Why Public Works needs to work for private!

Why PWDs should adopt privatization


The Central Public Works Department of India Generally Known as the CPWD, is a Central Government authority in Control of the public sector works. The Central Public Works Department, under the Ministry of Urban Development currently MoHUA (Ministry of Housing and Urban Affairs), copes with buildings, roads, bridges, flyovers, complicated structures such as stadiums, auditoriums, labs, bunkers, border fencing, boundary streets (mountain streets ), etc..  CPWD came into existence in July 1854 when Lord Dalhousie established a central agency for execution of functions and set up Ajmer Provincial Division.  It has now grown into a comprehensive construction management division, that provides solutions from project concept.

It is led by the Director-General (DG) who is also the Primary Technical Advisor to the Government of India.  The areas and sub-regions are led by Special DGs and Additional DGs respectively, while the zones in most state capitals (except a few) are headed by Chief Engineers.  Nowadays, a new post of Chief Project Manager (CPM) was made to head important prestigious projects of CPWD.  CPMs are equivalent to the rank of Chief Engineers at CPWD.  With presence, the strength of CPWD is its capacity to take on the construction of Projects in the post-construction phase.  

Have you noticed that the size of the project implementation has increased manifold?  New jobs worth Rs 1.95 billion were announced in the January to March quarter, up from Rs 1.20 trillion in the previous quarter.  The potential in delivering projects that were bigger, of companies has expanded.  We would rarely talk about some mega-projects simultaneously in progress.  
But now, we have the launch of the Rs 167 billion Navi Mumbai International project; the finalization of 18 bidders for the Rs 460 billion Mumbai Nagpur expressway that work is expected to commence this September; launching of this Rs 79 billion fourth container endeavor at JNPT to be controlled by Singapore ports -- all have raised the bar in scale, and dimensions.  However, the building industry's share in India's overall gross value declined to 7.4 percent in the fiscal year 2017-18 (FY18) in 9.6 percent in FY12 due to inadequate demand in the real estate industry and lower capital expenditure.  Private sector spending, which contributed a huge chunk in infrastructure, has remained shy, and people spending purses have opened to drive the momentum.

The government has recognized that this imbalance along with the GST council is likely to reduce the tariff from 28% to 18 percent for paints, concrete, plaster, plywood, and so on, later this month to give a fillip for construction materials.  The PMAY driveway to construct'Home for 2022' has 600 billion now being deployed to build 12 million homes with 0.3 to 0.5 million houses being built every month!  Recently, the consortium of Tata Projects, Capacit'e Infraprojects, and CITIC Group has been given a Rs 117.44 billion endeavor by the Maharashtra Government for redevelopment at Mumbai.  

This year is all about expediting implementation and stepping up banning of contracts and we're very likely to find results of construction businesses improve.  Non-clarity of our tax laws has been a major reason behind lawsuit and corruption.  The legal profession has been helped by It but paralyzed our development.  While our ranking at the simplicity of Doing Business enhanced to the position among 190 nations, we're nonetheless ranked 119th in paying taxes, 164th in enforcing contracts, and 181st in handling construction permits.

Contractors are yet to be compensated by the Public Works Department (PWD) of different nations for GST reimbursement on rates decreased from 18% to 12% for government contracts.  Since, Tier-II and Tier-III facilities are driving expansion in aviation, automobiles, along with e-commerce, the 13th Construction World Architect & Builder (CWAB) Awards are still likely"Regional" too.  CWAB is concluding it's regional' in Pune, Bengaluru, and Delhi and talent all around.  Get ready for CWAB 2018.
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BidAssist is the best place to get assistance regarding PWD tenders.

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