Highway projects worth Rs 5 lakh crore planned in 2 years

index.jpgSource: The Economics Times, May 19, 2017

NEW DELHI: The Narendra Modi government has set an ambitious target of awarding Rs 5 lakh crore worth of highway contracts, totalling about 50,000 km, in the last two years of its tenure, surpassing the cumulative road length awarded for paying in the last five years.

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Road transport and highways minister Nitin Gadkari told ET that the contracts will be for 44 economic corridors and 10 expressways, and would include the ‘chardham’ connectivity programme, northeast connectivity programme and the borders-linking projects. Over the last five years, the government could award only 40,000 km of fresh highway length for construction.

“We have planned several projects that would be very crucial for overall development of the country. These new highways would decongest the existing roads, bringing down logistics cost by 5-6%,” Gadkari told ET. “My ministry’s vision is that a freight vehicle should move on highways without restrictions and should be able to do at least 400 km per day. It will have very positive impact on the logistics industry.”

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Government to develop 15 multi-modal logistics parks for Rs 33,000 cr

Source: Business Standard, May 16, 2017

New Delhi: The government is planning to develop multi-modal logistics parks at 15 locations all over India at an estimated cost of Rs 33,000 crore, said an official on Monday.

As part of the plan, the National Highways Authority of India (NHAI) on Monday inked a Memorandum of Understanding (MoU) with the Tamil Nadu Industrial Development Corporation Ltd (TIDCO) to develop one such park in the Ponneri Industrial Node area near Kamarajar port in the state.

The MoU was signed in the presence of Road Transport & Highways and Shipping Minister Nitin Gadkari and M.C. Sampath, Tamil Nadu Minister for Industries, an official release here said.

“It is an important agreement for the development of an integrated, multi-modal transport infrastructure in the country,” said Gadkari while speaking on the occasion.

The Ministry of Road Transport and Highways is planning to develop multi-modal logistics parks at the 15 locations under its Logistics Efficiency Enhancement Programme (LEEP).

The proposed logistics parks, the ministry believes, will bring down the overall freight costs, reduce vehicular pollution and congestion and will enable reduction of warehousing costs.

All this is expected to result in lower logistics costs.

 

India’s highway expansion opens up market for global bitumen producers

download (3)Source : Livemint 11 May 2017

New Delhi: India’s roads and highways expansion drive has led to a sharp annual growth in import of bitumen, a refinery by-product used in laying the surface of roads and highways, opening up a growing market for shipments from Iran, the UAE, Malaysia, Singapore and Greece. Indian refiners, in the meantime, are focusing on capturing the global market for high-end finished petroleum products.

While India’s refining capacity rose by 21% since 2010-11 to 234 million in 2017-18, bitumen imports rose by a phenomenal 823% during the period to 905,000 tonnes as demand outpaced production and refineries opted for maximising output of other high-revenue-yielding finished petroleum products such as petrol, diesel and jet fuel with an eye on export markets, data from oil ministry’s arm Petroleum Planning and Analysis Cell showed.

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Metro companies will have to buy 75% coaches, 25% equipment made in India

Source: Business Standard, Apr 23, 2017

It is now mandatory for the metro rail companies to procure minimum 75 per cent of train cars and 25 per cent of critical equipment from within the country, a norm made compulsory under the ‘Make in India’ campaign.

The Urban Development Ministry has incorporated these mandatory conditions in the metro companies’ tender documents which have been circulated to them, making the new norms effective immediately.

At present, it is not mandatory for the companies to procure metro train cars manufactured in India.Minimum 75 per cent of the tendered quantity of metro cars should be manufactured indigenously for which the suppliers may either establish independent manufacturing facility in India or partner with Indian manufacturers, provided the procurement is more than 100 cars, as per the new tender document.

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States can borrow directly from foreign agencies for infra projects

Source: Business Standard, Apr 20, 2017

New Delhi: The Union Cabinet has approved new rules to allow financially sound state government entities to borrow directly from other countries which give Official Development Assistance for major infrastructure projects.

In such cases, the state government concerned will give a guarantee and the Centre will provide a counter-guarantee. Read the rest of this entry »

Rs 10 trillion umbrella road project to subsume National Highways Development Project

Source: Financial Express, Apr 18, 2017

New Delhi: The ambitious Rs 10 lakh crore umbrella programme for roads, Bharatmala, will subsume the National Highways Development Project (NHDP), implemented by the then Atal Bihari Vajpayee government in 1998. This may be one of the last mega projects of the BJP government before it seeks public mandate in 2019, besides being the second-largest highway project after the NHDP that saw development of about 50,000 km of NHs as per global standards.

The Prime Minister’s Office, earlier this month, after going through a presentation of the ambitious Bharatmala project has asked for Public Investment Board’s (PIB) clearance to the first phase of the project, a government official told PTI. Read the rest of this entry »

Government awards 49 port projects worth Rs 8,341 crore in FY17

Source: The Economic Times, Apr 17, 2017

NEW DELHI: The government awarded 49 port projects with an investment of Rs 8,341 crore in the previous fiscal, which will result in capacity addition of 104 MT.

This was against a target of 102 million tonnes per annum (MTPA) capacity augmentation.

“In respect of development of port infrastructure, 49 projects have been awarded with a capacity of 103.52 MTPA against a target of 102 MTPA with an investment of Rs 8,341.12 crore during the last fiscal,” Shipping, Road Transport and Highways Minister Nitin Gadkari told PTI. Read the rest of this entry »