[5] Pradhan also notes that the largest increase in the number of CTs was in the states of West Bengal and Kerala.
[6] The argument given for this conversion was that a statutory Urban Local Body (ULB) is required to ensure planned development of these areas.
In this notification, Rajiv Gauba, Secretary (Urban Development) notes:The opportunity of planned urban development might get lost if unplanned construction and ad hoc provisioning of infrastructure is allowed to take place over a long time.Additionally, the Ministry, in the notification, has informed the states that they stand to gain from according statutory status to these towns.
With a greater number of statutory towns, the states would be able to get more money from the Centre as per the 14th Finance Commission Report.
Additionally, under Atal Mission for Rejuvenation and Urban Transformation (AMRUT), 50% weightage is given to the number of statutory towns in the state/UT to determine the allocation of funds to these states/UTs.