VGF scheme change to push operational expenditure

22 Mar 2023 CW Team

The shipping ministry has requested that the finance ministry take into account modifications to the viability gap funding programme in order to assist operational expenditure (opex) in an effort to boost coastal shipping.

An official stated, "Under the current guidelines, VGF (viability gap funding) is offered for capital expenditure, but in our assessment, it is required for operating expenditure due to the multiplicity of handling points in coastal shipping," adding that the shipping ministry has brought the issue up with the finance ministry. According to the official, the ministry has asked for revisions to the VGF standards.

Currently, VGF funding is offered for a variety of projects, including the building of transmission lines, food grain silos, and metro and road construction.

Nonetheless, VGF for coastal shipping would be necessary for businesses like Shipping Corporation of India (SCI), which are in the business of operating the service on the Indian coastline, in order to support the sector's development.

Nirmala Sitharaman, the finance minister, stated in her Budget address that coastal shipping would be promoted as the more economical and energy-efficient method of transport for both people and goods through the use of public-private partnerships (PPPs) and viability gap funding.

The shipping ministry has estimated that coastal shipping can move 340 million tonnes of goods annually. However, it necessitates the loading of goods into trucks or rail waggons, transportation to the originating ports, and then a round of emptying and reloading onto the ships.

Infrastructure Urban

04 May 2026

Jyoti Structures FY26 profit rises 56.5%

Jyoti Structures (JSL) recently reported strong financial results for the quarter and year ended 31 March 2026, driven by disciplined execution, cost management and steady progress across its order book.For Q4 FY2025-26, total income rose 44.2 per cent to Rs 2.41 billion from Rs 1.67 billion in Q4 FY2024-25. EBITDA increased 58.6 per cent to Rs 237 million, while EBITDA margin improved by 89 basis points to 9.84 per cent. Profit before tax grew 53.3 per cent to Rs 188.5 million, and net profit rose 51.9 per cent to Rs 181.4 million.For FY2025-26, total income grew 53.1 per cent to Rs 7.72 bill..

Cat BEPU to Power Doppstadt Separator at IFAT 2026

Caterpillar’s Cat Battery Electric Power Unit (BEPU) has been selected by Doppstadt to power its SWS 6 Spiral Shaft Separator, which will be showcased for the first time at IFAT 2026 in Munich, Germany, from 4–7 May.The compact plug-and-play BEPU is designed to replace a diesel engine within the same space, using the same mounting locations and relative machine position. It integrates the battery, motor, inverter, onboard charging, cooling and controls, enabling OEMs to electrify existing chassis platforms without extensive redesign.Caterpillar and Cat dealer Zeppelin Power Systems have be..

VECV sales rise 6.9% in April 2026

VE Commercial Vehicles, a joint venture between Volvo Group and Eicher Motors, recorded sales of 7,318 units in April 2026, compared to 6,846 units in April 2025, registering 6.9 per cent growth. The total included 7,159 units under the Eicher brand and 159 units under the Volvo brand.Eicher branded trucks and buses reported sales of 7,159 units during the month, up 6.6 per cent from 6,717 units in April 2025. In the domestic commercial vehicle market, Eicher sales rose 8.6 per cent to 6,797 units from 6,257 units a year earlier.Exports declined 21.3 per cent, with VECV recording 362 units in ..