Question : Cost Overrun Projects

(a) the number of State projects that have been stalled for more than one year due to non-clearance from the Union Government along with the amount stuck therein, State and project-wise;

(b) whether the cost of the said projects has escalated due to delay in execution and if so, the details thereof, project-wise along with the manner in which such escalated cost is proposed to be shared between the Union Government and the concerned State Government;

(c) whether the Government proposes to set up a mechanism for granting single window clearance/ nod to the projects received from the State Governments within a fixed time frame and if so, the details thereof; and

(d) the other corrective measures taken/ being taken by Government in this regard?

Answer given by the minister

MINISTER OF STATE (INDEPENDENT CHARGE) OF THE MINISTRY OF STATISTICS AND PROGRAMME IMPLEMENTATION AND MINISTER OF STATE (INDEPENDENT CHARGE) OF THE MINISTRY OF PLANNING (RAO INDERJIT SINGH)

(a) to (d) Project Monitoring - Invest India Cell (PMIC) is an institutional mechanism for resolving a variety of issues with a view to fast tracking the approvals for setting up and expeditious commissioning of large public, private and public-private partnership (PPP) projects. It was set up initially in Cabinet Secretariat in June, 2013. At present PMIC is functioning under the administrative control of Department for Promotion of Industry and Internal Trade (DPIIT). Any investor having issues delaying or likely to delay the execution of a project (Rs. 500 crore and above) can bring it before PMIC for taking it up with the concerned authority in the Central and State Governments through its portal.

The primary focus of PMIC is to expedite the approvals for clearances from Central and State Authorities for setting up of projects. In accepting a project for resolution of its issues, PMIC does not distinguish between a ‘stalled’ or an ‘under implementation’ project. Further, there is no prescribed criterion for classifying a project as a stalled project in so far as PMIC is concerned. It also does not distinguish between a ‘state’ or ‘central’ project.

Project Monitoring - Invest India Cell (PMIC) on its own does not sanction any project or grant any approval for setting up a project or clears any project but facilitates resolution of clearance related issues through discussions and follow up. A list of public sector projects is at Annexure.

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