The much-awaited special purpose vehicle for funding infrastructure projects is all set to take off by next month with the Prime Minister's Committee on Infrastructure giving it a green signal.
"The committee today (on Wednesday) considered and finalised two notes -- one on SPV and another on the procedure for public-private partnership in road projects. They will go to the Cabinet Committee on Economic Affairs next Thursday for approval," Finance Minister P Chidambaram said after the meeting.
The SPV, which aims at disbursing about Rs 10,000 crore (Rs 100 billion) for various projects this fiscal, is likely to be started in about a month's time once it gets CCEA nod, Planning Commission sources said.
The major focus of the SPV would be public as well as public-private partnership projects in roads, ports, airports (Mumbai and Delhi) and rail freight corridor, they said.
Announced in the Budget for 2005-06 by Chidambaram, the SPV will have an initial paid-up capital of Rs 10 crore (Rs 100 million). The authorised capital, however, has been fixed at Rs 1,000 crore (Rs 10 billion).
Denying any differences between Planning Commission and finance ministry on the proposed SPV, he said the structure, management, mandate, terms of lending and refinance were discussed at the meeting.
"There is complete agreement on the note," Chidambaram said.
The details of the SPV and the model concession agreement for Build-Operate-Transfer (BOT) projects in roads, would be made public after the CCEA clearance, he said.
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