Tue22052012

Back Business Special package for connecting minor ports and airports in 12th plan

Special package for connecting minor ports and airports in 12th plan

There would be a major focus on road connectivity to minor ports and airports in the 12th plan (2012-17). A Planning Commission Working Group on Central Roads Sector has demanded special package for this so that it is implemented on priority basis, separating it from overall National Highway planning.

The Group, headed by then Secretary of Ministry of Road Transport and Highways RS Gujral, has proposed to develop 2-lane road connectivity for about 50 minor ports in the 12th plan for an estimated investment of about Rs 5,000 crore primarily through State Public Works Departments provided the allocation is additionally made over and above the allocations for other schemes for the Central Road Sector.

The proposal has been approved by the Steering Committee on Transport Sector for the 12th Plan held under the Chairmanship of Plan Panel Member BK Chaturvedi.

The Group further proposed that a special package may also be included to develop road connectivity for 24 Airports identified by the Ministry of Civil Aviation and the Airports Authority of India. This, too, has been approved by the Steering Committee. The total estimated cost of development of road connectivity to these 24 Airports would be about Rs 1,800 crore, considering an average cost of Rs 5 crore per km.

“The allocation for taking up these works may be additionally provided under Gross Budgetary Support over and above the allocations under other Central Road Sector Schemes,” the Group recommends.

The Group has set a total target of National Highway network of about 85,000 km in the 12th plan with an estimated cost of Rs  4,80,989 crore. However, the Government will have to devise alternate ways to generate this kind of funds.

It has recommended that for additional resources the Government may consider “Beneficiary Participation” wherein funds can be tapped from beneficiaries for projects linking the Special Economic Zones, satellite towns, ports, power plants, steel plants and other industries. Funding for the last mile connectivity can be obtained from the developer to the extent possible. It is necessary to explore possibility of land value capture and real estate development on case-to-case basis.

It has also suggested that “Congestion Pricing” policy may be adopted for levy of additional toll on Heavy Goods Vehicles depending upon number of axles and emission class in line with the existing policies in Germany and Czech Republic.

In addition, the Calamity Relief Fund may also be amended to provide the available funds for infrastructure restoration after calamities like flood.

Among these a major recommendation is to either increase road cess on petrol and High Speed Diesel oil “suitably” from the present level of Rs  2 per liter or levy of this cess on ad-valorem basis.

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