Spacer
 
Spacer
  Business.gov.in Indian Business Portal
An Initiative of India.gov.in
 
 
Quick Menu

Infrastructure
spacer
Infrastructure National Level Infrastructure
Infrastructure State Level Infrastructure
   
 
Infrastructure
Infrastructure
 
Infrastructure refers to all those services and facilities that constitute the basic support system of an economy. It is the foundation on which the day to day functioning of all the economic activities of a country depends. It consists of the transportation network in the form of railways, roadways, ports and civil aviation; the tele-communication system as well as the power sector. All such utilities, through their backward and forward linkages, provide an enabling environment for facilitating the growth of a nation.

Recognizing the critical importance of the infrastructure sector, the Government of India has accorded it a high priority. Accordingly, both the Central and the State Governments have been working in tandem to upgrade the Indian infrastructural set up to meet the international norms and standards. But, investment in existing and new infrastructure projects involves high risks, low returns, huge capital, high incremental capital/ output ratio, long payback periods as well as superior technology.

Hence, in order to bring in adequate resources (physical, financial and technical) for setting up of a sound and efficient infrastructural base, the Government has entered into the 'Public Private Partnership (PPP)' programme. This programme involves long-term detailed contracts between the Government and the private players, spelling out the rights and obligations of both the contracting parties. Such public-private partnership encourages better risk sharing, accountability, cost recovery and management of infrastructure. Through such initiatives, the Government is moving away from its traditional role of 'provider of services' to that of a 'facilitator and regulator'.

As a facilitator, the Government has been engaged in instilling confidence in the private sector by creating an appropriate policy framework. The policies envisage several incentives and schemes to attract massive capital into the infrastructure industry. At the same time, the Government continues to fulfill its social obligations through proper checks and balances in the form of a transparent regulatory system. The role for regulation is to protect the interests of consumers and foster an institutional set up, which helps in delivering infrastructure services of high quality at low prices.

The setting up of a 'Committee on Infrastructure (CoI)' has been a major step in this direction. It has been constituted with the objectives of:-

  1. Initiating policies that ensure time-bound creation of world class infrastructure


  2. Drawing a priority list of projects aimed at augmenting and modernizing the infrastructure capacity


  3. Developing structures that maximize the role of public-private partnerships in the field of infrastructure


  4. Monitoring progress of the infrastructure projects to ensure that established targets are realized;


  5. Identifying measures to refine project formulation, project planning and project management processes in line with international best practices; etc.

The Committee has estimated the investment requirements for some of the key infrastructure sectors, to be achieved by 2012. These include:- Rs. 2,20,000 crore for modernization and upgradation of highways; Rs. 40,000 crore for civil aviation; Rs. 50,000 crore for ports; and Rs. 3,00,000 crore for railways.

Thus, India's enormous unmet infrastructure needs, combined with the public private partnership approach, offer an unprecedented investment opportunity for the private players. These opportunities, having the potential of attractive returns, exist in all the infrastructural sectors, both at the national and State level.

^ Top

Committee on Infrastructure
Public Private Partnerships in India
 
 
Government of India
spacer
 
 
Business Business Business
 
  Search
 
Business Business Business
 
Business Business Business
 
How Do I
Business Register a Company
Business Register as Employer
Business Complaint with Central Vigilance Commission (CVC)
Business Apply for TAN Card
Business File Income Tax
 
Business Business Business
 
Business Business Business
 
  Help us enhance
Business.gov.in
Tell us what more you would like to see
 
Business Business Business
Business
Business Business Business
 
Tenders
View and Access latest Government Tenders...
 
Business Business Business
Business
Business Business Business
 
 
Patent Information
Business
Copyright
Business
Forms Related to Patents
Business
Forms for Design
 
 
Business Business Business
 
 
 
Spacer
Spacer
Business.gov.in  
 
Spacer
Spacer