PPP model for urban development projects: Govt
  • This Section
  • Latest
  • Web Wrap
Last Updated: Tuesday, August 10, 2010, 20:03
  
New Delhi: The Government today emphasised on the importance of Public-Private-Partnership (PPP) model for urban development, saying the approach is best suited for the infrastructure sector.

"It (PPP) supplements scarce resources, creates a more competitive environment and helps improve efficiencies and reduce costs," Minister of State for Urban Development Saugata Roy said.

Roy was speaking while addressing a conference on Rejuvenating Urban Infrastructure: Challenges & Opportunities for PPP, organised by the PHD Chamber here.

He said India has the second largest urban population in the world and is likely to see significant growth in number of people living in cities over the next two decades.

Roy said that ensuring quality urban services to this large, growing population would be crucial to realising India's vision of urban development.

The minister said infrastructure development at this scale would require huge resources and it was not feasible for the government alone to fund the total required infrastructure investment.

"It is imperative that we explore avenues for increasing investment in infrastructure through a combination of public investment, PPPs and exclusive private investment wherever feasible," Roy added.

The minister, however, admitted that urban infrastructure sector has witnessed least amount of progress regarding PPPs. He said PPPs are useful only if they ensure quality supply at reasonable cost stressing the need for the establishment of independent regulatory bodies with an appeal mechanism.

Naveen Kumar, Secretary, Ministry of Urban Development, said India Infrastructure Development Fund (IIDF) will be used for promoting urban infrastructure in the country.

PTI


First Published: Tuesday, August 10, 2010, 20:03


comments powered by Disqus