Measuring Urbanisation in India
Measuring Urbanisation in India
ABSTRACT Living conditions in fast-growing rural areas across India are deteriorating
due not only to the impact of urbanisation but the lack of capacity of the local
governments to manage such transitions. This brief makes the case for changing the
administration status of such areas from “rural” to “urban”, establishing urban
governance mechanisms therein, and making them resilient. For identification of such
areas, the state government’s opinion must be sought in determining quantifiable
criteria that aptly capture regional variations in urbanisation.
INTRODUCTION
“What gets measured gets managed.” increasing urban populations are creating
~ Peter F. Drucker, pressure on land, infrastructure, and
American management expert institutions. Yet in these same places, the
changes occurring due to urbanisation are not
This truism succinctly relates to a fundamental being adequately measured; absent reliable
concern in the field of urbanisation. measurements, the management of these
urban areas suffers, as a result. Inadequate
It is, after all, another way of saying that data and information leads to formulation of
“measurement gives a clear idea about reality weak policies, laws and plans. This, in turn,
and helps in making effective future contributes to the deteriorating conditions in
strategies”.1 In many places across the world, these urban areas.
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Measuring Urbanisation in India
This brief examines current principles and addressing concerns of rapidly growing rural
methods on measuring urbanisation in India. settlements in India.
The second section describes the methods
used by state governments and the census ‘URBAN AREA’: DEFINITIONS
office of the national government to designate
“urban areas”. Definitions adopted by Governments across the world designate
international organisations and foreign settlements as “urban” and “rural” based on
governments are also reviewed. Section three certain criteria. These criteria vary across
analyses the various criticisms that have been countries. For example, in Canada, the criteria
levelled on state/census “urban area” for determining an area as “urban” is that the
definitions, and describes alternative area should have 1,000 or more inhabitants,
m e a s u re s b e i n g p ro p o s e d b y o t h e r and a population density of 400 persons or
stakeholders (such as the agglomeration index more per sq. km. In Ethiopia, Argentina, Israel
and population grid cells) for estimating the and Austria, meanwhile, localities with 2,000
real extent of urbanisation in India. Data or more inhabitants are classified as “urban”.
culled by India’s census organisation, the UN At the other end of the spectrum is the
population division, the World Bank and Republic of Korea (or South Korea), where an
European Commission are utilised. The “urban area” is one that has 50,000 or more
significance of declaring an area as “urban” is inhabitants. Elsewhere, other aspects (such as
discussed in section four, which also gives access to facilities, built up structures, non-
examples of fast-growing rural settlements farm employment) are also considered in
where disorderly conditions have occurred declaring an area as “urban”. Table 1 provides
because rural governments are unable to the definitions adopted by nations having very
handle the challenges of urbanisation. The high absolute urban populations of over 100
brief closes with specific recommendations on million.
Table 1: Definition of ‘Urban’ in Countries having Urban Population over 100 Million
Country Definition
China According to the regulation on the classification of urban/rural residence for statistical
purposes.
India State government definition: Governor of the state declares by public notification an area as
“urban” based on certain parameters, such as population of the area, the density of the
population therein, the revenue generated for local administration, the percentage of
employment in non-agricultural activities, the economic importance or such other factors.
National government (census office) definition: (a) All administrative units that have been
defined by statute (i.e., settlements declared based on state government definition); and
(b) Administrative units satisfying the following three criteria: (i) A minimum population
of 5,000 persons; (ii) 75 percent and above of the male main working population being
engaged in non–agricultural pursuits; and (iii) A density of population of at least 400
persons per sq. km. (1,000 per sq. mile).
USA Agglomerations of 2,500 or more inhabitants, generally having population densities of
1,000 persons per square mile or more.
Country Definition
Brazil Area inside the urban perimeter of a city or town, defined by municipal law.
Indonesia Area which satisfies certain criteria in terms of population density, percentage of
agricultural households, access to urban facilities, existence of additional facilities, and
percentage of built up area not for housing.
Japan City (shi) having 50,000 or more inhabitants with 60 percent or more of the houses located
in the main built-up areas and 60 percent or more of the population (including their
dependants) engaged in manufacturing, trade or other urban type of business.
Russia Cities and urban-type localities, officially designated as such, usually according to the
criteria of number of inhabitants and predominance of agricultural, or number of non-
agricultural workers and their families.
Source: United Nations, 2015.2
(Figure 2), India’s share of urban population in urban population of India is second highest
total population increases to 31 percent (Table after China, in terms of percentage share, India
2). Figure 2 shows that while the absolute is relatively less urbanised.
Figure 2: Countries having Urban Population over 100 Million and Urban Proportions,
2015 Estimates
Urban Population (in thousands)
Indonesia
India
China
Japan
USA
Due to changes in social and economic was high. Due to the ambiguous nature, the
characteristics of settlements over time, the definition was revised after 1951 with more
census office also revised the definition of rigid and uniform criteria adopted in 1961.
“urban area”. The idea for revision was to
ensure that settlements displaying “urban” A change in definition led to
characteristics are assigned the “urban” tag. declassification of many towns into villages.
Two census periods are significant in this What followed then was a decline in the: (i)
respect – until 1951, and after 1951. The number of towns from 3,060 in 1951 to 2,700
definition until 1951 was broad and arbitrary in 1961; and (ii) decadal change in urban
(Table 3). Based on this definition, many population from 41.42 percent during 1941-
settlements were classified as “urban” by the 51 to 26.41 percent during 1951-61 (Figure 3).
census office in 1951, and the percent decadal Thereafter, percent decadal change in urban
change in urban population during 1941-51 population increased and reached a peak of
Before 1951* (i) Every municipality; (ii) All civil lines not included in municipal limits; and
(iii) Every cantonment and every other continuous collection of houses,
inhabited by not less than 5,000 persons. (In making this decision, the census
superintendent was instructed to take into consideration the character of the
population, the relative density of the dwellings, importance in trade and
historic associations, and to avoid treating as towns, overgrown villages
without urban characteristics).
1951** (i) All places with a population of 5,000 and over; and (ii) Some places with a
smaller population but possessing definite urban characteristics, such as
drinking water, electricity, schools, post offices, hospitals (census
superintendents to take the decision on identifying places based on urban
characteristics).
1961 (i) All places with a city corporation, municipality, cantonment board or
notified town area committee (ii) All other places which satisfied the following
criteria: (a) Minimum population of 5,000; (b) Density of population of not
less than 400 persons per sq. km (1,000 persons per sq. mile); and (c) At least
three-fourth of male population engaged in non-agricultural pursuits.
1971 No major change, except for the following substitution in (c) above: ‘at least 75
percent of the male working population (excluding cultivators and agricultural
labourers) engaged in non-agricultural pursuits’.
1981, 1991, No major change
2001, 2011
Source: *Census of India, 1933;9 ** Rao, V.K.R.V., 1965;10 Census of India, 2011.11
50.00
46.14
41.42
38.23 36.47
40.00
31.97 31.48 31.80
Decadal Change (in %)
26.41
30.00 24.83
23.86
20.64 21.86 20.29
19.12 19.32 20.01
20.00
18.10 16.12
11.81
8.27 8.79
9.98 12.25
10.00
6.40
5.89
0.35 ‐1.29 ‐3.27
1.22
0.00 ‐6.77
1911
1921
1931
1941
1951
1961
1971
1981
1991
2001
2011
2020
2030
2040
2050
‐10.00
population lived in urban areas in 2011. cities, which is not captured by official
The state governments do not consider statistics”.
census towns as urban units, and since
Ÿ Joint Research Centre (JRC) of the European
urban development is a state subject,
Commission: A global database, namely
census towns declared by the census
the Global Human Settlement Layer
office are actually governed by rural
(GHSL), developed by the JRC with the
governments.
support of the Directorate-General for
Ÿ Uchida and Nelson: The authors proposed Regional and Urban Policy, is available for
an alternative measure of urban assessing human presence on earth.
concentration called an agglomeration These data are based on satellite images
index in 2008.14 The index is calculated that “make it possible to analyse the
using three criteria: (i) population development of built-up areas, population
density; (ii) population of a large urban and settlements of the whole planet over
centre, and (iii) travel time to that large the past 40 years”.17 The database helps in
urban centre. The aim of this measure is understanding the degree of urbanisation
to provide a globally consistent by using population grid cells in four
definition of settlement concentration periods – 2015, 2000, 1990, and 1975.
to enable cross-country comparative and The data show that about 63 percent of
aggregated analyses. The World Bank
15,16
India’s population lived in cities or large
observes that by using the measure of urban areas in 2015. To arrive at this
agglomeration index, the “share of figure, the following definition is used:
India’s population living in areas with “contiguous grid cells of 1 sq. km. with a
urban-like features was 55.3 percent in density of at least 1,500 inhabitants per
2010… suggesting the existence of sq. km. or a density of built-up greater
considerable hidden urbanisation… than 50 percent, and a minimum of
18
particularly on the peripheries of major 50,000 inhabitants”.
50
40
31.15
26.69
30
20
10
0
State Government (based Census Office (based on World Bank (based on European Commission
on statutory statutory & census Agglomeration (based on satellite
definition), 2011 definition), 2011 Index), 2010 image), 2015
Source: Census of India, 2011;19 World Bank, 2015;20 European Commission, 2016.21
Note: * 63 percent denotes population living in cities or large urban areas. The percentage will be more
if the population of towns or small urban areas is added.
villagers unhappy, and the political estimation of urbanisation in India; and (ii)
leadership at the state/local level would changing the administration status of rapidly
become unpopular among the rural transforming rural areas to “urban” along with
electorate. setting up of urban local governments in such
areas. Accordingly, various measures for
CONCLUSION estimating the real extent of urbanisation are
in use, or proposed (Figure 4): As per India’s
This paper has reviewed the legal procedure census office, which relies on a normative
followed in India to declare an area (place) as definition as against the state government’s
“urban”. The review shows that the state political definition, the country is 31.15
governments are legally empowered to take percent urban (2011); based on the concept of
the decision based on certain broad agglomeration index (developed by Uchida and
23
parameters. The areas that meet the Nelson and used by the World Bank), India is
conditions as per the parameters are declared 55.3 percent urban (2010); and according to
“urban” by the state government, and an the Joint Research Centre of the European
urban local government is established for the Commission, which relies on satellite imageries
governance of the area. Census 2011 data
for assessing human presence on earth, 63
show that about 323 million persons (or 26.69
percent of India’s population lives in cities or
percent of India’s total population) live in
large urban areas.24 Further, considering the
4,041 urban areas (or statutory towns)
census data on number of towns, the Ministry
declared by the state governments (Table 2).
of Housing and Urban Affairs has asked the
The procedure adopted by the state state governments to take necessary steps for
governments, however, is under criticism conversion of census towns into statutory
because of its vagueness. Urban policy towns, and set up urban local governments in
analysts feel that it is not a clearly defined such towns for ensuring planned
25
procedure, and allows state governments to development. Census data show that about
make arbitrary decisions about which area is 54 million persons live in census towns (Table
to be declared “urban” or “rural”. This 2), which are governed by rural governments,
practice, in the opinion of some, is adopted by and the population of some census towns goes
the state governments because of their vested over 100,000. According to the ministry, a
interests, which is not only leading to an change in administration status of settlements
underestimation of urbanisation in the would also entitle these to receive assistance
country, but is also resulting in the occurrence from the national government under various
of chaotic conditions in rapidly growing rural nationally sponsored urban development
areas, peri-urban areas, and census towns programmes.
governed by rural governments.
To summarise the problem presented in
Considering the importance of this paper, the adverse impacts of urbanisation
urbanisation for a nation, and the deteriorating are seen across rural areas of India. The
living conditions in rapidly transforming rural national government, various organisations,
areas, which is reportedly due to a governance and urban policy analysts are concerned about
deficit, there is an imperative for: (i) better the deteriorating conditions in these areas.
They argue for identifying and converting all (see Table 3) uniformly across Indian
areas where the impact of urbanisation is felt, states, or there is need to alter these in the
or those exhibiting urban characteristics, into light of prevailing physical, socio-
urban units to be governed by urban local economic and development
governments, which are better empowered characteristics of Indian states. One
than their rural counterparts, so that the concern is about the threshold urban
growth and transformation occurring in these population size of 5,000 persons: policy
areas can be managed in a planned manner, analysts believe that this threshold value
which in turn would lead to an improved could be brought down. This change will
quality of life of a sizeable proportion of the allow many fast growing rural settlements
country’s population. However, these to be considered as “urban”. In the US, for
suggestions are not being followed because the example, which has a sizeable urban
state governments use their own principles for population of 270.68 million (amounting
declaring an area as “urban” or “rural”. to 83.4 percent of the country’s total
population) in 2017,26 agglomerations
Given these conditions, it is necessary to
having at least 2,500 inhabitants and
think further about the way in which the
density of 1,000 persons per square mile
matter is being approached, and what needs to
are declared “urban”. Such matters
be done.
relating to any alteration of the census
Ÿ Altering Census Criteria: International criteria, however, must be discussed in the
definitions of “urban” (presented in Table Indian parliament, and a representative
1) are formulated by national stakeholder group, including state
governments based on country-specific functionaries, should take decisions.
population and development Ÿ Quantifying State Criteria: It is necessary
characteristics. Some definitions specify to remove vagueness in the procedure
parameters—such as population, density, followed by state governments in
o cc u pat ion a l pat te r n s — t h at a re declaring an area as “urban”. Today, the
commonly used by national governments situation is such that even within the same
to distinguish between urban and rural geographical region of India, there are
areas. The parameters and values, huge differences in the threshold
however, vary from country to country population of a statutory town. For
and have been probably set based on example, in the northeastern states,
prevailing characteristics in a country. In threshold population of a statutory town
India, for example, the census office uses a in Arunachal Pradesh is 982 persons,
similar definition, and has set its own whereas it is 13,131 persons in Meghalaya
values. Though the definition specifies (Figure 1). Similarly, in the southern
measurable parameters (related to coastal states, threshold population of
population, density, non-agricultural statutory towns vary from a low of 2,089
male workers), it needs to be assessed in Tamil Nadu to a high of 30,721 in
whether it is correct to apply the same Andhra Pradesh. These differences in
parameters and values used since 1961 threshold population of statutory towns
within a region have various governance governments in census towns, the rural
and financial implications, i.e., the areas, peri-urban areas, and census towns
administration status, governance experiencing rapid grow th and
structures, regulatory mechanisms and transformation due to urbanisation could
financial allocations for settlements be treated as “special areas” by state
(statutory towns) in Tamil Nadu change governments. The agglomeration index
from a population of 2,089 onwards and GHSL database that draw upon
(because of a change in their satellite images and GIS tools can help in
administration status from “rural” to early identification of such areas, and
“urban”), while those in Andhra Pradesh analysing spatial information. In such
change from 30,721 onwards. It will be areas, the capabilities of existing rural
useful to have uniformity in the threshold governments may be built so that they are
urban population size of settlements better equipped to deal with the growing
within a region so that these receive pressures. The present emphasis on
similar treatment in terms of governance. establishing urban governments in census
Ideally, the parameters used by state towns might not guarantee improvement
governments in declaring an area as of such areas, as almost all statutory
“urban” should be reviewed, quantified towns/cities of India are poorly governed
and finalised in consultation with the state by urban governments.
functionaries. This method will eliminate
the scope of using ambiguous practices by Ideally, the plan should be to establish
the state governments in classifying strong and resilient urban governance
settlements as “urban”. One popular mechanisms in rural areas experiencing
suggestion is that the state criteria should noticeable changes in their physical, social and
be replaced with census criteria, because economic characteristics as well as a
the census criteria are quantifiable. deterioration in living conditions due to the
However, this might not be feasible: urban impact of urbanisation. This requires a change
development being a state subject, the
in the administration status of such areas from
state governments might like to follow
“rural” to “urban”. An unambiguous criteria
their own criteria and values based on
should be used by state governments to
state-level population and development
declare an area as “urban”; such clarity will
characteristics.
correct the extent of urbanisation. Instead of
Ÿ Assigning Special Area Status to Growth asking state governments to apply the current
Centres: In view of the lackadaisical quantifiable census criteria, the state’s
response of state governments towards opinion should be sought in determining
converting census towns into statutory quantifiable criteria that aptly capture
towns and se tting up of urban regional variations in urbanisation.
ENDNOTES
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notes06.pdf.
4. Census of India, District Census Handbooks (Delhi: Office of the Registrar General and Census
Commissioner, 2011).
5. Workers who worked for more than 6 months (180 days) in the reference period are termed as
main workers.
6. Census of India, Meta Data (Delhi: Office of the Registrar General and Census Commissioner,
2011), 2.
7. Census of India, Primary Census Abstract Data Highlights – India, Executive Summary (Delhi:
Office of the Registrar General and Census Commissioner, 2011).
8. United Nations, World Urbanization Prospects: The 2014 Revision, CD-ROM Edition
(Department of Economic and Social Affairs, Population Division, 2014).
9. Census of India, India - Report, 1931, Vol. 1, Part 1 (Delhi: Manager of Publications, 1933).
10. Rao, V.K.R.V., “Economic Growth and Rural-Urban Income Distribution 1950-51 – 1960-61,” The
Economic Weekly (20 February 1965): 373.
11. Census of India, Provisional Population Totals - Kerala, Paper 2, Vol. 2, Chapter 1 (Delhi: Office of
the Registrar General and Census Commissioner, 2011), 7-8, http://www.censusindia.gov.in/
2011-prov-results/paper2-vol2/data_files/kerala/Chapter_I.pdf.
13. Krishan, Gopal, “The Slowing Down of Indian Urbanisation,” Geography, Vol. 78, No. 1 (January
1993): 80-84.
14. Uchida, Hirotsugu and Andrew Nelson, “Agglomeration Index: Towards a New Measure of Urban
Concentration,” Background Paper for the World Development Report (15 February 2008).
16. The World Bank, “Leveraging Urbanization in South Asia,” accessed October 26, 2017,
http://www.worldbank.org/en/region/sar/publication/urbanization-south-asia-cities.
17. “New Satellite Image Database Maps the Dynamics of Human Presence on Earth,” European
Commission, October 18, 2016, https://ec.europa.eu/jrc/en/news/new-satellite-image-
database-maps-dynamics-human-presence-earth.
18. “GHS Settlement Grid,” European Commission, accessed October 27, 2017,
http://ghsl.jrc.ec.europa.eu/ghs_smod.php.
22. Jenkins, Cordelia, Makarand Gadgil and Shamsheer Yousaf, “India's Census Towns face a
Governance Deficit,” Live Mint, October 7, 2012.
23. Broad parameters include population of the area, the density of the population therein, the
revenue generated for local administration, the percentage of employment in non-agricultural
activities, the economic importance or such other factors.
24. Ministry of Finance, Economic Survey 2016-17, Volume 2 (Delhi: Department of Economic
Affairs, 2017), 221.
25. “States asked to Convert 3,784 Urban Areas into Statutory Urban Local Bodies,” Press
Information Bureau, May 17, 2016, http://pib.nic.in/newsite/PrintRelease.aspx?relid=145405.
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