The government’s National Monetisation plan is a promising plan, but, if it is to work as envisaged, several things need to fall into place. Discuss (200 Words)
Refer - The Indian Express
Enrich the answer from other sources, if the question demands.
IAS Parliament 3 years
KEY POINTS
· The National Monetisation Plan has been announced to provide a clear framework for monetisation and give potential investors a ready list of assets to generate investment interest.
· The government has stressed that these are brownfield assets, de-risked from execution risks and therefore should encourage private investment.
· The monetisation will create further value for infrastructure creation in the country and explore innovative ways of private participation without transfer of government ownership.
· The NMP will run co-terminus with the National Infrastructure Pipeline of Rs 100 lakh crore.
· Among the key challenges that may affect the NMP roadmap include lack of identifiable revenues streams in various assets, level of capacity utilisation in gas and petroleum pipeline networks, dispute resolution mechanism, regulated tariffs in power sector assets.
· Slow pace of privatisation in government companies including Air India and Bharat Petroleum Corporation Limited, and less than encouraging bids in recently launched Public Private Partnership initiative in trains, indicate that attracting private investors interest is not that easy.
· The NMP framework notes that other key impediments to the monetisation process are asset-specific challenges like presence of an identifiable revenue stream.
· This is specifically relevant to the railway sector, which has seen limited PPP success as a mode of project delivery.
Athenia 3 years
Kindly review. TIA.
IAS Parliament 3 years
Good attempt. Keep Writing.
ANIL KUMAR RAM 3 years
Please review
IAS Parliament 3 years
Try to provide sub headings and provide coherence in the answer. Keep Writing.
