The ministry of corporate affairs (MCA) today batted for more state participation in the working of the proposed cabinet committee on investment (CCI), which, once functional, will fast-track clearance for big-ticket infrastructure projects.
The Cabinet on December 13 cleared the proposal to set up CCI, to be chaired by Prime Minister Manmohan Singh. The panel will quicken decisions on mega infrastructural projects involving investments of Rs 1,000 crore or more.
It was finance minister P Chidambaram who first mooted the idea of setting up such a body under the name of national investment board (NIB).
“Though the Centre has cleared NIB, I would like to take state governments’ into consideration on this, so that ultimately, India becomes a favourable destination for investors,” corporate affairs minister Sachin Pilot said here today.
According to reports, investments worth Rs 2 lakh crore in road, power and mining sectors are stuck at various stages of clearances. Earlier, there were concerns raised by the environment ministry and also the ministry of mines over this, while critics had highlighted the absence of state participation in the panel.
The panel will ensure that all concerned ministries will sit together for ensuring clearances of big-ticket projects.
“Most projects are stuck at the state level. However, this body is not to override the powers of the state. This body, headed by the prime minister, will only act as a nodal agency to speed up the projects and in the next few months, we are going to see the fruits,” Pilot added.
To give a further push to reform measures, along with this panel, the Union Cabinet had also cleared the new Land Acquisition Bill last week.
According to the Land Acquisition, Rehabilitation and Resettlement Bill, the consent of at least 70 per cent of land owners is needed for projects in public-private partnership, while 80 per cent consent would be necessary for private projects. This is also likely to be tabled in Parliament this week.
