1. Recognition of Urbanization as an Opportunity
Urbanization was seen as an inevitable and positive force for India’s development.
Cities were identified as “engines of economic growth” and not just as centers of population pressure.
Stressed that urbanization could drive modernization, innovation, and employment.
2. Spatial Strategy for Urban Development
Proposed a spatial reorganization of settlements to reduce over-concentration in large cities.
Identified a hierarchy of settlements:
National Priority Cities (NPUs): 329 cities strategically important for balanced development.
Urban Corridors: Linear clusters of cities along major transport routes (Delhi–Kanpur, Mumbai–Pune, Chennai–Bangalore, etc.).
Emerging Growth Centers: Smaller towns to act as regional hubs to check excessive migration to metros.
3. Balanced Urban-Rural Linkages
Emphasized strengthening urban–rural linkages by promoting market towns and service centers.
Advocated for Integrated Regional Planning, treating rural and urban as complementary rather than separate.
4. Focus on Metropolitan Cities
Recognized the dominant role of metros like Delhi, Mumbai, Kolkata, and Chennai.
Called for planned management of metropolitan regions to tackle congestion, housing shortages, and infrastructure deficits.
Stressed regional planning authorities for metro areas.
5. Equity and Inclusivity
Highlighted the problems of slums, poverty, and informal sector workers in cities.
Urged policies for affordable housing, slum improvement, and social infrastructure.
Stressed inclusive urbanization to prevent widening social inequalities.
6. Institutional and Administrative Reforms
Recommended strengthening urban local bodies (ULBs).
Called for decentralization of governance and greater role of municipalities in planning, finance, and service delivery.
Suggested capacity-building programmes for urban administrators.
7. Urban Infrastructure and Finance
Identified infrastructure deficit as the biggest urban challenge (housing, water supply, sanitation, transport).
Suggested mobilization of municipal finance through:
Property tax reforms.
User charges for services.
Access to capital markets (municipal bonds).
Advocated public-private partnerships (PPPs) in infrastructure.
8. Housing and Land Policy
Suggested removal of artificial constraints like the Urban Land Ceiling and Regulation Act (ULCRA).
Called for land-use planning reforms to ensure adequate land supply for housing.
Focus on low-cost housing and upgradation of existing slums rather than eviction.
9. Transport and Mobility
Stressed the importance of urban transport systems (mass transit, bus services, non-motorized transport).
Recommended integrated transport planning at regional level.
10. Environmental Concerns
Highlighted the dangers of unchecked urban expansion on ecology.
Stressed protection of water bodies, green spaces, and urban environment.
Called for sustainable waste management and pollution control measures.
First comprehensive national-level urban policy framework.
Influenced later programmes: 74th Constitutional Amendment (1992), IDSMT scheme expansion, and eventually JNNURM (2005).
Shifted thinking from seeing urbanization as a problem to recognizing it as a driver of growth.
✅ In summary:The NCU Report emphasized balanced spatial development, strengthening smaller towns, empowering urban local bodies, inclusive housing policies, and sustainable infrastructure financing. It remains one of the most important reference points for India’s urban policy.