Why India’s urban definition is failing its growing towns

Census Urban Definition

• Authority: Registrar General of India (RGI) and Census Commissioner Mrityunjay Kumar Narayan.
• Census 2027 Decision: Retain the same urban definition as in 2011 to ensure comparability and trend analysis.

Relevance

• GS I: Geography – urbanisation patterns, rural-urban continuum, settlement structures.
• GS II: Governance – Panchayati Raj vs. urban local bodies, implications for planning and decentralisation.
• GS III: Economy & Infrastructure – impact of urbanisation on resource allocation, infrastructure planning, and service delivery.

2011 Urban Definition

1. Statutory Towns:
   1. Areas formally notified as urban by State governments.
   2. Governed by urban local bodies: municipal corporations, municipal councils, nagar panchayats.
2. Census Towns:
   1. Not formally notified; remain under rural governance.
   2. Must meet three criteria:
      1. Minimum population: 5,000.
      2. At least 75% of male main workforce engaged in non-agricultural activities.
      3. Population density ≥ 400 persons per sq. km.
   3. Functionally urban but lack statutory recognition.

Limitations of the Current Definition

• Binary Classification:
  • Settlements classified strictly as urban or rural.
  • Ignores transitional or semi-urban settlements.
• Governance Gap:
  • Census towns remain under Panchayati Raj institutions (rural local bodies) with limited autonomy.
  • Urban governance benefits (financial autonomy, planning, infrastructure) are not extended.
• Outdated Criteria:
  • 75% male workforce threshold ignores:
    • Women’s informal or unpaid work.
    • Mixed livelihood patterns (agriculture + non-agricultural work).
  • Population threshold of 5,000 and density ≥ 400 may exclude functional urban clusters.
• Under-inclusion:
  • Census data (2001–2011) shows 251 census towns from 2001 remained under rural governance in 2011.
  • Many rapidly urbanising settlements continue to be excluded from urban services.
• Regional Disparities:
  • West Bengal example: highest increase in census towns (526 new towns in 2011) but governance status for many remained rural.
  • Municipal limits often do not align with actual settlement patterns; some towns are split across administrative units.
• Economic Changes Ignored:
  • Growth of gig economy, service jobs, and small industries in rural areas not captured.
  • Commuting populations and semi-rural work patterns excluded.

Implications of Retaining the Current Definition

• Urban Undercount:
  • Studies suggest actual urban population in 2011 could be 35–57%, versus official 31%.
• Planning & Resource Allocation Gaps:
  • Non-recognised urban clusters may miss infrastructure, services, and funding meant for cities.
  • Public utilities, healthcare, and education planning may not match functional urban realities.
• Governance Inefficiency:
  • Delay in conversion from census to statutory towns leaves settlements under rural local bodies despite urban functions.
• Policy Blind Spots:
  • Current definitions do not account for transitional urban areas, seasonal workers, and informal economies.
  • Excludes women’s labor and informal work patterns from consideration in defining urbanisation.

Key Observations

• India’s urbanisation is dynamic and multi-dimensional:
  • Urban lifestyles, non-agricultural livelihoods, and population density are spreading into villages.
• Rigid binary definition fails:
  • Misclassifies functional urban areas as rural.
  • Limits governance reforms, resource allocation, and infrastructure development.
• Trend Analysis vs. Accuracy Dilemma:
  • Retaining 2011 definitions aids comparability but risks missing the evolving reality of urbanisation.

Recommendations & Policy Considerations

• Redefine Urban Criteria:
  • Include functional and peri-urban settlements.
  • Adjust workforce criterion to include women, seasonal, and mixed livelihoods.
  • Use population density thresholds alongside economic and service-based indicators.
• Governance Realignment:
  • Convert census towns meeting urban functions to statutory towns.
  • Ensure municipal limits reflect functional urban agglomerations.
• Data-Driven Urban Planning:
  • Capture informal urban clusters in census data for better service delivery.
  • Align infrastructure, health, and education planning with actual settlement patterns.
• Future-Proof Definition:
  • Acknowledge transitional areas, gig economy, and peri-urban zones to accurately reflect India’s rapid urbanisation.