Prime Minister Manmohan Singh goaded his ministers in charge of core sectors to get cracking on building infrastructure, making it clear that no excuses would be tolerated. Excuses over the lack of clearances delaying projects will not be tolerated, Singh is learned to have said at the meeting that was convened after Congress leaders attending the CWC meeting expressed concern over slackening growth and stalled governance. Singh used the meeting to allay concerns over governance freeze. “There is no political paralysis. The government means business,” a participant quoted the prime minister as saying. Singh reportedly said the infrastructure push would help revive investment in the short run, while in the long run, it would clear hurdles to growth. He did acknowledge that the country was at a “critical juncture”, even though he ascribed the slowdown to external factors. “We are now running into more turbulent weather. The global economy is passing through difficult times. This has affected us,” the PM said.
Power capacity to be increased by 18,000 MW
Two new major port projects to be taken up in AP and West Bengal, involving over 20,000cr investment
Highway stretches of 9,500km to be awarded in 2012-13, another 4,360km to be taken up for maintenance
Greenfield airports for Navi Mumbai, Goa and Kannur
Delhi, Chennai to turn airline hubs
He intends to review the progress on the targets every three months and also release a report card of sorts. The meeting, which was attended by ministers of power, coal, aviation, road and shipping, saw the government chalking out a job card for the year that includes awarding airport contracts in Navi Mumbai and Goa, as well as and port projects worth Rs 20,000 crore in Andhra Pradesh and West Bengal. The much-touted Bullet Train from Mumbai to Ahmedabad is also on the “to do” list, though so far only a prefeasibility report has been prepared. In addition, an aviation hub policy, with Delhi and Chennai to act as major nodes for airlines, is on the anvil.
Railways minister Mukul Roy did not attend the huddle, and was represented by chairman of the Railway Board, Vinay Mittal. The other notable absence was that of finance minister Pranab Mukherjee who, according to sources close to him, had informed the PM of his inability to make it.
With the government facing fiscal constraints, the focus seemed to be on getting private investors as the PM urged ministers to expedite clearances, a common grouse among investors for held up projects. He is learnt to have told his team that to take the economy back to 9% growth rates, the share of private investment in infrastructure needs to be stepped up to 10% of GDP from 7.4% of GDP at present. Deputy chairman of the Planning Commission Montek Singh Ahluwalia said that getting investments would also serve the purpose of rebutting the perception of a slowdown.
Power capacity to be increased by 18,000 MW
Two new major port projects to be taken up in AP and West Bengal, involving over 20,000cr investment
Highway stretches of 9,500km to be awarded in 2012-13, another 4,360km to be taken up for maintenance
Greenfield airports for Navi Mumbai, Goa and Kannur
Delhi, Chennai to turn airline hubs
He intends to review the progress on the targets every three months and also release a report card of sorts. The meeting, which was attended by ministers of power, coal, aviation, road and shipping, saw the government chalking out a job card for the year that includes awarding airport contracts in Navi Mumbai and Goa, as well as and port projects worth Rs 20,000 crore in Andhra Pradesh and West Bengal. The much-touted Bullet Train from Mumbai to Ahmedabad is also on the “to do” list, though so far only a prefeasibility report has been prepared. In addition, an aviation hub policy, with Delhi and Chennai to act as major nodes for airlines, is on the anvil.
Railways minister Mukul Roy did not attend the huddle, and was represented by chairman of the Railway Board, Vinay Mittal. The other notable absence was that of finance minister Pranab Mukherjee who, according to sources close to him, had informed the PM of his inability to make it.
With the government facing fiscal constraints, the focus seemed to be on getting private investors as the PM urged ministers to expedite clearances, a common grouse among investors for held up projects. He is learnt to have told his team that to take the economy back to 9% growth rates, the share of private investment in infrastructure needs to be stepped up to 10% of GDP from 7.4% of GDP at present. Deputy chairman of the Planning Commission Montek Singh Ahluwalia said that getting investments would also serve the purpose of rebutting the perception of a slowdown.
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