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Tuesday, August 27, 2013

Government approves Rs.1.83 trillion infrastructure projects to boost confidence
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NEW DELHI: The Cabinet has approved infrastructure projects worth Rs 1.83 trillion ($28.38 billion), Finance Minister P Chidambaram said on Tuesday, part of a government drive to fast-track clearances and win back investor confidence.

A cabinet panel cleared 18 power projects at a cost of Rs 83000 crore, Chidambaram told a news conference. Chidambaram emphasised that the government's highest priority is to restart the investment cycle. "Investment cycle has started and we are pushing it further," he said.

As regards the fuel supply agreements (FSA) for the power projects, the Minister said all the FSAs would be signed by September 6. The earlier deadline of signing the FSA was August 31.

Asked about the Food Security Bill, Chidambaram said that the government has provided enough money for it, and despite that will be able to maintain the budget targets on the fiscal front.

The government set up the CCI, headed by Prime Minister Manmohan Singh, to expedite decisions on approvals for implementation of projects.

The stalled projects are initially tracked by a project monitoring group wherein ministries or department concerned discuss issues that are adversely impacting implementation of the identified projects.

A web-based information system has also been put in place wherein entrepreneurs can provide details of their project as well as the issues that are inhibiting smooth implementation.

Based on the discussions, efforts are made to expedite clearances approval and the final decisions or unresolved policy issues and clearances are taken by CCI.

The Minister further said that banks have already disbursed as much as Rs 30,000 crore for the power sector projects and with clearances in place they would provide more funds for these projects.

Courtesy: The Economic Times