In a major boost to infra build-up, the Cabinet Committee on Economic Affairs (CCEA) chaired by prime minister Narendra Modi on Wednesday approved projects worth ₹7725 crore including industrial corridor nodes in Andhra Pradesh and Karnataka along the Chennai-Bengaluru Industrial Corridor and multi-modal logistics and transport hubs at Greater Noida in Uttar Pradesh.
The corpus will be used to build trunk infrastructure in the proposed greenfield industrial cities with world-class infrastructure, road and rail connectivity for freight movement to and from ports and logistic hubs along with reliable power and quality social infrastructure.
Finance minister Nirmala Sitharaman has signaled that her next Budget will prioritise investments in infrastructure to revive the economic currently reeling under the impact of the coronavirus pandemic. The government has set a target of investing over ₹100 trillion in the next five years on projects selected under the national infrastructure pipeline.
While ₹2139.4 crore will be invested in the Krishnapatnam industrial area in Andhra Pradesh, projects in Tumakuru industrial area in Karnataka will be built with an estimated cost of Rs. 1,701.8 crore. The multi-modal logistics and transport hubs at Greater Noida with cost the exchequer Rs. 3,883.8 crore.
“The Industrial Corridor Programme thrives to attain the objective of creation of an “Atmanirbhar Bharat” to drive the growth of industries and create greater avenues for investments across the country,” the Cabinet Secretariat said in a statement.
These projects are expected to generate 2.8 lakh employment opportunities through industrialisation. For Krishnapatnam node, estimated employment projection on completion of the first phase of development is likely to be around 98,000 persons of which about 58,000 persons are likely to be employed at the site. For Tumakuru node, employment of about 88,500 persons is estimated, out of which 17,700 persons will be from service industries such as retail, offices and other commercial opportunities in the initial development phase.
Logistics Hub project at Greater Noida is planned as a world-class facility that will provide efficient storage and transitioning of goods to and from the Eastern and Western Dedicated Freight Corridors (DFC) and offer a one-stop destination to freight companies and customers. The transport hub project near the Boraki railways station, on the other hand, will have space for Inter State Bus Terminal (ISBT), Local Bus Terminal (LBT), Metro, commercial, retail & hotel space and green open spaces for world-class passenger movement facilities for the growing population of the catchment zone catering to upcoming developments in U.P. sub-region of the National Capital Region, thus, decongesting Delhi. The employment generation estimated is about 1 lakh persons by 2040 for both these projects and will have a positive impact on the growth opportunities in the surrounding area.
The CCEA also approved expansion of Paradeep port in Odisha at an initial cost of ₹ ₹3005 crore to enable it to handle large cargo ships under Public-Private Partnership (PPP) mode. This includes development of the new Western Dock and capital dredging by the selected Concessionaire at a cost of Rs.2,040 crore and Rs.352.1 crore respectively; and investment by Paradip Port to the tune of Rs.612.5 Crore towards providing Common Supporting Project Infrastructure.
“On commissioning of the project, it shall cater to the requirement of coal & limestone imports besides export of granulated slag & finished steel products considering the large number of steel plants established in the hinterland of Paradip Port. The project shall also facilitate (i) de-congestion of the Port, (ii) reduce Sea freight making coal imports cheaper, and (iii) boost the industrial economy in the hinterland of the port leading to creation of job opportunities,” the Cabinet Secretariat said in a statement.