Govt speeds up core sector plans

The finance ministry has directed all the infrastructure sector ministries to work overtime and get their investment plans approved by the Public Investment Board, an inter-ministerial set-up headed by the expenditure secretary.

According to finance ministry officials, a series of meetings were held during the last 10 days with the secretaries of ministries and departments like shipping, Railways, urban development, civil aviation, power and roads.

"While the discussions focussed on the number and kind of projects in the pipeline in these sectors, it was conveyed to the departments that they expedite investment proposals for consideration by the PIB," said an official.

The officials said it would be another two months before a new government was in place. During this spare time. The projects, if given a final shape by then, can take off as soon as the new government is in place and the Cabinet clears the final clearance to the investment proposals.

They said that the ministries were also asked to utilise the viability gap funding mechanism to facilitate public-private partnerships also. While the government had set aside Rs 2,000 crore for viability gap funding, only Rs 500 crore was disbursed to Rail Vikas Nigam Ltd as equity contribution for the railways' golden quadrilateral project.

The secretaries in the infrastructure sector were also briefed about the Rs 50,000 crore fund announced by the Finance Minister in January.