Page 10 - Construction Vision Sep-Oct 2017 issue

INDIA PLAN RS. 2.5 L CR SPEND TO INITIATE METRO RAIL PROJECTS

The government of India will spend Rs 2.5 lakh Due to differences between the government and of Way and clearances are among the major
crore to implement metro rail projects in various private players over Concession Agreement issues in executing such a project.
Indian cities. The spending will be over the next clauses, PPP metro projects have had a failed
Many large Indian construction companies have
five years, eventually helping not only the start.
taken up metro rail projects. While ITD
stressed infrastructure companies to present
In India, there have been five metro projects with Cementation has bagged the highest number of
stronger financial results, but also companies
private equity participation, namely Delhi Airport EPC projects, Larsen & Toubro has exposure to
involved in manufacturing and supply of rolling
Metro Express (which is now managed by Delhi both EPC and PPP contracts. Other companies
stock, said ratings agency Icra.
Metro Rail Corporation), Reliance Infrastructure- like Afcons, NCC, IL&FS Group, Simplex
The government of India has standardised led Mumbai Metro One, Hyderabad Metro with Engineering, J Kumar, etc. also have sizeable
specifications for rolling stock and signalling majority owned by Larsen & Toubro and two metro contracts.
systems for metro rail so that 'Make in India' can wholly private Rapid Metro in Gurugram by
K Ravichandran, senior vice-president and
be promoted. IL&FS.
Group-head, corporate ratings, ICRA Research
Prime Minister Narendra Modi, during the There has also been a demand by certain and Ratings Agency said that Roads and urban
inauguration of Kochi Metro, had said that a sections of the state government, particularly, infrastructure, including metro rails, are two key
number of initiatives have been taken to enhance Maharashtra to amend the Metro Railways Act to segments which have witnessed robust order
public transport in the cities. Foreign investment make it more relevant for PPP metro rail projects. inflows for the construction companies.
has been invited in this sector. Fifty cities in India The existing regulation was formed with a view of
Over the next three to five years, with a sizeable
are ready to implement metro rail projects.4 government-owned metro lines, said a state
pipeline of projects in these segments, the order
official.
In fact, in April 2017, the Union government also book of construction companies with strong track
issued a National Transit Oriented Development An official with an infrastructure company said record and healthy balance sheet are expected to
Policy to transform cities, from being transit that going by the developments in PPP metro have sufficient order inflows.
dependent to being transit oriented. projects, it is better to opt for EPC projects. Right

INTERNATIONAL STANDARD AIRPORTS FOR TIER II & TIER III CITIES
Jabalpur, allied works for operations of A-320 type of
Khajurah aircrafts at Jabalpur Airport. nternational
o, Indore Standard Airports for Tier II and Tier III Cities.
and Civil Simultaneously also focusing on the North-
Enclave East India, AAI is developing Guwahati Airport
at as an inter-regional hub, while Agartala,
Gwalior Dibrugarh and Imphal airports are being
and developed as intra-regional hubs in the North
three eastern region.
non- For this, AAI has constructed three hangars at
operation Guwahati Airport. Construction of hangars has
al commenced at Dibrugarh and Imphal airports
airports and tenders have been floated for award of
at work for construction of hangar at Agartala
Khandwa airport.
International Standard Airports for Tier II and
, Panna and Satna. Bhopal, Indore and
Tier III Cities. Airports Authority of India (AAI) is All these steps are going to lead to improved
Khajuraho airports have already been
very aggressively working to modernize the connectivity of smaller airports as well as lead
upgraded to international standards with new
Tier II and Tier III airports of India and bring to an increase in the number of domestic
integrated terminal buildings and other
them to international standards. It owns and aviationpassengers.This information was given
associated work. AAI has also finalized the
maintains 8 airports in Madhya Pradesh, scope of work for extension of existing runway, by Shri Jayant Sinha Minister of State for Civil
including five operational airports at Bhopal, construction of new terminal building and other Aviation

8 CONSTRUCTION VISION SEPTEMBER - OCTOBER