comprehensive integrated master plan for chennai- … integrated master plan for chennai-bengaluru...

Presentation by JICA Study Team

August 2015

Comprehensive IntegratedMaster Plan for Chennai-Bengaluru Industrial CorridorRegion

1 Background

2 Overview of CBIC Region & Growth Potential

3 Masterplan for Selected Nodes

4 Regional Infrastructure Projects

5 Institutional Structure

6 Way Forward

Chennai-Bengaluru Industrial Corridor (CBIC)Overview

PwCAugust 2015

Background

1

Section 1

Industrial Corridors are being planned as the drivers of industrial growthand employment creation to achieve target set in National ManufacturingPlan.

Delhi-MumbaiIndustrialCorridor

Bengaluru-Mumbai Economic

Corridor

Chennai-BengaluruIndustrialCorridor

Amritsar- KolkataIndustrialCorridor

Proposed CoastalEconomic Regionsunder Sagarmala

• ~15% y-o-y growth inmanufacturing sector to achieve25% contribution to GDP by 2022

• 100 million jobs by 2022

• Skill development for inclusivegrowth

• Improved technology orientation& value addition

• Global Competitiveness

• Environmental sustainability

National Manufacturing PlanTargets

DMIC and CBIC are beingsupported by GoI and GoJ.

Key milestones

2011 2012 2013 2014 2015

December 2011

Joint Statement betweenGovernment of

Japan(GOJ) andGovernment of India (GOI)

July to October 2012

Preliminary study on the CBIC regionfrom covering identification of critical

bottlenecks in transportation andenergy sectors. key priority projectswere identified for fast tracking andregular monitoring at the PMO level.

October 2013

Appointment of JICA Study Team( PwC & Nippon Koei ) for

preparation of regional perspectiveplan and master plan for select

identified nodes in CBIC

March 2014

Submission of Regionalperspective plan

September 2014

Submission of DevelopmentPlan for selected Nodes in

CBIC

1

2March 2015

Draft Final Reports coveringMaster plan for 3 selectedNodes in CBIC have been

submitted.

3

4 6

5

PwCAugust 2015

Overview of CBIC Region &

Growth Potential

4

Section 2

PwCAugust 2015

Draft

CBIC Region is anchored by two biggest urban clusters in India. Region boasts of fast

growing industrial and manufacturing ecosystem around Chennai and Bangalore

Section 2 – Overview of CBIC Region & Growth Potential

5

High population density, greater urbanization & literacy rate

Higher propensity of Japanese companies to locate along the corridor:

– 1,229 Japanese entities are located in Tamil Nadu(577), Karnataka(395) andAndhra Pradesh(257). ( in 2014)

– CBIC region currently accounts for 6 % of National GDP

90,059 sq km –2.9% of India

47.5 million –3.73% of India

51% vs. 31% allIndia

78% vs. 73% allIndia

50.8% vs. 46% allIndia

Po

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Ar

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er

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* Chittoor, Anathapur and Nellore are part of CBIC region

KrishnapatnamIndustrial Node

TumakuruNode

Ponneri Node

PwCAugust 2015

Draft

CBIC vision envisages disruptive interventions in hard and soft infrastructureto achieve 15% p.a growth in manufacturing to meet NMP targets

Objectives Goals Key sectors

Thrust to economic growth 12-15% corridor GDP growth for next 2o years•Computer, electronicsand optical products

•Automobiles

•Machinery andElectrical Machinery

•Pharmaceuticals

•Food Processing

•Textiles and Apparels

Global competitivenessBoost exports and value addition in keysectors

Employment creationSkill development & 22 million manufacturingjob creation

Prioritizing sustainabledevelopment

Environmental sustainability and reducedemissions

Thrust to manufacturing andMSME

25% contribution from manufacturing sectorto GDP

Global Manufacturing Centre

“Be known as a global leading manufacturing centre towing

world economic growth and generating national employment

opportunities.”

Top Investment Destination

“Be one of the top three preferred investment destinations in Asia

and the most preferred in India with high efficiency and

competitiveness.”

Leading Innovation Hub

“Be known as the leading innovation hub and knowledge capital

of India through presenting innovative progress in industrial

sector.”

Model of Inclusive Growth

“Exhibit a model of inclusive growth pattern and ensure high

level of environmental standards.”

PwCAugust 2015

Draft

Business Induced Scenario aims to achieve the NMP plan targets in CBIC

Shortterm

Mediumterm

Longterm

BAU

BIS+

4 4 4 5 5 6 6 7 7 8 8 9 10 10 11 12 13 14 16 17

21

-

5

10

15

20

25

30

35

40

20

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34

Corridor GDP in Rs. '000 Bn

7

Rs. 38,000 Bn

Rs. 17,000 Bn

GrowthIndicators

BusinessAs Usual

(BAU)

BusinessInducedScenario

(BIS)

Land demand*37,172acres

166,274acres

Corridor GDPgrowth rate

8-9% 12-13%

Manufacturingsector contributionto GDP

16% 25%

Employment -ManufacturingSector

3 mn 18 mn

PwCAugust 2015

Draft

Potential sectors based on Competitive Advantages, Factors of Productionand Location Benefits identified for each node

Chennai

Dharmapuri

KancheepuramKrishnagiri

Thiruvallur

Tiruvannamalai

Vellore

BangaloreRural

BangaloreUrban

Chikkaballapur

Chitradurga

Kolar

Ramanagara

Tumakuru

Anantapur

Chittoor

Nellore

• Auto

Chennai:

• Pharma• CEO• Chem &

Petrochem• M & EM• Auto

Kancheepuram:

• Pharma• CEO• Textiles• M & EM• Auto

• Auto

Chittoor:

• FoodProcessing

• M & EM• Auto

Krishnagiri:

• MedicalEquipment

• M & EM

Chitradurga:

• Metallurgy

Anantapur:

• Metallurgy• Machinery• Pharma

8

High-tech Manufacturing Hub

• Auto and Auto Components• Computer, Electronics and Optical

Products• Machine Tools• Aerospace• IT

Resource-driven IndustriesHub

• Food Processing• Metallurgy• Electrical equipment• Chemicals & Petrochemical

Engineering Hub

•Auto and Auto Components•Machinery•Chemicals & Petrochemical•Computer, Electronic and OpticalComponents• Tumakuru Node

• Krishnapatnam Node

• Ponneri Node

PwCAugust 2015

Masterplan for Selected Nodes

9

Section 3

Hosur Industrial Area(2,700ha)

12

Eight Nodes have been identified based on land availability and growth

potential. Three Nodes have been selected for prioritised implementation

10

2

1

3

Krishnapatnam IndustrialArea (12,274 Acres)

Ponneri Industrial Area(21,966 Acre)

Tumkur NMIZ(13,293 Acres)

Hindupur

Kalikiri

Mulbagal

HosurBidadi

Holistic Infrastructure Development vision set up to create sustainableeconomic growth through improved industrial competitiveness

Industrial Development is aligned with Node’s traditional strengths andUnique Selling Propositions.

Traditional sectors

Food processing

Metallurgy

Electrical equipment

Chemicals & Petrochemical

Textiles and Apparels

Pharma

Krishnapatnam

Traditional sectors

Auto components

Computer, Electronic and

Optical Components


Pharma

Food processing

Tumakuru

Traditional sectors

Automobiles and auto

components

Chemicals & Petrochemical

Machinery

Computer, Electronic and Optical

Components

Ponneri

Potential sectors

Automobiles

Machinery

Computer, Electronic and Optical

Components

Medical equipment

Potential sectors

Electrical Machinery

Machinery

Chemicals and petrochemical

Metallurgy

Aerospace

Potential sectors

Metallurgy

Electrical machinery


Pharmaceuticals

Medical equipment

Industrial Hub for Resource-

driven Industries

Engineering Hub forAuto & Machinery

Advanced Technology centric

industrial hub north of

Bengaluru

US

Ps

Ex

isti

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Gr

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s

1Ponneri Node,

Tiruvallur District, Tamil Nadu

1

22

33

Ponneri, Tamil Nadu

Krishnapatnam, AP

Tumakuru, Karnataka

Ponneri node is ideally located near Katupalli and KamarajarPorts to serve both domestic and international markets

16

Location

• Located in Tiruvallur District

• 36 km from city center of Chennai

• Adjacent to Kattupalli port and Kamarajar Port

• 10 km from SH 56

• 30 km from NH 5

• Nearest Rail head is at Minjur-5 Km

• 50 Km from Chennai Airport

Connectivity & Accessibility

Kattupalli & KamarajarPorts

Ponneri Node

Chennai Airport

Chennai City Centre

Competitive advantage for Auto & Auto components, Chemicals &Petrochemicals and Machinery sector to be located in Ponneri

• Existing of automobile clusters located in Tamil Nadu. Presence of strong manufacturingbase provide the entire value chain.

• Tamil Nadu has a share of around 21.2% in the total automobile exports from India.• Tamil Nadu is also the 2nd highest state in terms of the number of vehicles registered in India

with a CAGR of 12% in last decade.• Chennai and Ennore ports which are the major automobile export terminals.• Government formulated Tamil Nadu Automobile and Auto Components Policy 2014

to promote competitiveness

Auto and Auto components

• Manali in Tiruvallur district is hub for petrochemical industry.• Tamil Nadu has catered 257 sq.km of land for upcoming PCPIR(Petroleum, Chemicals and

Petrochemicals and Petrochemicals Investment Region)• Presence of value-chain several internationally and nationally renowned

manufacturers, like DCW, CPCL, BASF, SANMAR, ASAHI, etc.• Chemical and petrochemical industry is linked to the growth of auto and textile sector

Chemical and Petrochemical

• Over the past decade, investment to the tune of Rs. 8,582 crore has taken place inTamil Nadu. Existing industry base concentrated in North-eastern part of the state-givingway for an established supply chain.

• Tamil Nadu is one of the leading states in terms of availability of skilled workforce andhosts large number of famous engineering colleges and institutions

Machinery

18

Node masterplan includes trunk and civicinfrastructure

to Chennai

Ponneri Node

Chennai

Logistics hub

to NH-5

Waste Treatment Facility

Phase Area Status

Phase 1 & 2 4,448 AcresLand Available with

Government Agencies

Phase 3

2,718 Acres Existing Port Area

5,667 AcresLand with existing

development/CRZ

9,133 acres Land to be Acquired

Total 21,966 Acres

Projected Demographics (~2025)• Working population: 888,074• Residential Population: 400,000

19

• Widening of NH-5 and Northern PortAccess Road to 6-lanes is proposed

• Connectivity to the north and south will beenhanced by improving SH-104 and SH-2, thegreenfield ORR and the proposed PRR.

External Connectivity is being planned for swift movement of workers andgoods

Chennai CityCentre

Ponneri Node

SH-2

Northern Port AccessRoad

to Nellore 6 lanes

4 lanes

Name of the Project State Cost Status

9Chennai Outer Ring Road(Phase I and Phase II)

Tamil Nadu Rs.2,156 cr 5

10Peripheral Road from Mamallapuramto Ennore

Tamil Nadu Rs.9,057 cr 3

1 Nemmeli WTP II (Seawater Desalination) Tamil Nadu Rs.1,372 cr 3

2 Perur WTP (Seawater Desalination) Tamil Nadu Rs.4,070 cr 3

5New 4 lane elevated road connectingChennai Port and Maduravoyal

Tamil Nadu - 5

1 -Project Conceptualized2 - Feasibility / DPR

under progress3 - Feasibility / DPR

Complete4- Under procurement/Implementation Status

5 - Under construction

PwC

Capacity augmentation of Kamarajar (Ennore) Port is underimplementation

Ennore PortEnnore Port

Chennai PortChennai Port

Projects in Ennore Port

Name of the Project Cost Status

Development of ContainerTerminal 1 at Ennore Port

Rs. 1,270 crore 5

Additional Multi-CargoTerminal Development atEnnore Port

Rs. 140 crore 5





PwC

Roads and railway connectivity projects are under implementation

Slide 21

Note: Alignments shown are for illustrative purposes onlyRailway line Road

A

B

D

C

Name of the Project StateEstimated

CostStatus

ANorthern Port Access Road forconnectivity to Ennore Port

TamilNadu

Rs. 400crore

3

B

Development of Coastal Road to theeast of Container Terminal – II atChennai Port(Strengthening of existing revetmentat eastern seashore of Chennai Port)

TamilNadu

Rs. 50 crore 5

Name of the Project StateEstimated

CostStatus

CRail link to Ennore Port from theNorth of Minjur Railway station onthe Chennai – Gudur line

TamilNadu

Rs. 170 crore 2

DRail link from Avadi toGuduvancherry via Sriperumbudurand Oragadam

TamilNadu

Rs. 1295.81crore

2

A

B

C

D

Road Projects

Railway Projects





PwC

Item

PhaseI

Phase II Phase III

Total %ageUptoFY 19

FY 20-24FY 25

onwards

Land

acquisition9,351 4,158 0 13,509 41%

Land devpmt. 1,735 2,066 1,833 5,633 17%

Roads 1,234 232 1,340 2,806 9%

Railway 96 1 19 116 0%

Water and

Effluent

Treatment

432 458 5,285 6,175 19%

Solid Waste 3 51 335 389 1%

Power

infrastructure68 391 2,475 2,933 9%

Contingency 178 160 564 903 3%

Interest During

Construction217 31 0 249 1%

Total13,31

47,547 11,851 32,713 100%

0

2000

4000

6000

8000

10000

12000

Cumulative Land Offtake(Acres)

Equity,12592,38%

Debt,9814,30%

InternalAccruals,

10307,32%

Capital Structure (Rs. Crore))

Land absorption to take between13-19 years

Ponneri Node has a total equity funding requirement of Rs. 12,249 crores.Further node development will be funded through loans and accruals

2Tumakuru Node,

Tumakuru District, Karnataka

1

2

3

Ponneri, Tamil Nadu

Krishnapatnam, AP

Tumakuru, Karnataka

24

Location of Tumakuru Node

• Located in Tumakuru district

• 80 km from city centre of Bengaluru

• 20 km from Tumakuru city

• 170 km from Mysore city

• 93 km from Bengaluru Airport

Connectivity and Accessibility

• 350 km west of Krishnapatnam port and 360 km west ofEnnore port

• 250 km east of Mangalore port but with constrainedconnectivity

• 105 km from Bengaluru Inland Container Terminal

Tumakuru Node

Tumakuru City

Bengaluru Airport

Bengaluru City Centre

to Mangalore

Ideally located close to Bengaluru economic hub and well connected withnearby Industrial Clusters, Node will derive agglomeration benefits fromregional economic activity

Tumakuru Node has the potential to become globally competitive inElectronics, Auto components, Food Processing sectors

• 80km from Bengaluru, which houses more than 2000 IT companies andapproximately 750 MNCs

• Bengaluru has best institutions and research centers dedicated to Electronics (IISC, ISRO)• Millennium Policy for Electronics System Design & Manufacturing• Tumakuru identified as part of Electronics Manufacturing cluster in under M-SIP(Modified

Special Incentive Package) scheme which provide financial incentive

Computer Electronics & Optical Product

• Presence of major OEM players , Tier I, Tier II suppliers forming the entire valuechain of the industry in proximity of the node at Hoskote, Bidadi and Dharwad.

• Access to 3 ports both Mangalore (west) and Chennai, Ennore and Krishnapatnam Ports(east)

• Tumakuru is strategically located at the centre of fast growing domestic car markets inGujarat, Maharashtra and Tamil Nadu.

• Proximity to R&D base in Bengaluru

Auto and Auto Components

• Tumakuru is major production center of commercial crops- groundnut, areca nuts andother major crops such as Paddy, Ragi, Maize, Cereals & minor millets and pulses.

• Vasanthanarsapura Mega Food Park already established in the Node• GoK formulated Integrated Agribusiness Development Policy 2011.

Food Processing

Sira

Tumakuru

TumakuruNode

Node development plans includes civic and social infrastructureand linkages to brownfield development

Direct connectivity betweenexisting industrial area and newlydevelopment area is enhanced byinterchange

Phase B

Phase A

Phase C

Vasantha Narsapura

Industrial Area

(Brown field)

Tumakuru Node

(Green field)

Phase Area(acres) Status

Vasantha Narsapura Industrial

Area Phase 1,2,33,666

Land Acquired and allotment is in

progress

Tumakuru Node

Phase 4, 5,69,627

Acquisition in progress. Phase 4 land

acquisition process for 1722 acres

complete

Total 13,293

Projected Population (2025~)• Working population:

498,365• Residential Population:

280,000

PwCAugust 2015

8 lanes

6 lanes

4 lanes

• NH-4: Existing 8 lanes highway

• SH-84: Upgraded to 4 – 6 lanes

• Connection to East: Upgraded 4 lanes SH

External Road and Rail Connectivity enhancement are being planned tosupplement existing NH4 and with Satellite Towns around Bengaluru

• Satellite Town Ring Road (STRR)• Individual Town Ring Road (ITRR)• 4 laning project of Dobbespet-

Hoskote Section of NH-207BMRDA

BDA

BBMP

NH-48 (to Hassan)

SH-85 (to Magadi)

Peripheral RingRoad

Name of the ProjectEstimated

CostStatus

Peripheral Ring Road (Bengaluru) Rs. 9,620 3

Satellite Town Ring Road (STRR)Individual Town Ring Road (ITRR)

STRR: Rs.3,060 croreITRR: Rs.2,440 crore

3

4 laning project of Dobbespet-HoskoteSection of NH-207 ( part of STRR)

Rs.720.69Crore

525

PwCAugust 2015

Draft

Item

Phase I Phase II Phase III

Total %ageUpto FY 19 FY 20-24

FY 25onwards

Land

acquisition4,862 0 0 4,862 35%

Land

Development52 163 478 693 5%

Roads 864 290 614 1,768 13%

Railway 68 9 63 140 1%

Water and

Effluent

Treatment

806 608 1,586 3,000 22%

Solid Waste 56 189 927 1,172 9%

Power

infrastructure118 258 584 959 7%

Contingency 197 152 425 773 6%

Interest

During

Construction

138 90 119 347 3%

Total 7,162 1,759 4,795 13,716 100%

0

2000

4000

6000

8000

10000

2015 2020 2025 2030 2035

Cumulative Land offtake(acres)

Equity,4862, 37%

Debt,5394, 40%

Internalcash

generation, 3049,

23%

Capital Structure (Rs. Crore)

Equity funding requirement of Rs.4,862 Crores out of total Investment planof Rs. 13,700 crores is being met by State Government and DIPP

27


3Krishnapatnam Node,

Nellore District, Andhra Pradesh

1

22

3

Ponneri, Tamil Nadu

Krishnapatnam, AP

Tumakuru, Karnataka

Node will leverage it proximity to rapidly developing KrishnapatnamPort and other proximate Industrial Parks at Sricity and Naidupeta

Connectivity

• 10 km from Krishnapatnam Port

• 90 km from Tirupati airport

Location

• Nellore district

• 40 km from Nellore city

• 170 km from city center of Chennai

Nellore City

Naidupeta

Sri City

Krishnapatnam Port

Tirupati airport

Krishnapatnam Node

Growth Drivers for Key Sectors have been identified for KrishnapatnamNode to be a Industrial Hub for Resource-driven Industries

• Nellore district is primary sector intensive., providing high inputs base of rawmaterial such as principal food crops, ground nut, chillies etc. Primary sectorcontributes 29% to GDDP (2010-11)

• Well established food processing sector, contributing the largestmanufacturing output; 58%.

• Food processing has been announced as one of the thrust sectors for AndhraPradesh under Industrial Development Policy 2015-20

• Proximity to KPT port -Favourable location for exports

Food Processing

• A rich mineral base and industrial setup for metallurgy products• Rapidly growing sector – CAGR 41% (2005-2011)• KPT Node is favorably located in immediate vicinity to the Krishnapatnam port.

Metallurgy

• Engineering MSME units are the second largest MSME group present inNellore district (12% in terms of number and 17% in terms of investment),serving as ancillary base

• KPT Industrial Node is favourably located in immediate vicinity to theKrishnapatnam port (imports of raw material) and perspective exports

Electrical Machinery

Krishnapatnam Node is planned to leverageurban centre in nearby Nellore District

Krishnapatnam

Port

Naidupeta

Projected Population (2025~)• Working population: 582,706• Residential Population: 200,000

Phase Area Status

Phase I 5,501 AcresLand available with KPIL andAPIIC

Phase II 8,470 Acres8% acquired, 92% underacquisition

AdditionalLand*

1,697 Acres50% acquired, 50% underacquisition

Total 13,971 Acres Total Land

* Additional land in thenorth (Thamminapatnamvillage) is planned to beincluded as futureexpansion area

PwC

33

External Connectivity for the Node will be augmented through four newroad projects connectivity it to NH5 at multiple locations

to Chennai

KrishnapatnamNode

New road

Nellore

Port access road

Naidupeta

8 lanes

6 lanes

4 lanes

• Adequate access for road traffic in alldirections. Reduce travel time to Chennai vianew 8 lane road through Naidupeta

• LRT from/to Krishnapatnam Node isproposed for commuters from surroundingareas (esp. Nellore City).

PROPOSED ROADSA: Tamminipattinam to Muthukur RoadB: Tamminipattinam to Krishnapatnam Port Road

via VaragaliC: Vellapalayam to Chillakur/GudurD: Siddhavaram to Naidupeta

A

D

C

B

Krishnaptanam Node and Port will be connected to the ChennaiBengaluru corridor through upgradation of National Highway corridor

Name of the Project State Estimated cost Status

Four laning of NH-4 stretch from Mulbagal to Andhra Pradesh border Karnataka Rs. 141.11 crore 5

Four laning of NH-4 from Andhra Pradesh border to Chittoor Andhra Pradesh Rs. 500 crore 1

Four laining of NH-18 A from Chittoor to Renigunta Andhra PradeshRs. 600 crore

1

Four laining of SH-6(NH-71) from Renigunta to Naidupeta Andhra Pradesh 1

A

B

C D

A

B

C

D

Krishnapatnam Node





Item

Phase I Phase II Phase III

Total %ageFY 16-19 FY 20-24

FY 25onwards

Land

acquisition7,648 0 0 7,648 41%

Land devpmt. 90 165 540 795 4%

Roads 886 669 1,290 2845 15%

Railway 80 5 27 112 1%

Water and

Effluent

Treatment

837 843 3,080 4,760 26%

Solid Waste 28 39 220 288 2%

Power

infrastructure137 412 767 1,316 7%

Contingency 103 107 296 506 3%

Interest

During

Construction

78 81 120 279 2%

Total 9,887 2,321 6,340 18,548 100%

Equity,7648,41%

Debt,7976,43%

InternalAccruals, 2924,

16%

Capital Structure (Rs. Crore)

0

1000

2000

3000

4000

5000

6000

7000

8000

9000

20

17

20

18

20

19

20

20

20

21

20

22

20

23

20

24

20

25

20

26

20

27

20

28

20

29

20

30

20

31

20

32

20

33

Land Offtake (Acres)

Total expected investment requirement is Rs.18,548 Crores. Part of the equityrequirement could be fulfilled through private sector participation


Total equity investment requirement of Rs. 26,019 crore for landacquisition, rest funded through debt & internal accruals

Item Ponneri Tumakuru Krishnapatnam

Total Node

Development Costs

(crores)

Land acquisition cost 13,509 4,862 7,648 26,019

Land development cost 5633 693 795 7,121

Roads 2,806 1,768 2845 7,419

Railway 116 140 112 368

Water and Effluent

Treatment Facilities6,175 3,000 4,760 13,935

Solid Waste Management 389 1,172 288 1,849

Power infrastructure cost 2933 959 1,316 5,208

Contingency 903 773 506 2,182

Interest During

Construction249 347 279 875

Total 32,713 13,716 18,548 64,977

PwCAugust 2015

Regional Infrastructure Projects

35

Section 4

PwCAugust 2015

Draft

Priority Infrastructure Projects in CBIC Region

36Chennai Bengaluru Industrial Corridor • 21st August 2015

PwC

Corridor Connectivity Projects in CBIC region include Chennai Bengaluruexpressway and High Speed Rail. Dedicated Freight Corridor may have along term potential. Tumakuru Node will be connect to the main Line

Key Name of the Project Estimated cost Status

Chennai Bengaluru High Speed Railway Link TBC 2

Line upgradation of some sections along Chennai – Bengaluru route Rs. 517 crore 5

Chennai Bengaluru Express Way Rs. 6,783 crore 2

Tumakuru – Davanagere New Line Rs. 1,837 crore 3

Krishnapatnam Node

Tumakuru Node

Ponneri Node

PwC

Investments of approximately USD 181bn required over 20 yearperiod for the CBIC region

Notes:1. Investments are based on the time of actual project need and hence may be required earlier2. The investments over the long term reflect BIS outcome expectations and would require calibration based regional economic development patterns

Investments by Sector

(USD mn)

Short Term

(up to 2018)

Medium Term

(2018-23)

Long Term

(2023-33)

Total

(USD mn)

Transport 6,423 11,231 9,236 26,890

Airports 287 3,236 777 4,299

Ports 1,126 2,525 3,830 7,481

Railway 2,130 804 2,574 5,508

Roads 2,774 2,087 1,843 6,704

Logistics - 196- 196

Urban Transport 106 2,383 213 2,702

Energy 25,051 17,270 66,968 109,289

Utilities 5,574 3,861 3,603 13,038

Solid Waste Management 120 26 60 206

Water 5,454 3,835 3,542 12,831

Industrial infrastructure 6,326 3,652 22,392 32,370

Grand Total 43,374 36,014 102,199 181,587

Institutional Structure

Section 5

PwC

The proposed National Industrial Corridor Development Authority (NICDA)will be an Apex authority for Corridor Development.

• Proposed National Industrial Corridor Development Authority (NICDA) to oversee all industrial corridordevelopment in India including DMIC

• NICDA will act as a project development partner to all SPVs and State Government agencies forimplementation of industrial cities/projects in the various industrial corridors

• CBIC corridor unit to be formed below NICDA

• Key central agencies such as NHAI, Ministry of Shipping & Railway Board will be represented on the NICDA Board.They may form special cells within each department to facilitate planning, implementing and monitoring of criticalexternal infrastructure projects

• Monitoring cell comprising of PMO and Japan embassy to form apex level monitoring body

Apex Authority(Proposed National Industrial

Corridor Dev. Authority-NICDA)

CBIC Corridor UnitDMICDC, BMEC &

other Corridor Units

Monitoring CellPMO & Embassy of Japan

Industrial CorridorCell in Depts. Of:

• NHAI• Shipping• Railway Board

At the Central Level

PwC

Each State Government will form SPV (Special Purpose Vehicle) forNode development as the local area authority

Coordination with Ministries and StateGovernments

NICDA / DIPP

PMU

Tamil Nadu StateNodal Agency

TIDCO

Andhra PradeshState Nodal

AgencyAPIIDC

KarnatakaState Nodal

AgencyKSIIDC

KrishnapatnamNode SPV

TumakuruNode SPV

SPV functions• Project Execution on link

& internal infrastructureprojects

• Coordination of trunkinfrastructure

PMO and EoJas Monitoring Cell

A project development partner

PonneriNode SPV

• NICDA• TIDCO• CEO• GoTN owned PSU’s• Chennai, Ennore & Kattupalli

Ports• Private sector-Developer/Co-

developers

• NICDA• KSIIDC• Private sector-

Developer• Co-developers

• NICDA• INCAP/APIIC• Private sector

- KrishnapatnamInfratech Pvt. Ltd.

PwCAugust 2015

Way Forward

42

Section 6

PwCAugust 2015

Draft

Action Area Objective / Function Key Recommendation / Actions

CBIC ProgrammeImplementation atCentral and State level

• Support planning andimplementation of Masterplan

• Support investment facilitation in theNode

• Institutionalise collaborationbetween Japan and India

• Establish PMU to support planning andimplementation of Masterplan to promoteIndustrial Node through developing marketingmaterial and investor roadshows

• Quarterly monitoring meeting to review progressof corridor development

Priority Project • Expedite the priority project• Establish Corridor Units in each Line Ministry• Set up funding from GoI/State and Japan to

actually drive forward the project

InvestmentEnvironmentImprovement

• Implement Ease of Doing BusinessInitiatives

• Programme support for implementingProcedural and Infrastructure solutions forimplementing Ease of Doing Business

IndustryCompetitiveness

• Skill Development, R&D andTechnology transfer

• Encourage private participation inIndustrial Node development

• Concept of Industrial Knowledge Park to bedeveloped

Private SectorParticipation in NodeDevelopment

• Allow Private Sector to become partof the Node SPVs

• Derive efficiency benefits• Attract anchor tenants

• Node SPVs to include private sector participation• MoU could be signed with International

Development agencies or Anchor Tenants• Anchor Tenants could participation in Node

Development

Seminar/Workshop• Conduct Seminars /Workshops for

dissemination of CBIC Master Plan• Seminars are being planned in Tamil Nadu,

Karnataka, Andhra Pradesh and Japan.

PwCAugust 2015

Draft

Expected timeline

46

Indicated Programme of Work 2015-2017

1 Formation of NICDA

2 Land acquisition

3 Land allotment

4 Formation of Node SPVs

a Finalisation of SSA and SHA

b Institutional Structure Created

c Node SPV mobilised and resources

5 SPV Activities

a Environmental Impact Assessment

b Detail Engineering Study and Design

c Final evaluation of cost estimates

d Financial Closure

6 Trunk Infrastructure Construction

7 Marketing Activities

a SPV Marketing Initiatives

b Roadshow/Seminar

8 Monitoring Committee Meeting * * * * * * * *

2015 2016 2017

Aug Sep Oct OctNov Dec Jan Feb Mar Apr May Jun Jul Aug Sept

Central Activity

State Activities

Nov Dec Jan Feb Mar Apr May June July Aug

Procurement/ Preparation

Draft Completion

Final Completion/ Commissioning

Thank you

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