Development Watch – Week #4 May ’24
Development News
India to be rid of extreme deprivation
In its monthly bulletin, the RBI has highlighted India’s imminent economic upturn. The apex bank has noted international recognition and anticipation of poverty eradication. The Central bank has emphasized growing optimism globally and cited commendation from external agencies like IMF for India’s significant strides in reducing poverty. As per the World Bank, only 12.9% of Indian population lived on $2.15 per day at the height of covid-19 Pandemic in 2021. $2.15 is the global benchmark for extreme poverty. The IMF in its April 2024 World Economic Outlook noted that it expects robust growth in 2024 and 2025.
80% landlord model of Shipping Ministry by 2030
The shipping ministry is working to shift to an 80% landlord model by the end of the decade to increase efficiency and reduce logistics costs at major airports. Speaking at the CII Annual Business Summit 2024, the Secretary for Ports, Shipping and Waterways said that Jawaharlal Nehru Port Trust (JNPT) in now India’s first major port to become 100% landlord port. All berths are being operated on PPP model. PPP model is considered an effective tool for attracting investments in the port sector. There are 12 major ports with huge capacity to shift to an 80% landlord model by 2030. 10 years ago, the country had 5 national waterways, while it now has 111 waterways.
RITES to supply 200 passenger coaches to Bangladesh
RITES Ltd. has signed a contract with Bangladesh Railways to supply 200 broad-gauge passenger carriages. The coaches are worth $111.26 million, funded by the European Investment Bank. The contract includes design, spare parts support, and training, highlighting the RITES commitment to ‘Make in India’ world-class rolling stock. The export arm of Indian Railways and RITES has won the $111.26 million contract. The contract has a supply with a commissioning period of 36 months, followed by a warranty period of 24 months.
ULIP to enhance logistics system for states
ULIP integrates 37 systems via 118 APIs. Private sector participation with 900 registered companies has led to over 35 Crore API transactions. DPIIT Secretary Rajesh Kumar Singh highlighted ULIP transformative impact on the logistics sector. The ULIP (Unified Logistics Interface Platform) offers huge opportunities for states to enhance their logistics frameworks. The platform was launched on September 17, 2022 as part of National Logistics Policy. The digital gateway allows industry players to access logistics related data sets from various government systems through API-based integration.
India to add 25GB wind energy capacity by 2028
India is set to significantly boost its wind energy capacity by adding nearly 25 Gigawatts between fiscal years 2025 and 2028. This is driven by the increasing need for renewable energy and grid balancing. The government’s target to auction 50 GW of renewable projects annually and stable average tariffs reflect India’s commitment to sustainable energy solutions. The sector added just 9 GW between 2021 and 2024. To add 25 GW from financial year 2025-28, the sector will need capex of Rs. 1.18 Lakhs Crore to 2 lakhs Crore.
An upcoming scheme for solar pumps
The government is looking to make solar agricultural pump installations under the PM-KUSUM Scheme directly accessible to farmers by connecting them to vendors through a national portal. This would emulate the revamped solar rooftop scheme PM Suryaghar Muft Bijli Yojana. This initiative aims to simplify the process, reduce delays, and empower farmers to choose their preferred solar pumps. The scheme’s subsidy structure with 30% from the Centre and a minimum of 30% from states will remain unchanged. The national portal will also accommodate State subsidies, enhancing efficiency in implementation.
Local Feedback
LocalFeedback.org aims to track and document actionable parameters that help improve urban and rural infrastructure. The founder, Susmita, has juggled diverse roles in real estate, project budgeting, valuation and execution on construction sites. Having traveled to more than 20 countries, she has worked across 4 regions in India. Her areas of interest include sustainable buildings, electric mobility and urban development. She visited top-ranking cities on livability indices and has presented published papers at international conferences.