A good study of the annual budget announcements can help you in many ways – a) Capture new upcoming opportunities created by the Government, b) Avail subsidies, grants, or concessions offered by the Government, c) Manage your finances by planning taxes and expenditure, d) Understanding impact on the economy, the industry and your business, or your employer’s business, e) Making long term investment decisions based on sectors being focussed on, economic factors and tax implications of investment. The Government made some key announcements concerning infrastructure development, energy and resources –

  1. Green hydrogen – National Green Hydrogen Mission with an outlay of INR 19,700 crores will facilitate the transition to low carbon intensity, and reduce fossil fuel imports. Annual production of 5 MMT by 2030 is being targeted.
  2. Energy transition – INR 35,000 crore has been budgeted for capital investments towards energy transition, energy security and net zero objectives.
  3. Energy storage – Viability Gap Funding will be provided to battery energy storage systems with a capacity of 4,000 MWH
  4. Green credit – A Green Credit Programme will be notified under the Environment (Protection) Act to incentivize environmentally sustainable and responsive actions amongst companies and individuals.
  5. Renewable energy – Evacuation and grid integration of 13 GW renewable energy from Ladakh will be constructed with a budgeted outlay of INR 20,700 crore including central support of INR 8,300 crore.
  6. Fertilizers – PM Programme for Restoration, Awareness, Nourishment and Amelioration of Mother Earth (PM-PRANAM) will promote alternative fertilizers and balanced use of chemical fertilizers.
  7. Biogas plants – 500 new ‘waste to wealth’ plants will be established under Galvanizing Organic Bio-Agro Resources Dhan (GOBARdhan) scheme to promote a circular economy. 200 compressed biogas (CBG) plants with a budgeted outlay of INR 10,000 crore.
  8. Natural farming – 10,000 Bio Input Resource Centres will be set up to create a national-level micro-fertilizer and pesticide manufacturing network.
  9. Mangroove forestation – Mangrove Initiative for Shoreline Habitats and Tangible Incomes (MISHTI) scheme will be taken up for mangrove plantations along the coastline and on saltpan lands.
  10. Wetlands – Amrit Dharohar scheme will be implemented over the next three years to encourage optimal use of wetlands, enhance bio-diversity, carbon stock, eco-tourism opportunities and income generation for local communities.
  11. Coastal shipping – Coastal shipping will be promoted for both passengers and goods transportation through Public Private Partnerships (PPP) mode with viability gap funding.
  12. Vehicle Replacement – Adequate funds have been allocated to scrap old vehicles of the Central Government. States will also receive support for replacing old vehicles and ambulances.
  13. Capital investment – Capital investment outlay has been increased steeply by 33 per cent to INR 10 lakh crore, which is 3.3 per cent of the GDP. Capital assets through Grants-in-Aid to the states will have a budgeted outlay of INR 13.7 lakh crore, which is 4.5 per cent of the GDP.
  14. Interest-free loan to State Governments – 50-year interest-free loan to state governments has been extended for one more year with an outlay of INR 1.3 lakh crore.
  15. Unity malls – State Governments will be encouraged to set up Unity malls in their state capital or prominent tourism centre or the financial capital for promoting products from the ‘one district, one product’ scheme.
  16. Railways – A capital outlay of INR 2.40 lakh crore has been budgeted for the Railways.
  17. Logistics – With an investment of INR 75,000 crore including 15,000 from the private sector, critical transport infrastructure projects will be developed for connecting ports, coal, steel, fertilizer, and food grains sectors
  18. Regional connectivity – 50 new airports, heliports, water aerodromes and advanced landing grounds will be revived.
  19. Private infrastructure investment – Newly established Infrastructure Finance Secretariat will assist all stakeholders with private investment in infrastructure
  20. Master list of infrastructure – An expert committee will review the Harmonized Master List of Infrastructure for classification and financing framework
  21. Municipal bonds – Cities will be incentivized to improve their creditworthiness for municipal bonds. This will be achieved through property tax reforms and user charges on urban infrastructure.
  22. Sustainable cities – Urban planning reforms and actions to develop sustainable cities will be promoted among states
  23. Urban Infrastructure Development Fund – Urban Infrastructure Development Fund (UIDF) will be established through priority sector lending shortfall which will be managed by the National Housing Bank. INR 10,000 crore per annum has been budgeted for this purpose.
  24. Urban sanitation – Mechanical desludging of septic tanks and sewers will be enabled throughout the country. Scientific management of dry and wet waste is also a key focus.