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Urban planning

The two main institutions involved in planning and development in Vadodara are VMSS and the Vadodara Urban Development Authority (VUDA). The responsibilities of both these agencies are demarcated clearly not only physically but also functionally. The governing acts for both institutions differ. The principal responsibility of VUDA is to ensure a holistic development of the Vadodara agglomeration covering an area of 714.56 km (275.89 sq mi), whereas VMSS is involved in the development of area of 235 km (91 sq mi).

Vadodara's population grew the fastest during the decade between 1961 and 1971. The Vadodara Municipal Corporation drew up the first official urban plan for the city's growth in 1970, the Vadodara Development Plan. The VUDA was formed in 1980. The second Development Plan, developed in 1984, included decentralising the city's infrastructure. During the mid-late 70s early 80s, development on the city's outskirts focused on building cheap, low-income housing for industrial workers. By the 1990s, the focus had shifted to mixed-density, "self-sustainable settlements" in peri-urban areas, especially on the west and southwest sides of town. Farmland was purchased from nearby villages to provide space for these new developments, which caused a large drop in cultivated acreage and overall agricultural produce in the area.

Initially, major industrial development happened on the city's north side; the east side also saw plenty of development because of its location near the old city core. The south and west were relatively less populated in comparison.

Various unplanned slum areas have been formed by rapid immigration from rural areas that outpaced formal city planning. These slum areas consist largely of temporary (kachcha) structures with communal toilets or none at all. They are often found in less-desired areas along river banks and nallahs or in other low-lying spots. Sanitation in these developments is generally poor.

A low of relatively lower-income, blue-collar workers live in industrial housing developments on Vadodara's outskirts. Economically Weaker Section (EWS) housing and slums are located especially on the northwest, northeast, and east sides of the city. In recent decades (as of 2021), major industrial development has taken place along the NH-8 corridor. Religious institutions like temples and ashrams have especially developed on the east side of town, while the Transport Nagar development is located on the northeast.