AIIB Meeting in Mumbai

AIIB Meeting in Mumbai

On Tuesday, India became the third country after China and Korea to host the annual summit of the Asia Infrastructure Investment Bank (AIIB). This summit is particularly important as it once again highlights the fact that the country’s infrastructural requirements are too large to be financed by the public sector (especially of housing and transport) and the private sector needs to step in.

A major infrastructure project which hopes to be funded by the AIIB’s investments is the RRTS - Rapid Regional Transport systems (first of its kind - 180 km speed) which would cover the regions of Delhi, Uttar Pradesh, Haryana and Rajasthan. The summit also put the spotlight on India’s position on One Belt, One Road imitative where the country has traditionally been opposed to. Rather, India wants to work on, with the help of the AIIB, the South Asian Sub-Regional Economic Cooperation (SASEC) road connectivity program, the Great Asian Highway and the International North-South Transport Corridor (INSTC), the ambitious multi-modal transportation project involving Iran, Russia and India. All of these are multi billion dollar funding requirement and that is why AIIB meet in India, so that Prime Minister Modi can directly appeal to potential investors.

Westconnex

Westconnex

WestConnex is a 33-kilometre (underground motorway scheme currently under construction in Sydney, Australia. A joint project of the New South Wales and Australian governments, this project would help in encompassing, widening and extension of important motorways in the area. To help fund the project, tollways would be constructed for a long period of time. The first phase has been completed in 2017. The remaining stages would be completed by 2033.
One notable feature of the project is capital recycling, where government equity is sold partway through the project and proceeds are used to fund subsequent phases. In WestConnex, the capital invested would be raised back at the end of the third phase. “At US$10.7 billion, this is Australia’s largest infrastructure project, linking western and south-western Sydney with the city, airport and port through a 33 kilometer continuous motorway. WestConnex is expected to ease‑congestion, cut travel times and create jobs across the area” (KPMG).

(Image Credits: The Telegraph)

EV Policy in India- A Chaotic Past

EV Policy in India- A Chaotic Past

As every country would realize sooner (the better), electric vehicles (EVs) are a must for transport with a city. As each city aims to update itself to a sustainable one, shared mobility becomes extremely important and EVs can help in achieving this vision. But, India developing an EV policy has seen a chaotic past. 

“While the government has done quite a bit to create the foundation needed for a robust EV market in India, through initiatives like global tenders and Faster Adoption and Manufacturing of Hybrid and Electric Vehicles in India (FAME), when it comes to concrete policies, there is still quite a bit of confusion, at least at the Centre level” (inc42.com).

First, there was the controversial statement by the then Power Minister Piyush Goyal who claimed that 100% electric mobility was possible by 2030. According to my estimates, achieving even 20% would be a great success. Earlier this year, Surface Transport Minister Nitin Gadkari claimed that a draft policy on EVs had already been created and was awaiting approval of the Cabinet. Right now, there is confusion surrounding who is going to take responsibility regarding the policy framework on EVS- Ministry of Power/Environment/Transport. Even think tanks like Niti Aayog have been thrown into the mix. A sure shot distribution of power is required if India wants to see electric vehicles on its roads.