Kerala   

Need for all-round development

Infrastructure plays a major role in the development of a country. This has been understood and accepted at least by some of the present leaders of the country. The Planning Commission has estimated that during the Eleventh Plan, the infrastructure sector will need an investment of nearly Rs.20 lakh crore. With nearly Rs.6 lakh crore as the total annual Union budget and the States seeking Central aid for any infrastructure development, it is impossible for the public sector to foot the bill. Many projects inaugurated in the past with fanfare ran into inordinate delays, one reason being no availability of funds at the right time.

Under such conditions, there are only two possibilities – one to live without infrastructure development and the other to go for public–private partnership. There is no doubt that private parties will benefit as their objective is that. But the country will also benefit enormously since infrastructure development will have further impact on propelling the country forward industrially and also generate employment.

Jeyakumar Thomas

Thiruvananthapuram

The move to take up infrastructure development projects in the public-private participation mode marks a paradigm shift in policy making in the State. It is a triumph of pragmatism over ideological unidimensionalism, which tends to view the private sector as an exploiter and profiteer. Some even drub the public-private partnership (PPP) model a clever ploy of neoliberal forces to promote backdoor privatisation of public utilities.

The PPP model is the most preferred mode for promoting infrastructural projects worldwide. It complements the core competencies of the public sector with the technical expertise, professionalism and financial strength of the private sector. The public sector is the facilitator, while the private sector is responsible for providing material, professional and financial support. International and national financial institutions prefer this model for extending long-term loans.

Kerala is no stranger to this mechanism. The creditable performance of the Cochin International Airport has shown that the PPP model can achieve success if there is political will. This can be replicated in sectors such as tourism, ports, roads and so on.

The government needs to do some spadework such as enacting a comprehensive legislation and creation of a PPP cell with a nodal officer and support staff. Training will have to be imparted to the staff on the intricacies and complexities of project management under the various models such as BOT (Build, Operate and Transfer), BOOT (Build, Own, Operate and Transfer) and BOO (Build, Own and Operate).

V.N. Mukundarajan

Thiruvananthapuram

Many development projects in tourism and water transport have been handicapped owing to lack of infrastructure facilities.

A number of tourism spots with great potential could not be developed primarily because there were no approach roads or infrastructure facilities for tourists to stay or rest. Similar is the case with national waterways which pass through a number of picturesque tourist spots such as Payippad, Aranmula and Chavara that are not easily accessible and where minimum facilities are not available. It will be costly and not always profitable for the government to provide such facilities.

Enterprising private participation alone can overcome this lacunae.

Therefore, the proposal for public-private sector collaboration is not only essential but also the best in the public interest. Since capital investment is far from satisfactory in these sectors, the proposal to invite non-resident Keralites will go a long way not only in tourism development but also expansion of trade and commerce.

K.P. Karunakaran Nair

Thiruvananthapuram

Kerala is in dire need of basic infrastructure. The existing infrastructure is stretched to its limits. Be it roads, flyovers, bridges, they are insufficient to cater to the needs of the people.

Private-Public Partnership (PPP) is the preferred mode for infrastructure development of modern governments. It is valued for its better management practices and greater efficiency of private units.

The State government with its limited resources cannot be expected to take all infrastructure projects. These require huge sums of money and will put a burden on the exchequer.

At the same time it is equally important that the development of infrastructure should not be delayed owing to paucity of funds.

In the past, infrastructure projects took up by the government suffered owing to faulty planning, cost overrun, delay and corruption. Meagre collection of user charges is another area of concern for government-run projects.

The State government is moving in the right direction by allowing private parties to develop infrastructure. Moreover, the Kerala Infrastructure Development Act clearly outlines the participation of private and public entities in development activities. Many States in the country which took to private-public partnership mode are getting good results from it.

Development of infrastructure across the State will benefit everyone.

V. Vinodkumar

Thiruvananthapuram

The Planning Board has realised that good infrastructure is at the heart of any planning. It must be given highest priority. Good roads, power supply and water are the prerequisites of salient infrastructure. The public sector alone cannot fulfil the need for good infrastructure.

Construction of good roads and bridges should be given high priority. The toll system should be implemented.

The production of energy should be increased in alliance with the private sector.

For this purpose, windmills, solar energy projects, biogas and small hydro-electric projects should be set up.

N. Ramachandran

Vakkom

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