Gurugram’s tale, once a shining example of a satellite town, now reflects the uneven promise of urban expansion in India.

In Rajarhat on the outskirts of Kolkata, where luxury condominiums rise next to waterlogged fields and displaced communities struggle to rebuild their lives. These satellite towns, designed to ease the burden on India’s metropolises, are now emblematic of fractured planning and governance.

This moment presents an opportunity to reassess their purpose and potential, beginning local reforms that could grow into broader frameworks for sustainable and equitable urbanisation.

Why This Moment Matters

India’s urban population is projected to exceed 600 million by 2030, with much of this growth concentrated in and around its metros. Satellite towns like Gurugram, Navi Mumbai and Rajarhat are expected to absorb a significant share of this expansion.

According to Ministry of Housing and Urban Affairs (MoHUA) data, 40 per cent of urban growth in the past decade has occurred in peri-urban regions. However, while their populations swell, infrastructure struggles to keep pace. Nearly 25 per cent of residents in satellite towns lack access to essentials like piped water and reliable power.

At this moment, it is crucial to ask: Are satellite towns simply pressure valves for metros, or can they be self-sustaining centres of opportunity and quality of life? Steps like unified governance models and affordable housing policies, starting small and scaling strategically, could hold the key to making these towns equitable and sustainable.

Growing Pains In The Urban Fringe

Satellite towns often reveal two contrasting realities. On the one hand, gleaming gated communities offer manicured parks and private utilities. On the other, informal settlements battle chronic water shortages, flooding and unreliable power supply.

Take the case of Anita Devi, who migrated to Gurugram with her family for better prospects. “We live in a one-room house. Every monsoon, our street turns into a lake. I don’t feel like this city was built for us,” she shares.

Anita’s struggles mirror those of 40 per cent of Gurugram residents, who live in unauthorised colonies with limited access to basic services.

Meanwhile, Ramesh Mondal, a farmer displaced by Rajarhat’s urban expansion, recalls, “They said we’d get jobs and homes, but we got neither. Now, I see people in highrises living where we used to farm.” Over 5,000 families displaced for urban projects in Rajarhat remain uncompensated or unrehabilitated, according to local data.

Such stories reflect the broader challenge of inequity in satellite towns. Globally, cities like Tokyo, through its Urban Renaissance Agency, have shown that balanced peri-urban growth is possible, when policies ensure access to affordable housing and essential services. Navi Mumbai’s relative success — achieving 100 per cent piped water coverage and 94 per cent waste management efficiency under CIDCO — illustrates how clear governance and investment can drive equity.

Governance In Crisis

Fragmented governance is a core reason satellite towns falter. In Gurugram alone, five separate authorities oversee urban development, leading to conflicting priorities and delays.

“Fragmented governance creates a vacuum where unregulated growth thrives,” says Dr. Anuradha Mathur, an urban governance expert. MoHUA data backs her assertion, revealing that 80 per cent of urban development projects in satellite towns face delays due to conflicts between municipal and state bodies.

Internationally, Singapore’s Urban Redevelopment Authority (URA) provides a useful model of centralised governance. By integrating housing, transportation and utilities planning under one body, Singapore ensures synchronised urban growth. A unified governance framework, even as a pilot initiative, could transform Indian satellite towns by aligning resources and accountability.

Inequality In Urbania

As satellite towns expand, their spatial inequalities become starker. In Navi Mumbai, land prices have risen 30 per cent in five years, pricing out middle-income families and pushing informal workers into distant fringes.

Rohit Kumar, 28, a first-time homebuyer in Navi Mumbai, shares, “I’ve been saving for years, but every time I get close, prices rise again. It feels like this city isn’t for people like me.” His frustration reflects a broader trend: Property registration records show a 70 per cent spike in luxury housing developments, while affordable housing projects have declined by 20 per cent in the past decade.

Addressing this requires a shift toward inclusionary zoning laws. Mandating that private developers allocate 30 per cent of housing projects for affordable housing could ensure more equitable access. Melbourne’s Growth Area Framework, which enforces affordable housing mandates in its urban fringes, offers a replicable example.

Learning from Success Stories

Not all satellite towns are failing. Navi Mumbai’s proactive approach, led by CIDCO, demonstrates how investments in public infrastructure can bridge inequalities. With robust public transport and integrated water systems, it sets an example for newer satellite towns.

Similarly, Surat has effectively integrated surrounding peri-urban areas into a larger flood-resilient framework. Following its devastating 2006 floods, Surat prioritised inclusive governance, ensuring that 90 per cent of its peri-urban population now benefits from essential services.

Globally, Copenhagen’s Finger Plan, which channels growth along public transit corridors while preserving green belts, shows how transit-oriented development can ensure balanced and sustainable urbanisation. Gurugram and Rajarhat could implement similar policies to address urban sprawl and improve public transit accessibility.

Transforming Satellite Towns

Experts agree that this moment demands decisive action. Prof A K Jain, an urban planning specialist, argues, “Satellite towns must be seen as interconnected parts of a metro region, not standalone cities. Their planning must address affordable housing, sustainable infrastructure and social inclusion together.” Research from Brookings India highlights that integrated metropolitan planning could reduce urban service delivery costs by 20-30 per cent.

Building on these insights, here’s how satellite towns can be transformed:

Unified Governance Models: Start with a pilot project in one satellite town, consolidating development authorities under a unified metropolitan governance framework.

Affordable Housing Policies: Mandate inclusionary zoning laws to ensure equitable access to housing for all income groups.

Transit-Oriented Development: Expand metro and bus connectivity, prioritising access to jobs and services, while curbing sprawl and pollution.

Climate-Responsive Infrastructure: Invest in flood-resilient designs, renewable energy and public green spaces, to address vulnerabilities in growing satellite towns.

The Time to Act Is Now

India’s satellite towns stand at a crossroads. Will they remain fractured extensions of metros, or can they evolve into self-sustaining urban centres? This moment is critical to start conversations about the future of urban India, beginning with actionable local reforms that scale into broader national frameworks.

As cities like Gurugram and Rajarhat reveal, satellite towns have immense potential — but only if governance, equity and sustainability become central to their design. By building on successful domestic and international models and committing to transformative action, these towns can fulfill their promise as engines of a brighter urban future.