Infrastructure

Broad Policy –

  • The fast growth of the economy in recent years has placed increasing stress on physical infrastructure such as electricity, railways, roads, ports, airports, irrigation, water supply and sanitation
  • The UPA attaches the highest priority to the development and expansion of physical infrastructure like roads, highways, ports, power, railways, water supply, sewage treatment and sanitation.
  • Public investment in infrastructure will be enhanced, even as the role of the private sector is expanded. Subsidies will be made explicit and provided through the budget
  • UPA Government also reiterates the commitment to an increased role for private generation of power and more importantly power distribution.
  •  Railways constitute the core of our infrastructure. Public investment for its modernisation, track renewal and safety will be substantially increased. Railway reforms will be pursued.
  • The UPA Government commits itself to a comprehensive programme of urban renewal and to a massive expansion of social housing in towns and cities, paying particular attention to the needs of slum-dwellers.
  • The UPA will pay special attention to augmenting and modernising rural infrastructure, consisting of roads, irrigation, electrification, cold-chain and marketing outlets.
  • All existing irrigation projects will be completed within three-four years. Household electrification will be completed in five years

Reforms & Targeted Actions –

Investment – Infrastructure

  • Bottlenecks stalling road projects have been addressed and 3,000 kms of road projects in Gujarat, Madhya Pradesh, Maharashtra, Rajasthan and Uttar Pradesh will be awarded in the first six months of 2013-14.
  • The Cabinet Committee on Investment (CCI) has been set up to monitor investment proposals as well as projects under implementation, including stalled projects, and guide decision-making in order to remove bottlenecks and quicken the pace of implementation
  • To attract new investment and to quicken the implementation of projects, Budget 2013-14 proposes to introduce an investment allowance for new high value investments. A company investing `100 crore or more in plant and machinery during the period 1.4.2013 to 31.3.2015 will be entitled to deduct an investment allowance of 15 percent of the investment.
  •  The Delhi Mumbai Industrial Corridor (DMIC) project has made rapid progress. Plans for 7 new cities have been finalised and work on 2 new smart industrial cities at Dholera, Gujarat and Shendra Bidkin, Maharashtra will start during 2013-14
  • The Department of Industrial Policy and Promotion (DIPP) and the Japan International Cooperation Agency (JICA) are currently preparing a comprehensive plan for the Chennai Bengaluru Industrial Corridor. The corridor will be developed in collaboration with the Governments of Tamil Nadu, Andhra Pradesh and Karnataka
  • The next corridor will be the Bengaluru Mumbai Industrial Corridor on which preparatory work has started.
  • The 12th Plan projects an investment of USD 1 trillion or `55,00,000 crore in infrastructure The Plan envisages that the private sector will share 47 % of the investment
  • .Infrastructure Debt Funds (IDF) have been encouraged. These funds raise resources and, through take-out finance, credit enhancement and other innovative means, provide long-term low-cost debt for infrastructure projects.
  • India Infrastructure Finance Corporation Ltd (IIFCL), in partnership with the Asian Development Bank, offers credit enhancement to infrastructure companies that wish to access the bond market to tap long term funds.
  • In the last two years, a number of institutions were allowed to issue tax free bonds. They raised Rs 30,000 crore in 2011-12 and are expected to raise about Rs 25,000 crore in 2012-13 Budget 2013-14 proposes to allow some institutions to issue tax free bonds strictly based on need and capacity to raise money in the market, upto a total sum of Rs 50,000 crore.
  • NABARD operates the Rural Infrastructure Development Fund (RIDF). RIDF has successfully utilised 18 tranches so far. Budget 2013-14 proposes to raise the corpus of RIDF-XIX in 2013-14 to Rs 20,000 crore.
  • Budget 2013-14 proposes 5000 crore will be made available to NABARD to finance construction of warehouses, godowns, silos and cold storage units designed to store agricultural produce, both in the public and the private sectors
  • Government has decided to constitute a regulatory authority for the road sector

Exhibits –

 Delhi –Mumbai Industrial Corridor

DMIDC

  • The DMIC Project being developed on either side of the Western Dedicated Freight Corridor as a global manufacturing and investment destination, has made significant strides since inception.
  •  It spans 1483 KMs between the political capital and the business capital of India, i.e. Delhi and Mumbai.
  • New industrial cities in the DMIC region are being benchmarked against recently established industrial cities in other parts of the world.
  • Plans for 7 new cities have been finalised and work on 2 new smart industrial cities at Dholera, Gujarat and Shendra Bidkin, Maharashtra will start during 2013-11
  • This project incorporates 9 Mega Industrial zones of about 200-250 sq. km
  • High speed freight line, 3 ports, and 6 air ports
  • A 6-lane intersection-free expressway connecting the country’s political and financial capitals and a 4000 MW power plant.
  • This Dedicated Freight Corridor envisages a high-speed connectivity for High Axle Load Wagons (25 Tonne) of Double Stacked Container Trains supported by high power locomotives.
  • The Delhi – Mumbai leg of the Golden Quadrilateral National Highway also runs almost parallel to the Freight Corridor. This corridor will be equipped with an array of infrastructure facilities such as power facilities, rail connectivity to ports en route etc.
  • Approximately 180 million people, 14 percent of the population, will be benefitted by the corridor’s development.
Exhibits – 

Roads & Highways

highway_toppic

  •  India having 3.34 million kilometers of road network is the second largest in the world.
  • The total length of National Highways in the country at present is  71,772 km
  • This comprises only 1.7% of the total road network, but carries over 40 % of the total traffic.
  • The UPA Government has approved a Special Accelerated Road Development Programme for the Northeast to improve about 10,141 km of roads including Arunachal package.
  • The phase 1 of SARDP-NE including Arunachal Package covers 6,418 km an estimated cost of Rs 33,688 crore . So far about 1,000 km have been completed.
  • Budget 2013-14 proposes a Regulatory Authority to remove bottlenecks in road sector
  • 3,000 kms on National Highways to be added in first six months of 2013-14 in the states of Gujarat, Uttar Pradesh, Karnataka, Madhya Pradesh, Rajasthan and Maharashtra.
  • Phases I and II of the National Highway Development Programme comprise the Golden Quadrilateral connecting the 4 metropolitan cities having an aggregate road length of 5,846 km
  • North-South and East-West Corridors which entails four-laning of 7,300 km of national highways from Srinagar to Kanyakumari and from Silchar to Porbandar, development/ improvement of 380 km length of roads / national highways for providing connectivity to 10 major ports, and upgrade of 811 km of other important national highways
  • 100 % of Golden Quadrilateral completed by UPA (97% during UPA-1 itself)
  • 100 % of Phase II of NHDP completed in 2009
  • NHDP Phase-III involves four-laning of 12,109 km of national highways, having high density corridor connecting state capitals, important tourist places, economically important areas, etc.
  • 52 % of Phase III of NHDP completed as on Feb 2013
Source- Annual Report of NHDP

Source- Annual Report of NHDP

Picture2
  • The Government has also accorded approvals for six laning of 6,500 km of national highways under NHDP Phase-V. 25% of Phase-V completed  as on December 2012
  • The Government has approved Construction of 1,000 km of expressways under NHDP Phase-VI and construction of ring roads, flyovers and bypasses in selected stretches under NHDP PhaseVII
  • Out of the total length of 66000 kms of various works under NHDP Phases- 24087kms of work has been completed as on December 2012
  • 2579 kms of of roads in Left Wing Extremist hit areas out of 5487kms have been completed as on December 2012.
  • Under the new Electronic Toll Collection System, a road user can travel seamlessly without stopping at Toll Plazas with electronic payment of user fees. It will be expanded to other parts of the country within the next 2 years.
  • 996 RTO’s in All States /UT’s have been computerized , as per e-Governance programme of Ministry of Road and Highways
  • Institute of Driving, Training and Research (IDTR) have been sanctioned in Himachal Pradesh, Madhya Pradesh, Rajasthan, Maharashtra, Gujarat, Madhya Pradesh, Haryana, Bihar and Tripura

Exhibits –

Civil Aviation

IGI

  • The civil aviation sector has witnessed unprecedented growth in recent years, with aviation coming within the reach of common people.
  • India would be the third largest aviation market by 2020
  • The UPA Government has given priority to upgrade and modernization of airports and increased availability of skilled personnel in the sector
  • Currently India is  the 9th largest aviation market handling 121 million domestic and 41 million international passengers.
  • Today, more than 85 international airlines operate to India and 5 Indian carriers connect over 40 countries.
  • Oxford Economics report commissioned by IATA indicates that Aviation accounts for 1.5% of India’s GDP and supports 1.7 million jobs – with a further 7.1 million employed in other sectors including tourism through the catalytic effects of aviation.
  • The single most important policy decision which may transform the civil aviation sector in India has been, to allow 49% FDI by the foreign carriers in domestic airlines
  • Government has allowed direct import of Aviation Turbine Fuel (ATF) by Indian carriers, so that , so that cost of operations of airlines in India is reduced. Airlines have to pay heavy sales tax levied by the State Governments on ATF, this can now be avoided.
  • The process of  acquisition of aircraft by the scheduled, non-scheduled airlines has been liberalized, Now  no permission for acquisition of aircraft will be required from the Ministry of Civil Aviation regarding acquisitions
  • To give a big boost to international air travel, the Government has taken substantial steps to liberalize and grant traffic rights to Indian carriers to fly to several new destinations across the globe
  • The new traffic rights have increased the overall traffic entitlements of the airlines by approximately 60% over the existing traffic rights
  • Only in Gulf and South East Asian countries, there is an enhancement of approximately 81,000 seats per week which is about 80% more than their present entitlements.
  • At present 5 major airports are being operationalized under PPP mode at New Delhi, Mumbai, Bangalore, Hyderabad and Cochin.
  • Expansion and upgradation of two metro airports at Kolkata and Chennai has been completed
  • Development of 35 selected non-metro airports underway
  • New international airport has been inaugurated at Hyderabad and that at Bangalore have been commissioned in 2008 itself.
  • Both Delhi and Mumbai airports upgrade and modernization works have been completed
  • Government envisages an investment of US$ 12.1 billion at Indian airports under the 12th Five-Year Plan, of which a contribution of about US$ 9.3 billion is expected from the private sector.
  • The Government is in the process of introducing a bill in Parliament which will enable replacing the existing DGCA with a more autonomous Civil Aviation Authority. The CAA will be a self-funding entity and shall have financial and operational autonomy.
  • Operation in domestic sector has been deregulated. As such airlines are free to operate anywhere in the country subject to compliance of Route Dispersal Guidelines.
  • The Government has recently cleared Flexi Use of Airspace (FUA)  by civil and military users.
  • There will be a reduction of carbon emission by about 7 million kg. per annum by direct routing between 7 major city pairs only because of FUA.
  • The creation of ANS Corporation from the existing AAI is one of the top most priorities of the Government so as to boost the pace of modernisation and upgradation of technology in the field of air navigation.
  • To ease the pressure on the existing Mumbai airport, Government has taken an initiative to develop Juhu airport which will augment the capacity of existing Mumbai airport.
  • 24 airports have been identified for establishment of Cargo Terminals
  • Government has agreed to provide equity infusion of over Rs30,000 crores to Air India to enable it to turn around and come back into profit.
  • ECB upto $ USD 1 billion has been permitted for the airlines to meet their working capital requirement.
  • Construction of new airports and buildings was completed at Jalgaon, Lucknow, Indore and Rajahmundry.
  • The existing Greenfield airport at Bengaluru is undergoing Phase-II expansion to meet the growing capacity demand
  • To delink accident investigation from the regulator DGCA, an AirInvestigation Bureau has been set up under the Ministry.
  • The Government of India has also approved 15 more airports under the Greenfield Airports Policy being developed, majority under PPP mode.
  • New Integrated terminals equipped with modern state-of-the-art facilities commissioned at Indore, Lucknow and Raipur airports.
  • New terminals at Bhubaneswar and Ranchi airports are completed
  • New Domestic terminals completed / expanded at Rajahmundhry, Pudducherri and Gondia airports
  • Tiruchirapalli, Coimbatore, Mangalore, Varanasi and Lucknow airports as  declared as International airports.
  • There has been reduction in net losses of Air India by about Rs. 650 crores in the first 6 months of financial year 2012-13
  • Government has decided to simplify the process of sanctioning buildings near the Airports, No  from AAI every time will be required for same, colour code system developed for heights
  • Vrindavan was connected with Delhi by Helicopter service from 28th November, 2012
  • Government has set up an Aircraft Accident Investigation Bureau to efficiently investigate the accidents and to recommend effective corrective measures
  • The Ministry has engaged internationally renowned firm “Deloitte” as a Consultant to identify connectivity with remote and interior areas of the country, North Eastern Region, Tier-II & Tier-III cities of India
  • The Government is working on the Creation of Civil Aviation Security Force. A team of experts from the International Civil Aviation Organization (ICAO) to carry out a detailed study of the existing security system at the airports and suggest measures to improve the same.
  • Skill augmentation in civil aviation sector through a vibrant, world class aviation education and training: In this regard, the work to establish a Civil Aviation University is under progress.

Exhibits –

Shipping – Ports and Inland Waterways

port_toppic

  • The UPA Government has taken up a programme for massive capacity expansion of port infrastructure
  • To upgrade and modernize maritime infrastructure, the National Maritime Development Programme, comprising 387 projects, has been completed.
  • Shipping Tonnage under the Indian Flag also crossed the 10 million Gross Tonnage (GT) target set for the XI Plan with a total tonnage of 11.03 million GT
  • A major breakthrough was made in inland waterways when a Tripartite Agreement was signed between NTPC, Inland Waterways Authority of India and Jindal ITF Ltd. for transportation of imported coal for the Farakka Power Plant with an investment of about Rs 650 crore in the private sector
  • 5 waterways have so far been declared as National Waterways of India till date. Out of which 2 National Waterways have been declared by the UPA in 2008. These include
  •  Kakinada-Puducherry canals along with Godavari and Krishna rivers (1078 km)-NW-4 declared in 2008.
  • East Coast Canal integrated with Brahmani river and Mahanadi delta rivers (588 km) – NW-5 declared in 2008.
  • A Bill in the Parliament has been introduced for declaring one more Lakhipur-Bhanga stretch (121 kms.) of the Barak River as a National Waterway.
  • Indian Shipping industry has been provided cargo support in the form of right of first refusal & policy of Free On Board (FOB) import is being followed for government owned/controlled cargoes.
  • With a view to provide a level playing field to the Indian shipping sector the Government introduced the tonnage tax system during 2004-05 which has effectively brought down the tax liability of shipping companies to a level comparable to the international levels from the previous levels of the corporate tax regime.
  • Indian Coasting Trade is reserved for Indian flag vessels through incorporation of cabotage regulations in the Merchant Shipping Act
  • Major ports have improved their efficiency of operation particularly in terms of turnaround time (TRT) Average TRT for all major ports improved from 8.10 days in 1990-91 to 4.47 days in 2011-12.
Exhibits – 

Railways

IN02_PULWAMA_96257f

  • Indian Railways Enter One Billion Tonne (1009.73 million tonnes)  Select Club After Exceeding Revised Freight Loading Target for the Year 2012-13 .China, Russia& USA are the Other Members of this Club
  • Till 2012, Indian Railways maintained its growth in both freight and passenger traffic with a 5.2% growth in loading and 5.29% growth in passenger traffic
  • The number of passenger trains has increased from 8897 in 2001-02 to 12335 in 2011-12.
  • The number of consequential trainaccidents per million train kilometre has decreased from 0.41 in 2003-04to 0.13 at the end of 2011-12
  • The target of bringing this figure to 0.17 by2012-13, stipulated under the Corporate Safety Plan introduced since2003 was surpassed in the year 2011-12 itself. We will strive to worktowards a zero accident situation
  • The Committees headed by Dr. Anil Kakodkar and Sh. SamPitroda have laid down a roadmap for improving safety and bringingabout modernisation of Railways. While some of the recommendationsof the two Committees have been taken up for implementation, the restare under active consideration of the Ministry
  • UPA has made an outlay of Rs. 5,19,221 crore has been finalized for the Twelfth Five Year Plan (2012-2017) of the Railways
  • Railway Safety Fund set up to finance safety works at levelcrossings has been very useful, but is proving to be inadequate. Meeting estimated requirement of nearly Rs 37,000 crore at present day cost for eliminating  31,846 LCs, out of which 13,530 are unmanned
  • Train Protection Warning System (TPWS) onautomatic signalling systems has been introduced.
  • The indigenously developed Train Collision Avoidance System(TCAS) is proposed to be put to rigorous trials to validate the technology under complex operational conditions
  • Induction of Self Propelled Accident Relief Trains (SPART) with speed potential of 160/200 kmph on trial basis with a view toputting in place a fast and reliable disaster management system
  • Rail Budget proposes A Corporate Safety Plan for a ten year period (2014-24)
  • Railways have already created four companies of womenRPF personnel and another eight would be set up
  • The country’s first air-conditioned superfast Double-Decker train was flagged off in October, 2011
  • Upgrading another 60 stations as Adarsh Stations in addition to 980 already upgrade
  • Construction activity is under progress on the Western and Eastern Dedicated Freight Corridors, which are targeted for completion by March 2017
  • UPA has approved permitting use of railway land for development by Rail Land Development Authority for augmenting revenues, permission for Metro crossing
  • Rail Land Development Authority will also allow opening of Kendriya Vidyalayas on its land in order to provide adequate educational facilities to children of railway staff/officials placed in remote areas, and where educational institutions are not adequate
  • 104 stations, serving a population of more than one million or those serving places of religious/tourist importance have been taken up for immediate attention to all aspects related to cleanliness
  • Progressive extension of bio-toilets (made by DRDO)  on trains
  • Providing free Wi-Fi facility on several trains to cater to the increasing aspirations and requirement of our youth
  • Aadhaar card now valid as an identification document for a train ticket
  • Aadhaar scheme will be linked with Railways using various mechanisms
  • Real Time InformationSystem (RTIS), whereby rail-users will be able to access information through nominated websites and mobile phones established for a large number of trains
  • Next Generation e-ticketing system for IRCTC put in place. The system is able to support 7200 tickets per minute as against 2000 tickets per minute earlier
  • It supports1,20,000 simultaneous users at any point in time against the previous capacity of 40,000 users
  • Only Under UPA – The Railways in the state of Jammu and Kashmir was physicallyestablished. The national project of Udhampur-Srinagar-Baramulla is under construction and top priority
  • For the first time the State of Arunachal has been broughtinto the rail network and we shall commission the Harmuti-Naharlagun line this year
  • Rail works on the new line railway project to connect state of Manipur are in full swing.
  • Revamped participative policy enabling partnershipwith ports, large mines, industry and investors addresses the specific concerns of private investors.
  • 11 Public Sector Undertakings of the Railways performed very well and paid highest ever dividend. The dividend paid in 2011-12 was 14.3% higher than in the previous fiscal
  • UPA has envisaged setting up of Railway Energy Management Company (REMC) to harness potential of solar and wind energy
  • Setting up of 75 MW windmill plants and energizing 1000 level crossings with solar power
  • Under national skill development programme of the Government, Ministry of Railways imparts skills to the youth in railway related trades in 25 locations spread across the length and breadth of the country
  • For the first time – Indian Railways Institute of Financial Management(IRIFM) – A Centralized Training Institute at Secunderabad approved
  • Minister for Rural Development to partner in some of the railway related activities under MGNREGA
  • Fuel Adjustment Component (FAC) – now linked revision in only freight tariff from 1st April, 2013.
  • A proposal or setting up ofan independent Rail Tariff Authority has been formulated.
  •  In 2010-11 and 2011-12, Railways completed 709 km and 727 km respectively of new lines. The target of 700 km of new lines in the current year had to be scaled down to 470 km due to inadequate resources. The target of 800 km for gauge conversion fixed for 2012-13 ha salso been scaled down to 575 km
  • The target of 800 km for gauge conversion fixed for 2012-13 has also been scaled down to 575 km
  • Railways has completed electrification of 1200 route km in 2012-13
  • Construction of metro system in Kolkata from Dum Dum toNoapara is scheduled to be completed by March, 2013.
  • First AC EMU rake will be introduced on Mumbai suburban network in 2013-14

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