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English · हिन्दी · తెలుగు · தமிழ் · മലയാളം · मराठी · ಕನ್ನಡ

Infrastructure and its financing

ಕನ್ನಡದಲ್ಲಿ ವಿವರಣೆ

Industry and infrastructure · Part 3 / 3 · Fact-checked on · how we check

Written with AI from the sources listed at the bottom of this page, then fact-checked by a separate AI.

What counts as infrastructure and why markets under-supply it, the harmonised master list, public-private partnership models (EPC, BOT, BOOT, hybrid annuity, TOT), viability gap funding, the National Infrastructure Pipeline, PM Gati Shakti and the National Logistics Policy, long-term finance through NIIF, NaBFID, InvITs and REITs, the National Monetisation Pipeline, and the main transport, energy and digital programmes.

Each idea is explained first in Kannada (ಕನ್ನಡ), ending with the English and Hindi exam terms, followed by the same point in exam English. UPSC Prelims is in English or Hindi, so understand it in Kannada and revise it in English.

ಇಲ್ಲಿಯವರೆಗೆ ಕಾರ್ಖಾನೆಗಳ ಬಗ್ಗೆ ಓದಿದೆವು. ಈಗ ಆ ಕಾರ್ಖಾನೆ ನಡೆಯಲು ಬೇಕಾದ ರಸ್ತೆ, ರೈಲು, ಬಂದರು, ವಿದ್ಯುತ್ ತಂತಿ, ನೀರಿನ ಕೊಳವೆ, ಫೋನ್ ಜಾಲ — ಇವೇ ಮೂಲಸೌಕರ್ಯ. ಊರಲ್ಲಿ ಹೊಸ ಅಂಗಡಿ ತೆರೆಯಬೇಕಾದರೆ ಮೊದಲು ಆ ಊರಿಗೆ ರಸ್ತೆ, ಕರೆಂಟ್ ಬೇಕಲ್ಲವೇ. ಇವನ್ನು ಕಟ್ಟಲು ಬಹಳ ಹಣ, ಬಹಳ ವರ್ಷ ಬೇಕು. ಹಾಗಾಗಿ ನಿಜವಾದ ಪ್ರಶ್ನೆ: ಖರ್ಚು ಯಾರದು, ನಷ್ಟ ಬಂದರೆ ಯಾರು ಹೊರುತ್ತಾರೆ, ಹಣ ಎಲ್ಲಿಂದ ತರುವುದು. (→ English: infrastructure · हिन्दी: अवसंरचना)

In exam EnglishParts 1 and 2 dealt with factories and the firms that run them. This last part turns to what every factory, farm and office relies on but seldom builds for itself: roads, railways, ports, airports, power lines, pipelines, water systems and telecom networks. Such infrastructure is expensive, slow to build and lasts for decades, so the real questions are not whether India needs more of it but who pays, who carries the risk and how the money is raised.

ಮೂಲಸೌಕರ್ಯ ಎರಡು ಬಗೆ. ರಸ್ತೆ, ವಿದ್ಯುತ್, ಫೋನ್ ನೇರವಾಗಿ ಉತ್ಪಾದನೆ ಮತ್ತು ವ್ಯಾಪಾರಕ್ಕೆ ನೆರವಾಗುತ್ತವೆ — ಇದು ಆರ್ಥಿಕ ಬಗೆ. ಶಾಲೆ, ಆಸ್ಪತ್ರೆ, ಕುಡಿಯುವ ನೀರು, ನೈರ್ಮಲ್ಯ ಜನರ ಆರೋಗ್ಯ ಮತ್ತು ಕೌಶಲ ಬೆಳೆಸುತ್ತವೆ — ಇದು ಸಾಮಾಜಿಕ ಬಗೆ. ಯಾವ ಯೋಜನೆ ಇದರಲ್ಲಿ ಸೇರುತ್ತದೆ ಎಂದು ತೀರ್ಮಾನಿಸಲು ಸರ್ಕಾರ ಒಂದು ಅಧಿಕೃತ ಪಟ್ಟಿ ಇಟ್ಟಿದೆ. ಬ್ಯಾಂಕಿನಲ್ಲಿ 'ಈ ಯೋಜನೆಗಳಿಗೆ ದೀರ್ಘಾವಧಿ ಸಾಲ' ಎಂಬ ಪ್ರತ್ಯೇಕ ವಿಭಾಗ ಇದ್ದಂತೆ — ಪಟ್ಟಿಯಲ್ಲಿ ಹೆಸರಿದ್ದರೆ ಮಾತ್ರ ಆ ಸೌಲಭ್ಯ. (→ English: infrastructure · Harmonised Master List · हिन्दी: अवसंरचना · समन्वित मास्टर सूची)

In exam EnglishEconomists divide infrastructure into two kinds. Economic infrastructure, such as transport, energy and communication, directly supports production and trade. Social infrastructure, such as schools, hospitals, water supply and sanitation, builds people's health and skills. To settle which projects count as infrastructure for lending and policy purposes, the Department of Economic Affairs maintains a Harmonised Master List of infrastructure sub-sectors, first notified in 2012 and revised from time to time. It groups sub-sectors under five headings: transport and logistics, energy, water and sanitation, communication, and social and commercial infrastructure. Being on the list matters in practice, because lenders and regulators use it to decide which projects can get the easier credit terms meant for infrastructure, such as longer repayment periods.

ಒಂದು ದೊಡ್ಡ ರಸ್ತೆ ಹಾಕಲು ಈಗಲೇ ಕೋಟಿಗಟ್ಟಲೆ ಬೇಕು, ಹಿಂದಿರುಗಲು ಇಪ್ಪತ್ತು ಮೂವತ್ತು ವರ್ಷ. ಭೂಮಿ ಸಿಗುವುದು ಕಷ್ಟ. ರಸ್ತೆಯಿಂದ ಬದಿಯಲ್ಲಿ ಹೊಸ ಅಂಗಡಿಗಳು ಬರುತ್ತವೆ, ಆದರೆ ಅವರಿಂದ ಹಣ ವಸೂಲಿ ಮಾಡಲಾಗದು. ಹಾಗಾಗಿ ಖಾಸಗಿಯವರು ಒಬ್ಬರೇ ಮುಂದೆ ಬರುವುದಿಲ್ಲ. ಹಳೆಯ ವಿಧಾನದಲ್ಲಿ ಸರ್ಕಾರ ಗುತ್ತಿಗೆದಾರನಿಗೆ ಕೂಲಿ ಕೊಟ್ಟು ಕಟ್ಟಿಸುತ್ತದೆ — ಮನೆ ಕಟ್ಟಲು ಮೇಸ್ತ್ರಿಗೆ ಹಣ ಕೊಟ್ಟಂತೆ, ಮನೆ ನಮ್ಮದು, ಲಾಭನಷ್ಟ ನಮ್ಮದು. ಸಾರ್ವಜನಿಕ-ಖಾಸಗಿ ಸಹಭಾಗಿತ್ವದಲ್ಲಿ ಖಾಸಗಿ ಕಂಪನಿಯೂ ಹಣ ಹಾಕಿ, ನಡೆಸಿ, ಅಪಾಯವನ್ನು ಹಂಚಿಕೊಳ್ಳುತ್ತದೆ. (→ English: public-private partnership · EPC · हिन्दी: सार्वजनिक-निजी भागीदारी · ईपीसी)

In exam EnglishLeft to the market alone, infrastructure tends to be under-supplied. A highway or a power plant needs a huge sum upfront and pays back over twenty or thirty years; it often needs land that is hard to acquire; and many of its benefits, such as quicker travel for everyone or new shops along a road, cannot be fully charged for. Some assets, like a railway track or a city's water mains, are natural monopolies whose prices have to be regulated. For decades the state therefore built most infrastructure itself, usually through engineering, procurement and construction (EPC) contracts, in which the government pays a contractor to build the asset and keeps the ownership and all the revenue risk. A public-private partnership (PPP) goes further: a private partner finances, builds or runs the asset for a long period and shares the risks with the state.

BOT (ಟೋಲ್) ಎಂದರೆ: ಖಾಸಗಿ ಕಂಪನಿ ತನ್ನ ಹಣದಿಂದ ರಸ್ತೆ ಹಾಕಿ, ಕೆಲವು ವರ್ಷ ಟೋಲ್ ವಸೂಲಿ ಮಾಡಿ, ನಂತರ ಸರ್ಕಾರಕ್ಕೆ ಒಪ್ಪಿಸುತ್ತದೆ. ವಾಹನಗಳು ಹೆಚ್ಚು ಬಂದರೆ ಲಾಭ, ಕಡಿಮೆಯಾದರೆ ನಷ್ಟ — ಎಲ್ಲ ಅದರದ್ದೇ. BOT (ವರ್ಷಾಶನ) ವಿಧಾನದಲ್ಲಿ ರಸ್ತೆ ಅದೇ ಹಾಕುತ್ತದೆ, ಆದರೆ ಟೋಲ್ ಸರ್ಕಾರ ಪಡೆದು ಪ್ರತಿ ವರ್ಷ ನಿಗದಿತ ಮೊತ್ತ ಕೊಡುತ್ತದೆ — ಸಂಬಳದಂತೆ, ವಾಹನ ಎಷ್ಟು ಬಂದರೂ ಅಷ್ಟೇ. BOOTನಲ್ಲಿ ಒಪ್ಪಿಸುವವರೆಗೆ ಒಡೆತನವೂ ಖಾಸಗಿಯದ್ದೇ. 2010ರ ದಶಕದ ಆರಂಭದಲ್ಲಿ ವಾಹನಗಳು ಅಂದಾಜಿಗಿಂತ ಕಡಿಮೆ ಬಂದು ಹಲವು ಯೋಜನೆಗಳು ನಿಂತುಹೋದವು. (→ English: build-operate-transfer · हिन्दी: निर्माण-संचालन-हस्तांतरण)

In exam EnglishThe best-known PPP family is build-operate-transfer (BOT). Under BOT (toll), the private concessionaire raises the money, builds the road, collects tolls for a fixed concession period and then hands the asset back to the government; it bears both the construction risk and the traffic risk. Under BOT (annuity), the concessionaire still builds and maintains the road, but the government collects the tolls and pays the concessionaire a fixed annual sum, the annuity, so the traffic risk stays with the state. Build-own-operate-transfer (BOOT) works like BOT except that the private party also owns the asset until it is handed over. In the early 2010s many BOT highway projects ran into trouble: traffic fell short of forecasts, land acquisition and clearances were delayed, and private developers grew reluctant to bid.

ಹೈಬ್ರಿಡ್ ವರ್ಷಾಶನ ಮಾದರಿ ಎಂದರೆ ಅರ್ಧ-ಅರ್ಧದಂತಹ ಮಿಶ್ರಣ. ರಸ್ತೆ ಕಟ್ಟುವಾಗ ಸರ್ಕಾರ 40 ಶೇಕಡಾ ಕೊಡುತ್ತದೆ, ಉಳಿದ 60 ಶೇಕಡಾ ಕಂಪನಿ ತರುತ್ತದೆ. ರಸ್ತೆ ಮುಗಿದ ಮೇಲೆ ಟೋಲ್ ಸರ್ಕಾರದ್ದು; ಕಂಪನಿ ಹಾಕಿದ ಹಣವನ್ನು ಬಡ್ಡಿಸಹಿತ ಆರು ತಿಂಗಳಿಗೊಮ್ಮೆ ಕಂತುಗಳಲ್ಲಿ ಹಿಂದಿರುಗಿಸುತ್ತದೆ. ಹಾಗಾಗಿ ವಾಹನ ಕಡಿಮೆಯಾದರೂ ಕಂಪನಿಗೆ ಭಯವಿಲ್ಲ. TOT ಬೇರೆ: ಈಗಾಗಲೇ ಟೋಲ್ ಬರುವ ರಸ್ತೆಯನ್ನು ಸರ್ಕಾರ 'ಗುತ್ತಿಗೆ'ಗೆ ಕೊಡುತ್ತದೆ. ಊರಿನ ಕೆರೆಯನ್ನು ಕೆಲವು ವರ್ಷ ಮೀನುಗಾರಿಕೆಗೆ ಗುತ್ತಿಗೆ ಕೊಟ್ಟು ಮುಂಗಡ ಪಡೆದಂತೆ — ಅವಧಿ ಮುಗಿದ ಮೇಲೆ ಕೆರೆ ಮತ್ತೆ ಊರಿನದ್ದು. (→ English: hybrid annuity model · toll-operate-transfer · हिन्दी: हाइब्रिड वार्षिकी मॉडल · टोल-संचालन-हस्तांतरण)

In exam EnglishTo revive road PPPs, the government approved the hybrid annuity model (HAM) in 2016. The government pays 40 per cent of the project cost during construction, in instalments tied to progress, and the developer arranges the remaining 60 per cent. Once the road is finished, the government collects the tolls and repays the developer's share through half-yearly annuities with interest over the concession period, and pays separately for upkeep. The developer thus carries no traffic risk. Toll-operate-transfer (TOT), also approved in 2016, runs the other way: it is used for highways that are already built and earning tolls. A private investor pays a lump sum upfront for the right to collect tolls and maintain the road for a long period, 30 years in the first rounds, after which the road returns to the highway authority.
Models for building and running infrastructure (highways as the main example)
ModelWho pays for constructionWho collects tollsWho bears traffic risk
EPCGovernment (contractor paid a fee)GovernmentGovernment
BOT (toll)Private concessionaireConcessionaire, for the concession periodConcessionaire
BOT (annuity)Private concessionaireGovernment, which pays a fixed annuityGovernment
BOOTPrivate party, which also owns the asset until transferPrivate partyPrivate party
Hybrid annuity (2016)Government 40% during construction, developer 60%Government, which repays the developer in half-yearly annuitiesGovernment
TOT (2016)Already built; investor pays an upfront lump sumInvestor, for a long period (30 years in the first rounds)Investor

ಊಹಿಸಿ: ಒಂದು ಗುಡ್ಡಗಾಡು ಪ್ರದೇಶದಲ್ಲಿ ಆಸ್ಪತ್ರೆ ಬೇಕು, ಆದರೆ ಅಲ್ಲಿ ಶುಲ್ಕದಿಂದ ಬರುವ ಹಣ ಖರ್ಚಿಗೆ ಸಾಲುವುದಿಲ್ಲ. ಆ 'ಅಂತರ'ವನ್ನು ತುಂಬಲು ಸರ್ಕಾರ ಒಮ್ಮೆ ಬಂಡವಾಳ ನೆರವು ಕೊಡುತ್ತದೆ — ಅದೇ ಕಾರ್ಯಸಾಧ್ಯತಾ ಅಂತರ ನಿಧಿ. ಕೇಂದ್ರ ಒಟ್ಟು ಖರ್ಚಿನ 20 ಶೇಕಡಾವರೆಗೆ, ಯೋಜನೆ ತಂದ ಸರ್ಕಾರ ಇನ್ನೊಂದು 20 ಶೇಕಡಾವರೆಗೆ ಕೊಡಬಹುದು. ಕಡಿಮೆ ನೆರವು ಕೇಳಿದವರಿಗೇ ಕೆಲಸ. 2020ರಿಂದ ಆರೋಗ್ಯ, ಶಿಕ್ಷಣ, ನೀರು ಮುಂತಾದ ಕೆಲವು ಸಾಮಾಜಿಕ ಯೋಜನೆಗಳಿಗೆ 30 + 30 ಶೇಕಡಾ. ಇದು ಕಟ್ಟಲು ನೆರವು, ಲಾಭದ ಖಾತರಿ ಅಲ್ಲ. (→ English: viability gap funding · हिन्दी: व्यवहार्यता अंतर वित्तपोषण)

In exam EnglishSome projects are worth doing for society but cannot earn enough on their own to attract a private partner. viability gap funding (VGF), a scheme of the Department of Economic Affairs begun in 2006, closes that gap with a one-time capital grant for PPP projects. The Centre can give up to 20 per cent of the total project cost, and the government or authority sponsoring the project can add up to another 20 per cent. The grant is released during construction, after the private partner has put in its own equity, and the partner is chosen by open bidding in which the bidder seeking the smallest grant normally wins. A 2020 revamp allowed certain social sector projects, such as those in health, education, water supply and waste treatment, to receive up to 30 per cent from the Centre and 30 per cent from the sponsor. VGF supports capital cost; it does not guarantee a profit.

ಮೊದಲು ಪ್ರತಿ ಯೋಜನೆಯನ್ನೂ ಪ್ರತ್ಯೇಕವಾಗಿ ಯೋಜಿಸುತ್ತಿದ್ದರು. ರಾಷ್ಟ್ರೀಯ ಮೂಲಸೌಕರ್ಯ ಪೈಪ್‌ಲೈನ್ ಎಂದರೆ ಮುಂದಿನ ಐದು ವರ್ಷಗಳಲ್ಲಿ ಕಟ್ಟಬೇಕಾದ ಎಲ್ಲ ಯೋಜನೆಗಳ ದೊಡ್ಡ ಪಟ್ಟಿ — ಸುಮಾರು 111 ಲಕ್ಷ ಕೋಟಿ. ಒಂದು ಇಲಾಖೆ ಹೊಸ ರಸ್ತೆ ಹಾಕಿದರೆ ಇನ್ನೊಂದು ಇಲಾಖೆ ಅದನ್ನು ಅಗೆದು ಪೈಪ್ ಹಾಕುತ್ತಿತ್ತು — ಮನೆಯಲ್ಲಿ ಒಬ್ಬರು ಗೋಡೆಗೆ ಬಣ್ಣ ಹಚ್ಚಿದ ಮೇಲೆ ಇನ್ನೊಬ್ಬರು ವೈರಿಂಗ್‌ಗಾಗಿ ಗೋಡೆ ಒಡೆದಂತೆ. ಪಿಎಂ ಗತಿ ಶಕ್ತಿ ಎಲ್ಲ ಇಲಾಖೆಗಳ ಯೋಜನೆಗಳನ್ನು ಒಂದೇ ಡಿಜಿಟಲ್ ನಕ್ಷೆಯಲ್ಲಿ ತರುತ್ತದೆ. ಲಾಜಿಸ್ಟಿಕ್ಸ್ ನೀತಿ ಸರಕು ಸಾಗಣೆ ವೆಚ್ಚ ಇಳಿಸಲು ಯತ್ನಿಸುತ್ತದೆ. (→ English: National Infrastructure Pipeline · PM Gati Shakti · हिन्दी: राष्ट्रीय अवसंरचना पाइपलाइन · पीएम गति शक्ति)

In exam EnglishPlanning has shifted from single projects to national pipelines. The National Infrastructure Pipeline (NIP), announced on 31 December 2019 and enlarged in its task force's final report of 2020, listed projects worth about Rs 111 lakh crore for 2019-20 to 2024-25, with energy, roads, urban infrastructure and railways taking most of the amount; the Centre and the states were each to fund roughly two-fifths and the private sector about a fifth. Because ministries often planned their projects in isolation, the PM Gati Shakti National Master Plan, launched on 13 October 2021, placed them on one GIS-based digital map shared by ministries and states. The National Logistics Policy of 17 September 2022 aims to bring the cost of moving goods down to global benchmarks and to place India among the top 25 countries in the World Bank's Logistics Performance Index by 2030.

ಬ್ಯಾಂಕಿನಲ್ಲಿ ನಾವು ಇಡುವ ಠೇವಣಿಯನ್ನು ಎರಡು ಮೂರು ವರ್ಷದಲ್ಲಿ ತೆಗೆಯಬಹುದು. ಆದರೆ ರಸ್ತೆ ಸಾಲ ಇಪ್ಪತ್ತು ವರ್ಷದ್ದು. ಸಣ್ಣ ಕೊಡದಿಂದ ದೊಡ್ಡ ತೊಟ್ಟಿ ತುಂಬಿಸುವಾಗಲೇ ಕೊಡ ಹಿಂದಿರುಗಿಸಬೇಕಾದಂತೆ. ಈ ಹೊಂದಾಣಿಕೆಯ ಕೊರತೆಯಿಂದಲೇ 2010ರ ದಶಕದಲ್ಲಿ ಬ್ಯಾಂಕುಗಳ ವಸೂಲಾಗದ ಸಾಲ ಹೆಚ್ಚಿತು. ಪರಿಹಾರವಾಗಿ ದೀರ್ಘಾವಧಿ ಹಣ ಕೊಡುವ ವಿಶೇಷ ಸಂಸ್ಥೆಗಳು: NIIF (2015, ಸರ್ಕಾರದ ಪಾಲು 49 ಶೇಕಡಾ, ಉಳಿದದ್ದು ಪಿಂಚಣಿ ನಿಧಿಯಂತಹ ಹೂಡಿಕೆದಾರರು), NaBFID (2021ರ ಕಾಯ್ದೆ) — ಇದು ಅಭಿವೃದ್ಧಿ ಹಣಕಾಸು ಸಂಸ್ಥೆ, ಸರ್ಕಾರದ ಪಾಲು ಕನಿಷ್ಠ 26 ಶೇಕಡಾ. (→ English: development finance institution · NaBFID · हिन्दी: विकास वित्त संस्था · एनएबीएफआईडी)

In exam EnglishPaying for all this is the hardest part. Banks raise money mostly as deposits that savers can withdraw within a few years, yet infrastructure loans run for fifteen to twenty-five years. This asset-liability mismatch, together with stalled projects, left banks with heavy bad loans in the 2010s. The response has been to build specialised long-term lenders and investors. The National Investment and Infrastructure Fund (NIIF), set up in 2015 as an investment fund registered with SEBI, pools money from the government, which holds 49 per cent, and from domestic and foreign investors such as pension and sovereign wealth funds. The National Bank for Financing Infrastructure and Development (NaBFID), created by the NaBFID Act, 2021, is a development finance institution that lends to infrastructure and helps develop the market for long-term bonds; the Act requires the Centre to hold at least 26 per cent of its shares.

ಮೂಲಸೌಕರ್ಯ ಹೂಡಿಕೆ ಟ್ರಸ್ಟ್ ಎಂದರೆ 'ಜಂಟಿ ಮಾಲೀಕ'ನಂತೆ: ಅನೇಕರು ಸ್ವಲ್ಪ ಸ್ವಲ್ಪ ಹಣ ಹಾಕಿ, ಟೋಲ್ ಬರುವ ರಸ್ತೆಯನ್ನು ಒಟ್ಟಾಗಿ ಸ್ವಂತ ಮಾಡಿಕೊಳ್ಳುತ್ತಾರೆ; ಬರುವ ಆದಾಯದ ಕನಿಷ್ಠ 90 ಶೇಕಡಾ ಅವರಿಗೇ ಹಂಚಲಾಗುತ್ತದೆ. REIT ಅದೇ ವಿಧಾನ, ಆದರೆ ಬಾಡಿಗೆ ಬರುವ ಕಚೇರಿ ಕಟ್ಟಡಗಳೊಂದಿಗೆ. ಆಸ್ತಿ ನಗದೀಕರಣ ಎಂದರೆ ಮಾರುವುದಲ್ಲ — ನಮ್ಮ ಖಾಲಿ ಮನೆಯನ್ನು ಕೆಲವು ವರ್ಷ ಬಾಡಿಗೆಗೆ ಕೊಟ್ಟು ಮುಂಗಡ ಪಡೆದಂತೆ; ಮನೆ ನಮ್ಮದೇ, ಅವಧಿ ಮುಗಿದ ಮೇಲೆ ಹಿಂದಿರುಗುತ್ತದೆ, ಭೂಮಿ ಮಾರುವುದಿಲ್ಲ. (→ English: infrastructure investment trust · asset monetisation · हिन्दी: अवसंरचना निवेश न्यास · परिसंपत्ति मुद्रीकरण)

In exam EnglishTwo market instruments let ordinary investors fund finished assets. An infrastructure investment trust (InvIT) and a real estate investment trust (REIT), both governed by SEBI regulations of 2014, work like mutual funds that own income-earning assets: an InvIT holds toll roads, transmission lines or pipelines, while a REIT holds rent-earning commercial property such as office parks. Investors buy units that trade on the stock exchange, and the trust must pass at least 90 per cent of its net distributable cash flow to them. The same idea drives asset monetisation. The National Monetisation Pipeline, released by NITI Aayog on 23 August 2021, estimated about Rs 6 lakh crore from leasing brownfield central assets, such as roads, railway stations, power lines and gas pipelines, over 2021-22 to 2024-25. Ownership stays with the government, the assets return at the end of the lease, and land is not sold.
Institutions and instruments for long-term infrastructure finance
NameBasis and yearWhat it does
NIIFInvestment fund registered with SEBI, 2015Pools money from the government (49%) and domestic and foreign investors
NaBFIDNaBFID Act, 2021Development finance institution lending to infrastructure; Centre holds at least 26%
InvITSEBI regulations, 2014Trust owning income-earning infrastructure; listed units; at least 90% of net distributable cash flow paid out
REITSEBI regulations, 2014Trust owning rent-earning commercial property; same payout rule
National Monetisation PipelineNITI Aayog, 23 August 2021About Rs 6 lakh crore from leasing brownfield central assets, 2021-22 to 2024-25; no sale of ownership or land

ಭಾರತಮಾಲಾ ಎಂದರೆ ರಾಷ್ಟ್ರೀಯ ಹೆದ್ದಾರಿಗಳ ದೊಡ್ಡ ಛತ್ರಿ ಯೋಜನೆ. ಸಾಗರಮಾಲಾ ಬಂದರುಗಳನ್ನು ಆಧುನೀಕರಿಸಿ ಒಳನಾಡಿಗೆ ಜೋಡಿಸುತ್ತದೆ. ಮೀಸಲು ಸರಕು ಕಾರಿಡಾರ್ ಎಂದರೆ ಸರಕು ರೈಲುಗಳಿಗೆ ಮಾತ್ರ ಬೇರೆ ಹಳಿ — ಬಸ್ ನಿಲ್ದಾಣದಲ್ಲಿ ಪ್ರಯಾಣಿಕರ ಬಸ್ಸಿಗೆ ಒಂದು ಸಾಲು, ಲಾರಿಗಳಿಗೆ ಬೇರೆ ದಾರಿ ಇದ್ದಂತೆ, ಯಾರೂ ಯಾರಿಗೂ ಅಡ್ಡಿಯಾಗರು. ಪೂರ್ವ ಕಾರಿಡಾರ್ ಲುಧಿಯಾನಾ ಬಳಿಯಿಂದ ಬಿಹಾರದ ಸೋನ್‌ನಗರದವರೆಗೆ, ಪಶ್ಚಿಮ ಕಾರಿಡಾರ್ ದಾದ್ರಿಯಿಂದ ಮುಂಬೈ ಬಳಿಯ ಜವಾಹರಲಾಲ್ ನೆಹರೂ ಬಂದರಿನವರೆಗೆ. ಸಣ್ಣ ಊರುಗಳಿಗೆ ವಿಮಾನ ಟಿಕೆಟ್ ಅಗ್ಗವಾಗಿರಲು ಉಡಾನ್ ವಿಮಾನ ಕಂಪನಿಗಳಿಗೆ ನೆರವು ನೀಡುತ್ತದೆ. (→ English: dedicated freight corridor · UDAN · हिन्दी: समर्पित माल गलियारा · उड़ान)

In exam EnglishSeveral large transport programmes fill the pipeline. Bharatmala Pariyojana, approved in 2017, is the umbrella programme for national highways, covering economic corridors, border and coastal roads and expressways. Sagarmala, approved in 2015, aims at port-led development: modernising ports, linking them to the hinterland and growing coastal shipping and industry. The dedicated freight corridors, built by the Dedicated Freight Corridor Corporation of India, separate goods trains from passenger traffic: the Eastern corridor runs from near Ludhiana in Punjab to Sonnagar in Bihar, and the Western corridor from Dadri near Delhi to the Jawaharlal Nehru Port near Mumbai. UDAN ('Ude Desh ka Aam Nagrik'), the regional connectivity scheme launched in 2016, gives airlines a subsidy, itself called viability gap funding, and other concessions so that flights to small and unserved airports stay affordable.

ವಿದ್ಯುತ್ ಸಮವರ್ತಿ ಪಟ್ಟಿಯಲ್ಲಿದೆ — ಅಂದರೆ ಕೇಂದ್ರ ಮತ್ತು ರಾಜ್ಯ ಇಬ್ಬರೂ ಕಾನೂನು ಮಾಡಬಹುದು. 2003ರ ವಿದ್ಯುತ್ ಕಾಯ್ದೆ ಉತ್ಪಾದನೆ, ಸಾಗಣೆ, ಮನೆಮನೆಗೆ ವಿತರಣೆ — ಈ ಮೂರು ಕೆಲಸಗಳನ್ನು ಬೇರ್ಪಡಿಸಿತು. ಹಾಲು ಕರೆಯುವವನು, ಟ್ಯಾಂಕರಿನಲ್ಲಿ ತರುವವನು, ಮನೆಗೆ ಹಾಕುವವನು ಬೇರೆಬೇರೆ ಇದ್ದಂತೆ; ಕೊನೆಯವರಾದ ವಿತರಣಾ ಕಂಪನಿಗಳೇ ಇನ್ನೂ ನಷ್ಟದಲ್ಲಿವೆ. 2030ರೊಳಗೆ ಅರ್ಧ ವಿದ್ಯುತ್ ಸಾಮರ್ಥ್ಯ ಕಲ್ಲಿದ್ದಲು ಅಲ್ಲದ ಮೂಲಗಳಿಂದ ಬರಬೇಕೆಂಬ ಗುರಿ; ಜುಲೈ 2025ರ ಹೊತ್ತಿಗೆ ಅದು 50 ಶೇಕಡಾ ತಲುಪಿತು. ಭಾರತ್‌ನೆಟ್ ಪ್ರತಿ ಗ್ರಾಮ ಪಂಚಾಯಿತಿಗೆ ಇಂಟರ್ನೆಟ್ ತಂತಿ ಹಾಕುತ್ತಿದೆ. (→ English: Concurrent List · BharatNet · हिन्दी: समवर्ती सूची · भारतनेट)

In exam EnglishEnergy and digital networks are the other pillars. Electricity is a subject in the Concurrent List, so both Parliament and the state legislatures make laws on it. The Electricity Act, 2003 separated generation, transmission and distribution, removed the licence requirement for most new generating plants and set up regulatory commissions at the Centre and in the states; the weakest link remains state distribution companies, whose losses keep recurring. On clean power, India's updated climate pledge of August 2022 promised that half of installed power capacity would be non-fossil by 2030; the Ministry of New and Renewable Energy reported in July 2025 that this share had already reached 50 per cent. BharatNet, which began in 2011 as the National Optical Fibre Network, is taking broadband to every gram panchayat, funded through the Digital Bharat Nidhi, the new name under the Telecommunications Act, 2023 for the Universal Service Obligation Fund.

ಇಡೀ ಅಧ್ಯಾಯ ಒಂದೇ ಕಥೆ: ಕೈಗಾರಿಕೆಯಲ್ಲಿ ಸರ್ಕಾರ 'ಅನುಮತಿ ಕೊಡುವ ಅಧಿಕಾರಿ'ಯಿಂದ 'ನಿಯಮ ಹಾಕುವ, ಪ್ರೋತ್ಸಾಹಿಸುವ' ಪಾತ್ರಕ್ಕೆ ಬದಲಾಯಿತು; ಮೂಲಸೌಕರ್ಯದಲ್ಲಿ 'ಎಲ್ಲವನ್ನೂ ತಾನೇ ಕಟ್ಟುವ' ಪಾತ್ರದಿಂದ ಖಾಸಗಿಯವರೊಂದಿಗೆ ಹೊರೆ ಹಂಚಿಕೊಳ್ಳುವ ಪಾತ್ರಕ್ಕೆ ಬದಲಾಯಿತು. ಸಾರ್ವಜನಿಕ-ಖಾಸಗಿ ಸಹಭಾಗಿತ್ವ ಚೆನ್ನಾಗಿ ನಡೆಯಲು ಒಂದೇ ನಿಯಮ: ಯಾವ ಅಪಾಯವನ್ನು ಯಾರು ಚೆನ್ನಾಗಿ ನಿಭಾಯಿಸಬಲ್ಲರೋ ಅವರಿಗೇ ಅದನ್ನು ಕೊಡಬೇಕು — ಮನೆ ಕಟ್ಟುವಾಗ ಗುಣಮಟ್ಟ ಮೇಸ್ತ್ರಿಯ ಹೊಣೆ, ಅನುಮತಿಗಳು ಮಾಲೀಕನ ಹೊಣೆ. ಈ ಹಂಚಿಕೆ ತಪ್ಪಿದಾಗಲೇ ಹಳೆಯ ಯೋಜನೆಗಳು ನಿಂತುಹೋದವು. (→ English: public-private partnership · risk sharing · हिन्दी: सार्वजनिक-निजी भागीदारी · जोखिम का बँटवारा)

In exam EnglishTaken together, the chapter traces a change in how the state relates to the economy. In industry it stopped licensing and began regulating and offering incentives; in infrastructure it moved from building everything through EPC contracts to sharing risk with private partners through BOT, HAM and TOT, filling gaps with viability gap funding, and recycling the value of finished assets through InvITs and monetisation. Running through every model is one test of a sound public-private partnership: each risk should sit with the party best able to manage it, construction risk with the builder and traffic or policy risk often with the state, and getting that split wrong is what stalled many projects in the past.

Exam traps

Recap

Practice questions

Q1. Under the hybrid annuity model for highway projects, what share of the project cost does the government pay during construction?

  1. 20 per cent
  2. 40 per cent
  3. 60 per cent
  4. 100 per cent
Show answer

Answer: B. 40 per cent

The government pays 40 per cent in instalments during construction and the developer arranges 60 per cent. 20 per cent is the Centre's ceiling under viability gap funding, a different scheme; 60 per cent is the developer's share; 100 per cent describes an EPC contract.

Q2. Consider the following statements:
1. Under the toll-operate-transfer model, a private investor pays an upfront lump sum for the right to collect tolls on a highway that is already built.
2. Under the build-operate-transfer (annuity) model, the private concessionaire bears the traffic risk.
Which of the statements given above is/are correct?

  1. 1 only
  2. 2 only
  3. Both 1 and 2
  4. Neither 1 nor 2
Show answer

Answer: A. 1 only

Statement 1 is correct: TOT monetises finished, toll-earning roads. Statement 2 is wrong: under BOT (annuity) the government collects tolls and pays a fixed annuity, so it bears the traffic risk; the concessionaire bears it under BOT (toll). So '2 only', 'Both' and 'Neither' are wrong.

Q3. With reference to the National Monetisation Pipeline, consider the following statements:
1. It involves transferring the ownership of public assets to private parties.
2. It covers brownfield assets that are already built.
3. It was prepared by NITI Aayog.
Which of the statements given above are correct?

  1. 1 and 2 only
  2. 2 and 3 only
  3. 1 and 3 only
  4. 1, 2 and 3
Show answer

Answer: B. 2 and 3 only

Statements 2 and 3 are correct: NITI Aayog released the pipeline on 23 August 2021 for brownfield central assets. Statement 1 is wrong: assets are leased, ownership stays with the government and land is not sold. Every option containing statement 1 is therefore wrong.

Q4. Match List I with List II:
List I
A. NaBFID
B. NIIF
C. InvIT
D. Viability gap funding
List II
1. Statutory development finance institution created in 2021
2. SEBI-registered fund set up in 2015 with a 49 per cent government stake
3. Trust whose units trade on stock exchanges and which owns income-earning infrastructure
4. One-time capital grant to PPP projects
Select the correct answer using the code given below:

  1. A-1, B-2, C-3, D-4
  2. A-2, B-1, C-3, D-4
  3. A-1, B-2, C-4, D-3
  4. A-2, B-1, C-4, D-3
Show answer

Answer: A. A-1, B-2, C-3, D-4

NaBFID is the statutory DFI of 2021 (A-1), NIIF the 2015 fund with a 49 per cent government stake (B-2), an InvIT a listed trust owning infrastructure (C-3) and VGF a capital grant (D-4). The second and fourth codes swap NaBFID and NIIF; the third and fourth swap InvIT and VGF.

Q5. Which one of the following regulates infrastructure investment trusts (InvITs) and real estate investment trusts (REITs) in India?

  1. Reserve Bank of India
  2. Securities and Exchange Board of India
  3. Insurance Regulatory and Development Authority of India
  4. NITI Aayog
Show answer

Answer: B. Securities and Exchange Board of India

InvITs and REITs are governed by SEBI regulations of 2014 because their units are securities traded on stock exchanges. The RBI regulates banks and NBFCs, IRDAI regulates insurers, and NITI Aayog is a policy body that prepared the monetisation pipeline but regulates no market.

Q6. Consider the following statements:
1. PM Gati Shakti National Master Plan is a GIS-based digital platform for the coordinated planning of infrastructure across ministries.
2. The National Logistics Policy aims to place India among the top 10 countries in the Logistics Performance Index by 2030.
Which of the statements given above is/are correct?

  1. 1 only
  2. 2 only
  3. Both 1 and 2
  4. Neither 1 nor 2
Show answer

Answer: A. 1 only

Statement 1 is correct: Gati Shakti (13 October 2021) puts the plans of different ministries on one shared map. Statement 2 is wrong: the 2022 policy's target is the top 25, not the top 10. So '2 only', 'Both' and 'Neither' are wrong.

Q7. Under the viability gap funding scheme of 2006, the Central government's grant to an ordinary PPP infrastructure project can be at most what share of the total project cost?

  1. 10 per cent
  2. 20 per cent
  3. 40 per cent
  4. 50 per cent
Show answer

Answer: B. 20 per cent

The Centre can give up to 20 per cent, and the sponsoring authority up to another 20 per cent. 40 per cent is the combined ceiling from both, not the Centre's share; 10 and 50 per cent do not match the scheme. Certain social sector projects can get up to 30 per cent from the Centre since 2020, but the question asks about an ordinary project.

Q8. Consider the following statements:
1. Electricity is a subject in the Concurrent List of the Seventh Schedule.
2. The Western Dedicated Freight Corridor links Dadri with the Jawaharlal Nehru Port.
3. BharatNet began as the National Optical Fibre Network.
How many of the above statements are correct?

  1. Only one
  2. Only two
  3. All three
  4. None
Show answer

Answer: C. All three

All three are correct: electricity is in the Concurrent List, the Western corridor runs from Dadri near Delhi to the Jawaharlal Nehru Port near Mumbai, and BharatNet grew out of the National Optical Fibre Network begun in 2011. So 'Only one', 'Only two' and 'None' are wrong.

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Sources