New Delhi, Apr 28 (ANI): The Cabinet Committee on Economic Affairs (CCEA) on Thursday approved enhanced budgetary allocation for the National Automotive Testing and R andD Infrastructure Project (NATRIP) to Rs 2,288.06 crore in view of cost escalation.
Test centres are being set up at Manesar, Chennai, Indore, Pune, Ahmednagar and Silchar.
The budget escalation of Rs.570.96 crore, includes Rs.427.29 crore by way of grant and Rs.142.77 crore as loan as a part of the revised cost estimate of Rs.2288.06 crore.
The revised cost estimate of Rs.2288 crore includes the additional loan component of Rs.95.51 crore to be provided to offset the lower recovery of the user charges from Rs.118 crore (originally envisaged) to Rs.22.49 crore during the project period.
NATRIP is a joint project of the Union government along with a number of State Governments and the automotive industry to create a state of the art testing, validation and R andD infrastructure in the country.
The CCEA has also revised the completion date of the project to December 31, 2012 from September 30, 2011 approved earlier.
Besides increasing the allocation, the CCEA also approved the additional loan to be interest free with moratorium of seven years and to be repaid in eight annual installments thereafter. (ANI)