Project tracking cell has more to do now

The Narendra Modi government is set to widen the ambit of a cell set up in the Cabinet Secretariat in June 2013 to monitor and facilitate stalled investment projects worth Rs 1,000 crore and more.

The government has asked the project monitoring group to not only pave the way for clearances but also see that they are implemented. "The idea is smoke should start billowing from the chimney," said Anil Swarup, additional secretary in the Cabinet Secretariat, in charge of the group.

The cell's efforts will be visible next month when it puts in place an online tracking mechanism for projects awaiting clearances with the ministries of environment, coal and mining. The system will show where a project is stuck. Specific details will be available only to the project promoters.

ON STANDBY

• Project monitoring group has received 438 stalled projects as on 11 June
• These projects are worth Rs 21.6 lakh crore
• The PMG identified 1,163 issues that stalled these projects
• 155 projects worth Rs 5.5 lakh crore been cleared
• 238 projects worth Rs 11 lakh crore in various stages of clearance
• Online tracking systems for coal, mining, forest & environment projects

Another step is to encourage state governments to put in place their own tracking mechanism. Fourteen states have monitoring groups to facilitate investment projects in the Rs 100-1,000-crore range.

Government sources said the steps were consistent with the Bharatiya Janata Party's (BJP's) manifesto. It had promised to make "decision making on environment clearances transparent as well as time-bound". The manifesto had also committed to put in place "a mechanism that will ensure that the central and state governments work in close coordination and synergy while giving clearances to projects".

During the previous United Progressive Alliance government, which had set up the project monitoring group, the cell restricted itself to ironing out the rough spots in issuing clearances. The department of financial services was responsible for overseeing implementation.

The Modi government has given the group the implementation job as well. "The focus of the government is to encourage economic activity in the power and services sectors. The bottom line is that after clearances such activity should actually take place," Swarup said.

The project monitoring group reports to the Cabinet Committee on Investment and works to bring all ministries and departments on the same page. The decision to give a final clearance rests with the ministry concerned .

The group has received requests for 438 projects worth a combined Rs 21.6 lakh crore till June 11. These involve 1,163 issues relating to various government departments. Officials said 155 projects entailing an investment of Rs 5.50 lakh crore had been cleared through the group. Around 40 projects are under litigation and 20 others are awaiting policy decisions from the Cabinet Committee on Investment.

Around 230 projects worth Rs 11 lakh crore are awaiting clearance. Also, 25-30 projects that have been cleared are yet to take off because of last-minute hitches.

The other job the project monitoring group has been given is to ensure online filing of various requests, so that these too can be monitored. The process of online filing and clearance from the forest department will begin on July 1. "The entire process will be digitised, industrialists can track the movement of their applications," said a senior official who refused to be identified.

Online filing for environmental clearance has already begun and clearance will start from September 1. In the case of mining, the process will begin on November 1. Coal-related clearances will be available by the last quarter of this year.