Development Watch – Week #4 Oct ’24
Development News
Plans to merge coastal shipping with inland waterways
The government is readying legislative changes to integrate coastal shipping with inland waterways in the country while introducing stringent licensing norms for foreign ships. Under the new Way of Rules under the proposed Coastal Shipping Bill, 2024,, Indian ships will not require separate licenses. It will be presumed that they have got approvals when the vessel is registered. It is expected that these changes will enable concerted regulation of trade activities, particularly by foreign flag vessels in India’s coastal waters, including in the country’s exclusive economic zones. Foreign vessels will need to verify their identity, scope of work and other factors that may impact India’s safety, security, environment and other coastal shipping related interests.
Defect Liability Period doubled to 10 years for EPC contracts
The government has decided to double the ‘defect liability period’ to 10 years for contractors of engineering, procurement and construction (EPC) projects. Currently, under EPC projects, the responsibility for maintenance of national highways lies with the government after the defect liability period (5 years) is over. The roads built under BOT (build-operate-transfer) or HAM (Hybrid Annuity Model) mode are in good condition because the responsibility of maintenance of roads lies with the contractor and he has to pay the price. NHAI and National Highways and Infrastructure Development Corporation Ltd (NHIDCL) are mainly responsible for the construction of National Highways and Expressways in the country. Maintenance of National Highways is financed by the Central Road Infrastructure Fund.
Rajasthan MoU with UAE for RE investment
Rajasthan has signed an MoU with the UAE for a Rs. 3 lakh crore investment in renewable energy projects, including 60 GW capacity in solar, wind, and hybrid energy in western districts. This initiative aims to significantly contribute to India’s 500 GW solar energy target, positioning Rajasthan as a key player in renewable energy production. Rajasthan will have to install 250 GW solar plants. The partnership with UAE will prove to be an important step in achieving this target. Rajasthan ranks first in renewable energy production in India. The state government has signed MoUs worth Rs 2.24 lakh crore with public sector undertakings. MoUs have been signed to set up 32,000 MW plants in a tenure of about 10 months.
6 Lakh direct jobs in RE sector by 2027
India’s renewable energy sector is facing a significant talent shortage, with a skill gap of 1.2 million. Only about 4.5 lakh people from the current talent pool of engineer graduates are employable. Companies like Tata, Adani, JSW, Renew Power, Sterlite, and Mahindra are aggressively expanding. Rapid reskilling and upskilling initiatives are needed to meet the rising demand for skilled workforce in solar, wind, and other renewable energy segments. Data from TeamLease Degree Apprenticeship shows that the sector as a whole – consisting of solar, wind, hydro, battery storage – is estimated to create 1.7 million jobs, direct and indirect, in the next three years as several companies are looking to ramp up workforce. About 30-35% of these will be direct jobs and the rest, indirect.
World Bank funding to support State tourism
Ministry of Tourism is engaging with the World Bank to establish long term financing arrangements aimed at supporting various states in their tourism development initiatives. Efforts include new schemes for Jammu and Kashmir and visa-on-arrival status for key source markets. The initiatives aim to diversify tourism sites and boost tourism sector growth. For Jammu and Kashmir, we have worked out a scheme with the World Bank, the Government of India, and the J&K state government to develop three new tourist destinations with a project worth Rs. 5,600 crores. The top contributors to inbound tourism in India include Bangladesh, the USA, the UK, Canada, and Australia.
UDAN scheme extended for 10 more years
The government will extend the UDAN scheme for 10 more years to boost regional air connectivity. Civil Aviation Minister K Rammohan Naidu announced this at an event in New Delhi. It was initially launched on October 21, 2016, for a 10-year period. The scheme has operationalized 601 routes and 71 airports, generating jobs and contributing to tourism. The aim is to have 350-400 operational airports by 2047. The number of operational airports in India has increased from 74 in 2014 to 157 in 2024. The goal is to expand this number to 350-400 by 2047.
Land Records digitized in 626,000 villages
Since 2016, the government has digitized land records in 626,000 villages, covering 95% of the country’s villages. This reduces ownership litigations and encourage administrative reforms. 22.3 million maps have been digitized so far. Around 140 million unique land parcel identification numbers or “Bhu-Aadhaar” numbers have been issued, and 5,000 sub-registrar offices have been computerized. Recently, a two-day global workshop on modern technologies in survey for urban land records was organized by the department of land resources in Delhi. about 66% of all civil suits in India were related to land or property disputes and that the average pendency of a land acquisition dispute was 20 years. The Digital India Land Records Modernization Programme is implemented by the central government’s department of land resources across states and Union territories through their revenue and registration departments.
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.