2025, resulting in expenditure $4.55 Crores is fruitless.
Likewise, e-rickshaws were purchased at a cost $An amount of Rs 0.90 lakh crore under the smart waste vehicle project remained inoperable for almost two years, highlighting poor management by DSCL.
The report also noted that the smart solutions installed in three government schools in Dehradun under the Smart Schools Project, including interactive boards, computer labs, projectors, surveillance cameras and biometric attendance systems cost $5.91 lakh crore remained idle as schools were unable to bear the high electricity costs required to run them.
The review also noted sustainability concerns in projects such as the Doon Integrated Command and Control Center and the e-bus initiative due to the absence of viable revenue generation models such as advertising, smart Wi-Fi, revenue from e-management applications and data monetization.
Cases of wasteful spending were also highlighted, including: $Rs 2.62 crore was spent on environmental sensors and $3.24 crore on multi-utility channel. The report also pointed out shortcomings in implementing the smart road project, especially in implementing unified road sections and designated pedestrian walkways.
The CAG also pointed out irregularities in payments to the project management consultant (PMC). It noted that the payment structure lacks milestone-based provisions, resulting in payments despite incomplete projects. Deviations in workforce deployment and unverified wage claims have resulted in irregular payments of up to $5.19 Crores.
Delays ranging from 19 months to 38 months were reported in the completion of eight projects as DSCL failed to provide barrier-free worksites to implementing agencies. The report also stated that DSCL did not effectively enforce sanctions $1.41 crore for project delay and failure to recover unused amount $19.06 crore from the implementing agency.
Additional issues included cost escalation $10.34 Crores, the value of carrying out the work $2.93 crore without inviting bids, interest loss amounting to $6.20 crore and not recovered $Rs 0.81 crore as interest on mobilization advances.
The audit also pointed to a lack of coordination between executive departments despite the presence of a high-level steering committee at the state level and a task force for coordination between departments. It further noted that the intended role of the special purpose vehicle has been diluted due to the lack of full-time appointments to key positions such as CEO, Additional CEO and Controller at DSCL. Cases of insufficient quality control during project implementation were also noted in the report.
