PPP Model for UP's development

Lucknow, Nov 14 (UNI) Giving its approval on the urgent need for promoting 'public private partnership' (PPP Model) for rapid and quality growth of infrastructural development in Uttar Pradesh, the state government has nominated PICUP (Pradeshiya Industrial and Investment Corporation of UP Limited) as the nodal agency for the same.

''PICUP will monitor and expedite the implementation of private sector participation in the development of national-level infrastructural facilities in the state,'' said managing director, PICUP, Sudhir Garg, who has been nominated as nodal officer of the agency.

There was a lack of interest from private sector in the infrastructural development as it was considered to be a government baby for a long time.

UP is a big state with huge population and hence there is an additional requirement of funds for qualitative urban and rural development.

Mr Garg said though government agencies strive hard to fulfill this need with limited resources, in the present scenario with rapidly growing cities like Lucknow, Kanpur, Varanasi, Agra and Allahabad, it is imperative for the private sector to actively participate and provide their expertise to keep up pace with the increasing demand of infrastructural facilities and industrial growth with public sector working as a catalyst.

UP with its size, population, natural resources, availability of cheap raw material and trained manpower, offers immense potential and scope for the private investment in the development of integrated townships, commercial complexes, IT parks, telecommunication, biotech parks and housing projects as is evident from the private participation in sector specific SEZs like Moradabad Brassware art-metal and Agra leather products, along with the upcoming integrated townships being developed under the Lucknow Industrial Development Authoirty (LIDA).

'Taking cognizance of this fact, PICUP will sign a MOU with national level agencies, actively involved in consultancy services in the field of infrastructural development on non-exclusive basis to enhance its expertise and to focus on speedy progress of various projects,' said Atul Kumar Gupta, state Industrial Development Commissioner.

'Private sector has a great role to play in the development of high-tech township under LIDA, between Lucknow and Kanpur, with proposed world class industrial infrastructure like 'Metro' between Lucknow and Kanpur, Mono rail transport system in the state capital, roads, remotely operated vehicles, markets, uninterrupted power supply, parking spaces along with urban infrastructure'', said executive director, Udyog Bandhu, Narendra Bhooshan.

An empowered committee has been constituted under the Chairmanship of the IDC with principal secretary, finance, as a member and the PICUP MD as convener-member to select auxiliary consultant agencies.

The criteria for the selection of such auxiliary agencies have also been decided. Such agencies should have signed an MOU with at least one state-level infrastructure or industrial development agency for providing infrastructural development consultancy as well as should have one proposal under process for singing MOU/agreement with another state. Such consultant auxiliary agency should have a minimum turnover of Rs 100 crore per year in the field of infrastructure and project development with a net worth of Rs 150 crore. Consultancy agency should have successfully executed the selection of private sector participant for implementation and evaluation of developmental project through tender and loan syndication, equipment leasing etc. during the last three years along with any other criterion deemed proper by the empowered committee.

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