VGF Scheme to support economically justified but commercially unviable projects
More than 250 officials from the Centre and State Governments were updated on the pivotal role of Public-Private-Partnerships (PPPs) in boosting the infrastructure development of the country.
Officials from the Department of Economic Affairs (DEA) also listed out the key interventions that are being undertaken by the Central Government for the multi-billion-dollar infrastructure development at a workshop.
DEA sensitised the officials that the support can be taken from the empaneled Transaction Advisers to structure bankable PPP projects. The empanelment is done for making the process of appointment of transaction advisors and consultant for Effortless, Efficient and Effective project implementation.
DEA officials presented a manual for use of the panel which is a step-by-step guide that can be referred by the project sponsoring authorities to on-board a transaction adviser.
Officials were briefed with steps involved in the process viz., establishing project requirements; defining objectives of the assignment, developing terms of reference for the assignment, defining eligibility criteria, identifying key personnel for executing the project, Publishing RfP, etc.
The officials were also briefed regarding DEA schemes for financial support to PPPs which inter alia include Viability Gap Funding (VGF) Scheme to support economically justified but commercially unviable projects, and the India Infrastructure Project Development Fund (IIPDF) to fund PPP project development expenses including costs of engaging Transaction Adviser.
The TA-PPP update was given at a workshop organised on 25 Aug 2022 by the Infrastructure Finance Secretariat in the DEA of the Ministry of Finance.
Officials from the Central Infrastructure Line Ministries as well as States and Union Territory Governments participated in the workshop. fiinews.com
