Centre clears trunk infra components under DMIC

The Centre today cleared development of trunk infrastructure components as part of phase-II development of the Shendra Bidkin Industrial Area in Maharashtra under DMIC project for Rs 6,414.21 crore.
The Cabinet Committee on Economic Affairs, chaired by Prime Minister Narendra Modi approved construction of trunk infrastructure 31.79 sq km (3,179.20 hectare).
The CCEA also approved investment of Rs 2,397.2 crore as equity of DMIC Trust in the City/ Node SPV in a phased manner, and issuance of EPC tenders for selection of contractors for various packages of trunk infrastructure in a phased manner.
The trunk infrastructure components are roads and utility services; pipe line from Jayakwadi Dam to Bidkin and Water Treatment Plant, ICT works; Sewage Treatment Plant (STP) and Common Effluent Treatment Plant, Solid Waste Management (SWM); and Area Landscaping for Bidkin.

"Development of trunk infrastructure in Phase-II (Bidkin Region) of SBIA will be undertaken in three phases commencing from FY 2016-17 and is likely to be completed by FY 2020-21," an official release said.
As per the institutional and financial structure approved by the Government of India for DMIC project, land for the project will be contributed by the state government as their equity.

DMIC Trust will implement various trunk infrastructure components subject to a ceiling of Rs 3,000 crore. Out of this, an equity of Rs 602.80 crore has already been released for phase I earlier by the DMIC Trust.

Balance Rs 2,397.20 crore will be released for phase 2 of Part I. The value of land brought in by the State Government would be the equity contribution of the State Government.
The balance funding required for the trunk infrastructure shall be met from the internal accruals of the SPV/ debt raised by the SPV as may be required.
The 31.79 sq km of land for Bidkin Industrial Area has been acquired by Maharashtra Industrial Development Corporation (MIDC) and is in possession of MIDC.
The DMIC project is being implemented jointly by the Government of India and the respective state governments.

Investment Regions/ Industrial Areas have been identified for development, across six states namely Gujarat, Haryana, Madhya Pradesh, Maharashtra, Rajasthan and Uttar Pradesh.