MoPSW to fast-track Rs 1,913-cr ‘high impact’ projects under Gati Shakti



As the Center aims for a rapid ramp-up of India’s infrastructure and logistics sector, the Ministry of Ports, Shipping and Waterways (MoPSW) has identified 9 high-impact infrastructure projects worth Rs 1,913 crore under the PM Gati Shakti – National Master plan (PNG). High-impact projects will be closely monitored throughout the 2022-23 fiscal year.

“In total, we have identified 101 projects estimated to cost around Rs 62,627 crore under Gati-Shakti. We aim to complete them by 2024, while the target for the nine high-impact projects is by the end of this fiscal year,” a senior official said.



The official, who is part of the Gati Shakti Network Planning Group (NPG), which oversees project management for the integrated infrastructure development program, added that two of these nine projects – the expansion of container terminals at the port of Vizagapatam and the mechanization of the container terminal at New port of Mangalore — have already been completed.

Other high-impact pipeline projects are in advanced stages of completion. Business Standard previously reported that the Center has identified a total of 81 high-impact projects under the Gati-Shakti NMP, almost half of which are to be executed by the Ministry of Road Transport and Highways (MoRTH).

Five of the projects are to be carried out by the major ports, at an estimated cost of around Rs 900 crore while the others are being taken over by the Inland Waterways Authority of India (IWAI).

“7 out of 101 projects (in the Gati-Shakti pipeline) worth Rs 2,369 crore have been completed so far resulting in the addition of 1.5 lakh square meter storage area (m²) in ports, mechanization of cargo handling facilities, development of 277 Ha of economic and industrial zones on land owned by the port, construction of container terminals, etc.,” the official said.

The ministry has also identified 80 road and rail connectivity projects under the Gati-Shakti initiative. Another official, speaking on condition of anonymity, said one of the reasons some ports were previously undesirable for the industry was longer cargo evacuation times, as the ports lacked multimodal connectivity. sufficient.

“This is in addition to the 92 road and 93 rail connectivity projects we are managing under the Sagarmala program,” the first official said.

According to industry experts and government officials, the existence of departmental silos was causing major infrastructure projects to stall and duplication of work. Gati-Shakti aims to end these problems through a unified approach to infrastructure development.

Recently, the ministry admitted to having hit a wall in the development of three of the 14 coastal economic zones it had identified under the Sagarmala program, as other key infrastructure initiatives such as the Bharatmala project for highways and dedicated freight corridors for railways had been considered along the same routes. The national prospective plan for these special areas is currently being amended accordingly.

The Center has high hopes for the initiative, with Finance Minister Nirmala Sitharaman calling it one of the government’s top four priorities for 2022-23 in her Union Budget Speech. Prime Minister Narendra Modi recently said that the integrated infrastructure platform could help India solve the threat of high logistics costs.

According to government estimates, the cost of logistics now accounts for around 13-14% of gross domestic product (GDP), nearly double that of many developed countries.

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