Infrastructure

Meaning and Scope of Infrastructure

• Infrastructure refers to the fundamental physical and organizational facilities and systems needed for the functioning of a society and economy. It includes transport systems, power supply, communication networks, water supply, sanitation, education, and healthcare systems.
• It is the basic foundation for economic productivity, quality of life, and human development.
• In India, infrastructure is crucial for inclusive growth, regional development, poverty reduction, and economic resilience.

Broad Classification of Infrastructure

A. Economic Infrastructure

• Directly contributes to economic activity and facilitates production and trade.
• Examples:
  • Power and electricity generation and distribution
  • Transportation (railways, roads, ports, airports)
  • Irrigation
  • Telecommunications and digital networks
  • Oil exploration and refining

B. Social Infrastructure

• Supports development by improving human capability, indirectly impacting economic growth.
• Focuses on improving individual productivity, well-being, and human capital.
• Examples:
  • Education systems (schools, universities)
  • Health infrastructure (hospitals, PHCs)
  • Drinking water supply and sanitation
  • Housing and urban amenities

C. Physical Infrastructure

• Tangible and durable structures forming the skeleton of economic activity.
• Examples: Highways, bridges, airports, pipelines, railways, power plants.

D. Soft Infrastructure

• Comprises institutions and services that support the smooth functioning of hard infrastructure.
• Includes:
  • Governance and regulatory systems
  • Education and skill development programs
  • Law and order mechanisms
  • Financial institutions and IT support systems

E. Rural vs Urban Infrastructure

• Rural Infrastructure:
  • Focused on development in villages and backward areas.
  • Includes irrigation, rural roads (PMGSY), electrification (Saubhagya, DDUGJY), and social assets like schools and health centers.
• Urban Infrastructure:
  • Concerned with civic amenities in urban areas.
  • Includes public transport, solid waste management, affordable housing, road upgrades, metro systems, sewage, water supply, etc.

Urban Infrastructure Development in India

The Government of India has implemented several flagship missions to address the challenges of urbanization and create sustainable cities.

Smart Cities Mission

• Aims to develop 100 citizen-friendly and sustainable smart cities.
• Focus on local area development and using smart solutions for urban challenges.
• Promotes:
  • E-governance
  • Efficient urban mobility
  • Affordable housing
  • Integrated traffic management
  • Intelligent waste and water systems

Swachh Bharat Mission (Urban)

• Launched in 2014 to make India free from open defecation.
• Focus on:
  • Construction of individual and community toilets
  • 100% scientific management of municipal solid waste
  • Behavioral change and awareness
  • 4041 statutory towns and cities are covered under the scheme.

AMRUT (Atal Mission for Rejuvenation and Urban Transformation)

• Covers 500 mission cities to provide:
  • Basic services such as water supply, sewerage, and storm water drainage
  • Urban transport and green spaces
• Total outlay: ₹50,000 crore (2015-2020)
• Operates as a Centrally Sponsored Scheme.

HRIDAY (National Heritage City Development and Augmentation Yojana)

• Aims to preserve and revitalize the heritage character of cities.
• Focuses on integrated development of heritage sites, especially for tourism and culture.
• Cities like Varanasi, Amritsar, Ajmer have been covered.

Setu Bharatam

• Objective: Make all national highways free of railway level crossings for safer roads.
• Involves building bridges and overpasses at busy junctions.

Bharatmala Pariyojana

• An ambitious highway development programme.
• Focus Areas:
  • Economic Corridors
  • Inter-corridors and feeder routes
  • Border roads and international connectivity
  • Greenfield expressways
  • Port connectivity roads
  • Aims to optimize freight and passenger movement across India.

Pradhan Mantri Awas Yojana (Urban)

• Vision: Housing for All by 2022
• Components:
• • In-situ slum redevelopment
    • Affordable housing through credit-linked subsidy
    • Partnership with private developers
    • Subsidy for beneficiary-led individual house construction

Need for a Comprehensive Urbanization Policy in India

• India is urbanizing rapidly, and there’s a need for a clear national urban policy to guide the development of cities.

Major Challenges and Considerations

1. City Size Management:

• Should India develop mega cities (30–40 million) or multiple manageable cities (2–3 million)?
• Large cities benefit from economies of scale but are harder to manage and prone to congestion.

2. Financing Infrastructure:

• Budget allocations are insufficient.
• Options:
  • Land monetization
  • PPP models
  • Municipal bonds
  • Rationalizing user charges

Learning from the Past:

• Ancient cities like Harappa and Mohenjo Daro had advanced planning—drainage systems, zoning, grid layouts.
• Modern cities must focus on planned urban design, not just concrete expansion.

Integrated City Planning:

• Should go beyond political boundaries.
• Include peri-urban areas, regional economies, and environmental zones.

Green and Climate-Resilient Infrastructure:

• Cities should promote:
  • Energy-efficient buildings
  • Green transportation (EVs, metros)
  • Waste-to-energy systems
  • Water harvesting and urban forests

Technology-driven Governance:

• Encourage work-from-home and remote working to reduce traffic pressure.
• Use AI, GIS, IoT for smart utilities, surveillance, and planning.

Ports and Inland Waterways in India

Ports

• India has:
  • 12 Major Ports (under Central Govt.)
  • 200+ Minor Ports (under state governments)
• Handle:
  • 95% of cargo volume
  • 70% of cargo value
• Total capacity: Around 1000 million tons (MT)

FDI Policy in Ports

• 100% FDI allowed under automatic route in port development, operations, and maintenance to boost private investment.

Inland Waterways

• India has 14,500 km of navigable inland waterways.
• Declared National Waterways:
  1. NW-1: Allahabad-Haldia stretch (1620 km) – Ganga River
  2. NW-2: Sadiya-Dhubri (891 km) – Brahmaputra River
  3. NW-3: Kollam-Kottapuram (205 km) – Kerala canals
  4. NW-4: 1027 km – Andhra Pradesh, Tamil Nadu, Puducherry
  5. NW-5: 588 km – Odisha and West Bengal
  6. NW-6: 121 km (Proposed) – Barak River from Assam to Mizoram

Sagarmala Project

• Vision: Port-led development through modernization and connectivity.
• Key Components:
  • Modernization of existing ports
  • Port-connectivity through rail and road
  • Development of Coastal Economic Zones (CEZs)
  • Promoting cruise tourism and fisheries sector
• Expected Impact:
  • Boost exports by $110 billion
  • Generate 10 million jobs by 2025

Indian Railways and Freight Corridors

Indian Railways Overview

• Started in 1853 (Mumbai to Thane, 34 km)
• Total rail network: ~63,974 km
  • Broad Gauge: 54,257 km
  • Electrified: 43% of total route km

Private Freight Terminals (PFTs) and SFTOs

• Opened to private players for commodity movement.
• Private investment allowed in terminal operations, logistics hubs.

Dedicated Freight Corridors (DFC)

1. Western DFC: 1499 km from Dadri (UP) to JNPT (Mumbai)
   • Funded by JICA (Japan)
2. Eastern DFC: 1839 km from Ludhiana to Dankuni
   • Funded by World Bank

Kisan Rail Scheme

• Objective: Build cold supply chains for perishables (milk, fish, meat, vegetables).
• Implemented by Indian Railways through PPP mode.
• Reduces spoilage, improves farm income, supports national market integration.

Civil Aviation Infrastructure – UDAN Scheme

UDAN (Ude Desh ka Aam Nagrik)

• Enhances air connectivity to Tier-2 and Tier-3 cities.
• Provides Viability Gap Funding (VGF) to airlines.
• Focus on:
  • Northeast, J&K, Ladakh, hilly and island regions

UDAN 4.0

• Enhanced VGF for >20-seater aircraft
• Promotes short routes (<600 km)
• Airports already developed by AAI get higher priority
• Includes helicopter and seaplane operations

MINERALS

Nodal Ministry:

• The Ministry of Mines is responsible for:
  • Survey and exploration of all minerals except natural gas, petroleum, and atomic minerals.
  • Administration and regulation of non-ferrous metals like aluminium, copper, zinc, lead, gold, nickel.
  • Framing policies under Mines and Minerals (Development and Regulation) Act, 1957 (MMDR Act).
  • Governance of the Offshore Areas Mineral (Development and Regulation) Act, 2002 for minerals in territorial waters and Exclusive Economic Zone (EEZ).
  • Promoting sustainable mining practices and mineral-based industrial growth.
• Significance of Mineral Sector:
  • Minerals are essential raw materials for sectors like infrastructure, manufacturing, defence, electronics, and renewable energy.
  • India’s mineral wealth is vast but underexplored, especially in deep-seated and concealed deposits.
  • The sector contributes around 2.5% of GDP (as of recent estimates).

National Mineral Exploration Policy (NMEP), 2016

• Objective:
  To accelerate the exploration of mineral resources, especially non-coal and non-fuel minerals, by involving private sector and state-run agencies.
• Key Features:
  1. Private Participation:
     • Offers incentives like revenue-sharing models and composite licences.
     • Aims to attract investment by offering exploration rights with seamless transition to mining lease.
  2. National Geoscience Data Repository (NGDR):
     • A centralized system for storing and disseminating baseline geological data.
  3. National Aero-geophysical Mapping Program:
     • Uses advanced technology for large-scale mapping and identification of mineralized zones.
  4. Transparency and Ease of Doing Business:
     • Online data access, time-bound clearances, and single-window systems to reduce delays.
  5. Special Purpose Vehicle (SPV):
     • Public-funded SPVs to carry out strategic mineral exploration where private players are reluctant.
• Importance for India:
  • Reduces import dependency on critical minerals like lithium, cobalt, rare earths.
  • Supports ‘Atmanirbhar Bharat’ and Make in India initiatives.
  • Boosts employment and income in mineral-rich tribal regions.

INTELLECTUAL PROPERTY RIGHTS (IPR)

• Overview:
  • IPR refers to the legal rights granted to creators and inventors to protect their inventions, innovations, and creative expressions.
  • Managed by Department for Promotion of Industry and Internal Trade (DPIIT) under Ministry of Commerce and Industry.

National IPR Policy, 2016

• Vision: “Creative India, Innovative India” — to stimulate creativity and innovation across sectors and promote respect for IP culture.
• 7 Objectives of the Policy:
  1. Awareness and Promotion of IPRs as a marketable financial asset and economic tool.
  2. Creation of IPs through R&D, innovation, and creativity.
  3. Legal and Legislative Framework: Review and modernization of IP laws.
  4. Administration and Management: Improve infrastructure, manpower, and procedures.
  5. Commercialization of IPs and leveraging public-private partnerships.
  6. Enforcement and Adjudication: Strengthening IP enforcement mechanisms.
  7. Human Capital Development: Training of personnel and integration in academic curriculum.
• Implementation Body:
  CIPAM (Cell for IPR Promotion and Management) was created under DPIIT to implement the objectives.

Types of IPR in India

Patent

• Granted for new inventions – product or process.
• Should involve inventive step (technical advancement or economic significance) and be industrially applicable.
• Term: 20 years from the filing date.
• Example: Rotavac vaccine (India’s indigenous rotavirus vaccine) is patented.

Design

• Protects aesthetic aspects of an article – shape, pattern, configuration, color, or ornamentation.
• Applicable to 2D or 3D forms.
• Judged solely by visual appeal.
• Term: 10 years, extendable by 5 years.

Trademark

• A mark that distinguishes goods/services of one entity from others.
• Can include words, names, symbols, colors, packaging, sound marks.
• Example: Amul, TATA, the sound of IPL jingle.
• Validity: 10 years; renewable indefinitely.

Geographical Indication (GI)

• Signifies goods associated with a specific geographical origin having unique qualities.
• Example: Darjeeling Tea, Kandhamal Haldi, Pattachitra of Odisha.
• Governed under the Geographical Indications of Goods (Registration and Protection) Act, 1999.

Copyright

• Protects literary, artistic, dramatic, musical works, and cinematographic films/sound recordings.
• Offers rights like reproduction, translation, adaptation, public communication.
• Example: Books, songs, software code.
• Validity: Lifetime of author + 60 years after death.

CIPAM (Cell for IPR Promotion and Management)

• Role and Functions:
  • Acts as the nodal agency to coordinate, implement, and monitor the National IPR Policy.
  • Creates awareness and promotes IP culture through campaigns in schools, universities, and industries.
  • Streamlines IP filing procedures and simplifies documentation.
  • Assists enforcement agencies, police, and judiciary in IPR enforcement.
  • Helps MSMEs, startups, and innovators in IP protection and commercialization.

National Design Policy (2007)

• Objective:
  To promote design as a tool for improving product competitiveness, quality, and branding.
• Key Areas:
  • Spreading design education through new design institutes and integration in technical curriculum.
  • Branding of Indian design globally.
  • Setting up the India Design Council to lead and coordinate design promotion.

Importance of IPR for India

1. Encourages innovation, R&D, and creativity in all sectors.
2. Enhances India’s global competitiveness in pharma, technology, and traditional knowledge.
3. Helps protect indigenous products and culture (e.g., Basmati rice, Yoga postures).
4. Supports startups and MSMEs in building asset value through IP.
5. Aids in attracting FDI and foreign collaborations.

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Subject: Economics

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