DMIC
DMIC
DMIC
Maharashtra J.N.Port
Objective
Government of India initiated the development of DMIC along the Dedicated Freight Corridor (DFC) to optimize on the connectivity offered MOU relating to the project was signed between MoCI and METI, Japan in December, 2006 to create the framework for mutual cooperation At the instance of the MoCI, an Inter-Ministerial Group was formed to evolve the Project Outline :
MoCI appointed IL&FS Infrastructure Development Corporation Limited in March, 2007 to detail the project concept Pursuant to discussions with Central & State Government agencies, IL&FS have since submitted their Report which was presented at the First Taskforce Meeting of the DMIC held at Tokyo on 25th May, 2007 Meetings have also been held by PMO to review the position
The objective of this presentation is to present the detailed project concept and to outline the proposed implementation structure
Section II :
Section III :
Section IV : Section VI :
Section I
Overview
is
being
End Terminals at Dadri near Delhi and at J.N.Port near Mumbai Alignment Passes through Six States Uttar Pradesh-22km (1.5%) NCR of Delhi- 22km (1.5%) Haryana148km (10%) Rajasthan- 578km (39%) Gujarat565km (38%) Maharashtra- 148km (10%)
Gujarat
Madhya Pradesh
Rajasthan
Focus is on ensuring high impact developments within 150km distance on either side of alignment of DFC
Area under Project Influence is 14% and population is 17% of the Country Total Population in the Project Influence Area : 173.4Mn
Maharashtra
J.N.Port
Economic Parameter Gross Industrial Output Exports FDI (2000-2006) State GDP
% of India 54 60 52 43
include:
Uttar Pradesh Delhi Haryana Rajasthan Gujarat Maharashtra
Infrastructure Parameter Road Length Rail Network Cargo handled at Major Ports Cargo Handled at Minor Ports
% of India 34 43 30 79
Uttaranchal
Ghaziabad
above 1 Million
Rajasthan
Jodhpur Ajmer
(10 Cities):
Ahmedabad
Delhi, Greater Mumbai, Faridabad, Meerut, Jaipur, Ahmedabad, Surat, Vadodara, Pune, Nashik
Population
Gujarat
Vadodara
Bhavnagar Surat Nashik
Madhya Pradesh
Maharashtra
between 0.5-1 Million (6 Locations): Ghaziabad, Aligarh, Jodhpur, Ajmer, Bhavnagar, Bhiwandi
As per Census-2001
Sonepat Gurgaon
`
` `Ghaziabad ` Dadri
Jodhpur ```
Uttar Pradesh- Noida/ Greater Noida, Ghaziabad (General Manufacturing) Haryana- Gurgaon, Faridabad, Sonepat (Automobile, Electronics, Handloom)
Rajasthan: Jaipur, Alwar, Kota, Bhilwara, Jodhpur (Marble, Leather, Textile) Gujarat: Ahmedabad, Vadodara, Anand, Bharuch, Surat (Engineering, Gems & Jewelry, Chemicals) Maharashtra: Mumbai, Pune, Nashik (Auto/Auto Component, Textile, Pharma, Aluminum)
J.N.Port
Mumbai `` `` ` `` ` Pune
Bhatinda
Ludhiana
Rewari Phulera
Jodhpur Barmer
Pirthala
Dadri
Kandla Jamnagar
Porbandar Pipavav
Vasai Road
J.N.Port
Arabian Sea
Pune
Nanded
Mahesana : Pipavav, Okha, Porbandar Ports; Jam Nagar Industry Amli Road :Mumbai-Ahmedabad
Delhi-Mumbai Passenger Rail Link Feeder Rail Linkages Junctions along DFC DFC Alignment End Terminals
Makarpura : Mumbai-Ahmedabad & Vadodara-Ratlam-Kota Gothangam : Hazira Port-Nagpur Vasai Road : Mumbai Port/ Konkan Rail, Pune & Nashik
Gujarat
Ahmedabad
Madhya Pradesh
Vadodara
National Highway connecting Delhi-Mumbai is Part of Golden Quadrilateral Total Length- 1419km Consists of NH-8, 76,79 Six-Laning of Golden Quadrilateral Link planned for completion by 2012 Expressways under construction (Phase-1) Delhi-Gurgaon Ahmedabad Vadodara Extension of Expressways, planned for completion by 2015 (Phase-2) Gurgaon-Jaipur Vadodara-Mumbai
Maharashtra
Delhi-Mumbai G-Q End Terminals DFC Alignment Phase-1 Expressway Phase-2 Expressway
15 10
71 65 1 71
15
Haryana 58
65 65 11
Rajasthan
15 65
89 89 14 14 76
11
12 79
Dadri National Highway Network Uttar Pradesh Four/Six Laning of National Highways
3
and Port Connectivity in various phases of implementation (Approx. 25,000km) Other Expressways in DMIC:
Gujarat 15
8 8 59
12 79 3
12
Mumbai-Pune on NH-4
Mumbai-Nashik on NH-3 (Under implementation)
6
Madhya Pradesh
3
8 6
Arabian Sea
3
Length of NH Network in DMIC: Uttar Pradesh: 675km Haryana: 910km Rajasthan: 2148km
50
Maharashtra
Mumbai-Nashik Expressway
Gujarat: 1212km
Maharashtra: 980km
DFC Alignment
Port Connectivity
Dadri Western Coast Line: Uttar Gujarat- 1600km , Longest Coast Pradesh
Length of India
Maharashtra- 720km
Kandla Mundra Porbandar
Dahej Hazira
Madhya Pradesh
Operational)
Maharashtra- 2 Major, 48 Minor (8 Operational)
Section II
Delhi-Mumbai Industrial Corridor is conceived to be developed as Global Manufacturing and Trading Hub supported by world class infrastructure and enabling policy framework
Project Goals
Double employment potential in five years (14.87% CAGR)
Triple industrial output in five years (24.57% CAGR) Quadruple exports from the region in five years (31.95% CAGR)
Project Objectives
Industrial Infrastructure
Developing new industrial clusters Upgradation of existing industrial estates/clusters in the corridor Developing Modern Integrated Agro-Processing Zones with allied infrastructure Development of IT/ITeS Hubs and other allied infrastructure Providing efficient logistics chain with multi-modal logistic hubs
Physical Infrastructure
Development of Knowledge Hubs with integrated approach Feeder Road/Rail connectivity to ports, hinterlands and markets; Development of existing Port infrastructure and Greenfield Ports; Upgradation/ Modernization of Airports; Setting up Power Generation Plants with transmission facilities; Ensuring effective environment protection mechanism Development of integrated townships
Market Driven Nodes are proposed to be in two categories Investment Regions Industrial Areas Approx. 200 sq km Area (Minimum) Approx. 100Sqkm Area (Minimum)
13 Industrial Areas
To spread the benefits of the corridor the project will also seek to link UnderDeveloped Regions along the Corridor to Well Developed Regions
11
Gujarat
9 10
In UP, Haryana & Rajasthan (Total-11 Nodes): 2 5 1 4 Investment Regions(IR),7 Industrial Areas (IA) 4 Dadri 6 7 3 Proposed Category of S.No State Location Region 8
1 2 Uttar Pradesh Uttar Pradesh Haryana Haryana Haryana Haryana Rajasthan Rajasthan Rajasthan Rajasthan Rajasthan Dadri-NoidaGhaziabad MeerutMuzaffarnagar Faridabad-Palwal Rewari- Hissar Kundli-Sonepat Manesar-Bawal KushkheraBhiwadi-Neemrana Jaipur-Dausa Ajmer-Kishangarh RajsamandBhilwara Pali-Marwar Investment Region Industrial Area Industrial Area Industrial Area Investment Region Investment Region Investment Region Industrial Area Industrial Area Industrial Area Industrial Area
Madhya Pradesh
3 4
Maharashtra
5 6 7
J.N.Port
DFC Alignment
Investment Region (Min.200SQKM) Industrial Area (Min.100SQKM)
8 9 10 11
Gujarat 12
12 13 14 15 16 17
20
19
DFC Alignment
Investment Region (Min.200SQKM) Industrial Area (Min.100SQKM)
18
19
20
Mahrashtra
Mahrashtra
Pune-Khed
Alewadi/ Dighi Port
Industrial Area
Industrial Area
Physical Infrastructure
Knowledge Cities / Skill Development Centers with integrated approach Augmentation of Existing Port infrastructure & Greenfield Port Development; Upgradation/ Modernization of Airports; Power Generation Plants with transmission facilities; Feeder Road/Rail connectivity to ports, hinterlands and markets; Dovetailed integrated townships catering to investor countries Effective Environment Protection Mechanism
Rajasthan
2 Dadri 3 b c
1)
2) 3) 4)
Gujarat
5)
Short listed Investment Regions: Dadri-Noida-Ghaziabad (Uttar Pradesh); Manesar-Bawal (Haryana); Khushkhera-Bhiwadi-Neemrana (Rajasthan); Ahmedabad-Dholera (Gujarat); Igatpuri-Nashik-Sinnar Region (Maharashtra) Short listed Industrial Areas: Meerut-Muzaffarnagar (Uttar Pradesh) Faridabad-Palwal (Haryana); Jaipur-Dausa (Rajasthan); Vadodara-Ankleshwar (Gujarat); Industrial Area at Alewadi/ Dighi (Maharashtra)
d 5
Madhya Pradesh
a)
Maharashtra
b) c) d)
J.N.Port
e)
Port
Investment Requirements
Category Manufacturing/ Industrial Processing Area/ SEZs Area (Ha) 55,000 5,000 2,000 5,000 8,500 16,500 8,000 4000km 2500km 2.0 1.9 3.0 1.6 10,000MW 10.0 Investment in US$Bn 33.8 2.8 8.8 7.5 3.8 15.0
Total
100,000
90.0
Section III :
Targeted Impact
Total Employment Generation- 3 Million People Over 67% in Manufacturing/Processing Sector
Integrated Transport/Logistics Hubs would be set up , through Private Sector Participation, to facilitate warehousing & faster movement of goods
Similar advantage to the units in terms of availability of trained manpower, as Knowledge Hubs are envisaged to be set up on Public Private Partnership
Measures for Safe and Smooth Movement of Goods Vehicles in DMIC Region
Modernization and Computerization of Integrated Border Check Posts at interstate transit points in the DMIC Region Enabling Smooth Flow of Goods
Implementing GPS Based Vehicle Identification & Location System for safe movement of freight vehicles
Introducing Smart Card Based Single Point Electronic Payment of Toll Charges to facilitate unhindered & expeditious movement of freight vehicles
Section IV :
Environmental
Social Financial
Contractual, etc
The size of the project will also require to be implemented in phases. This will be critical in ensuring its sustainability
Given the involvement of multiple Ministries and multiple state governments an effective framework for co-ordination is critical
The DMIC Project involves an investment of US$ 90 bn with 60-70 different projects. An a priori strategy for the mobilization of finances to cover each phase of the project will also be critical
Project specific Special Purpose Vehicles (SPVs) to implement individual project components viz. Industrial Areas/SEZs, Roads, Power, Ports, Airports etc
Providing Guidance and Vision to the Project Formulating policies for the Project (in case required) Project Approval and Approval of the financing pattern
Six Experts from the fields of Urban Planning, Railways, Power Development, Skill Development, Agro-Processing and Environment
Secretaries of Government of India, Ministries/Departments and Chief Secretaries of State Governments represented in Steering Authority Head of Japan External Trade Relation Organization (JETRO) Implementing Agency of Delhi-Mumbai Dedicated Freight Corridor (DFC)
Role of DMICDC
Preparation of Perspective and Business Plan for the Corridor
Coordination with various Central and State Government departments, agencies and other stakeholders Formulation & Development of Various Projects identified under the plan
Raising of Financial Resources from various external and internal sources including those available with the various Line Ministries
Formation of Special Purpose Vehicles for implementation of various projects Provide seed corpus to be able to provide VGF support to projects
Funding would need to be accessed from variety of sources-Central and State Govt., Indian and Foreign investors, bilateral and multilateral Institutions
Investments to be recovered from PPP projects USD 250 mn to be raised as Project Development Fund from Govt of India, Japan and FIs The PDF to be used specifically for all Project Development Activities to reach technical and financial closure PDF ensures availability of finance to get projects off the ground
Arrange requisite funding for development of infrastructure, through budgetary resources or by availing existing schemes of GoI
Ensures world class physical infrastructure and utilities, linkages under its jurisdiction within a stipulated time frame after notifying the location
Section V
Perspectives on Funding
Overview
Project Development Phase : Estimated Requirement Suggested Structure : : USD 250 mn Venture Capital Fund
Project Developer
Recovery of Investment Contributors Project Implementation Phase : Estimated Requirements Suggested Structure
:
: :
DMICDC
From successful bidders Need for ODA/grants
: :
USD 90 bn SPV
Critical Requirement
Positioning JBIC
DMIC will require significant quantum of long term financing :
The Indian financial system will typically provide debt of upto 15 years Several of the DMIC projects will require funding of upto 30 years Multi-laterals and Bi-laterals will require to provide long term funding A number of projects in the DMIC will be implemented on PPP basis
As it currently stands, these SPVs will require GoI guarantee to access JBIC funding which would not be forthcoming under the current GoI FRBM policy
It is proposed that JBIC consider annuity payment from Government to individual sub-projects as deemed sovereign guarantee A similar dispensation maybe considered where recovery of investments are predicated on the levy of dedicated cess
Section VI :
Next Steps
Way Forward
GoI is taking steps to implement the DMIC as a project of national priority :
Formation of DMIC Steering Authority
Formation of Delhi Mumbai Industrial Corridor Development Corporation Induction of an appropriate Agency as PMC
It is now necessary for the GoJ and business leaders to formulate specific proposals and roles that they would like to play in the DMIC initiative
This would need to be crystallised in the next meeting of the Task Force by the end of July
Timelines
The Third Meeting of the Task Force is scheduled towards the end of July in Tokyo
Pursuant to the foregoing, the Presentation of the Final Concept would be made to the Honble Prime Ministers of India & Japan in August, 2007 Finalization of DPRs including financing plans Project Launch in January 2008
Thank You
Implementation Framework
DMIC Steering Authority (Headed by Prime Minister, with concerned Central Ministers & Chief Ministers as Members) DMICDC (A Corporate Entity with representation from Central & State Govt. Agencies, FIIs and DFC) Master Development Plan, Techno-Economic Feasibility Studies, Business Plans, Projects Prioritization, Bundling & Unbundling of Projects to Central/Line Ministries & State Govt
Project Specific Special Purpose Companies (SPC) (For both Central & State Govt Projects viz. Ports, Airports, Roads, Industrial Areas, Power etc)
Approvals & Clearances (FIPB, NSC, MOEF etc), Monitoring & Commissioning of Projects, Financing Arrangement etc
Project-1
Project-2
Project-3
Project-4
Project Component:
Project Component:
Focus is on identifying industrial estates that have potential for further augmentation
7
Rajasthan
Dadri
9 11
Gujarat
12
13 14 Madhya Pradesh 17
Maharashtra
Improvement of existing physical and social infrastructure (Road/Rail, Truck Terminals/Warehousing Zones)
Development of requisite common infrastructure as CETP, Hazardous Waste Management Facility (HWMF) etc In all, 12 to 15 Locations identified across the DMIC Region
18
J.N.Port
19
DFC Alignment Industry Augmentation Locations Investment Region (100SQKM) Industrial Area (25SQKM)
Project Component:
Project Component:
Project Component:
15 10
2 1
Rajasthan
15 65
89
1114
76
9
79
4 6 3 Development of Feeder Road Links Dadri 7 Uttar 11 include construction of missing links, 8 Pradesh
12 3 12
augmentation of existing linkages to Four/Six Lane configuration DMIC involves construction/ augmentation of 4000km State
6
10
3 79
Gujarat15
8 8
12
13
59
12
14 15 8 16 6 Arabian Sea 17 18 3
J.N.Port
50
Madhya Pradesh
3 6
Highways and Missing Links Ministry of Road Transport may accord National Highway Status to Highway links in consultation with DMICDC/ State Governments
Maharashtra
20 19
17
Industrial Area
National Highway
Project Component:
Bhatinda
Jodhpur Barmer
11 10 12
9Jaipur
Kandla Jamnagar
Nagpur Nanded
18 19
Pune
20
Arabian Sea
Delhi-Mumbai Passenger Rail Link Feeder Rail Linkages Junctions along DFC End Terminals DFC Alignment
DMIC Region would be served by a combination of DFC and Feeder Rail Linkages MoR identified augmentation of 2500km length rail network to serve as feeder rail linkages Augmentation of 1100km length rail network already commissioned DMIC involves construction/ augmentation of new rail links to connect the identified industrial regions with DFC, Ports and Hinterlands Augmentation of Mumbai-Pune Rail Link to DFC standards is also envisaged under this project
Project Component:
Rajasthan
Kandla
Mundra
Porbandar Dholera
13
Dahej
Madhya Pradesh
15
17
20
Maharashtra Major Ports Medium Ports Minor/Other Ports Greenfield Ports
Mumbai Port
Alewadi
J.N.Port Dighi
Dholera Greenfield Port,Gujarat: Node-13 15-18m Draft and Tidal Amplitude of 10m Height Potential for Ship Building/ Repairing, Auto/Auto Component Being Developed as Special Investment Region over 250Sqkm Maroli Greenfield Port, Gujarat: Node-17 Potential to handle 13MTPA in 2010 Coal, Containers, LNG, General Cargo Potential Commodities Alewadi/ Dighi Greenfield Port in Maharashtra: Node-20 Potential to handle all sizes of vessels & 8.5 MTPA Cargo Potential for additional Developments at Dahej (Node-15) and Hazira (Node-16) Ports in Gujarat
Project Component:
Haryana
Augmentation of Airports
Concept: 1 Planning Approach for DMIC to ensure air Dadri connectivity to all investment regions and 7 Rajasthan industrial areas 8 Jaipur Investment Regions can have Air Strips, 11 depending on location, to link with 10 international airport transfer facility for Gujarat Business Visitors 13 14 Madhya Pradesh Proposed Augmentation Measures: Greater Noida Airport (at Jayur, Dist. Aligarh) at Node-1 16 Udaipur/ Jodhpur, Jaipur Airports in 18 Maharashtra Rajasthan (Nodes-8, 10 and 11) J.N.Port Vadodara and Surat Airports in Gujarat 19 (Nodes-14 and 16) Nashik and Pune Airports in Maharashtra DFC Alignment Airport Augmentation (Nodes-18 and19) Investment Region (100SQKM) Development of Greenfield Air Strips at Nimarana (Node-7) and Dholera (Node-13) Industrial Area (25SQKM)
Project Component:
Each Common Investment Region (IR/IA) will be provided with modern logistics infrastructure to serve containerized and non-containerized cargo Envisaged Port (Container, Ro-Ro, Bulk) Terminals Bulk Terminal, Ro-Ro Facility at Dahej Break-Bulk Terminal, Ro-Ro Facility at Maroli Container Terminals at Hazira, Alewadi Ports State-of-the-Art Warehousing zones to be provided with Inventory Management and Communication System integrating logistics components as well as facilitating 3rd Party Logistics Operators
Project Component:
Project Component:
Indicative Guidelines Envisaged for Development of Industrial Regions: Define the carrying capacity of each industrial zone; Maintain the natural areas and indigenous vegetation to extent possible; Incorporate Energy and resource efficient designs; Planning environmental management systems & projects
Project Component:
Integrated Townships
Construction/ Augmentation of 2500km long feeder rail linkages Augmentation/ Construction of 4000km feeder roads (State Highways etc) besides up gradation of National Highways Construction, Operation and Maintenance of Logistics Hubs, Container Terminals Development of Industrial Areas, SEZs/ Agro-Processing Hubs Integrated Townships, IT/ITES Hubs, Knowledge Cities
*
Connectivity to Eastern (LudhianaDelhi-Kolkata) and Western (DelhiMumbai) Freight Corridors Linking with NHDP (NH-24, NH-58), Taj Expressway, Eastern Peripheral Expressway & Hinterlands & Augmentation of State Highway (Ghaziabad-Aligarh-Agra) Rail Linkage with DFC Linkage with NHDP, DFC, Hinterland
* Integrated Logistics Hub (with ICD) Served by Greater Noida and Delhi * Inland Container Depot at Rewari/ Bawal *
*
Rail Linkage with DFC Linkage with NHDP, DFC, Hinterland
Horticulture, Processing of Oil Seeds, Dairy Processing Engineering, Automobile/Auto, IT/ITES, Electronics, Integrated Logistics Hub International Airport Complex * * Rail Linkage with DFC Linkage with NHDP, DFC, Hinterland Served by Jaipur-Agra Broad Gauge Connectivity to NH-11, NH-11A and Hinterland
Airport Development Integrated Township Power Plants IT/ITES / Biotech Hub Feeder Rail
Deep Draft Greenfield Port (15-18m) with Ship Yard Maritime, Engineering, Automobile, IT/ITES/Biotech Also includes Knowledge City with Finance City at Gandhinagar Multi-modal Integrated Logistics Hub at Dholera and Surendra Nagar International Airport Complex * 3500MW Power Plant at Dholera *
Vadodara Airport * Captive Power Plant (Gas based/ duel fuel based) * Served by DFC with Junction at Makarpura (Vadodara) Linking with NHDP Corridors (NH-8) & Upgradation of State Highways
Feeder Roads
Nashik, Sinnar
Wine Processing, Fruits & Vegetables Greenfield Port at Alewadi/Dighi Engineering, Automobile, Food Processing, IT/ITES Integrated Logistics Hub (with ICD) Nashik Airport * * Connectivity to Mumbai- Nashik-Jalgaon Railway Line Linking with NHDP & Hinterlands Connectivity to DFC, Port & Hinterland
Container Terminal Integrated Logistics Hub with CFS Served by Mumbai Intl Airport
* 3000MW in Raigad
Feeder Roads
Thank You