Real Estate Regulation Bill expected to be cleared in next session of Parliament. Will certainly change the way Real Estate business is done.
Tweet: Real Estate Regulation Bill expected to be cleared in next session of Parliament. Will certainly change the way Real Estate business is done.
Proposed Bill to bring in sweeping changes: The proposed Real Estate Regulation Bill includes recommendations such as mandatory background checks on developers, time-bound delivery of projects with clause for penalty on default. It also makes a case for blacklisting those developers who have defaulted twice in the past.
Tweet: Cost of land acquisition for Nat Highways has jumped from 10-15% of project cost to now 40-45%. NHAI plans require substantive reworking.
NHAI: Rejigging plans to meet its target- The National Highways Authority of India (NHAI) has decided to acquire 10,000 hectares in 2015-16. In the wake of rising costs, the authority will have to rework its capital budgets while it seeks to speed up road construction to the committed level of 30 km/day.
Tweet: Glad that Rlys has appointed Deloitte for formulating a ‘rational’ HR structure. Raj era structures not amenable for high pressure goals.
Railways goes in for right-sizing: In a bold move, Indian Railways has retained one of the global top four consulting companies to rationalise staff strength and organisational design. The national transporter is the biggest government employer with around 13.36 lakh workers on its payroll and 18,000 gazetted officers.
Tweet: Finally ~ with 5 firms awarded constrn contracts, Delhi’s Eastern Peripheral Expressway (Kundli-Ghz-Frdb-Palwal) to be ready by 2018.
Work to commence on Delhi’s Eastern Peripheral Expressway: The NHAI is all set to execute the R7,558 crore project under six packages through the Engineering, Procurement and Construction (EPC) mode. Passing through Haryana and UP, the expressway will go along way in resolving Delhi’s traffic and pollution problems.
Tweet: Banks get hyper in trying to convert stressed loans into equity & then looking for buyers a la RBI’s Strategic Debt Restructuring Scheme.
Banks restructure debt to deal with NPAs: In a move aimed at helping banks deal with the NPA crisis, RBI has allowed banks to convert part of the debt into equity to acquire controlling stake in the company that has defaulted on loan payments. Banks can acquire 51% stake in the company at a lower price than the six-month average formula prescribed by RBI for all other investors.
Tweet: Electronic Tolling implementation has been patchy to say the least. MoRTH sponsored ‘Indian Highways Management Co’ needs fresh energy.
Electronic tolling needs to be energised: The Indian Highway Management Co was set up two years ago in consortium with banks and private developers to play a lead role in quickly implementing electronic tolling across the country. With delivery far below expectations, it is understood that the roads ministry and NHAI are together trying to restructure the institution so that it can deliver to its potential.
Tweet: Auctions clearly the leitmotif of this Govt. After coal/spectrum/minerals, now Civil Aviation Min contemplating auctioning key routes.
Auctions to pave the way for Open Sky Policy: India may become the first country to take the auction route to distribute foreign air traffic rights. The government’s proposed open sky policy could benefit countries that are within seven hours of flying time (5,000 km).
Tweet: Reality check for Delhi Govt ~ Delhi Govt’s own Gencos supply power to its Discoms at R7.12/ unit — 50% higher than NTPC price! (FE).
Delhi’s power tangle: The Delhi government needs to substantively streamline its power procurement policy and close down inefficient power plants. This would ensure that the fixed costs are brought down which are currently being charged by its gencos and paid for by the capital’s consumers.
—Vinayak Chatterjee is Chairman of Feedback Infra
His Twitter handle: @Infra_VinayakCh
A weekly selection of the author’s tweets—with a brief backgrounder—in the infra space, by Adite Banerjie