The PM Gati Shakti National Master Plan (NMP), a game-changer in India's infrastructure landscape, is all set to expand its reach beyond national borders. As part of the initiative's ongoing evolution, the government has planned Memorandums of Understanding (MoUs) with Nepal and Sri Lanka to implement infrastructure projects under the Gati Shakti framework. This ambitious move aims to improve connectivity and streamline planning processes for major infrastructure projects in these neighboring countries, all while ensuring that the Gati Shakti NMP will not be used for revenue generation with friendly nations.

The government envisions Gati Shakti NMP as a collaborative tool that can bring transformational changes in the way infrastructure projects are conceived and executed in South Asia. With Nepal and Sri Lanka being the first countries involved, this could pave the way for future international expansions, making India a pivotal player in regional infrastructure development.

District-Level Planning to Revolutionise Local Infrastructure

In parallel to its international outreach, the PM Gati Shakti initiative is being scaled down to the district level across India. The Union Government is actively working with various state governments to acquire necessary land record data to facilitate the effective rollout of district-level planning projects. These projects are expected to address local infrastructure needs, ensuring that developments are tailored to specific district requirements, ultimately enhancing local economies and connectivity.

The pilot project for district-level planning is already underway, and the government is aiming to officially launch the district-level Gati Shakti Master Plan by the end of 2024. This localised approach ensures that the same meticulous planning processes applied at the national level will now be used to identify and solve bottlenecks in smaller, regional areas.

Opening Gati Shakti to Private Players

As PM Gati Shakti approaches its third anniversary on 13th October, there is increasing momentum towards allowing private sector participation. By opening up the vast amount of data collected through the National Master Plan to private players, the government hopes to drive better project planning, optimisation, and cost reduction. However, sensitive data layers, such as strategic or defense-related information, will be carefully separated to ensure secure handling of information before it is made accessible to private entities.

This could be a major boon for industries looking to minimise infrastructure costs, especially in the transportation and logistics sectors. Gati Shakti's advanced data sets will allow companies to make more informed decisions about supply chain routes, optimal project locations, and long-term operational savings.

Learning from the Department of Food and Public Distribution's Success

The success of Gati Shakti in cost optimisation is already evident through its use by the Department of Food and Public Distribution, which saved an impressive ₹20 crores per month by using the platform to identify the most optimal distances between the Food Corporation of India's (FCI) godowns and fair price shops. This significant cost saving has inspired further government departments to adopt the same approach, and Gati Shakti is now becoming a critical tool for efficient resource management across sectors.

The government is currently working towards gaining access to dynamic traffic data from major cities, which will further improve urban congestion management. This data will allow planners to integrate real-time information into infrastructure projects, ensuring smoother traffic flows in congested areas and improved overall urban mobility.

Massive Projects and Identified Gaps

So far, 208 infrastructure projects worth ₹15.39 lakh crores have been approved via the Network Planning Group under Gati Shakti NMP. These projects span across sectors like transportation, logistics, power, and urban development, bringing significant improvements to India's infrastructure grid.

Moreover, 156 gaps in project execution have been identified, and work is being done to optimise these areas. By focusing on these gaps, the government is ensuring that all approved projects are executed as efficiently as possible, without wastage of resources or time. This methodical approach is positioning Gati Shakti as a tool not only for project execution but also for continuous improvement and optimisation of infrastructure projects.

Addressing Challenges and the Way Forward

Despite the successes, Gati Shakti NMP faces its share of challenges. Increasing the platform’s user base, keeping data updated, and making the plan useful for as many stakeholders as possible are ongoing hurdles that the government is actively working to overcome. An overall impact assessment of the platform is also in the pipeline, where individual savings from various projects will be compiled to provide a more holistic view of Gati Shakti's economic impact.

With the third anniversary of PM Gati Shakti approaching, this expansion into international projects and the opening up of its resources to private players could prove pivotal in the platform's next phase of growth. The government’s commitment to this initiative, from local district planning to international cooperation, ensures that Gati Shakti will continue to be a cornerstone in India's infrastructure development strategy.

For more updates on upcoming IPOs and the latest business news, explore the Best IPO to Apply Now - IPO List 2024, Latest IPO, Upcoming IPO, Recent IPO News, Live IPO GMP Today and stay updated with Top News Headlines - Share Market News, Latest IPO News, Business News, Economy News.

Join our Trading with CA Abhay Telegram Channel for regular Stock Market Trading and Investment Calls by SEBI Registered Research Analyst & stay updated with the latest Finance Saathi Telegram Channel for Regular Share Market, News & IPO Updates.

Start your stock market journey today by opening a free demat account with Choice Broking FinX.