Ministry of Ports, Shipping & Waterways: Government Schemes | Indian Economy for UPSC CSE PDF Download

Jal Marg Vikas Yojana

• One of the major problems for a commercially viable and safe navigation on NW-1 is low depth upstream of Farakka barrage due to low discharges from tributaries and difficult hydro morphological characteristics of the river Ganga.
• The project will contribute in bringing down the logistics cost in the country and will provide an alternative mode of transport which will be environment friendly and cost effective.
• It is being implemented by the Inland Waterways Authority of India (Ministry of Shipping).
• The project envisages fairway development through performance based contract for least assured depth of 2.2 metres to 3 metres and bottom channel width of 45 metres, bank protection works, and provisions of navigation aids.
• The states that are being covered under the Project are Uttar Pradesh, Bihar, Jharkhand, West Bengal.
• The Project is expected to be completed by March, 2023.

SAGARMALA

• About:
  • The Sagarmala Programme was approved by the Union Cabinet in 2015 which aims at holistic port infrastructure development along the 7,516-km long coastline through modernisation, mechanisation and computerisation.
  • The vision of the Sagarmala Programme is to reduce logistics costs for EXIM (Export-Import) and domestic trade with minimal infrastructure investment.
  • Sagarmala could boost India’s merchandise exports to USD 110 billion by 2025 and create an estimated 10 million new jobs (four million in direct employment).
  • The Ministry has started the ambitious Project of Sagarmala Seaplane Services (SSPS) with potential airline operators.
    
• Components of the Sagarmala Programme:
  • Port Modernization & New Port Development: De-bottlenecking and capacity expansion of existing ports and development of new Greenfield ports.
  • Port Connectivity Enhancement: Enhancing the connectivity of the ports to the hinterland, optimizing cost and time of cargo movement through multi-modal logistics solutions including domestic waterways (inland water transport and coastal shipping).
  • Port-linked Industrialization: Developing port-proximate industrial clusters and Coastal Economic Zones to reduce logistics cost and time of EXIM and domestic cargo.
  • Coastal Community Development: Promoting sustainable development of coastal communities through skill development & livelihood generation activities, fisheries development, coastal tourism etc.
  • Coastal Shipping & Inland Waterways Transport: Impetus to move cargo through the sustainable and environment-friendly coastal and inland waterways mode.

Sagartat Samriddhi Yojana

• Prime Minister launched the Sagarmala – Sagartat Samridhi Yojana during the release of “Maritime India Vision 2030” in March 2021.
• MoPSW formulated this detailed project to address challenges in coastal areas of the nation.
• The Sagartat Samriddhi Yojna has identified a total of 1,049 projects with an estimated cost of Rs. 3,62,229 crores.
• The four key areas in which this initiative falls include:
  • Coastal Infrastructure Development
  • Coastal Tourism
  • Coastal Industrial Development
  • Coastal Community Development

PM - GATISHAKTI

Key Points

• About the Scheme
  • Aim: To ensure integrated planning and implementation of infrastructure projects in the next four years, with focus on expediting works on the ground, saving costs and creating jobs.
    • The Gati Shakti scheme will subsume the Rs 110 lakh crore National Infrastructure Pipeline that was launched in 2019.
    • Besides cutting logistics costs, the scheme is also aimed at increasing cargo handling capacity and reducing the turnaround time at ports to boost trade.
    • It also aims to have 11 industrial corridors and two new defence corridors - one in Tamil Nadu and other in Uttar Pradesh. Extending 4G connectivity to all villages is another aim. Adding 17,000 kms to the gas pipeline network is being planned.
    • It will help in fulfilling the ambitious targets set by the government for 2024-25, including expanding the length of the national highway network to 2 lakh kms, creation of more than 200 new airports, heliports and water aerodromes.
  • Integrated Approach: It intends to bring together 16 infrastructure related Ministries.
    • This will help in removing long-standing issues such as disjointed planning, lack of standardisation, problems with clearances, and timely creation and utilisation of infrastructure capacities.
  • Gati Shakti Digital Platform: It involves the creation of a common umbrella platform through which infrastructure projects can be planned and implemented in an efficacious manner by way of coordination between various ministries/departments on a real-time basis.
  • Expected Outcomes
    • The scheme will help mapping the existing and proposed connectivity projects.
    • Also, there will be immense clarity on how different regions and industrial hubs in the country are linked, particularly for last mile connectivity.
    • A holistic and integrated transport connectivity strategy will greatly support Make in India and integrate different modes of transport.
    • It will help India become the business capital of the world.
• Need for Integrated Infrastructure Development:
  • There exists a wide gap between macro planning and micro implementation due to the lack of coordination and advanced information sharing as departments think and work in silos.
  • According to a study, the logistical cost in India is about 13% of GDP, which is higher than developed countries.
    • Due to this high logistical cost, the competitiveness of India’s exports is greatly reduced.
  • It is globally accepted that the creation of quality infrastructure for Sustainable Development is a proven way, which gives rise to many economic activities and creates employment on a large scale.
  • The scheme is in synergy with the National Monetisation Pipeline (NMP).
    • The NMP has been announced to provide a clear framework for monetisation and give potential investors a ready list of assets to generate investment interest.
• Associated Concerns
  • Low Credit Off-take: Although the government had taken up ‘strong’ banking sector reforms and the Insolvency and Bankruptcy Code had yielded about Rs. 2.4 lakh crore of recoveries on bad loans, there are concerns about declining credit offtake trends.
    • Banks give credit off-takes to help businesses acquire financing for future projects through the promise of future income and proof of an existing market.
  • Lack of Demand: In the post-Covid-19 scenario,there is a lack of private demand and investment demand.
  • Structural Problems: Due to land acquisition delays and litigation issues, the rate of implementation of projects is very slow on global standards.
    • Getting approvals is very difficult in terms of land access, environmental clearances; also impending litigation in court delays the infrastructure projects.

Way Forward

• PM Gati Shakti is a step in the right direction. However, it needs to address structural and macroeconomic stability concerns, emanating from high public expenditure.
• Thus, it is imperative that this initiative is underpinned by a stable and predictable regulatory and institutional framework.