MSN News Reports:
Modi government to promote production of capital goods in the country and raise employment from the current 8.4 million to 30 million.
Doubling of several railway lines, MoUs with Japan and Maldives, new IITs are among the other decisions that found focus today. We take a look at 12 major decisions taken by the Cabinet on Wednesday:
1) National Capital Goods Policy: Cabinet has given its approval for National Capital Goods Policy. This is first ever policy for Capital Goods sector with a clear objective of increasing production of capital goods from Rs 2,30,000 crore in 2014-15 to Rs 7,50,000 crore in 2025 and raising direct and indirect employment from the current 8.4 million to 30 million.
The policy envisages increasing exports from the current 27 percent to 40 percent of production. It will increase the share of domestic production in India?s demand from 60 percent to 80 percent thus making India a net exporter of capital goods. The policy also aims to facilitate improvement in technology depth across sub-sectors, increase skill availability, ensure mandatory standards and promote growth and capacity building of MSMEs.
"The Policy will help in realising the vision of 'Building India as the World class hub for Capital Goods'. It will also play a pivotal role in overall manufacturing as the pillar of strength to the vision of ?Make in India?," says the Cabinet release.
The objectives of the policy will be met by the Department of Heavy Industry in a time bound manner through obtaining approval for schemes as per the roadmap of policy interventions, it adds.
2) Railway projects: The Cabinet Committee on Economic Affairs has given its approval for taking up Bina-Katni 3rd line project at an estimated cost of Rs 2,478.23 crore and expected completion cost of Rs 2,917.06 crore.
The 278.7 km long railway line is expected to be completed in five years. Besides facilitating the travel, the thermal power plants in the area will get 3rd line for transportation of their products, says the Cabinet press release. "It will also greatly ease the ever increasing freight traffic between Bina-Katni section thereby increasing the revenue of Railways. Sagar, Damoh and Katni districts of Madhya Pradesh would also be benefitted through this project," adds the release.
Bina-Katni is critical and busy section of West Central Railway serving Coal rakes for Thermal Power Plants at Chhabra Gugur and Jhalawar in Rajasthan and POL traffic for Mahadevkhedi in Madhya Pradesh.
Approval has also been given fortaking up Vizianagaram and Titlagarh 3rd line project at an estimated cost of Rs 2,335.68 crore. The 3rd line is an alternative route to over-burdened existing line. This link also opens an alternative route to oversaturated Kharagpur ? Jharsuguda section Howrah-Mumbai Grand Trunk Route and Howrah-Chennai section main line. Rayagada and Kalahandi districts of Odisha and Vizianagaram and Babbili districts of Andhra Pradesh would be benefitted through this project.
> Doubling of Roza -Sitapur Cantt.- Burhwal Broad Gauge single line project at an estimated cost of Rs.1,295.42 crore with expected completion cost of Rs.1,486.46 crore with 5% escalation per annum has also been given a nod.
> Doubling of Surendranagar-Rajkot project at an estimated cost of Rs.1,002.39 crore with expected completion cost of Rs.1,137.17 crore with 5% escalation per annum has been given approval.
> Doubling of Pune-Miraj-Londa railway line project at an estimated cost of Rs.3,627.47 crore and expected completion cost of Rs.4,246.84 crore with 5% escalation per annum.
3) IITs: Cabinet granted ex-post facto approval to the Amendment to The Institutes of Technology Act, 1961 for incorporation of six new IITs at Tirupati (AP), Palakkad (Kerala), Dharwar (Karnataka), Bhilai (Chhattisgarh), Goa, Jammu (J&K) and conversion of ISM, Dhanbad to an IIT under the Institutes of Technology Act, 1961
The approval will bring six new Indian Institutes of Technology within the ambit of The Institutes of Technology Act, 1961 and declaring them as the institutions of national importance. The above Amendment is also for conversion of ISM, Dhanbad into an IIT by bringing it into the ambit of the Institutes of Technology Act, 1961 and also declaring it as an institute of national importance.
4) MOU between India and Japan: Ex-post facto approval has been given to the MOU between India and Japan for promoting sustainable, stable and low-carbon thermal power development in India.
The signing of the MOU will help India to address issues and barriers in promoting sustainable, stable and low-carbon thermal power development that have been identified through the preceding Pre-Primary Study and the on-going cooperation towards Energy Efficient Renovation & Modernization as well as new power development, by means of diagnostic activities to support Renovation and Modernization (R&M) materialization and implementation, knowledge and technology exchange activities to support Clean Coal Technology (CCT) for thermal power plants such as Ultra Super Critical (USC) and other environmental technologies, all of which will be conducive to overall power development for India as well as to facilitate relevant policy implementation.
5) Yes Bank foreign investment limit: CCEA granted ex-post facto approval to the proposal of Yes Bank for increase in the foreign investment limit to 75% from the existing foreign equity of 41.87% without any sub-limits, for investment by way of issue of non-equity shares and/or other permissible instruments to eligible non-resident investors.
6) Financial restructuring of Hindustan Fertilizer Corporation: Nod was given for financial restructuring of Hindustan Fertilizers Corporation Limited (HFCL). The Cabinet, amongst other things, approved waiver of GoI loan of Rs. 1916.14 crores (as on 31.03.2015) and the outstanding interest on GoI loan as on date (the interest amount was Rs. 7163.35 crores as on 31.3.2015). The Cabinet also approved transfer of 56 acres of Ash Dyke land of Barauni unit to Bihar State Power Generation Company Limited (BSPGCL) to settle dues of HFCL for faster revival of Barauni Unit.
This Cabinet approval will facilitate de-registration of HFCL from BIFR by making its net worth positive. It will clear the way for faster revival of Barauni unit of HFCL.
7) Ex-post facto approval for cadre review of Indian Postal Service: The cadre review will enable the Department of Posts to meet the functional requirements and strengthening the cadre structure both in the headquarters and in the field on the basis of functional requirement, which will provide more avenues to earn review and respond effectively to the customer needs, reduce the existing stagnation and improve the career prospects of Indian Postal Service officers.
8) MoU between ISRO & United Arab Emirates Space Agency: Cabinet was apprised of a Memorandum of Understanding (MoU) signed between Indian Space Research Organisation (ISRO) and the United Arab Emirates Space Agency (UAESA) for cooperation in the exploration and user of outer space for peaceful purposes.
The MoU would result in setting up a Joint Working Group with members from ISRO and UAESA, which will further work out the plan of action including the time-frame and the means of implementing this MoU.
9) National Institute of Technology for Andhra Pradesh: Ex-post facto approval was given for establishment of NIT, Andhra Pradesh which has been registered as a Society under the Andhra Pradesh Societies Registration Act, 2001 with effect from 20th August 2015.
The Cabinet also approved introduction of a Bill namely the National Institutes of Technology, Science Education and Research (Amendment) Bill, 2016 for inclusion of the NIT, Andhra Pradesh in its First Schedule.
The post- facto approval of the Cabinet for establishment of NIT, Andhra Pradesh as a society under the Societies Registration Act, 2001 would give a legal entity to NIT, Andhra Pradesh.
10) MOU between India & Maldives: Ex-post facto approval was given to the Memorandum of Understanding signed between the Ministry of Tourism, Government of India and the Ministry of Tourism, Government of Maldives for strengthening cooperation in the field of tourism.
The Memorandum of Understanding with Maldives will be instrumental in increasing arrival from this important source market. In recent years, Maldives has emerged as an important tourism generating market for India.
11) Financial restructuring of Hindustan Steel Works Construction: Cabinet has given its approval for financial restructuring of Hindustan Steel Works Construction Limited (HSCL). It has also approved its takeover by National Buildings Construction Corporation Limited (NBCC), a Central Public Sector Enterprise under the Ministry of Urban Development.
NBCC and HSCL are Government of India enterprises with similar lines of business activities. The decision will benefit in economies of scale for NBCC and would assist in better manpower utilization.
12) Amendments in the Constitution (Scheduled Tribes) Order: Nod has also been given for introduction of two Bills in the Parliament for certain amendments in the Constitution (Scheduled Tribes) Order, 1950 so as to modify the list of Scheduled Tribes in respect of five States, namely, Assam, Chhattisgarh, Jharkhand, Tamil Nadu, Tripura and identification of new communities in the Union Territory of Puducherry.
Two years of Modi sarkar: Much has been done but even more remains to be done-Times of India -25th May 2016-- By Sri Raghu Dayal
As the NDA government completes two years in office today, there is perforce an inevitable lag in scaling a veritable mountain of expectations. First, let the context be clear. The Modi sarkar has had to battle a highly flawed inheritance: “years of drugged and fitful sleep” of the preceding government (The Economist), perceived as effete, corrupt and dysfunctional.
The awesome and daunting task that Prime Minister Narendra Modi and his government had on hand warranted big, bold and swift changes. Young India wanted, in quick time, relief from corruption, delivery of myriad government services sans harassment or graft, the basics of bijli, sadak, paani, as well as dawaai, padhaai and kamaai.
A large constituency eager for India to realise its potential backs Modi to succeed, and believes that having pursued a punishing 24x7x365 schedule, he has much to his credit. He won hearts of young India, changed their mood, lifted their morale. Within a few months, the world started viewing India as an economic opportunity once again.
Modi has been circumnavigating the globe imparting a new vigour to the country’s foreign relations; imparting dynamism to long-stalled infrastructure projects; laying out a viable framework for optimal yields from nation’s resources; and trying to infuse some zest in a moribund bureaucracy.
Launched with unprecedented energy and initiative, Modi’s flagship schemes are visionary and transformational: cleaning the Ganga, Swachh Bharat Abhiyan. Make in India, Jan Dhan Yojana, crop insurance, Direct Benefit Transfer schemes, Smart Cities, Skill India, Digital India.
However, even as aam admi clutches at the hope that achhe din will dawn, a realistic appraisal points to receding enthusiasm and waning hope.
Imposing President’s rule on states such as Uttarakhand elicited fierce criticism, not to mention issues such as flip-flops on dialogue with Pakistan, avoidable turmoil in some universities, abridgement of autonomy of institutions of excellence. The FTII imbroglio, Lalitgate and Vyapam ghosts were allowed to fester; government’s ambivalence on implementing oft-assured OROP policy left people baffled.
Without denying the myopic stridency of the opposition, an array of acts of omission would include failure in getting the desired, vital legislation on GST, land acquisition, and flexible labour regime through. Many acts of gross indiscipline such as rail roko and vandalism in BJP-ruled states, going undeterred, dent the Centre’s image as well. Progress on a subject of overwhelming importance – qualitative improvement in infrastructure, education and healthcare systems – leaves much to be desired.
No high level mega scam may yet be attributable to Modi sarkar, but the mamuls and haftas, the daily persecution of citizenry continue unabated. Modi’s eye-catching espousal of “minimum government, maximum governance” has not had any tangible effect. The country’s civil service, a leviathan with immense power, remains obese and bloated, alienated from aam admi.
A country of poor multitudes, India has an aristocratic work ethos. Modi sarkar could well have implemented the Fifth Pay Commission’s eminently pertinent recommendations inter alia, making the administrative structure horizontal, merging grades/categories, pruning the current 5-6 layers to not more than two, and substantially pruning the list of holidays and leave entitlements. Why must India persist with the colonial bureaucratic structure, encompassing 58 Group ‘A’ services, and legacy of the generalist credo symbolised by IAS, the country’s omnipotent trade union?
The nation needs strong, creative leadership in South Block. A young, aspirational India is no longer content to be run by gerontocrats and epigones, grey hairs and groomed heirs. Modi had alluded to a moratorium on all divisive acts and avowals, but every now and then an ugly strain among myopic partymen or lumpen elements asserts itself, distracting attention from the bedrock agenda of sab ka saath, sab ka vikas.
Being further blessed now with the coveted gift of Assam enjoins upon Modi to rise statesman-like above circumstances and be magnanimous to those who opposed him. He campaigned as a moderate and a moderniser, calling for “toilets not temples” and “development not deity”. He has to unequivocally enforce his testament, condemning all nasty and atavistic manifestations of narrow mindedness. Let him be wary of Margaret Thatcher’s warning that those standing in the middle of the road get run over. A great orator and communicator, he needs to tell his supporters when they are wrong.
