Inadequate Infrastructure in India…….miles to go

1

Economic & Population Growth DemandsHuge Investments

2

Congress 2009 Manifesto - Makes intentions clear. 117 & 144 USD Billion investment for infra in 10-11 & 11-12

311th Fiver Plan (2007-12) – 503 Billion12th Fiver Plan (20012-17) – 652 Billion

it’s not the availability of funds, but the availability of “viable and properly planned” projects that is the biggest

hurdle. Capital is ready, willing and available

4For FY07-12 the country may be missing

this target by 25-30%

Shoddy workmanship (largely in public works projects), design deficiencies, idle capital and labour on site,

compromises on safety, unscientific scheduling

5Problems : Lack of Competition amongst

developers & contractors

Public private partnerships (PPPs) are gaining in importance, and are benefiting from government support – targeted PPP participation is

US$150 billion. Guidelines favour larger players, even when the project investments and execution can be easily carried out by mid-sized

companies.

6Way Forward : PPP/Multinational

Operators/FDI/Investors to take control

7 Challenge for MNCs: identify promisinglocal companies, then make a case for a

profitable partnership

8Opportunities for Qualified Consultancy

firms

Average Spending per year on Infra till 2015 – INR 750,000 Crores

1% Market Share – 7,500 Crores

9MEP Services (Power, Gas, Telecom) has a great potential – USD 50 Bn * with annual

growth potential of 35-50%

All big players are focusing on the road, canal, and other hard core civil works. MEP has a huge potential (60,000+ Km of power distribution line, 11,000+ KM of Gas pipeline, 100,000+ Km of optic fibre). Total Available

Market is for 100,000 Crores INR)* Source: Planning Commission

10We are ahead of the curve