1. Infrastructure blessing: GST impact on octroi check posts to shave off 25 pct time for truckers

Infrastructure blessing: GST impact on octroi check posts to shave off 25 pct time for truckers

Whether GST will translate into more revenue for the governments or not is an open debate, but it is certainly expected to save time.

By: | Published: July 12, 2017 5:15 AM
infrastructure, india infrastructure, gst, goods and services, gst news, gst latest news, octroi check post, gst truckers, traders Given how higher provisioning may make banks ever more reluctant to lend, there is a need to shift to capital market financing.

With Banks reluctant -there are only two ways to fund a revival of PPP in infra .Spurring the Bond market and creating a DFI. Immediately

Writing on wall there for all to read: Infra project financing to rapidly shift away from banking sector to capital markets. As it should

Bonding over growth

Given how higher provisioning may make banks ever more reluctant to lend, there is a need to shift to capital market financing. Kelkar panel in its report over two-years ago had suggested zero-coupon bonds for PPP to stimulate investment. With pvt investment of over Rs 7 lakh crore pa needed for greenfield projects, a DFI may not be a bad bet either.

Blessing : Estimates are that abolition of octroi ,thanks to GST, cuts down freight-carrying time for commercial vehicles by at least 25%

Seamless savings

Whether GST will translate into more revenue for the governments or not is an open debate, but it is certainly expected to save time. The no checkpost (octroi) model is expected to cut down freight-carrying time by 25%.

PM Modi’s visit to Israel is expected to provide a fillip to water management schemes; & add practical ideas to “more crop per drop.”

Water, water, everywhere

Besides defense, one of the features of PM’s Israel visit is going to be water management. India can learn from the country, which recycles 86% of the water down the drain—Spain with 19% is second—and meets 55% of its water requirements from desalination plants.

More states r now following AP Land-pooling route to get going: Latest is Haryana Draft Policy. Delhi, MP Punjab & TN hv already notified

Haryana joins the pool party

With Delhi, MP, Punjab, and TN already in fray, Haryana is the new state expected to adopt AP land-pooling policy. If implemented, it would make people partners in development, chucking the previous time consuming model of compulsory acquisition, also avoiding long gestation.

Rlys examining LPG ‘GiveItUp’ scheme to craft its own plea to voluntarily give up subsidised tkts by those who can afford to. Worth a try!

Emulating success

Given the success of LPG Giveitup—over 1 cr households surrendered their subsidy—the Railways will be trying a similar tactic offering people to surrender 50 or 100% of subsidy on rail travel. Debroy-Desai study highlights that concessions cost `33,000 crore to the service provider in FY15.

Short term pain for long term gain: New realty launches down 41% (7 year low) after RERA implementation. [Knight Frank Report]

Teething troubles

As with GST, realty is looking at short-term pain from RERA. As a Knight Frank report highlights a 41% drop in realty launches to 62,738 units from 1,07,120 units in the first half of 2017. Given the long-overdue reform provides a much-needed protection to buyers, the market is expected to bounce back.

Much of d excitement on Renewables till now was on creating capacities . Now as more projects r going operational stresses are showing up

Windy ahead?

The govt may be all gung-ho about its 175GW renewable target by 2022, but as more power becomes available cracks are appearing in the sector. With distribution companies not honouring their contracts, MP, Maharashtra, TN and AP are a few to name for wind projects, transition to renewable may not be so easy.

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