Policy Pulse #9 | Indian Infrastructure, Global Standards
In Focus: GatiShakti-NIP-NMP trinity
This week’s focus is on the GatiShakti-NIP-NMP trinity - an initiative based on Prime Minister Modi’s vision for bringing infrastructure development in India up to global standards.
PM GatiShakti is a transformative approach for integrated and holistic planning across concerned Ministries/Departments to improve multimodal connectivity, logistics efficiency and address critical gaps for seamless movement of people, goods and services, with a focus on minimising disruptions and ensuring timely completion of works.
The PM GatiShakti National Master Plan provides an integrated platform where all the economic zones and their multimodal connectivity infrastructure are depicted, along with physical linkages to promote comprehensive and integrated multimodal national network of transportation and logistics to create efficiency gains and avenues for further developments, value addition and creating employment opportunities. The approach is three-pronged - (a) integrated infrastructure planning; (b) asset creation; and (c) asset recycling. The much-awaited Unified Logistics Interface Platform (ULIP) will transform the landscape for integrated infrastructure planning, with the aid of digital logistics platforms such as FASTag. The Government further intends to invest in asset creation, through the building of a National Infrastructure Pipeline (NIP) which has been launched at an estimated cost of Rs. 111 lakh crore. Lastly, asset recycling will be enabled through the 6 lakh Cr National Monetisation Pipeline (NMP), thereby completing the trinity for rapid infrastructure development.
This Plan is a GIS-based platform that provides a bird’s eye view of infrastructure development with key layers based on completion timelines of various Economic Zones, Infrastructure & Utilities across the country. Any State Government/ Central Ministry, while planning their investment in any economic activity like Textile Park, fishing cluster, agro-processing centres etc., can know beforehand the status of current multimodal connectivity like proximity to highways, airports, rail, ports, etc. for making informed decisions. In addition, Ministries are able to prioritise infrastructure augmentation and new developments for ensuring last mile connectivity in a certain defined time frame.
The PM GatiShakti NMP portal provides for several tools that help in planning and informed decision making. In case a farmer wants to plan for Electric Connectivity to a Farm land, the farmer can enter query on the NMP including khasra number; area details; radius; etc. and through the portal the farmer will get information on nearest electricity poll (upto the radius selected at time of query), along with whether a transformer exists or not, along with details of additional capacity in selected area, estimated cost for getting connection, processes, clearances required and concerned departments / agencies. Similarly, it would provide the public and business community information regarding the upcoming connectivity projects, other business hubs, industrial areas and surrounding environment. This will enable investors to plan their businesses at suitable locations leading to enhanced synergies.
Top Stories of the Week
Redressal of Public Grievances in 30 days
Union Minister Sri Jitendra Singh has announced a reduction in the time for redressal of public grievances received on the Centralised Public Grievance Redress and Monitoring System (CPGRAMS) from 45 to 30 days. Additionally, feedback will be sought after their grievance is disposed, and citizens may file an appeal if they are not satisfied with the redressal of their complaint. Last year, a similar reduction saw the maximum permissible time reduced from 60 days to 45 days.
Underlying the measure is the revamped CPGRAMS 7.0 portal, a digital tool that allows aggrieved citizens to share grievances 24x7 with relevant Government departments. The latest version of the portal allows grievances to be forwarded directly to the relevant official, and incorporates digital dashboards and data analytics tools within its fold.
PM launches revamped Distribution Sector Scheme for Power Sector
The Prime Minister on 30th July announced a Revamped Distribution Sector Scheme for the Power Sector. The scheme is aimed at improving the operational efficiencies and financial sustainability of Distribution Companies (DISCOMs) to improve the reliability and quality of supply to end consumers. The scheme earmarks Rs.3,03,758 crore over a period of five years from FY 2021-22 to FY 2025-26 to provide financial assistance to DISCOMs for modernization and strengthening of distribution infrastructure. 25 crore Smart Prepaid meters, necessary for grid integration with increased proliferation of distributed renewable energy sources, will also be provided to consumers all over the country. The current ageing and insufficient distribution infrastructure leads to transmission and distribution losses amounting to well over 20% of the total generation.
The national portal for rooftop solar was also launched, aiming to be a one-stop-shop simplifying the process of installing rooftop solar plants. Rooftop solar has been a pain point in the government’s attempts to increase renewable capacity in the nation’s energy supply mix, falling abysmally short of the 40 GW target set for the end of 2022.
Govt withdraws Data Protection Bill
After 5 years of deliberations, drafting, revising and redrafting, the Government of India has decided to pull the plug on the draft Personal Data Protection Bill, 2019 (PDP Bill). Minister for Electronics and Information Technology Ashwini Vaishnaw informed Parliament on 3 August that a new draft will be released “very soon but without any dilution to broader privacy aspects of the original bill and without and compromise on the Right to Privacy” as elaborated by the Supreme Court in Puttaswamy v. Union of India.
The reason cited for withdrawing the Bill is the 81 amendments to the draft recommended by the Joint Parliamentary Committee on Data Protection (JPC), in addition to 12 major recommendations. The Bill had come in for intense criticism from various quarters, not least because of the concerns over erosion of citizens’ fundamental right to privacy. However, the most intense opposition to the draft has come from social media giants like Meta, Google, and Twitter, who objected strenuously to “elements of criminality” being included regarding violations of data protection.
The withdrawal of the Bill has been criticised by Opposition leader and JPC member Manish Tiwari, who has called it a victory for Big Tech. However, the replacement for this Bill will determine the truth of this assertion.
This Week in Policy
Macroeconomics and Taxation
Real GDP growth for the year 2021-22 hit 8.7%, 1.5% higher than the real GDP for 2019-20, reveals NSO data.
India’s manufacturing PMI hits an eight-month high of 56.4 in July, well above the 50 point mark that separates growth from contraction, according to S&P Global, although its services PMI fell to a four-month low of 55.5.
The IT Department has reduced the period for e-verification of income tax returns from 120 days to 30 days.
The Centre has increased the windfall tax on export of crude oil to Rs. 17,759 per ton from the previous Rs. 17,000 per ton, as part of its fortnightly review of the tax.
Labour
A conference of labour officials and ministers from the Centre and States is to be held on August 25-26, to finalise the modalities of the roll-out of the four labour codes.
Unemployment rates fall to a 6-month low of 6.80% in the month of July, finds CMIE.
EPFO launches facial recognition technology for pensioners in filing for a digital life certificate, assisting senior citizens that face difficulties in having biometric data due to old age.
Agriculture and FMCG
Agriculture Minister Shri Narender Singh Tomar launched the eleventh agricultural census 2021-2022 to collect data on various parameters using smartphones and tablets.
Ministry of Agriculture is planning to seek the Cabinet nod for a proposal to allow emerging technology-based farm projects under the Agriculture Infrastructure Fund.
Healthcare
The Drug Controller General of India gave its nod to conduct clinical trials for BBIL’s intranasal vaccine as a booster dose. The DCGI also granted permission to conduct a phase-3 clinical trial to compare the immunogenicity and safety of BBV-154 (intranasal) with Covaxin.
The Delhi Government has decided to start ‘ Doctor on Wheels’ and ‘mobile creches’ to benefit construction workers across the city.
Foreign affairs
Ambassador Ruchira Kamboj is the new Permanent Representative of India to the UN - India’s first woman envoy at the UN Secretariat in New York
MEA’s S Jaishankar and US Secretary of State Antony Blinken touch base ahead of the ASEAN meeting in Cambodia
India to host UN Security Council diplomats in October for a special meeting on combating terrorism
Technology, Media and Telecommunications
New draft data protection bill “almost ready”, to be released for public consultation soon: IT Minister Ashwini Vaishnaw
Telecom industry responds to Prime Minister’s telecom reforms: 5G Spectrum auction grosses Rs. 1,50,173 Cr
International trade and commerce
India’s July preliminary trade deficit widens to $31bn, owing to increase in crude oil and coal imports, from $10.63 bn last year, as exports decline to a five month low of $35.2 billion.
India, UK complete fifth round of FTA talks with the aim to secure a trade deal by Diwali 2022, deal likely to double bilateral trade to US$100bn by 2030
1st Session of India-Mauritius High-Powered Joint Trade Committee under the India-Mauritius Comprehensive Economic Cooperation and Partnership Agreement, successfully held
Banking, Finance and Insurance
India’s first international bullion exchange (IIBX) launched at GIFT City. The exchange is expected to bring down costs by $50 per kilogram, and make India the market maker for the metal.
SEBI imposed a fine of Rs. 3 lakh for acquiring stakes in various businesses without taking requisite approvals from the regulator. SEBI deemed BSE to be engaging indirectly in activities that are unrelated/non-incidental to its activities as the stock exchange.
Manufacturing
India and Switzerland to collaborate on digital transformation, sustainability, health, life sciences, MedTech, infrastructure, cleantech, fintech, blockchain, AI, and robotics.
Indian Railways is planning to develop its own super-fast train by increasing the speed of the locally made Vande Bharat Express in a phased way to match those running in European nations.
The Ministry of Heavy Industries has signed contracts with three companies under the Production Linked Incentive (PLI) scheme for Advanced Chemistry Cell Battery Storage.
Retail and e-commerce
Delhi scraps its ambitious liquor policy, and shall resume selling liquor through PSUs.
The Centre has introduced new warning labels for tobacco products, which shall be applicable with effect from December 1, 2022.
Reliance Retail backed logistics start-up Grab.in joins the ONDC as a logistics provider, and is in the initial stages of launching a pilot project with the platform.
Logistics
Delhi Research Implementation and Innovation, a Government of India initiative, in a pilot project along with IIT Delhi, intends to create logistics hubs on the Delhi-Jaipur highway where diesel trucks may be stopped and goods may be transported to Delhi through electric vehicles.
Invest India signs an MoU with Singapore-based Infrastructure Asia to jointly work on capacity building and knowledge sharing.
The Network Planning Group constituted under the PM GatiShakti National Master Plan recommends three new rail projects.
Sustainability
The Union Cabinet approved India’s updated Nationally Determined Contribution per COP 26. India is now committed to reducing emissions intensity of its GDP by 45 percent by 2030, from 2005 level and achieve about 50 percent cumulative electric power installed capacity from non-fossil fuel-based energy resources by 2030.
The Energy Conservation (Amendment) Bill, 2022 was introduced in the Lok Sabha. The bill aims to mandate use of non-fossil fuel sources and set up carbon trading markets. It is likely to pass Lok Sabha.
Upcoming Events
Indo-Pacific Economic Framework - More Than Meets the Eye?
August 5th | Virtual
CUTS International is organising a webinar on Indo-Pacific Economic Framework for Prosperity on 5th August, 2022 from 5 to 7 PM. The event aims to examine the opportunities presented by the IPEF, discuss measures to realise its potential for India, and help design a practical roadmap for GoI to pursue regarding IPEF. Montek Singh Ahluwalia, former Deputy Chairman, Planning Commission of India will be among the distinguished panelists at the event. More Information | Registration Link
Foodpro 2022 Southern Region
August 5-7 | Chennai Trade Centre, Chennai
CII is organising the 14th edition of Foodpro at the Chennai Trade Centre from 5th to 7th August. The exhibition brings together stakeholders in the food processing, packaging, dairy, beverages, retailing industry. This time around, specific themes of refrigeration & cold chain, processed foods, traditional foods, poultry and perishables will also be included. More Information | Registration Link
EV Expo
August 5-7 | Hall No-11, Pragati Maidan, New Delhi
The 15th edition of EV Expo is taking place at Pragati Maidan, New Delhi from 5th to 7th August. The expo provides an opportunity for buyers and sellers in the EV manufacturing ecosystem to interact with each other as well as comprehensive market information. Shri Nitin Gadkari, Minister of Road Transport and Highways, GoI, and Anurag Thakur, Union Minister for I&B and Youth Affairs & Sports will be speaking at the event. More information
A Few Good Reads
Mahesh Vyas, the Managing Director and CEO of the CMIE, breaks down its findings on Indian labour for the month of July.
Sanjeev Chopra highlights recent, hitherto unreported changes in structure of IAS promotions in the Print.
C. Raja Mohan writes on Pakistan’s challenges in making a diplomatic pivot, and where India can fit into the picture.
IMF Executive Director Surjit Bhalla defends the Rupee’s performance in the Times of India; says “India’s currency is strong and stable”.
Gautam Bambawale and others, writing in the Leap Blog, discuss the ways in which Indian policy makers can address dependence on Chinese APIs for pharmaceutical products.
Tweets of the Week
Amit Paranjape sheds light on the legacy of Jagannath Shankarsheth Murkute, one of the architects of modern Mumbai and Indian railways in this thread:
In this thread, Caleb Watney explores policy questions for the promotion of technology and innovation that require academic research:
Joy Bhattacharya celebrates the phenomenal victory of ace athlete Mirabai Chanu at the Commonwealth Games in this thread:
Key Notifications
Department of Telecommunications releases Consultation Paper on ‘Need for a new legal framework governing Telecommunication in India’
Govt of Haryana publishes order dated 3 August 2022 notifying the postings/ transfers of IAS officers (listed) with immediate effect.
Parliament passes Antarctic Bill, 2022 aimed at having India’s own measures for protecting the Antarctic environment and dependent and associated ecosystem
Parliament passes the National Anti-Doping Bill, 2022 to provide for the constitution of a National Anti-Doping Agency
President of India appoints Judges and Additional Judges for Andhra Pradesh and Allahabad High Courts
Government of India has taken policy initiatives for the promotion of MSMEs in the defence sector with mandatory procurement from MSMEs from Defence Establishments
Suresh N Patel appointed CVC, ex-IB chief Arvind Kumar as vigilance commissioner