The Hindu Editorial Analysis - 14th September 2024 | Current Affairs & Hindu Analysis: Daily, Weekly & Monthly - UPSC PDF Download

The Shock of Crumbling Infrastructure and the Solution

Why in News?

The infrastructure sector is a major part of the Indian economy. It is crucial that this sector does not experience any failures. Having a strong programme management system is essential. This system helps ensure smooth operations and effective project handling. A well-organized approach can lead to better outcomes and less risk.

Introduction

• Reports about the collapse of several bridges that were being built in Bihar have raised concerns about quality control and how projects are managed in India's infrastructure sector.
• Some of these collapsed bridges are part of megaprojects, which are large-scale and often expensive undertakings.
• There may be around 10 or more cases of bridges falling down, indicating a serious issue in the construction process.
• The infrastructure sector is crucial for driving growth in the Indian economy.
• The government's goal of transforming India into a developed nation by 2047 is closely tied to advancements in infrastructure.

Steps taken to boost the infrastructure sector

• Policies and strategies: Steps to improve India's infrastructure have developed through initiatives like the PM Gati Shakti National Master Plan (NMP), the National Logistics Policy, and the Smart Cities Mission, among others.
• Capital investment in infrastructure sector: The government has raised its capital spending allocation to lakh crore (which is 3.4% of GDP) in the Budget 2024, showing the government's dedication to enhancing infrastructure development.

The challenges within infrastructure sector

• The sector is still facing various problems and challenges.
• Delays and high costs: A frequent issue for many projects, especially those funded by the government, is the delay in completion and cost overruns.
• A report from the Ministry of Statistics and Programme Implementation indicates that 431 infrastructure projects, each with investments over ₹150 crore, experienced a total cost overrun of ₹4.82 lakh crore as of December 2023.
• Furthermore, the rate of delayed projects reached a three-year low in March this year.
• Out of 779 delayed projects: 
  • 36% were delayed by 25 to 60 months.
  • 26% faced delays of 1 to 12 months.
  • 23% were behind schedule for 13 to 24 months.
  • 15% had delays longer than 60 months.
• Delays in regulatory approvals: Starting any industrial or commercial project in India requires multiple approvals from the planning stage to the project's launch.
• Issues in planning and management: Many projects show that there are significant gaps in how they are managed, particularly in urban infrastructure, leading to inadequate planning and a lack of capacity in local government institutions.
• Funding challenges: These issues create extra costs for the government, limit funding for other important projects, and increase procurement costs.
• Lack of focus: There is a noticeable absence of adequate attention, time, and expertise during the planning phase of projects.
• Importance of infrastructure development: Improving our experience in project management is essential for India to maintain its growth in the future.
• Need for a structured approach: While organizations are beginning to recognize the importance of structured project management, many are focusing on short-term programs to improve the skills of their current project teams.

Traditional practices need an overhaul

• Traditional project management practices need to be updated to include modern tools and methods that focus on real-time data management and analyzing that data.
• Using global benchmarks: A supportive policy framework should take into account the best global standards in project management and set clear procedures and guidelines for effective project execution, especially in public sector and public-private partnership projects.
• Multi-pronged approach: Different countries have implemented various strategies to tackle these challenges.
• In the United Kingdom, the Infrastructure and Projects Authority places special importance on the processes needed for successful project completion.
• Countries like China, Saudi Arabia, and others have established similar agencies focused on managing projects from start to finish.

The Indian Scenario

• Under PM Gati Shakti, a National Master Plan has been introduced to eliminate the barriers between different government ministries and departments. This plan aims to unite all parties to work together on a shared platform.
• This initiative has established clear goals and deadlines for all departments to meet.
• PM Gati Shakti is showcased through a GIS-based ERP portal, which aims to track progress in real time.
• The portal will not only provide a visual representation of the National Master Plan but will also connect, through an application programming interface, the real-time progress of various departments.
• However, ensuring the quality of projects during their execution and maintaining a reliable team to oversee these projects will be crucial.
• A comprehensive Program Management Approach is essential to tackle these challenges.
• This approach was used in the development of industrial corridors, starting with the Shendra-Bidkin project in Aurangabad, Maharashtra.
• It involves organized and systematic coordination of resources such as people, time, money, and information to effectively plan and complete multiple projects together.
• This method is particularly useful when a project requires a large amount of resources and needs to combine various activities, as seen in Shendra-Bidkin, which involved over nine packages being worked on at the same time.

Way forward: Set up an agency

Streamlining processes:

• Programme management depends on clear and tested business delivery methods and tools.
• These elements help achieve mission goals within set time and budget limits.

Skilled workforce:

• To succeed, we must create a workforce that is ready for industry demands.

Project management infrastructure:

• Establishing an agency to offer professional project management courses is essential.
• This can be modeled after organizations like The Institute of Chartered Accountants of India and chartered engineering bodies in other countries.
• Such initiatives will promote professional standards and responsibilities in project execution, monitoring, and oversight.

Conclusion

The government has set aside a large amount of taxpayers' money for infrastructure projects.  As India progresses towards becoming a global leader, it is essential to avoid delays and cost overruns in ongoing projects.  There have been many failures in projects that are still under construction, which needs to be addressed.  To achieve these goals, implementing a strong programme management system is very important.  This system will help improve efficiency and ensure that we build infrastructure that is ready for the future.  A well-organized infrastructure will lead to a better and safer future for the people of India.  It is important for private companies to step in and play a role in the development of infrastructure.