Infrastructure Development In India

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The infrastructure development is a critical part of an economy. A well developed physical infrastructure provides efficient services, enhances competitiveness and pave the way for strong economic growth. Infrastructure includes transportation, power, sanitation and health facilities, water supply, education etc which has a direct impact on the quality of life. Infrastructure bottlenecks have been a major impediment to growth in India as the existing infrastructure base is lagging behind when compared with the global standards. To build world-class infrastructure, the investment requirements are going to be huge, and it is difficult to imagine the public sector alone taking the responsibility given the fiscal constraints and increasing liabilities…show more content…
The SPV enters into a contract with the government and sub-contractors to build and maintain the facility. Thus, the PPP model integrates private sector capital and sometimes public sector capital for the management of public sector assets (Michael, 2001). There are two important characteristics associated with PPP model. Firstly, a lot of emphasis is provided on the role of private sector in country’s infrastructure development. Secondly, substantial amount of risk is transferred from the government to the private companies. In case of privatization, the responsibility for delivery and funding of a particular service rests with the private sector, while in case of Public-Private Partnership (PPP) the entire responsibility is of the government for providing the services. Under privatization, ownership rights of asset are sold to the private players, while in case of PPP, government may continue to retain the legal ownership of assets. In privatization, all the risks are borne by the private sector whereas risks and rewards are shared between the government and the private sector under the PPP…show more content…
It proposed the facelift of a crowded section of NH-8 connecting Delhi to Gurgaon into a 6/8 lane access controlled divided carriageway. The existing 4 lane section of NH-8 between Delhi and Gurgaon with more than 20 intersections, witnessed high vehicular density (145,000 Passenger Car Units (PCUs)/day) that led to increase in fuel wastage, accidents, congestion and excessive

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