Public-Private-Partnership framework needs to be reoriented: Power Minister

He said the initiatives will encourage industrialists, entrepreneurs to bring investments in real estate, PPP

The entire Public-Private-Partnership framework needs to be reoriented to make it more investor friendly, Power Minister Piyush Goyal said today.

"PPP model has tremendous potential and Prime Minister Narendra Modi had in fact spoken about adding 'people' perspective to it. So now it has become Public-Private-People-Partnership," Goyal said while addressing Happening Haryana Global Investors Summit at Gurgaon.

He further said: "I would like to compliment Chief Minister Manohar Lal Khattar for having come out with progressive policies like the Transit Oriented Development Policy, New & Integrated Licensing Policy and the Deen Dayal Jan Awas Yojna and TDR- which will give great impetus to Haryana."

The initiatives will, in the long run, encourage respected industrialists and new breed of entrepreneurs to bring investments in the real estate sector and PPP mode, he said.

If India has to develop at the kind of pace that is expected, and provide bare necessities to its people by 2022, then clearly the 'PPP' model is unavoidable, he said.

It will be the engine of growth in the infrastructure sector and together "we will have to evolve the right regulatory framework which should be simple and predictable", he added.

Goyal also suggested that penalty should be a two sided affair in PPP model and not just restricted to the private body as partnership means sharing the fruits of development as well as the losses.

He said: "I suggest that any framework we create should provide penalty for private sector and the other side. One must not forget to address the delays in providing the utilities which are necessary for the success of any project."

Goyal added that the Prime Minister believes in the Japanese way of working of planning well and creating the institutional framework around the plans, even though it may take a little more time.

The minister said that about last two years of the current government have been well spent in creating the basic infrastructure and "will hold India a good stead, will help us to take our country to completely new paradigm of growth".