In a post-Covid-19 scenario, one of the key solutions for the government would be to work with business houses to drive ‘de-densification’ in a carefully planned manner, building in critical infrastructure including water supply, sanitation and an urgent upscaling of critical care medical facilities, feels Kshitish Nadgauda, Senior Vice-President, Managing Director-Asia, for Louis Berger (a WSP Company), an international consultancy firm in project management and engineering services with over 25 major projects undertaken in India.
Rebooting the infrastructure sector
The pandemic-related lockdown has negatively impacted economies across the world, including India. With restrictions now easing to a large extent, the infrastructure sector is expected to get a strong boost by the government. In recessionary times, governments have always infused funding into infrastructure projects to give the economy a significant boost. “We are optimistic that with steps taken now, new major infrastructure projects will start to come online in significant numbers in the second quarter of 2021,” he told BusinessLine .
Urgent funding needed
Existing urban centres need the establishment of new development nodes (townships) located strategically along well-planned and developed infrastructure corridors. This will help stem the daily flow of population into existing urban areas in search of better economic opportunities. The new townships would include key investments that would also generate significant employment.
There are many such areas in the metros, including Korukkupet in North Chennai; Dharavi in Mumbai; North-East Delhi, and parts of Delhi adjoining Uttar Pradesh. The population of Dharavi alone is close to 10 lakh. That’s a million people residing in an area of just 2.1 sq km, he pointed out.
It is not surprising, therefore, that the pandemic spread at a fast rate in Dharavi, which is the epitome of entrepreneurship and innovation driven by the sheer grit and determination of an economically underprivileged section of society. Places like Dharavi deserve urgent government funding to naturally build in public health protection while retaining its entrepreneurial character, he said.
Infra push from govt
Already, the necessary thrust is coming from the government recognising this critical need. The government’s announcement of the ₹111 lakh-crore investment in the National Infrastructure Pipeline (NIP) will give a much-needed impetus to infrastructure development post the Covid-19 crisis. The government and infrastructure planners should ensure that investments in infrastructure are designed in a sustainable, technologically advanced, and resilient manner to include regions and cities, he stressed.
There is a huge pent-up demand in India for new infrastructure, both in urban as well as rural areas. The government would never be spending too much on infrastructure given the vast amount of work remaining to be done to upgrade India’s infrastructure across all sectors to world standards. So, investment in infrastructure needs to be given a major impetus at the present time to boost the economy, said Nadgauda.
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