Cabinet gives nod to urban transport policy

The Cabinet today approved the National Urban Transport Policy and the agreement between India and Kuwait for avoidance of double taxation and prevention of income tax evasion.

The Cabinet, however, did not take up the mega power policy. "This issue was not discussed," Defence Minister Pranab Mukherjee told reporters after the Cabinet meeting.

"The objective of the national urban transport policy is to ensure safe, affordable, quick, comfortable, reliable and sustainable access for the growing number of city residents to jobs, education, recreation," Mukherjee said.

On the agreement with Kuwait, Mukherjee said, "It would stimulate flow of investment, technology and services from India to Kuwait and vice versa".

The Cabinet also gave its approval the recommendations of the Group of Ministers on Metro Rail systems within municipal areas. As per the GoM's recommendations, the operation and maintenance of Metro Rail Systems within municipal areas will be legislated upon by the state governments concerned. The choice of rail will also be decided by the states.

The Cabinet also approved withdrawal of the Arbitration and Conciliation Bill, 2003, Mukherjee said.

It further approved implementation of the Supreme Court order for disbursement of pro-rate additional compensation on 1:1 basis to Bhopal gas victims by providing necessary funds to meet the shortfall in the settlement.

Meanwhile, the Cabinet Committee on Economic Affairs, which also met today, gave its approval to ICIC Venture Funds Management Company Ltd for raising $ 750 million upto 75 per cent of the corpus of the fund by way of issue capital on a repatriable basis from NRIs, Persons of Indian Origin and foreign investors.

The CCEA also gave its approval for enhancement of project outlay and continuation of Central Project Management Unit (CMPU) and State Project Management Units for winding up activities of the World Bank Assisted Integrated Chile Development Services Project III.

It also approved the six-laning of Vadora to Surat on a Build-Operate and Transfer (BOT) basis.

The CCEA also approved the sanctioning of the Ashok Expansion Opencast Project of Central Coalfields Ltd at an incremental investment of Rs 471.66 crore and an incremental completion cost Rs 553.89 crore with the option of outsourcing of coal production and cola loading and transportation and departmental implementation of overburden removal (OBR) and coal handling plant.