New Delhi: The United Nations has not advised India to avoid public-private partnership mode of investment for developing infrastructure, Planning Minister Rajeev Shukla said here on Wednesday.
"No Madam,", he said in a written reply to Lok Sabha in response to a question whether a United Nations study has advised India to avoid PPP mode.
Media reports has quoted a UN study as saying that "increasingly, in India, PPPs are emerging a preferred mode of investment for publicly managed construction. These partnerships do not necessarily lead to improved disaster risk assessment and management, and may underplay disaster risks or lead to their transfer as shared costs to the public sector or to city residents".
The 2013 GAR study on disaster risk reduction was the third biennial report coordinated by the UN's Office for Disaster Risk Reduction (UNISDR). It had analysed many of the country's largest infrastructure projects for their risk exposure to natural and man-made calamities.
The study used a sample analysis of 136 port cities with populations of more than 1 million. The study was released in June.
India has envisaged an investment of USD one trillion during the 12th Five Year Plan, with half of it coming from the private sector.
"PPP projects are governed by a long-term model concession agreement (MCA) between public authority and the private entity. The agreement specifies the standards and specifications to which the projects should be constructed and maintained.
"The MCA also has provision for safety requirement and mandates the appointment of a safety consultant for carrying out safety audit of projects," the Minister said.