Unlocking the full potential of GatiShakti

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Unlocking the full potential of GatiShakti

Tuesday, 22 October 2024 | Uttam Gupta

Unlocking the full potential of GatiShakti

The PM GatiShakti initiative is revolutionising India’s infrastructure by integrating digital planning tools to expedite project completion and improve multimodal connectivity

According to the Secretary of the Department for Promotion of Industry and Internal Trade (DPIIT), Amardeep Singh Bhatia, as many as 208 big-ticket infrastructure projects including roads (101), railways (73), urban development (12) and oil and gas (4) worth Rs 1539,000 crore have been recommended for approval under the PM GatiShakti initiative so far. These projects have been recommended by an inter-ministerial group known as the Network Planning Group (NPG) constituted under the PM GatiShakti National Master Plan (NMP). Launched in October 2021, the PM Gati Shakti NMP is a transformative Rs 100 lakh crore initiative aimed at revolutionising the infrastructure in India over the next five years.

Its vision is to create a world-class integrated infrastructure that improves the ease of living, boosts economic growth and makes Indian businesses more competitive. It does so by expediting project completion, reducing timelines, enhancing multimodal connectivity, boosting efficiency across sectors, benefiting logistics (a jargon for handling, storage and transportation) creating jobs and fostering innovation. How does it work? The PM GatiShakti NMP has been developed as a Digital Master Planning tool. It works on a dynamic Geographic Information System (GIS) platform wherein data on specific action plans of all the 16 Ministries/Departments dealing with infrastructure sectors as well as of the States have been incorporated within a comprehensive database.

The NMP portal has over 1,600 layers of geospatial data, showing all physical and social infrastructure of an area viz land, ports, forests, and highways and so on. The NMP revolves around seven primary sectors that are fundamental to economic growth and ensuring seamless connectivity. These sectors are roads, railways, ports, airports, mass transport, waterways and logistics infrastructure.

These are further supported and complemented by sectors like energy (all fuels such as petrol, diesel, ATF, natural gas and power etc) transmission, IT communication, bulk water and sewerage, and social infrastructure.The inter-ministerial NPG has representations from the connectivity infrastructure ministries/departments, involving their heads of network planning division to ensure unified planning and integration of the proposals.

The NPG meets every fortnight and appraises infra projects to ensure multi-modality (a term used to connote several different modes of transportation to get cargo from the factory/port/warehouse to a client's front door), synchronisation of efforts, and comprehensive development in and around the project location. All logistics and connectivity infrastructure projects worth over Rs 500 crore are routed through the NPG. The NPG's approval is required even before making a DPR (Detailed Project Report) at the planning stage. Thereafter, the project follows the normal procedure of approval by the Public Investment Board (PIB) or Department of Expenditure under the Ministry of Finance (MoF) and the Cabinet.

Put simply, NMP provides on a centralised portal, a 360-degree view of all the existing projects/initiatives, those under implementation as well as projects under planning stage across all ministries and departments and offers visibility into all critical data relevant to efficient planning and execution. It helps in the identification of critical gaps in infrastructure, helping to select the most efficient routes for transportation, reducing costs, and minimising delays.

As many as 156 gaps in infrastructure to ports and for movement of bulk commodities like coal, cement, fertilisers and food grains, have been identified for intervention under the PM GatiShakti initiative.

The plan also helps in prioritising projects more effectively by leveraging cross-sector interactions, ensuring that the ministries work in harmony to align the projects and allocate resources optimally - based on national priorities – avoiding duplication and redundancies.   

The upfront approval by the NPG even before the ministry prepares the DPR can help it in making the RIGHT choices, prevent delays and avoid colossal wastage of resources that were germane to the earlier dispensations when the ministries and departments were working in silos - in an uncoordinated manner - unaware of the happenings and work in progress in other departments and bereft of the crucial data on KEY parameters.       The PM GatiShakti is a robust system working on real real-time basis in a dynamic framework to guide project planning and execution (monitoring through satellite imagery ensures that the ministries can track progress and make necessary adjustments to keep projects on schedule).

The phenomenal increase in the capacity in all crucial areas such as ports, airports, railways, highways, roads and so on is a testament to the success of efforts made under PM GatiShakti.

But, we have a long way to go

The target of Rs 100 lakh crore investment for building the infrastructure over five years was set by Finance Minister Nirmala Sitharaman in her maiden Budget for 2019-20 (out of this, 39 per cent or Rs 3900,000 crore was to come from the Centre and an equal amount from States and the balance Rs 2200,000 crore from the private sector).

Against this, the investment covered under PM GatiShakti is Rs 1539,000 crore which is just about 15 percent. Even when we take this as a proportion of the investment commitment by the Centre (presumably all projects under PM GatiShakti are centrally sponsored), this works out to 40 per cent. As for the States, they are far behind in meeting their overall investment target of Rs 3900,000 crore.

And, very few of them such as Uttar Pradesh, and Gujarat have boarded the PM GatiShakti platform.

The platform by ensuring visibility, identification of bottlenecks and better coordination can help expedite approvals but it can’t be a substitute. The approvals have to be given by the concerned authorities   at the central and State levels. Here, projects face long delays especially when it comes to getting environmental and land clearances.

Local protests exacerbate the delays. ‘Working in silos’ syndrome doesn’t go away just because Modi has given a platform to the bureaucrats in various Ministries to sit together and thrash out issues.

Sticking to their stance, especially when it comes to staking their claim to resources (such conflicts are seen more in major projects like roads and railways) often leads to delays. Further, a lack of coordination with the states, as seen in the Sagarmala and Bharatmala projects, has led to slower progress. 

Outdated or incomplete data is a major bottleneck. For instance, while land records are digitised in 13 states, the rest lag.

This hampers the implementation of projects in states where land records are not digitised as well as roads/highways projects, power transmission lines, and oil and gas pipelines passing through these states.   

Even as the PM GatiShakti platform allows for real-time tracking, the authorities don’t always make project updates regular, which delays completion. This is particularly true of rural road projects in many districts leading to slow progress. 

The investment by the private sector is nowhere near the target of Rs 2200,000 crore set by Sitharaman. In the roads/highways sector, even as the government has asked private players to come under public-private partnerships (PPPs) mode, the latter’s response isn’t encouraging leaving it to the former to take on the load.   

The bottlenecks lead to continuing project delays and cost overruns which cause high tariff/service charges across all sectors highways, railways, ports, airports, power transmission, fuel transportation etc.

These come in the way of making Indian businesses more competitive and ease of living for the common man. All Stakeholders particularly the States should work to surmount the bottlenecks to enable PM GatiShakti to deliver its full potential.

(The writer is a policy analyst; views are personal)      

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