Infra & investment in FY17: Revival of airports waiting to take off

As the finance minister gears up to present the Union Budget for the new financial year, Business Standard scans the 2016-17 Budget speech for a status check on key announcements made by Finance Minister Arun Jaitley last year regarding the infrastructure sector and assesses how much has been achieved.

Amendments in the Motor Vehicles Act and open up the road transport sector in the passenger segment

Status: The Motor Vehicles (Amendment) Bill was first introduced in the Lok Sabha in August 2016 and has been with a parliamentary standing committee since then. According to the draft, violators of licensing rules would be penalised with fines of up to Rs 1 lakh.

In the civil aviation sector, drawing up an action plan for revival of unserved and underserved airports. Centre to partner the state governments to develop some of these airports for regional connectivity. Similarly, 10 of the 25 non-functional air strips with the Airport Authority of India will also be developed

Status: The civil aviation ministry has unveiled its regional connectivity policy to revive 43 existing but unused airports in the first phase. As of January 25 two new airports have been added to the list of revived and functional airports: Kanpur and Bathinda.

A Public Utility (Resolution of Disputes) Bill will be introduced during 2016-17

Status: The Bill has not been introduced so far. 

Guidelines for renegotiation of PPP Concession Agreements will be issued

Status: Guidelines for renegotiation of concession agreements have not been introduced so far.

A new credit rating system for infrastructure projects that lays emphasis on various in-built credit enhancement structures will be developed

Status: Rating agencies, ICRA and Crisil have come out with a new credit rating framework for infrastructure projects. The framework has been developed in consultation with the Ministry of Finance and other stakeholders. Also read (click on the name to read about the sector): Financial sector, social sector, tax & ease of doing business, rural sector