Budget 21-22: Infrastructure outlay up 34.5% at Rs5,54,000 cr after pandemic
13 Dec 2021
1
Union Budget 2021-22 has provided capital outlay of Rs5,54,000 crore, an increase of 34.5 per cent over Budget Estimate of FY 2020-21, for infrastructure development to boost the economy after SARS CoV-2 pandemic, minister of state for finance Pankaj Chaudhary informed the Lok Sabha in a written reply on Monday.
In addition, the minister said, the government has also made provision of more than Rs2,00,000 crore for states and autonomous bodies towards their capital expenditure. National Monetization Pipeline was also prepared to unlock the value of investments in public sector assets by tapping private capital and efficiencies for delivering infrastructure services. These proceeds are envisaged to both augment existing infrastructure and create greenfield infrastructure, he said.
Additionally, central ministries/departments have been advised to expedite infrastructure investment by front-loading capital expenditure, he stated.
Giving details, the minister said that the CCEA in its meetings held on 21 October, approved the proposal for development of ‘PM Gati Shakti National Master Plan (NMP)' for providing multimodal connectivity infrastructure to various economic zones. It aims to depict various economic zones and the infrastructure linkages to holistically integrate all the multimodal connectivity projects, remove missing gaps for seamless movement of people, goods and services, minimise disruptions and improve logistics efficiency.
The sectors intended to be included in PM GatiShakti NMP are:
Transport & Logistics - Roads, rail, DFC, airports, inland waterways, ports, logistics infrastructure, bulk material transportation, urban public transport;
Energy – Electricity transmission with specific reference to evacuation of renewable energy projects, National Gas Grid;
Communication – OFC network, telecommunication towers;
Commercial infrastructure - Common infrastructure for industrial parks with industrial activities like food parks, textile parks, SEZs, electronics manufacturing clusters, fishing clusters/harbours, defence corridors/industrial corridors, pharma and medical device clusters.
On finding funds for such project, the minister stated that there is no financial implication for multimodal connectivity infrastructure to the economic zones under the PM GatiShakti NMP as the concerned line ministries/departments will seek funding of their respective infrastructure projects serving the economic zones as per procedures laid under their respective schemes/programmes.
Giving more details, the minister stated that the National Infrastructure Pipeline (NIP) was launched with projected infrastructure investment of around Rs11.100,000 crore during FY 2020-2025 to provide world-class infrastructure across the country, and improve the quality of life for all citizens. NIP was launched with 6,835 projects, which has expanded to over 9,000 projects covering 34 sub-sectors. NIP is a first-of-its-kind, whole-of-government exercise and covers all infrastructure sub-sectors, including MSMEs working in infrastructure sector, as mentioned in Harmonized Master List of Infrastructure Sub-sectors notified by Department of Economic Affairs (DEA).
