Dinesh Kamath's news item 'Multi-crore projects in Navi Mumbai get a boost' that was published in Newsband

Multi-crore projects in Navi Mumbai get a boost

By Dinesh Kamath

MUMBAI: There was urgent need of central funding for the upcoming 22km Nhava-Sewri Mumbai Trans-Harbour Link (MTHL) and Navi Mumbai airport projects. For various infrastructure projects worth Rs 55,000 crore, the state would have liked to get substantial tax waivers. For the airport project alone, a recommendation for tax exemption of Rs 4,000 crore was made some time ago.

CM Prithviraj Chavan had recommended to the Prime Minister's office that certain city projects that were worth over Rs 50,000 crore be declared projects of national importance and be given maximum possible funds. An affordable housing project worth Rs 20,000 crore was also included in the list.

Now the infrastructure projects in the Navi Mumbai region are expected to get a boost with the Union government increasing the Jawaharlal Nehru National Urban Renewal Mission (JNNURM) funds by 100%.

For multi-crore projects such as the Nhava-Sewri trans-harbour link and Navi Mumbai airport, the announcement of long-term, tax-free and low-cost debts, besides exemption of import duty on construction machinery, will attract many developers.

Funds under JNNURM are now over Rs 14,000 crore, which means more money can be allocated for ambitious projects.

Mumbai region is seeking tax-exemption for several road projects, including widening of the Goa highway between Panvel and Palaspe phata. MMRDA ex-commissioner Rahul Asthana had sought tax-exemption to make the projects feasible, which the budget seems to have delivered.

Internal road connectivity within the state will also benefit with the announcement that stalled road projects will be taken up on priority under a new version of the Pradhan Mantri Gram Sadak Yojana. Chief minister Prithiviraj Chavan said it would boost road infrastructure.