National Programme for Prevention and Control of Cancer, Diabetes, Cardiovascular Diseases and Stroke (NPCDCS)

Ministry of Health & Family Welfare, through the International Institute for Population Sciences, Mumbai, has conducted National Family Health Survey 4 (NFHS-4) 2015-16.

• As per the Survey, in the age group of 15-49 years, 8.0% of men and 5.8% of women in India have high random blood sugar levels and 13.6% men and 8.8% women are hypertensive.

• World Health Organization (WHO) has been part of several consultations on preparation and control of NCDs including Diabetes and Hypertension. 

Government of India has launched the National Programme for Prevention and Control of Cancer, Diabetes, Cardiovascular Diseases and Stroke (NPCDCS) which is implemented for interventions up to District level under the National Health Mission.

• NPCDCS has a focus on awareness generation for behaviour and life-style changes, screening and early diagnosis of persons with high level of risk factors and there treatment and referral (if required) to higher facilities for appropriate management for those Non-communicable Diseases (NCDs) including diabetes and hypertension.

Government of India has also initiated a programme on population level screening of Common Non-Communicable Diseases such as Diabetes, Hypertension and Common Cancers viz. Oral, Breast and Cervical Cancer.

• Under this programme, the frontline health workers such as ASHAs and ANMs, inter alia, are being leveraged to carry out screening and generate awareness about the risk factors of NCDs among the masses. 

India is the first country globally to adopt the NCD Global Monitoring Framework and Action Plan to its National Context. 

• The Framework includes a set of nine voluntary targets and 25 indicators which can be applied across regional and country settings. 
• The framework elements include 
• halting the rise in obesity and diabetes prevalence, 
• reduction in alcohol use and 
• promotion of physical activity. 

The Central Government, through its hospitals, augments the efforts of the State Governments for providing health services in the country. 

• Under PMSSY 6 new AIIMS have been made operational. 
• Upgradation of identified Government medical colleges/institutions, for higher speciality facilities has been undertaken.
• All these will augment facilities for prevention, control and treatment of Diabetes, Hypertension and Heart Disease. 

Procurement of Crops

Procurement of wheat and paddy :-

The Central Government extends price support for procurement of wheat and paddy through Food Corporation of India (FCI) and State Agencies at Minimum Support Price (MSP). 

• Commission for Agricultural Costs and Prices (CACP) which is under Agriculture ministry recommends the MSP which gets approved by the Union Cabinet.
• CACP Has two non-official members from farming community. CACP recommends minimum support prices (MSP) based on certain economic criteria. 
• Subsequently, the center announces MSPs for 24 major agricultural commodities, including sugarcane, before each season. MSP announced for both RABI and Kharif SEASONS.
• Procurement at MSP is open ended i.e, whatever foodgrains are offered by the farmers, within the stipulated procurement period and which conforms to the quality specifications prescribed by Government of India (GOI), are purchased at MSP (and bonus/incentive ,if any) by the Government agencies including FCI, for Central Pool.
• However, if any producer/farmer gets better price in comparison to MSP, he is free to sell his produce in Open Market to private traders/anyone. 
• Coarse grains are purchased by State Government with permission of Central Government, upto the extent it is required in their Targeted Public Distribution System (TPDS). 

Under Price Support Scheme (PSS), the procurement of oil seeds, pulses and cotton through Central Nodal Agencies at the Minimum Support Price (MSP) is also undertaken.

• This scheme is implemented at the request of the concerned State Government which agrees to exempt the procured commodities from levy of mandi tax and assist central nodal agencies in logistic arrangements including gunny bags, provide working capital for state agencies, creation of revolving fund for PSS operations etc. as required under the Scheme guidelines.The basic objectives of PSS are to provide remunerative prices to the growers for their produce with a view to encourage higher investment and production and to safeguard the interest of consumers by making available supplies at reasonable prices with low cost of intermediation. 

Further, Government of India also implements Market Intervention Scheme (MIS) for procurement of agricultural and horticultural commodities which are perishable in nature and are not covered under the Price Support Scheme (PSS).

• The objective of intervention is to protect the growers of these commodities from making distress sale in the event of a bumper crop during the peak arrival period when the prices tend to fall below economic levels and cost of production.
• The condition is that there should be either at least a 10 percent increase in production or a 10 percent decrease in the ruling market prices over the previous normal year.
• The scheme is implemented at the request of a State/UT Government which is ready to bear 50 percent of the loss (25 percent in case of North-Eastern States), if any, incurred on its implementation.
• The extent of total amount of loss to be shared on a 50:50 basis between the Central Government and the State Government is restricted to 25 percent of the total procurement value which includes cost of the commodity procured plus permitted overhead expenses. 

FAME – India (Faster Adoption and Manufacturing of (Hybrid &) Electric Vehicles in India)

Government of India approved the National Mission on Electric Mobility in 2011 and subsequently National Electric Mobility Mission Plan 2020 was unveiled in 2013.

FAME-India:- 

• As part of the mission, Department of Heavy Industry has formulated a scheme namely FAME – India (Faster Adoption and Manufacturing of (Hybrid &) Electric Vehicles in India).
• The overall scheme is proposed to be implemented over a period of 6 years, till 2020, wherein it is intended 
• To support the hybrid/electric vehicles market development and its manufacturing eco-system 
• To achieve self-sustenance at the end of the stipulated period.
• The FAME India Scheme is aimed at incentivising all vehicle segments i.e. 2 Wheeler, 3 Wheeler Auto, Passenger 4 Wheeler Vehicle, Light Commercial Vehicles and Buses.
• The scheme covers Hybrid & Electric technologies like Mild Hybrid, Strong Hybrid, Plug in Hybrid & Battery Electric Vehicles.  
• The scheme has 4 focus areas i.e.
  • Technology Development,
  • Demand Creation,
  • Pilot Projects and
  • Charging Infrastructure. 
• Under FAME-India (Faster Adoption and Manufacturing of (Hybrid &) Electric Vehicles in India) Scheme of the Government, Department of Heavy Industry has extended demand incentives @ Rs. 127.77 Crore for purchase of 1,11,897 Electric/Hybrid vehicles since inception of the Scheme on 1st April, 2015 till February, 2017. 
• The Phase-1 of the scheme is being implemented over a 2 year period i.e. FY 2015-16 and FY 2016-17 commencing from 1st April 2015 with approved outlay of Rs. 795 Crore.
• Based on the outcome and experience gained in the Phase I (2 years), the scheme shall be reviewed appropriately with inputs from stakeholders and shall be considered for implementation post 31st March, 2017 with appropriate allocation of fund in the future. 

Implementation of Crop Insurance Schemes

Pradhan Mantri Fasal Bima Yojana (PMFBY) was launched from Kharif 2016 to provide comprehensive insurance coverage for all food crops (cereals, millets & pulses), oilseeds crops and annual commercial/horticultural crops against all non-preventable natural risks. 

• This is however subject to yield data being made available for the particular crop for a sufficient number of years and the capacity of State Governments to conduct requisite number of Crop Cutting Experiments (CCEs) to assess the yield loss. 
• The highlights of this scheme are as under:
• There will be a uniform premium of only 2% to be paid by farmers for all Kharif crops and 1.5% for all Rabi crops. 
• In case of annual commercial and horticultural crops, the premium to be paid by farmers will be only 5%. 
• The premium rates to be paid by farmers are very low and balance premium will be paid by the Government to provide full insured amount to the farmers against crop loss on account of natural calamities.
• There is no upper limit on Government subsidy. 
• Even if balance premium is 90%, it will be borne by the Government. 
• Earlier, there was a provision of capping the premium rate which resulted in low claims being paid to farmers. 
• This capping was done to limit Government outgo on the premium subsidy. This capping has now been removed and farmers will get claim against full sum insured without any reduction.
• The use of technology will be encouraged to a great extent. Smart phones will be used to capture and upload data of crop cutting to reduce the delays in claim payment to farmers. 
• Remote sensing will be used to reduce the number of crop cutting experiments. 
• The new Crop Insurance Scheme is in line with One Nation – One Scheme theme. 
• It incorporates the best features of all previous schemes and at the same time, all previous shortcomings/weaknesses have been removed.

er Crop Insurance Scheme - Comparison

No	Feature	NAIS [1999]	MNAIS [2010]	PM Crop Insurance Scheme
1	Premium rate	Low	High	Lower than even NAIS (Govt to contribute 5 times that of farmer)
2	One Season – One Premium	Yes	No	Yes
3	Insurance Amount cover	Full	Capped	Full
4	On Account Payment	No	Yes	Yes
5	Localised Risk coverage	No	Hail storm Land slide	Hail storm Land slide Inundation
6	Post Harvest Losses coverage	No	Coastal areas - for cyclonic rain	All India – for cyclonic + unseasonal rain
7	Prevented Sowing coverage	No	Yes	Yes
8	Use of Technology (for quicker settlement of claims)	No	Intended	Mandatory
9	Awareness	No	No	Yes (target to double coverage to 50%)

One Nation – One Scheme: best features of all previous schemes incorporated + all previous shortcomings / weaknesses removed

Perennial horticultural crops can also be insured under Restructured Weather Based Crop Insurance Scheme (RWBCIS).  

• Inclusion of crops and areas under the PMFBY/RWBCIS are however, decided/notified by the concerned State Governments.   
• NAIS and MNAIS have been discontinued from Kharif 2016, but the ongoing Weather Based Crop Insurance Scheme (WBCIS) and Coconut Palm Insurance Scheme would continue to operate while premium to be paid under WBCIS has been brought on a par with PMFBY.
• The Agriculture ministry has empaneled state-owned Agriculture Insurance Company of India (AIC) and 10 private companies including ICICI-Lombard General Insurance, HDFC-ERGO General Insurance, IFFCO-Tokio General Insurance and SBI General Insurance, for implementation of the mega scheme.

The Central Government on its part, has continuously persuaded the State Governments to notify maximum number of crops and areas under crop insurance schemes, so that the coverage can be enhanced from the present level of about 30% of cropped area in 2016-17 to  50% of cropped  area over the next two years. 

This is the first year of implementation of PMFBY/RWBCIS and 23 States implemented the schemes during Kharif 2016 and 25 States and 3 Union Territories during Rabi 2016-17. 

Disparities among States in coverage is  attributable to the schemes being optional for States, notification by States of food and oilseeds crops & annual commercial/horticultural crops on selective basis, poor infrastructure of insurance companies for coverage of non-loanee farmers etc.   

Apart from these factors, coverage of farmers differs from State to State also due to perception of risk of areas and crops, being higher in more risky areas and crops.  

Government is keeping a close watch on the implementation/progress of the schemes which are being monitored at the highest level and through weekly video conferences with State Governments, insurance companies and financial institutions.  

Due to the improved features of the new schemes and efforts made by the Government, coverage under PMFBY/RWBCIS has increased substantially over that of the erstwhile schemes.

Trade Infrastructure for Export Scheme (TIES)

The Scheme is focussed on addressing the needs of the exporters. The focus is not just to create infrastructure but to make sure it is professionally run and sustained. 

Total Budget is Rs. 600 cr. to be used in the next three financial years (Rs. 200 cr. each year)

• There will be an Empowered Committee to periodically review the progress of the approved projects in the Scheme and will take necessary steps to ensure achievement of the objectives of the Scheme.
• The proposals of the implementing agencies for funding will be considered by an inter ministerial Empowered Committee specially constituted for this Scheme to be chaired by the Commerce Secretary.
• While appraising the project the justification, including the intended benefit in terms of addressing the specific export bottlenecks, would be evaluated. 

Projects to be Supported:-

• The scheme would provide assistance for setting up and up-gradation of infrastructure projects with overwhelming export linkages like the Border Haats, Land customs stations, quality testing and certification labs, cold chains, trade promotion centres, dry ports, export warehousing and packaging, SEZs and ports/airports cargo terminuses. 
• Last and first mile connectivity projects related to export logistics will also be considered.
  About TIES:-
•  After delinking of the ASIDE Scheme in 2015, the State Governments have been consistently requesting the support of the Centre in creation of export infrastructure.
• This support is imperative to act as an inducement to the States to channelize funds from their increased devolution towards creation of export infrastructure.
• The objective of the proposed scheme is to enhance export competitiveness by bridging gaps in export infrastructure, creating focused export infrastructure, first mile and last mile connectivity for export-oriented projects and addressing quality and certification measures.
• The Central and State Agencies, including Export Promotion Councils, Commodities Boards, SEZ Authorities and Apex Trade Bodies recognised under the EXIM policy of Government of India; are eligible for financial support under this scheme.
• The Central Government funding will be in the form of grant-in-aid, normally not more than the equity being put in by the implementing agency or 50% of the total equity in the project. (In case of projects located in North Eastern States and Himalayan States including J&K, this grant can be upto 80% of the total equity).
• The grant in aid shall, normally, be subject to a ceiling of Rs 20 Cr for each infrastructure project.
• The implementing agencies shall provide details of the financing tie-ups for the projects which will be considered before approval of the project.
• Disbursement of funds shall be done after financial closure is achieved.

National Industrial Corridor Development and Implementation Trust (NICDIT).

The Government has approved the expansion of the mandate of Delhi Mumbai Industrial Corridor Project Implementation Trust Fund (DMIC-PITF) and re-designated it as National Industrial Corridor Development and Implementation Trust (NICDIT).

• NICDIT is an apex body under the administrative control of Department of Industrial Policy and Promotion (DIPP) for coordinated and unified development of the following industrial corridors:

i)            Delhi Mumbai Industrial Corridor (DMIC)

ii)          Chennai Bengaluru Industrial Corridor (CBIC)

iii)         Amritsar Kolkata Industrial Corridor (AKIC)

iv)         Bengaluru Mumbai Industrial Corridor (BMIC)

v)          Vizag Chennai Industrial Corridor (VCIC).

• NICDIT will support project development activities and appraisal, approval and sanction of projects as per extant delegation. It will also coordinate and monitor all central efforts for the development of Industrial Corridor projects.

• Government of India (GoI)’s contribution to NICDIT will be used as a revolving corpus. Investments into the SPVs by Government of India will be routed through NICDIT so that all debt service payments by SPVs and proceeds from equity disinvestment from SPVs including SPVs developed by Delhi Mumbai Industrial Corridor Development Corporation (DMICDC) by utilizing grants given by GoI can be ploughed back into the corpus enabling NICDIT to support the development of more industrial cities in future.

National Mission for Green India

The National Mission for Green India (GIM) is one of the eight Missions outlined under the National Action Plan on Climate Change (NAPCC). 

• It aims at protecting; restoring and enhancing India’s diminishing forest cover and responding to climate change by a combination of adaptation and mitigation measures. 
• It envisages a holistic view of greening and focuses on multiple ecosystem services, especially, biodiversity, water, biomass, preserving mangroves, wetlands, critical habitats etc. along with carbon sequestration as a co-benefit.
• This mission has adopted an integrated cross-sectoral approach as it will be implemented on both public as well as private lands with a key role of the local communities in planning, decision making, implementation and monitoring.

Mission Goals:-

• To increase forest/tree cover to the extent of 5 million hectares (mha) and improve quality of forest/tree cover on another 5 mha of forest/non-forest lands;
• To improve/enhance eco-system services like carbon sequestration and storage (in forests and other ecosystems), hydrological services and biodiversity; along with provisioning services like fuel, fodder, and timber and non-timber forest produces (NTFPs); and
• To increase forest based livelihood income of about 3 million households.

Latest Developments:-

 

Union Government has merged Green India Mission (GIM) with the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) Scheme.

• By merging GIM with MGNREGA Scheme government seeks to increase 10 million hectares of forest cover.

• National Mission for a Green India aims for afforestation at 10 million hectares of land over the next decade in order to increase and improve the country’s forest cover.
• It also aims at improving ecosystems services, forest based livelihood income of about three million households and to enhance annual CO2 sequestration.
• At present under MGNREGA Scheme green works such as water harvesting, afforestation and farm forestry are undertaken which are implemented by Union Ministry of Rural Development.
• Government will also use modern technology like remote sensing to monitor the progress of this initiative regularly.
• Union Government also has set out convergence guidelines in this regard after consulting both Ministry of Environment & Forest (MoEF) and Rural Development Ministries.

Convergence guidelines:-

• All lands including community lands, village common lands, revenue wastelands, wetlands, shifting cultivation areas, and private agricultural lands will be eligible for afforestation.
• Under MGNREGA for afforestation, forest works such as pre-plantation, planting, watering and pit digging will be undertaken. Fencing, plant support and protection activities, mulching, weeding and manuring the plants will be also undertaken.
• Technical advice related to the plant species suitable for area and to raise nurseries will be provided by State Forest Development Agencies (SFDA).
• SFDA will also deliver information related to plant material to each gram panchayat before July each year meeting the cost from MGNREGA funds.
  

Inter-State River Water Disputes (Amendment) Bill, 2017

Union Minister of Water Resources, River Development and Ganga Rejuvenation introduced Inter-State River Water Disputes (Amendment) Bill, 2017 in Lok Sabha today 14.03.2017. 

• The Bill proposes a Single Standing Tribunal (with multiple benches) instead of existing multiple tribunals, which shall consist of 
• one Chairperson, 
• one Vice-Chairperson and 
• not more than six other Members.
• While the term of office of the Chairperson is five year or till he attains the age of 70 years, whichever is earlier, the term of office of Vice Chairperson and other member of tribunal shall be co-terminus with the adjudication of the water dispute.  

• The Bill also provides for the appointment of Assessors to provide technical support to the tribunal. They shall be appointed from amongst experts serving in the Central Water engineering Service not below the rank of Chief Engineer.
• The total time period for adjudication of dispute has been fixed at maximum of four and half years.
• The decision of the Tribunal shall be final and binding with no requirement of publication in the official Gazette.
• The Bill also proposes to introduce mechanism to resolve the dispute amicably by negotiations, through a Dispute Resolution Committee (DRC) to be established by the Central Government consisting of relevant experts, before such dispute is referred to the tribunal.
• The Bill also provides for transparent data collection system at the national level for each river basin and for this purpose, an agency to maintain data-bank and information system shall be appointed or authorized by Central Government.  

Inter-state river water disputes Resolution Mechanism at present:-

• Inter-state river water disputes are on the rise on account of increase in water demands by the States.
• The Inter State Water Dispute Act, 1956 which provides the legal framework to address such disputes, suffers from many drawbacks.
• This act was further amended in 2002 to include the major recommendations of ‘The Sarkaria Commission’. The amendments mandated a one year time frame to setup the water disputes tribunal and also a 3 year time frame to give a decision.
• Under this Act, a separate Tribunal has to be established for each Inter State River Water Dispute.
• Only three out of eight Tribunals have given awards accepted by the States, while Tribunals like Cauvery and Ravi Beas have been in existence for over 26 and 30 years respectively without any award.
• Delays are on account of no time limit for adjudication by a Tribunal, no upper age limit for the Chairman or the Members, work getting stalled due to occurrence of any vacancy and no time limit for publishing the report of the Tribunal.

• The Inter-State River Water Disputes (Amendment) Bill, 2017 proposes to streamline the adjudication of inter-state river water disputes and make the present legal and institutional architecture robust.

Some of the River Disputes are:-

• Mahanadi Dispute between Odisha and Chhattisgarh: Odisha is accusing upstream state Chhattisgarh of building barrages and dams to store and divert too much water.
• Mahadayi Dispute among Goa, Maharashtra and Karnataka: Goa opposes the building of upstream dams by the other two states.
• Dispute between Punjab and Haryana over the Sutlej-Yamuna Link (SYL) Canal: Punjab has been objecting to the diversion of Sutlej waters to Haryana through SYL.
• Krishna and Godavari water-sharing disputes between Telangana and Andhra Pradesh, which will also spill over to Maharashtra and Karnataka, among other basin states.

• 	Name of Tribunal	States concerned	Date of constitution	Present Status
  1.	Godavari Water Disputes Tribunal	Maharashtra, Andhra Pradesh, Karnataka, Madhya Pradesh & Odisha	April, 1969	Award given on July, 1980
  2.	Krishna Water Disputes Tribunal -I	Maharashtra, Andhra Pradesh, Karnataka,	April, 1969	Award given on May, 1976
  3.	Narmada Water Disputes Tribunal	Rajasthan, Madhya Pradesh, Gujarat and Maharashtra	October, 1969	Award given on December, 1979
  4.	Ravi & Beas Water Tribunal	Punjab, Haryana and Rajasthan	April, 1986	Report and decision given in April, 1987. Clarification / explanation sought from the Tribunal by the party States. Also, a Presidential Reference in the matter is before Supreme Court and as such the matter is sub-judice.
  5.	Cauvery Water Disputes Tribunal	Kerala, Karnataka, Tamil Nadu and Puduchery	June, 1990	Report and decision given on 5.2.2007. A Special Leave Petition (SLP) filed by party States in Hon’ble Supreme Court, as such the matter is sub-judice.
  6.	Krishna Water Disputes Tribunal -II	Karnataka, Telangana, Andhra Pradesh and Maharashtra	April, 2004	Report and decision given on 30.12. 2010.  The matter is sub-judice.
  7.	Vansadhara Water Disputes Tribunal	Andhra Pradesh &Odisha	February, 2010	Report and decision not given by the Tribunal. The matter is sub-judice.
  8.	Mahadayi Water Disputes Tribunal	Goa, Karnataka and Maharashtra	November, 2010	Report and Decision not given by the Tribunal.

  
  
  Other Inter-State Water disputes
  Apart from the above mentioned disputes, the following are the other Inter-State water disputes
  • Indirasagar (Polavaram) Project, Andhra Pradesh
  • Babhali Barrage Issue
  • Mulla Periyar Dam Issue

Sagar Mala project

Sagar Mala project is a strategic and customer-oriented initiative of the Ministry of Shipping, Government of India to 

• Modernize India's Ports so that port-led development can be augmented and coastlines can be developed to contribute in India's growth.
• It looks towards transforming the existing Ports into modern world class Ports and
• integrate the development of the Ports, the Industrial clusters and hinterland and efficient evacuation systems 
• through road, rail, inland and coastal waterways resulting in Ports becoming the drivers of economic activity in coastal areas.

Six megaports are planned in Sagarmala project.

West Bengal	Sagar Island
Tamil Nadu	Sirkhaji, Enayam
Maharashtra	Wadhwan
Karnataka	Belikeri
Orissa	Paradip Outer Harbour

• The prime objective of the Sagarmala project is 
• to promote port-led direct and indirect development and 
• to provide infrastructure to transport goods to and from ports quickly, efficiently and cost-effectively.
• Therefore, the Sagarmala Project shall, inter alia, aim to develop access to new development regions with inter-modal solutions and promotion of the optimum modal split, enhanced connectivity with main economic centres and beyond through expansion of rail, inland water, coastal and road services. 

The Sagarmala initiative will address challenges by focusing on three pillars of development, namely

• (i) Supporting and enabling Port-led Development through appropriate policy and institutional interventions and providing for an institutional framework for ensuring inter-agency and ministries/departments/states’ collaboration for integrated development,
• (ii) Port Infrastructure Enhancement, including modernization and setting up of new ports, and
• (iii) Efficient Evacuation to and from hinterland. In addition to strengthening port and evacuation infrastructure, it also aims at simplifying procedures used at ports for cargo movement and promotes usage of electronic channels for information exchange leading to quick, efficient, hassle-free and seamless cargo movement. 

For a comprehensive and integrated planning for “Sagarmala”, a National Perspective Plan (NPP) for the entire coastline shall be prepared within six months which will identify potential geographical regions to be called Coastal Economic Zones (CEZs).

• While preparing the NPP, synergy and integration with planned Industrial Corridors, Dedicated Freight Corridors, National Highway Development Programme, Industrial Clusters and SEZs would be ensured.

• Detailed Master Plans will be prepared for identified Coastal Economic Zones leading to identification of projects and preparation of their detailed project reports. 

National Sagarmala Apex Committee (NSAC):-

• A National Sagarmala Apex Committee (NSAC) is envisaged for overall policy guidance and high level coordination, and to review various aspects of planning and implementation of the plan and projects.
• The NSAC shall be chaired by the Minister incharge of Shipping, with Cabinet Ministers from stakeholder Ministries and Chief Ministers/Ministers incharge of ports of maritime states as members.
• This committee, while providing policy direction and guidance for the initiative’s implementation, shall approve the overall National Perspective Plan (NPP) and review the progress of implementation of these plans. 

Sagarmala Coordination and Steering Committee (SCSC):-

At the National Level, Sagarmala Coordination and Steering Committee (SCSC) shall be constituted under the chairmanship of the Cabinet Secretary with Secretaries of the Ministries of Shipping, Road Transport and Highways, Tourism, Defence, Home Affairs, Environment, Forest & Climate Change, Departments of Revenue, Expenditure, Industrial Policy and Promotion, Chairman, Railway Board and CEO, NITI Aayog as members. 

• This Committee will provide coordination between various ministries, state governments and agencies connected with implementation and review the progress of implementation of the National Perspective Plan, Detailed Master Plans and projects. 
• It will, inter alia, consider issues relating to funding of projects and their implementation. 
• This Committee will also examine financing options available for the funding of projects, the possibility of public-private partnership in project financing/construction/ operation. 

Sagarmala Development Company (SDC) :-

• At the Central level, Sagarmala Development Company (SDC) will be set up under the Companies Act, 1956 to assist the State level/zone level Special Purpose Vehicles (SPVs), as well as SPVs to be set up by the ports, with equity support for implementation of projects to be undertaken by them.
• The SDC shall also get the Detailed Master Plans for individual zones prepared within a two year period. 
• The business plan of the SDC shall be finalised within a period of six months. 
• The SDC will provide a funding window and/or implement only those residual projects that cannot be funded by any other means/mode. 

State Sagarmala Committee:-

In order to have effective mechanism at the state level for coordinating and facilitating Sagarmala related projects, the State Governments will be suggested to set up

• State Sagarmala Committee to be headed by Chief Minister/Minister in Charge of Ports with members from relevant Departments and agencies. 

• The state level Committee will also take up matters on priority as decided in the NSAC.

• At the state level, the State Maritime Boards/State Port Departments shall service the State Sagarmala Committee and also be, inter alia, responsible for coordination and implementation of individual projects, including through SPVs (as may be necessary) and oversight. 
• The development of each Coastal economic zone shall be done through individual projects and supporting activities that will be undertaken by the State Government, Central line Ministries and SPVs to be formed by the State Governments at the state level or by SDC and ports, as may be necessary. 

Improvement of operational efficiency of existing ports, which is an objective of the Sagarmala initiative, shall be done by undertaking business process re-engineering to simplify processes and procedures in addition to modernizing and upgrading the existing infrastructure and improved mechanisation. Increased use of information technology and automation to ensure paperless and seamless transactions will be an important area for intervention. 

• Under the Sagarmala Project, the use of coastal shipping and IWT are proposed to be enhanced through a mix of infrastructure enhancement and policy initiatives. 
• The Sagarmala initiative would also strive to ensure sustainable development of the population living in the Coastal Economic Zone (CEZ).

 This would be done by synergising and coordinating with State Governments and line Ministries of Central Government through their existing schemes and programmes such as those related to community and rural development, tribal development and employment generation, fisheries, skill development, tourism promotion etc.

•  In order to provide funding for such projects and activities that may be covered by departmental schemes a separate fund by the name ‘Community Development Fund’ would be created. 
• The Institutional Framework for implementing Sagarmala has to provide for a coordinating role for the Central Government. 
• It should provide a platform for central, state governments and local authorities to work in tandem and coordination under the established principles of “cooperative federalism”, in order to achieve the objectives of the Sagarmala Project and ensure port-led development. 

In order to kick start the implementation of projects it is proposed to take up identified projects covered in the concept of Sagarmala for implementation forthwith. 

• These identified projects for implementation in the initial phase will be based on the available data and feasibility study reports and the preparedness, willingness and interest shown by the State Governments and Central Ministries to take up projects. 
• All efforts would be made to implement those projects through the private sector and through Public Private Participation (PPP) wherever feasible. 
• Funds requirement for starting the implementation of projects in the initial phase of Sagarmala Project is projected at Rs. 692 crores for the FY 2015-16.
• Further requirement of funds will be finalized after completion of Detailed Master Plan for Coastal Economic Zones for future years. 
• These funds will be used for implementation of projects by line ministries in accordance with approvals by the SCSC. 

Background of the port sector:

• Presently, Indian ports handle more than 90 percent of India’s total EXIM trade volume.

• However, the current proportion of merchandize trade in Gross Domestic Product (GDP) of India is only 42 percent, whereas for some developed countries and regions in the world such as Germany and European Union, it is 75 percent and 70 percent respectively.

• Therefore, there is a great scope to increase the share of merchandising trade in India’s GDP.

• With the Union Government’s “Make in India” initiative, the share of merchandise trade in India’s GDP is expected to increase and approach levels achieved in developed countries.
• India lags far behind in ports and logistics infrastructure. 
• Against a share of 9 percent of railways and 6 percent of roads in the GDP the share of ports is only 1 percent.
• In addition high logistics costs make Indian exports uncompetitive. 
• Therefore Sagarmala project has been envisioned to provide ports and the shipping the rightful place in the Indian economy and to enable port-led development. 
• Amongst Indian States, Gujarat has been a pioneer in adopting the strategy of port-led development, with significant results.
• While in the 1980’s the state grew at only 5.08 percent per year (National average was 5.47 percent), this accelerated to 8.15 percent per annum in the 1990’s (All India average 6.98 percent) and subsequently to more than 10 percent per annum, substantially benefitting from the port-led development model. 
• The growth of India’s maritime sector is constrained due to many developmental, procedural and policy related challenges namely, involvement of multiple agencies in development of infrastructure to promote industrialization, trade, tourism and transportation; presence of a dual institutional structure that has led to development of major and non-major ports as separate, unconnected entities; lack of requisite infrastructure for evacuation from major and non-major ports leading to sub-optimal transport modal mix; limited hinterland linkages that increases the cost of transportation and cargo movement; limited development of centres for manufacturing and urban and economic activities in the hinterland; low penetration of coastal and inland shipping in India, limited mechanization and procedural bottlenecks and lack of scale, deep draft and other facilities at various ports in India. 

An illustrative list of the kind of development projects that could be undertaken in Sagarmala initiative are

• (i) Port-led industrialization
• (ii) Port based urbanization
• (iii) Port based and coastal tourism and recreational activities
• (iv) Short-sea shipping coastal shipping and Inland Waterways Transportation
• (v) Ship building, ship repair and ship recycling
• (vi) Logistics parks, warehousing, maritime zones/services
• (vii) Integration with hinterland hubs
• (viii) Offshore storage, drilling platforms
• (ix) Specialization of ports in certain economic activities such as energy, containers, chemicals, coal, agro products, etc. 
• (x) Offshore Renewable Energy Projects with base ports for installations
• (xi) Modernizing the existing ports and development of new ports.

This strategy incorporates both aspects of port-led development

1. viz. port-led direct development and
2. port-led indirect development.