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Cabinet approves new body to integrate transport and logistics planning | Economy & Policy News


The Union Cabinet on Tuesday approved setting up a Special Purpose Vehicle (SPV) to strengthen research, planning, appraisal, monitoring and impact assessment in the broad domains of transportation and logistics.

 

The SPV, to be called the Integrated Transport & Logistics Authority (ITLA), is expected to enhance the efficiency, sustainability and effectiveness of transport infrastructure development in India by fostering greater coordination and multimodal integration.

 

The approval aims to address long-standing challenges arising from fragmented planning and implementation across multiple transport-related ministries and agencies, according to a Cabinet press note.

 

What will ITLA do?

 ITLA will function as the apex body for integrated transport and logistics planning, research, project appraisal and monitoring, policy support and data analytics.

  

The Cabinet said ITLA will prepare a comprehensive National Transport Master Plan with a planning horizon of 10 years or more, covering roads, railways, ports and shipping, civil aviation, inland waterways, coastal shipping, urban mobility and logistics.

 

It will also evaluate short-term sectoral plans (five years or so) and annual plans of transport Ministries to ensure consistency and alignment with the National Transport Master Plan and promote multi-modal infrastructure development.

 

Furthermore, ITLA will undertake the technical appraisal of government infrastructure projects costing ₹500 crore or more. The Cabinet noted that the financial appraisal will be carried out “through the existing financial appraisal mechanisms”.

 

It will also monitor the implementation of transport and infrastructure projects above ₹500 crore, provide a coordinated mechanism for resolving issues and conduct post-implementation impact assessments.

 

Among other things, ITLA’s key responsibility will be to build a National Transport Data Repository (NTDR), which will bring together transport and logistics datasets from multiple sources. These will include GSTN e-way bills, FASTag, Vahan, GPS-based systems and urban traffic management systems, among other databases.

 

The authority will use the data for analytics, including freight flow and origin-destination analysis, to support transport planning, project monitoring and impact assessment.

 

Additionally, ITLA will advise and assist in reviewing and updating the National Logistics Policy, 2022, while promoting research and innovation in the transport and logistics sectors. It will also undertake capacity building, training and skilling in the logistics sector and support the adoption of international best practices.

 

The Cabinet said the establishment of ITLA will help strengthen multimodal connectivity, improve infrastructure efficiency, reduce logistics costs and enhance India’s global logistics competitiveness as part of its Vision 2047.



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