With many large infrastructure projects facing delay, the Prime Minister's Office (PMO) has instructed the Department of Industrial Policy and Promotions (DIPP) to set up an inter-ministerial monitoring system. This mechanism aims to assist faster clearance.
A senior Government official told Business Line , “The basic idea behind such a system is to fast track critical projects. It will define the statutory time limit for projects to be completed. We hope the system will be in place within a month,” he added.
DIPP sought views from ministries such as power, petroleum, surface transport, coal, ports and railways before establishing the mechanism. This system was conceptualised at a time when top private producers had approached the Government for help.
The Prime Minister has already initiated a move to fast-track the development and use of Inland Waterways Transport involving private and public sector undertakings. The initiative will harness the huge potential of inland waterways in transporting bulk cargo such as coal, foodgrains, fertilisers, project cargo, fly ash, over dimensional cargo and containers at competitive cost for public and private sector companies. The adequate use of waterways will also ease the burden on rail and road infrastructure.
“We may involve State Governments in the system, as land has always been big issue for infrastructure projects,” the official said.
“Land is a State subject and related issues cannot be resolved without them.” Infrastructure projects not just in public sector, but in the private sector, too are facing delay.
According to an October 2011 flash report prepared by the Statistics and Programme Implementation Ministry, the number of delayed projects had increased to 235.
These projects belong to 15 key areas such as railways, road transport & highways, power, petroleum, telecommunication, etc. These projects have a minimum size of Rs 150 crore and belong not just to infrastructure but also to various sectors whose growth is critical for core infrastructure industries.