July 30, 2012 / 15:43 IST
UR Associates has come out with its report on infra sector.
The Government last week detailed roadmaps for speedy implementation of various flagship infrastructure projects in key sectors, including railways, civil aviation and shipping. These flagship projects had been identified and approved by the Prime Minister in the infrastructure meeting held on 6 June 2012. The projects are moving ahead smoothly and detailed timelines have been drawn up for intermediate stages.
Shipping: Work has begun on the two new major ports in Andhra Pradesh and West Bengal. A technical committee has visited three sites to identify a suitable location for the major port in Andhra Pradesh and has submitted its report. Ministry of Shipping will finalize the site in Andhra Pradesh for the major port by 31 August, 2012. A note will be presented before the Cabinet by 30 September, 2012 seeking ‘in-principle’ approval for the major port project in Andhra Pradesh. The State Support Agreement for the major port at Sagar will be finalized and executed by 1 August, 2012 and the matter will be presented before the Cabinet for consideration and approval by 30 September, 2012. An SPV would be formed to implement both the projects in West Bengal and Andhra Pradesh with 26% equity from the respective State Governments and 74% from Central Government. The SPV will then bid out the project on a PPP basis. The Ministry of Shipping will constitute a project steering group with Shipping Secretary as Chairman and the Secretaries of Economic Affairs and Planning or their representatives as members; to periodically oversee the progress on establishment of both the ports including finalizing the structure of the SPV, monitoring the bidding process, preparation of documents and award of concessions.
Civil Aviation: For the airport at Navi Mumbai, CIDCO is the nodal agency which has prepared the transaction documents. The Ministry of Civil Aviation will discuss the matter with Maharashtra Government and obtain their concurrence to the process to be adopted to manage the PPP award process after the documents are cleared by Central Government. This is expected to be completed by 15 August 2012. The Ministry will subsequently move a note to CCI on the process to be followed including approval of concession agreements.
The airport project is expected to be awarded by March 2013. With regards to the airport at Mopa, Goa, a steering committee under the Chief Minister already stands constituted. Consultants have also been appointed and the
process of land acquisition is going in at full pace with the work scheduled to be awarded by March, 2013. Similarly, at Kannur, Kerala, the State Government has set up an agency Kannur International Airport Ltd. for
implementing the project. The Ministry of Civil Aviation will propose a standing authority for all new PPP airports which will address all regulatory, traffic and pricing issues relating to these airports; harmonise the Greenfield airport policy with regard to matters of concern to both the Central and State Governments; and suggest ways for fast tracking PPP airports under the Greenfield policy.
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Railways: The Elevated Rail Corridor in Mumbai is the railway project which is in the most advanced stage with the technical feasibility study already been conducted. A Draft State Support Agreement has been agreed between the Maharashtra Government and the Ministry. The project will be implemented in PPP mode. The concessionaire shall be finalized by 15 March, 2013. The revenue stream to make the project viable is the development of real estate for which the consultations with Maharashtra Government are in process. The necessary documentation for the project is under preparation. The Ministry of Railways will constitute a project steering group with the Chairman of Railway Board as Chairman, and Secretary (DEA), Secretary (Planning), Chief Secretary of the Maharashtra Government (or his representative), Member (Engineering) and GM, Western Railways as members to monitor the implementation of the project including finalizing the documentation, overseeing the bidding process, and awarding the contract in timely manner.
The High Speed Rail Corridor project between Mumbai & Ahmedabad and other routes is technologically the most advanced railway project. Pre-feasibility study has been conducted by RITES in association with other expert consultants. There are various alternative options for implementing the project and of all the options, the PPP options seems viable. The Ministry of Railways will constitute a project steering group with the Chairman of Railway Board as Chairman, and Secretary (DEA), Secretary (Planning), Member (Mechanical), Member (Engineering) and Member (Electrical) as members. The terms of reference of the project steering group will inter-alia include (a) examining the options available for implementing the project and finalizing feasible options; (b) suggesting ways of strengthening the capacity of railways to design and execute high speed train projects; and (c) suggesting mechanisms for quickly moving forward on chosen options. The project steering group may obtain expertise on high speed train projects through RITES and scheduled to meet each fortnight.
For Station Redevelopment, a new body Indian Railway Station Development Corporation (IRSDC) is to be constituted to implement the redevelopment of stations. Five stations have already been shortlisted for redevelopment and the Model Concession Agreement (MCA) prepared by Planning Commission will be used as a base document.
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