India’s Infrastructure Industry Group Members : NameRoll No. Rajesh Khatu M1128 Nitin Pillamarapu M1144 Amit Kamble M1126 Mamta Gajengi M1114 Sriveni Gajengi M1115
Infrastructure is the basic physical and organizational structures needed for the operation of a society or enterprise.
The term typically refers to the technical structures that support a society, such as roads, water supply, power grids, telecommunications, and so on.
Functionally, infrastructure facilitates the production of goods and services.
Types of Infrastructure
Water management infrastructure
Hydel & Nuclear sector.
Infrastructure in various Sectors Ports infrastructure
India has a long coastline of 7,517 km. The existing 12 major ports control around 76 % of the traffic. Due to globalization, India’s ports need to gear up to handle growing volumes.
Indian ports are projected to handle 875 million tones(MT) of cargo traffic by 2011-12 as compared to 520MT in 2004-05
Projected Investment in major ports $16 billions and minor ports $9billion during 2007-12.
Passenger and cargo traffic slated to grow at over 20% annually and set to cross 100 million passengers per annum by 2010 and set to cross cargo traffic of 3.3 million tonnes by 2010.
Mumbai and Delhi airports have already been handed over to private players. Kolkata and Chennai airports will also be developed through JV route.
Above 100000km & run about 11000 trains every day carrying about 13 million passengers and 1.25 million tones of freight every day.
PPPs is enormous
Construction of 4 mega bridges costing about US$ 750 million is also included in the programme
Rail network in Mumbai area at a cost of US$900 million
Central government has already taken steps to increase capacity by building Ultra mega power projects (UMPPs).
There is a plan to increase Nuclear power capacity from 3900MW currently to 10000 MW by end of 11th plan.
Highways and Roads Infrastructure
Out of the 3.38 million Kms of Indian road network, only 47% of the roads are paved.
Carry 65% of Frieght & 85% of Passenger traffic.
Growing over 30% annually--driven by huge investments by both the Government and the private sector in infrastructure development.
It is estimated that there is USD860 billion worth of construction opportunities in India
Oil, Gas –Hydrocarbon Infrastructure
Increase to 300 MMT by the year 2010.
Capacity of 110 million tonnes required by 2010.
100% foreign investment has been allowed in this sector.
Oil import constitute largest share of total import
What is Indian Government doing about Infrastructure? Actions taken in the 11th 5 year plan - 2007- 2012
The amount of money spent on infrastructure will be
raised to 8% of GDP (earlier, infrastructure spending was only 4.6% of GDP)
One Half of all new investments in the 11th plan will
be in infrastructure
The planning Commission has estimated that a total
investment of $450 Billion in infrastructure is required over the next 5 years to meet India’s infrastructure needs over 5 years
Other Actions IIFC - India Infrastructure Finance Corporation
The Govt has set up the IIFC to help fund infrastructure projects
in India. IIFC will be owned by the government
IIFC will lend money at low rates to public and private
infrastructure projects. This will help encourage more projects as the cost of financing is very low.
Since the loans that the IIFC takes are guaranteed by the
government of India, IIFC is able to borrow and lend at lower rates. New schemes to aid infrastructure development
The Government has initiated the Jawaharlal Nehru National
Urban Renewal Mission (JNNURM) to improve Urban infrastructure
The Bharat Nirman program has been instituted to improve
infrastructure in rural areas
New Institutional Mechanism for PPP:
Public sector involvement is not adequate.
The government has proposed India Infrastructure Finance Company (IIFC) and formulated a scheme to support PPPs in infrastructure.
The government has proposed a flexible funding scheme
Special Economic Zone (SEZ) – A New Policy
The Government of India has announced a pragmatic “SEZ” policy
SEZ is treated as a foreign territory and units located in it are not subject to either customs tariffs or domestic duties
Private sector is being involved
Targets set for the Future According to the 11th 5 year plan, the following infrastructure targets have been set for the future (2007-2012)
Additional 10 million hectares of assured irrigation will
be created by 2009.
INR 15,000 Cr to be spent on road maintenance
1000+ rural habitations to be connected with roads by
Port capacity will be increased from 520MT to 800MT
575 Million Telecom Subscribers by 2012.
60000 MW of new power is to be added by 2012.
Role of Technology in infrastructure
Inventions of new machines.
Usage of computers.
Introduction of Softwares.
Role of Technology in infrastructure Good Quality of steel used in bridges:
Use of good quality of Cement mixtures.
High strength steels
Heat-treated carbon steels
Total Potential $475 billion worth of investment is to flow into India’s infrastructure by 2012. Construction sector will require an investment of 14,000 billion in the next 5-6 years
Potential Construction and Real Estate Requirement by 2010Housing: 25 million new dewelling units Office space: for IT/ITES: 180million sq.ft Commercial space for organised retailing: 200 million sq. ft. Hotels & Hospitality: 1,25,000 new hotel rooms
3.5% in 1996- 1997
4.6% in 1997-1998
Indian construction industry included US $105bn in 2008 and is estimated about US$250bn by 2012.
An average growth of around 15% is estimated between 2008-2012.
The construction industry contributed nearly 8.5% to India's gross domestic product (GDP) in 2007.
And expected to contribute 17% to GDP by 2012.
Larsen & Toubro Ltd. (L&T)
Punj Lloyd group (1982):
Total income of the company is Rs.10,539 cr. It has recently received a solar based contract.
Jaiprakash Associates (1979):
Its into Engineering and Construction,Cement,Power,Hospitality,Highways and Realstates. Its revenue is around Rs.10,320 cr
LancoInfratech Ltd. (1994) :
Its revenue is around Rs.9,4 57 cr. “Fastest growing Infra company in India” Two road projects in Karnataka.
Nagarjuna Construction Co. (1978):
“Most Dynamic Infrastructure company in India” Its total revenue is Rs.5,897 cr. It has achieved 1 Billion turnover in 1995
IVRCL Infrastructure & projects Ltd. (1990):
“Builders for modern India” Its turn over is Rs.5,841 cr. Bot toll project of Rs.3,100 cr
Simplex Infrastructure Ltd. (1924) :
Headquarters in Newyork Turn over Rs.5,984 cr.
GMR Group (1978) :
Indra Gandhi International Airport in Delhi G.M.Rao chairman said, “With 3 airports,13 power plants 9 highways we have positioned ourselves as a responsible corporate citizen and as a strong infrastructure developer known for world class quality delivered on time ”
Gammon India (1922):
It got contract of Rs. 631.81 cr. for constructing bridge over Yamuna river at Wazirabad. Contract of Rs.308 cr. from Jindal power for civil works
Hindustan Construction Co. :
Founded in 1926. Revenue Rs. 3,975 cr. BandraWorli Sea link was formed by HCC Mumbai pune express highway Lavasa hill city (Pune)
LARSEN & TOUBRO LTD
L&T Ltd. founded in 1938.
Founded by Mr. HHL & Mr. Toubro.
CEO of L&T is Mr. A.M. Naik.
Turnover of L&T is approximately Rs-35000 cr.
The construction businesses of Larsen & Toubro cover more than 80% part of the revenue pie.
Today Larsen & Toubro Limited is a leader in construction and engineering in India.
The Larsen and Toubro subsidiary Engineering Construction & Contracts (ECC) division is India's largest construction organization.
L & T Engineering & Construction Roads
Gujarat Toll Road Investment Company Limited (GTICL) - 51 Km, four-lane toll road from Ahmedabad to Mehsana
Gvk Jaipur-Kishangarh Expressway Limited (GVK-JKEL) - a six-lane expressway on NH-8
L&T Western India Tollbridge Limited (L&T-WITL) - construction of the two-lane bridge across river Watrak on NH 8.
L&T Panipat Elevated Corridor Private Limited (L&T-PECPL) - construct 3.4 km six lane elevated flyover on NH 1 in Haryana
Cont……….. Airports Bangalore International Airport Limited (BIAL) - construction of a 4000-m runway, a state-of-the-art terminal building and other infrastructure needed to efficiently manage a modern airport in a joint venture with KSIIDC and (AAI) and Siemens.
Cont……….. IT Parks
L&T Infocity Lanka Private Limited (LTILPL) - project management services and promoted the IT facility for HSBC in Colombo.
Vizag IT Park Limited (VIPL) - IT Park project for HSBC Electronic Data Processing India Private Limited (HDPI) at Siripuram, Visakhapatnam.
Cont……….. Residential Units
L&T ArunExcello Realty Private Limited - an integrated township "Estancia" on GST Road, Chennai.
L&T Vision Ventures Limited - to develop a township in Vizag on a 55 acre land
Cont……….. Commercial Complexes
CSJ Infrastructure Private Limited - to develop an integrated commercial complex in Chandigarh.
L&T Crossroads Limited - a JV between L&T and Piramal Holdings Limited, has developed a covered car parking spaces (7 levels) and air-conditioned commercial Other projects include building of area ports and water supply projects.
Khalsa Heritage Museum
Popularly known as the ‘Ajooba’
Museum covering 6500 square metres.
After completion this Museum will be the world’s largest cultural and historical museum.
Project Cost The total construction cost of this project, including exhibits, is estimated at Rs. 224 Crores (US $56.00 millions). To date approximately Rs. 132.50 Crores (US $33.15 millions) have been spent on the project. An additional amount of Rs. 140 Crores (US $35 millions) will be required initially as a corpus fund for operations and maintenance
B.A., B. Com students
Building Maintenance services
Daily wages & monthly wages workers
Government policy for (FIIs) To encourage feign funds flow into the infrastructure sector, the Financing Ministry has allowed (FIIs) also to invest in unlisted companies. This was aimed at helping infrastructure companies as they would not be in a position to list their shares in the initial phase. FIIs now deploy 100 per cent of their funds in corporate debt.
Historical project data for strategic decision making during tendering.
Project planning & controlling in multi-company group.
Integrated resource : material, manpower,
equipment planning, cost and utilization.
Duplicate material codes and manual material.
Monitoring, Controlling project scope, schedule,cost, budget, revenue and its variations.
Collaboration with external agencies.
Timely project completion within budget.
Quality assurance & controlling.
Current & Upcoming projects
MRTS, Monorail, Railway
Waterfront Development, Kochi
Mixed Use Development, Bengaluru
IT SEZ’s for TCS
Trombay Re-Development Project
Ramanujan IT SEZ, Chennai
Navi Mumbai Airport
Conclusion We would like to conclude here by saying that as India is a developing country more & more infrastructural changes will occur. Infrastructure Industry will be at a great boom & this industry will contribute a high percentage to India’s GDP. There are good opportunities for young stars like us to develop the career in infrastructure.