The Hindu Business Line : Outcome Budget: Govt plans 9 new infrastructure projects

INDICATING the Government's commitment to boosting infrastructure, the first-ever Outcome Budget has promised nine new projects under the public-private partnership route, a vast expansion of the country's highway network and dotting of the Indian skies with a new fleet of aircraft for the national carriers, Indian Airlines and Air India.

The Outcome Budget for 2005-06, which was presented in Parliament on Thursday by the Finance Minister, Mr P. Chidambaram, has said that the Cabinet Committee on Economic Affairs (CCEA) will approve the nine new infrastructure projects by September that would be supported by viability gap funding.

The Government is set to approve during the current fiscal the acquisition of 50 aircraft by AI and another 43 aircraft by IA. To back this fleet addition, the Government would spend Rs 41.34 crore for projects to create the infrastructure for running of the aircraft.

On the highways front, the Outcome Budget has said that the National Highways Authority of India plans to extend the Golden Quadrilateral network to 5,846 km by Dec 2006 which would include laying of 767 km of fresh roads this fiscal. The North-South-East-West highway corridor would be extended to 7,300 km by 2007. In the current fiscal, a total of 981 km would be added under the corridor. The 723-page Outcome Budget has been prepared by the Finance Ministry in association with the Planning Commission.

Bharat Sanchar Nigam Ltd would lend its might in increasing teledensity by providing 65 lakh new mobile connections and 10 lakh fixed connections. BSNL has also promised to add 12.5 lakh Internet connections, including 4.5 lakh broadband connections. On its part, MTNL would add 12 lakh mobile lines by the end of the year.

In the power sector, the Union Power Ministry has said that additional power generation of 10,000 million units per annum is envisaged under the interest subsidy scheme of the Power Finance Corporation (PFC). Under the renovation and modernisation (R&M) programme for power projects, 3,529-MW of new generating capacity would be created by March 2007. The Oil Ministry has promised to maintain the existing production and enhancing oil production of 0.415 million tonnes. An incremental reserve accretion of 49.95 mt of oil equivalent is expected. The import of LNG will be enhanced to 5 MMTPA from the existing import of 2.5 MMTPA.

On the information and broadcasting front, the document has said that Doordashan would augment its direct-to-home service with a bouquet of 33 TV channels and 12 AIR channels.

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