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While Infrastructure is recognised as a crucial input for economic
development, there is no clear definition of infrastructure
according to the current usage of the term in India.
Planning Commission
Central Statistical Organisation (CSO)
Reserve Bank of India (RBI)
I
Insurance Regulatory
R l and
d Development
D l Authority
A h i (IRDA)
Income Tax Department
World Bank
Ministry of Finance Economic Survey
What is Infrastructure? So…..Finally…..What is Infrastructure?
Infrastructure is the basic physical and organizational
structures needed for the operation of a society or
enterprise, or the services and facilities necessary for an
economy to function. The term typically refers to the
t h i l structures
technical t t th t supportt a society,
that i t suchh as roads,
d
water supply, sewers, power grids, telecommunications, and
so forth.
http://en.wikipedia.org/wiki/Infrastructure
Rwanda
Burundi
100 Uganda
tion liviing in
Malawi
80 Ethiopia
p
as
percent off
ban area
60 Burkino Faso
Eritrea
40
populat
urb
Bhutan
20
Nepal
0
1850 1870 1890 1900 1920 1940 1960 1980 2000 Papua New Guinea
year
Singapore
Kuwait
Belgium
Qatar
Iceland
Uruguay
Luxembourg
Malta
Argentina
Lebanon
India’s urban population, as per its 2001 Census, was 285 No. of
%age to %age to
million (27.8%
(27 8% of its total population of 1.03
1 03 billion) City Class total no. of Population total urban
T
Towns
towns population
The number of towns and cities was 5,161 Class I 1 lakh & above 441 8.6 178,224,290 62.3
80% Among the major States, Tamil Nadu is the most urbanized state
with 43.9 percent of the population living in urban areas followed by
ercentagge
26
27 28
Availability and Gap in Availability and Gap in
Investment Requirements Investment Requirements
Sl. Municipal Average Zakaria Average Expenditure of Average Under Sl. Municipal Average Zakaria Average Expenditure of Average Under
No. Corporation Norm the MC on Core Spending of the MC No. Corporation Norm the MC on Core Spending of the MC
((Rs. Per Capita)
p ) Services ((As Percentage
g of ((Rs. Per Capita)
p ) Services ((As Percentage
g of
(Rs. per capita) Zakaria Norm) (Rs. per capita) Zakaria Norm)
1 Hyderabad 861.71 207.41 -76.01
16 Nashik 883.52 571.11 -35.52
2 Visakhapatnam 786.21 198.76 -74.73
17 Ludhiana 744.84 281.92 -62.77
3 Vijayawada 791.06 147.67 -81.40
18 Jaipur 979 17
979.17 114 32
114.32 -88.48
88 48
4 Patna 856.56 47.56 -94.43
19 Chennai 839.69 250.84 -70.11
5 Delhi 920.78 137.35 -85.38
20 Coimbatore 771.71 146.19 -81.06
6 Surat 986.12 370.61 -62.24
21 Madurai 726.77 187.30 -74.75
7 Vadodara 804.18 384.21 -50.43
22 Lucknow 921 07
921.07 93 38
93.38 -89.88
89 88
8 Bangalore 983.77 249.24 -74.92
23 Kanpur 917.65 82.45 -91.01
9 Kochi 747.95 277.34 -63.65
24 Allahabad 795.23 78.08 -90.17
10 Indore 843.88 210.63 -75.54
25 Agra 837.94 72.70 -91.31
11 Bhopal 823.74 127.53 -84.50
26 Varanasi 783 51
783.51 76 58
76.58 -90.17
90 17
12 Jabalpur 808.08 115.18 -85.79
27 Meerut 840.60 82.84 -90.15
13 Greater Mumbai 873.37 597.17 -31.64
28 Faridabad 896.00 141.14 -84.25
14 Pune 985.55 684.89 -30.78
29 Kolkata 819.73 255.82 -68.75
15 Nagpur 892.33 289.08 -67.50
30 Asansol 788 63
788.63 77 26
77.26 -90.21
90 21
29 30
Funds Requirement
Sectoral Requirements of Funds (In Billion of Rs.) In the current plan, the projected sectoral
Water Supply 282.40 investment in Water supply and Sanitation is
Sanitation 231.57 anticipated at Rs. 1,437.3 Billion, which is
Solid Waste Management 23.22
equivalent to 6.99
6 99 percent of the total investment
( Rs.20,561.5 Billion) projected for Infrastructure
Total 537.19
Availability of Funds
Likely Availability from Different Sources (In Billion of Rs.)
Rs )
Central Government 25
State Governments 200
HUDCO 68
LIC 25
Other PF/s & External Funding Agencies 40 31 32
Total 358
Estimated fund requirement Low Equilibrium Trap in ULBs
CPHEEO has estimated the requirement of funds for 100 percent Low Revenue
o g of the urban p
coverage population
p under safe water supply
pp y and Base
sanitation services by the year 2021 at Rs.172,905 crore
q
RITES indicate that the amount required for urban transport
p
infrastructure investment in cities with population 100,000 or more
during the next 20 years would be of the order of Rs.207,000 crore Inadequate
Unwillingness Capital
t P
to Pay I t
Investment t&
Maintenance
CONCERN:
S
Sums off these
h magnitudes
i d can not be
b located
l d from
f within
i hi the
h
budgetary resources of Central, State and Local Governments.
Low Service
Level
35 36
Key Determinants for a Successful PPP
Investment Environment Improvement
Improvements in revenue-raising capabilities through
Adequate Demand for the services/goods
Political commitment to the project
Rationalisation of user-charges to recover at least the
cost of operations and management of services Administrative framework and readiness to meet requirements
Partnership of Public (Government) with Private Sector rather than
improvements in tax assessment and administration owner-contractor relationship
particularly in property tax Provision of information required to take informed decision to
reduce risks and uncertainty
Changes in municipal accounting and financial Technical, Environmental, Social, Financial, Legal aspects
reporting systems
Bankability of project and project documents
37 38
Activities
Storage
Source Distribution
Options Conveyance and O&M
Development network
Filtration
1
Municipal Government (ULBs)
2 State Government
Municipal Government (ULBs)
D
Department
3
State
Parastatal
Government Municipal
p Government (ULBs)
( )
Agency
Department
4
Metropolitan Agency
5 State Government Department or Agency
A Future so Bright !!! A Future so Bright !!!
Performance Indicators
A Future so Bright !!!
Roads
Infrastructure Spectrum
o Basic services forms the
base of the spectrum
Water, Drainage,
Sanitation, Roads, Power,
Safe Waste Treatment &
Disposal
Water Drainage
Transportation Infrastructure Sanitation for Urban Poor
Should
Have
been here
Present
Junction
Location
o How many hours of Supply? ( 0.5 to 24*7?)
o Accessibility ( How Far?)
o Quantity ( How Much?) o Water Quality ( TDS 500 or TDS 2000?)
W Q li ( TDS 500 TDS 2000?)
o Quality ( TDS? DO?) o Waste Water Treatment or Disposal without treatment?
o Reliability (2 Hrs? 24 Hrs?) o Solid Waste Treatment and Disposal? Sanitary Landfill ( Who
o Economy ( Cost per capita)
& How to maintain it? )
& How to maintain it? )
o Equity?
o Street Furniture's & Intersections?
o Urban Sanitation ( Public Sanitation & Poverty Pockets?)
Decision Issues? D
Demand
dAAssessmentt
57 58