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More allocation to boost infrastructure

July 06, 2009 18:16 IST

Finance Minister Pranab Mukherjee in his budget speech on Monday has announced higher allocations in a number of infrastructure sector.

23% increase for Highways: The allocation during the current year to the National Highways Authority of India (NHAI) for the National Highways Development Programme (NHDP) has been stepped up by 23 per cent over the 2008-09 (BE).

Rs 5,000 crore increase for Railways: The allocation for railways has been increased from Rs 10,800 crore made in the Interim Budget 2009-10 to Rs 15,800 crore.

87% increase for JNNURM for urban infrastructure: In recognition of the role of the Jawaharlal Nehru National Urban Renewal Mission (JNNURM), which has been an important instrument for refocusing the attention of the State governments on importance of urban infrastructure, the allocation for this scheme has been stepped up by 87% to Rs 12,887 crore in the current budget.

To improve the lot of the urban poor, the allocation for housing and provision of basic amenities to the urban poor has been enhanced to Rs 3973 crore in current year's budget.

This includes the provision for Rajiv Awaas Yojana (RAY), the scheme announced in the address of the President of India.

160% increase in APDRP for power: The allocation for the Accelerated Power Development and Reform Programmes (APDRP) has been increased to Rs 2080 crore, a steep increase of 160% above the allocation in the BE of 2008-09.

Rs 300 crore more for Mumbai storm water drainage project: To expedite the completion of the Brihan Mumbai Storm Water Drainage Project (BRIMSTOWA), the provisions for this project has been enhanced for Rs 200 crore in the Interim Budget 2009-10 to Rs 500 crore.

The estimated project cost of BRIMSTOWA, which was initiated in 2007 to address the problem of flooding in Mumbai, is Rs 1200 crore and is being funded through Central assistance. A sum of Rs 500 crore has been released for this project up to 2008-09.

Increased outlay for Assam gas cracker project: The Assam Gas Cracker Project sanctioned in April 2006 is being executed at a cost of Rs 5,461 crore.

The capital subsidy of Rs 2,138 crore for the project is to be provided by the Central Government. The outlay for this project is being stepped up suitably.

National Gas Grid: The government proposes to develop a blueprint for long distance gas highways leading to a National Gas Grid.

This would facilitate transportation of gas across the length and breadth of the country.

With the recent find of natural gas in the KG Basin on the Eastern offshore of the country, the indigenous production of Natural Gas is set to double with natural gas emerging as an important source of energy. -- PIB

PIB