Development Watch – Week #3 April’25

Development News

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Rs. 33 Lakh Crores of Mudra Loans sanctioned

More than Rs. 33 lakh Crores of collateral free loans have been given to Rs. 52 Crores people under Mudra Yojana in the last 10 years. The scheme provides assistance for starting businesses and 68% of beneficiaries are women. The loans range from Rs. 50,000 to Rs. 20 Lakhs. In the last 10 years, the government has been continuously increasing infrastructure budget, resulting in a huge development in rural and urban areas.

Cutting import dependence for Construction sector

The commerce and industry minister has asked construction industry to reduce import dependence and to focus on clean and green construction. There should be focus on building earthquake-resistant and modular infrastructure. India needs to make high-quality sanitary-ware, furniture, plywood, chips of wood, solid steel and cement. This includes lighting and energy-efficient air conditioners. Aim should be to make best in class elevators, escalators, tiling, marble, carpets, sound systems, acoustic materials. Sectors like housing, infrastructure, commercial real estate, railways, airports, highways and energy play a key role in boosting India’s economic growth. Initiatives including setting up of 20 new smart industrial cities and 100 new industrial plug-and-play hubs help India become a $30-35 trillion economy by 2047 from a $4 trillion economy.

$47 billion infrastructure makeover for Mumbai

The Mumbai Metropolitan Region Development Authority (MMRDA) is set to undertake a significant infrastructure and connectivity upgrade across the Mumbai region as part of its alignment with NITI Aayog’s Growth Hub strategy. MMRDA plans to invest over Rs. 4.07 lakh crores or $47 billion in next 5 years to support region’s transformation into a high-output economic zone. The financing support for significant investment plan will come through non-binding lines of credit signed with financial institutions including Rural Electrification Corporation (REC), Power Finance Corporation (PFC), HUDCO, Indian Railway Finance Corporation (IRFC) and National Bank for Financing Infrastructure and Development (NaBFID). This would help fast-track a new generation of infrastructure such as metro corridors, elevated roads, multi-modal integration, and seamless urban transit.

Mumbai Metropolitan Region (MMR) has been identified by NITI Aayog as one of four pilot areas under its Growth Hub programme. The other regions are Surat, Visakhapatnam, and Varanasi. MMR’s Growth Hub roadmap includes a target to increase the region’s economic output to $300 billion by 2030 and generate over three million jobs. HUDCO has committed Rs 1.5 lakh crore to support housing, transport, and urban development. The REC and PFC have extended separate credit lines of Rs 1 lakh crore each, focused on energy efficiency, urban mobility, and related infrastructure. The IRFC has pledged Rs 50,000 crore for metro, suburban rail, and multimodal transport networks. NaBFID will provide Rs 7,000 crore for transport and urban services, including smart infrastructure.

Rs. 300 Crores senior living project in Gurgaon

Pioneer Urban Land and Infrastructure Ltd will invest Rs. 300 crore in developing a luxury residential senior living project. It is a joint venture with J K Organization, under their real estate arm J K Urbanscapes Developers Ltd (formerly J K Cotton Ltd). The project Advait is the first IGBC platinum-certified project in Haryana to receive a license under the State’s Retirement Policy. Spanning 2.6 acres Advait is under construction and is expected to be delivered by early 2027. With an increased inclination towards community-based senior living solutions, the real estate sector is expected to require 2.3 million units by 2030. Each apartment is equipped with a centralized air filtration system (TFA unit), ensuring a healthier living environment for the residents. ‘Round the Clock’ medical services will be provided by Fortis Hospital Gurugram within the project premises.

Redevelopment work on 104 train stations under Amrit Bharat Scheme

Work on 104/1300 train stations being redeveloped under the Amrit Bharat scheme nationwide has been completed. The scheme aims to enhance and modernize stations throughout the Railways network and provide passengers with better facilities. The foundation stone for the station redevelopment scheme was laid in 2023 by the Prime Minister. Of the 1,300 stations, 132 locations are in Maharashtra. Under the scheme, Mumbai’s CST is being developed as a world-class train facility. The work on Chhatrapati Shivaji Maharaj Terminus entails Rs. 1,800 Crores. All 1,300 stations will be equipped with modern amenities such as waiting lounges, food courts, clean restrooms, lifts, escalators and digital facilities.

50 airport development projects in 5 years

India’s aviation sector is set for a major boost with government plans to undertake 50 airport development projects in the next five years. This includes new constructions and significant upgrades to existing facilities. Civil Aviation Secretary highlighted the focus on Public Private Partnerships and a streamlined land acquisition process. Currently there are 159 operational airports in the country and the number has doubled compared to 74 in 2014. Efforts are being made in a holistic manner to develop the aviation ecosystem, including supporting airlines and scaling up flying training organizations. An analysis by ACI Asia Pacific & Middle East showed that capital expenditure worth $240 billion will be required for brownfield and greenfield airports in the region. India is one of the world’s fastest growing civil aviation markets.

Audi’s EV charging infrastructure in India

Audi India has significantly expanded its electric vehicle charging infrastructure across the country. It has installed over 6,500 charging points as part of the Phase 2 of its ‘Charge My Audi’ initiative. The Phase II expansion includes a focus on DC fast-charging technology and partnerships with 16 new EV infrastructure providers. The brand has added 16 new partners to accelerate luxury EV adoption in the country. With over 75 per cent of these locations equipped with DC fast-charging technology, the network is designed to enhance convenience, reduce charging times, and support the growing demand for electric vehicles. The Phase-II expansion added over 5,500 new charging points in strategic locations, including highways, urban hubs, and commercial destinations, ensuring Audi e-tron owners enjoy seamless long-distance travel and daily commutes, the company said. Audi India has partnered with 16 new EV infrastructure providers to bolster this network.

Reducing greenhouse gas emissions for shipping sector

International shipping accounts for 3% of global greenhouse gas emissions. The sector has taken a major step towards becoming a net zero industry by or around 2050. The development is historic as shipping is the first industry to finalize a legally binding regulatory framework for reducing emissions. The agreement by UN’s shipping body International Maritime Organization (IMO) is a much needed win for multilateralism at a time of geopolitical fragmentation. The regulatory framework combines mandatory emissions limits and GHG pricing across the industry sector. The policy framework, which includes technical and economic measures, was finalized over a week of negotiations in London.

$275 million investment in GreenLine Logistics

GreenLine Mobility Solutions Ltd. is India’s only green logistics operator of LNG and electric powered heavy commercial trucks. It is a venture by Essar. The company has secured $275 million for green logistics. The equity investment will accelerate decarbonization of heavy trucking in India. GreenLine has also raised $20 million from Nikhil Kamath, co-founder of Zerodha. It has plans to deploy 10,000 LNG and EV trucks. A network of 100 re-fueling and charging stations is planned. The company is targeting reduction of 1 million tonnes of carbon emissions annually.

EV policy extension by Delhi Government

The Delhi government has approved extension of its Electric Vehicle (EV) policy by 3 months. It will also continue the power subsidy in the national capital for 4 categories: domestic consumers, farmers, lawyers with chambers, and victims of 1984 anti-Sikh riots. The transport said there will be no ban on autos or any other category of vehicles.

L&T hopeful of capex and demand in sunrise sectors

L&T is seeing signs of pickup in capex by large Indian business groups like Tatas, Adanis, Jindals, and Torrent. This would lead to potential businesses for engineering and construction major. The L&T order book is mostly dominated by the public sector. However, the infrastructure major is witnessing demand from sunrise sectors such as semiconductors and data centres.

NTPC signs pact to supply 200 MW clean energy to UP

NTPC has signed an agreement with Serentica Renewables to supply 200 MW of renewable energy to UP. As part of the power purchase agreement (PPA), the 200 MW on-demand renewable energy will be supplied to distribution companies (discoms) of UP. By integrating solar, wind and advanced storage technologies, UP can ensure firm energy supply, particularly during times of high demand, contributing to state’s energy transition goals. The firm dispatchable renewable energy (FDRE) model ensures clean energy can be delivered when needed most, contributing to UP’s energy transition. Serentica Renewables is a leading renewable independent power producer (IPP). It has 1,000 MW of renewable energy capacity. It has ongoing projects across multiple states, leveraging a mix of solar, wind, energy storage, and advanced balancing solutions.

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