Cash-strapped Karnataka is looking at public-private partnership (PPP) route to execute major infrastructure projects.
Big infrastructure projects to decongest Bengaluru as well as tier-II cities are expected to be included in the State Budget proposals. More funds are expected for smart cities to remove traffic bottlenecks and expand public transport network and water supply network.
The budget is expected to lay focus on infrastructure development through PPP model. PPP model has been identified as a critical component of moving ahead, especially in the case of large-scale projects such as port and airport development, power plants, State highways, and railway projects.
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Since matching infrastructure is key driver for economic growth, more allocations are expected for energy, industrial infrastructure, tourism, transport and logistics, and urban and rural infrastructure. A total of 179 projects are at the planning stages across all sectors and are cumulatively estimated to cost Rs. 1,47,941.52 crore.
Development of Karwar port, integrated solid waste management facilities in smart cities, six-lane Bengaluru–Mysuru highway, and acquisition of land for upgrading 12 State highways (1,556 km) as national highways are some of the major projects that require investments.
Chief Minister Siddaramaiah is expected to announce construction of a tunnel at Shiradi Ghat on Bengaluru–Mangaluru National Highway, at an estimated cost of Rs. 10,000 crore, with the funding of Japan International Cooperation Agency.
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Power, water, road and transport should be the priority allocations in the budget. – M.R. Narayana, professor, ISEC
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There is a need for allocation of funds for improving civic amenities and infrastructure in Bengaluru city, especially for the completion of the long-pending Namma Metro phase I.
– Shrinivas Rao, CEO-APAC, Vestian