Cabinet to soon take up $5 bn convention centre project: 

Cabinet to soon take up $5 bn convention centre project: 

Context:

The Union Cabinet will soon take up the proposal for a “$5 billion worth world -class and state -of -the -art” Exhibition –cum-Convention Centre (ECC) in the national capital.

Introduction:

• It will be the largest such facility in Asia once completed by 2021.
• The Cabinet will consider on approval of the project and formation of a Special Purpose Vehicle

(SPV) to implement the same.

• Part of the $100 billion Delhi Mumbai Industrial Corridor (DMIC) project, it would be developed on Public-Private Partnership model using viability gap funding of the Centre.

• The SPV will be a 100% subsidiary of DMIC Development Corporation.
• The SPV will be given the rights to activities, including sub-leasing of land parcels, sub-contracting project components, granting long term concessions to private developers as well as fixing lease rentals.

Why project is necessary?

• The project became necessary as India lacked an integrated world class facility that can meet the requirements of global ECC operators in terms of space, project facilities and transportation linkages.