Page 2 - Infrastructure Sector

458 infra projects hit by cost overrun of Rs 5.71 trillion in May: MoSPI

As many as 458 infrastructure projects, each entailing an investment of Rs 150 crore or above, were hit by a cost overrun of more than Rs 5.71 lakh crore in May this year, according to an official report. According to the Ministry of Statistics and Programme Implementation (MoSPI), which monitors infrastructure projects worth Rs 150 crore and above, out of 1,817 projects, 458 reported cost overruns and 831 projects were delayed. The total original cost of implementation of 1,817 projects was Rs 27,58,567.23 crore, and their anticipated completion cost is likely to be Rs 33,29,647.99 crore, which reflects an overall cost overrun of over Rs 5,71,080.76 (20.70 per cent of original cost), the ministry's latest report for May 2024 showed. According to the report, the expenditure incurred on these projects till May 2024 is Rs 1,707,190.15 crore, which is 51.3 per cent of the anticipated cost of the projects. However, the number of delayed projects decreased to 554, provided the delay is

Budget 2024 expected to boost infra, and logistics with increased capex

Even as the industry wants a 25% increase in capex allocation in the Budget for FY 2024-25 over revised estimates for FY24, experts feel there may be limited capacity to spend on projects

This infra stock has zoomed 80% in 7 days; Quant MF acquired 1.75% stake

OM Infra hit a record high of Rs 174 on rallying 10% on the NSE in Thursday's intra-day trade. The stock has appreciated by 29 % in two days after Quant MF purchased nearly 2% stake in via open market

GPT Infraprojects rises 5% on securing order worth Rs 547 cr from RVNL

The surge came after the company secured an order worth Rs 547 crore from Rail Vikas Nigam Limited (RVNL)

Ind-Ra expects stable operating performance for most infra projects in FY25

India Ratings and Research (Ind-Ra) expects stable operating performance for most infrastructure projects in the current financial year. The rating agency on Thursday maintained its stable outlook on the infrastructure sector, including the transport segment which signifies low chances of rating changes for the sector in the near to medium term. The rating agency assigned a positive outlook on the airport segment which means there are high chances of rating upgrades in the near to medium term. Ind-Ra stated that the stable outlook on the infrastructure sector factors in the likelihood of a stable operating performance for most projects, long-term revenue visibility under concession agreements and power purchase pacts and expected improved cargo and traffic volumes. On the power sector, the rating agency said it expects total capacity installed to reach about 476 GW in FY25 against 440 GW as of March 2024. In a virtual press meet, Bharat Kumar Reddy, Associate Director at India ..

India sends 2nd tranche of INR/Nu 5 bn to Bhutan for infrastructure project

Notably, the first tranche of INR/Nu Five billion was released on January 28, 2024

Competition status quo to stay amid PNGRB notice: Industry experts

Petroleum and Natural Gas Regulatory Board (PNGRB) in a public notice said the infrastructure exclusivity granted to geographical areas in Mumbai and Greater Mumbai have expired

PE/VC exits surge 36% to $24.8 bn in 2023 amid declining investments

The infrastructure sector emerged as the leader, attracting $11.6 billion in investments in 2023, while traditional favorites such as financial services and technology witnessed a decline

Incentives for tech, infra needed to develop critical mineral sector: GTRI

Measures such as fiscal incentives, investments in technology and infrastructure, mining operations abroad and conducive regulatory environment are a must for developing India's critical mineral sector, a report by think tank GTRI said on Monday. The Global Trade Research Initiative (GTRI) said in its report that India is focusing on developing its critical mineral sector as it is vital for high-tech and renewable energy technologies. At present, India depends on imports, particularly from countries like China, Congo, Chile, Indonesia, South Africa, Argentina, Vietnam, US, Canada and Australia. Critical minerals such as lithium, chromium, cobalt, antimony, arsenic, barite, beryllium, bismuth, cesium, fluorspar, gallium, germanium, graphite, hafnium, and others are indispensable for modern technologies. They are integral to the manufacturing of various high-tech applications, including mobile phones, flat-screen monitors, wind turbines, electric vehicles (EVs), solar panels, drones,

Reliance Infra Q3 results: Net loss widens to Rs 421 cr on higher expenses

Reliance Infrastructure Ltd on Friday reported widening of consolidated net loss to Rs 421.17 crore in the December quarter, due to higher expenses. It had clocked a net loss of Rs 267.46 crore in the year-ago period, the company said in an exchange filing. The company's total income, however, rose to Rs 4,717.09 crore from Rs 4,224.64 crore in the same period a year ago. Its expenses surged to Rs 5,068.71 crore from Rs 4,840.87 crore in the third quarter of the previous fiscal. Reliance Infrastructure is engaged in the business of providing engineering and construction services for power, roads, metro rail, and other infrastructure sectors.

Elections, infrastructure push to boost consumption: Nestle India CMD

Narayan said consumer market sees polarities of booming premiumisation and tepid demand for mainstream products

Govt should focus on capital expenditure in interim Budget: Former NITI VC

Former NITI Aayog vice chairman Rajiv Kumar on Wednesday said the government needs to continue its focus on capital expenditure in the upcoming interim budget, as private investment is 'still weak' and there is a need to bridge infrastructure gap, which has been 'plaguing' the Indian economy. Kumar noted that increase in capital expenditure during the Modi government period is showing results in terms of the much better quality of the infrastructure and this was needed to make Indian industry globally competitive. He said because of rising indirect tax revenues and also the widening direct tax base, the finance minister will also achieve fiscal consolidation targets. "The capex thrust will continue because the private investment still remains a bit weak. And also, we need to overcome the infrastructure deficit that has plagued our economy and also the logistics cost, which are very high and can only be covered by rising public capital expenditure" he told PTI in an ...

As many as 431 infra projects show cost overrun of Rs 4.82 trillion in Dec

As many as 431 infrastructure projects, each entailing an investment of Rs 150 crore or more, were hit by cost overrun of more than Rs 4.82 lakh crore in December 2023, an official report stated. According to the Ministry of Statistics and Programme Implementation (MoSPI), which monitors infrastructure projects worth Rs 150 crore and above, out of 1,820 projects, 431 reported cost overrun and 848 projects were delayed. "Total original cost of implementation of the 1,820 projects was Rs 25,87,066.08 crore and their anticipated completion cost is likely to be Rs 30,69,595.88 crore, which reflects overall cost overruns of Rs 4,82,529.80 crore (18.65 per cent of original cost)," the ministry's latest report for December 2023 said. According to the report, the expenditure incurred on these projects till December 2023 is Rs 16,26,813.80 crore, which is 53 per cent of the anticipated cost of the projects. However, it stated that the number of delayed projects decreased to 638, if delay is

PM GatiShakti helping in better planning of infrastructure projects: Goyal

Commerce and Industry Minister Piyush Goyal on Wednesday said the interconnectivity of data layers is helping in better planning, monitoring, and implementation of infrastructure projects through PM GatiShakti. Speaking at the Vibrant Gujarat Global Summit 2024 at Gandhinagar, the minister said that delayed infrastructure projects lead to cost overruns, affecting citizens' finances. He noted the significant contribution of PM GatiShakti for faster, more efficient, and cost-effective infrastructure development to deliver maximum benefits to citizens. The PM GatiShakti initiative was launched to develop an integrated infrastructure to reduce logistics costs. Citing the Mumbai Trans Harbour Link project, Goyal highlighted the immense benefit that the PM GatiShakti initiative has brought to the efficient planning of large-scale infrastructure development projects.

Centre issues Rs 5,488 cr additional instalment of tax devolution to Bengal

West Bengal has received Rs 5,488.88 crore as additional instalment of tax devolution by the Centre. On Friday, the Centre had disbursed Rs 72,961.21 crore to all states as tax devolution for funding various social welfare measures and infrastructure development schemes. This comes in addition to the tax devolution instalment due to states on January 10, 2024, the government said. The Centre disburses tax devolution funds in 14 yearly instalments. In the latest allocation, Uttar Pradesh received the largest share at Rs 13,088.51 crore. This was followed by Bihar (Rs 7,338 crore), Madhya Pradesh (Rs 5,727.44 crore), West Bengal (Rs 5,488.88 crore), Maharashtra (Rs 4,608.96 crore), Rajasthan (Rs 4,396.64 crore) and Odisha ( Rs 3,303.69 crore).

Chennai needs at least 2,000 km more of modern stormwater drains: Official

Ten days after Cyclone Michuang brought more than 50 cm of rain inundating many parts of Chennai, a senior official of Greater Chennai Corporation said the city needs to add at least 2,000 km more of modern stormwater drains with a higher capacity to handle showers of this magnitude. The city currently has around 2,950 km of drains, most of which have an inadequate handling capacity of 2-5 cm per hour, S Rajendiran, GCC chief engineer for stormwater drains (SWD), told PTI. "Chennai has a road length of 5,500 km. At least 5,000 km of drains with higher capacity are required for the city to handle such heavy rains. New drains coming up in the northern, western and southern parts of the city are being built to handle rain precipitation of 7-8 cm/hour," he said. The official was referring to the 767 km of drains being constructed at a cost of Rs 3,520 crore in Kosasthalaiyar river basin (North and West Chennai) and 360 km of drains built in Kovalam river basin (South Chennai) at Rs 1,71

UltraTech Cement to buy Kesoram's cement business in $645 million deal

As a part of the deal, UltraTech will issue one share for every 52 shares of Kesoram and give UltraTech ownership of two integrated cement units in states of Karnataka and Telangana

Eight key infrastructure sectors growth up at 12.1% in October: Govt data

All the sectors except for fertiliser recorded healthy production growth in the month under review

Fischer Group looks to triple turnover in India to Rs 600 cr in 5-7 years

Germany's fischer Group, a major player in fixing systems for the construction industry, plans to treble its turnover in India in the next 5-7 years, tapping the fast growth of the sector in the country, top company officials said on Thursday. The group, which clocked a turnover of around Rs 200 crore last year, will be focussing on infrastructure projects, along with sectors such as energy, industry, and oil and gas, to accelerate its growth in India. "India is one of the most important countries for fischer Group. India is investing and India is growing... we are working on some of the most important construction projects...," fischerwerke GmbH & Co KG Managing Director Business Units & Engineering Oliver Geibig said here in an interaction. The group has five divisions -- fixing systems, automotive, fischertechnik, consulting and electronic solutions. Geibig said the group's focus in the mid-term on India will be on fixing systems for the construction industry. Elaborating ..

Planning for megapolises: What to expect from infra boom in NCR and Mumbai

In time we might see the Indian equivalent of the Greater Bay area of southern China. It may be time to plan ahead for better outcomes than we have seen so far in India's cities, writes T N Ninan