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Infrastructure Consultant India |
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INFRASTRUCTURE |
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Road:
Funding in the form of
capital grant, Operation & Management support, interest subsidy,
etc. Support linked with predefined milestones. 48
new road projects worth US$ 12 billion are under construction.
Development and up gradation of roads will require an investment of
US$ 24 billion till 2008. Private sector participation in road
projects will grow significantly.
Existing road network of 3.3 million kilometres. 24,000 km of
Highways being developed under National Highway Development
Programme. Golden Quadrilateral : 5846 kms- 5000 kms completed. NSEW
Corridor: 7300 kms – 784 kms completed, 3691 kms under
implementation. Investment USD20 billion envisaged. |
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Investment Opportunities: Projects for 12,000 km would be on offer. Many more opportunities in the States. |
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Policy and Incentive: FDI up to 100% is permitted for construction and maintenance of roads, highways, vehicular bridges, toll roads, vehicular tunnels. Ten year tax holiday for road and highway projects |
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Power:
Addition of 100,000 MW planned over the next 10 years. The existing
installed capacity to be doubled. Another initiative to
develop 50,000 MW of hydro electricity. Detailed project reports are
being prepared to facilitate private investment. New
Electricity Act has further liberalized the electricity sector.
Special incentives and tax-breaks are given for certain sectors such
as power, electronics, telecom, software, hydrocarbons,
R&D and exports. |
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Institutional Reforms:
The Electricity Act 2003 allows trading in power
and provides for further deregulation.
Independent Regulator in most states. |
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Investment Opportunities:
Additional capacity required 100,000 MW till
2012. Investment USD120 billion needed.
Financial closure of over 6000 MW capacity
achieved in last one year. |
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Policy & Incentive:
FDI up to 100% is permitted on the automatic
route in all segments except atomic power.
Ten-year tax holiday for generation and
distribution or transmission and distribution of
power. |
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Port: The Sagar Mala project
envisages development of ports and shipping sector at an investment
of over USD22 billion, largely in the private sector. 25 projects to
upgrade the inland waterways identified. Techno-economic feasibility
completed. Total investment in maritime sector expected at USD 3
billion in the next 20 years. Up gradation and modernization of
airports will require US$ 33 billion investment in the next ten
years. Airports Authority of India has set a target of investing 1
billion dollars for modernization of airports There is potential for
investment in the expansion and modernization of ports, inland
navigation and maritime transport. 100 percent FDI is permitted for
construction and maintenance of ports. The Government is offering
incentives to investors. While the government will take care of 15%
of the investment, the rest will come from the private sector. |
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Policy &
Incentives:
FDI up to 100% permitted for construction and
maintenance of ports and harbors. Ten year tax
holiday available |
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Telecommunication:
Most experts expect increase of 100 million in
the next 3-4 years. Provides immense
opportunities for setting up manufacturing
facilities. Landline phones connections have
surged dramatically. Tele-density has already
reached 7 per 1000. Tele-density could reach
20-25 by 2010 or even be earlier. Among the
fastest growing telecom markets, 550,000 km of
optical fibre cable laid. 2 million Cellular
phones added every month. Among the lowest
mobile tariff in the world.
The telecom market, which is one
of the world's largest and fastest growing, has
an investment potential of US$ 20-25 billion
over the next five years. |
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Investment Opportunities:
Setting up manufacturing facilities, Supply of hand sets and equipments, Telecom & Value added service. |
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Infrastructure Consultant India |
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