Cement Energy and Environment

Global Infra Sadagopan Seshadri Chief- Content Development, CE- Infrastructure - Environment Global Infrastructure Challenge Double Whammy! The world is facing an enormous infrastructure challenge in the next two decaoes. These surmount what it has ever come across. Several forecasts have been made by global consultants which has been pieced together to put up this story. There is a simultaneous crumbling of aging infrastructure in advanced economies and need based surge of development in developing economies (see figures 1 & 2). By 2030 the world will most likely need 40 percent more energy and face a 40 percent short fall of water pressures that may well be further accelerated by climate change. This simultaneous infrastructure au~mentation in advanced economies coupled with initiation of basic infra development in developing economies will drive a steady four percent annual growth on infrastructure investment well into the second half of this decade, pushing total investment to a figure of four trillion dollars. Therefore even though infrastructure demand will remain tilted toward China and India, countries around the globe will need to shore up by attending to their afflicting themes that urgently have to be addressed in their infrastructure gaps. The point being made here is that the developed economies too have a big job to do, the difference being in the nature though, when compared to emerging economies. Thus infrastructure is the 'common theme' of the decade! In the present, low interest rate environment, the cost of investing is probably about as low as it is likely to get, which means we should be aggressively pursuing infrastructure investments right now. It will take partnerships at every level, with both the public and private sectors and with civil society to provide both money and expertise to tackle the sustainable infrastructure gap over the coming decades. Infrastructure-Front & Centre of Development Agenda Infrastructure plays a critical role in driving growth, competitiveness, job creation, poverty alleviation and ultimately in sustainability both in decisions that limit emissions, that strengthen resilience and that address local environmental concerns. Conversely, inadequate infrastructure, particularly in developing countries, is a constraint on economic growth and a persistent challenge for governments. Despite robust growth over the last decade, many people in emerging markets and developing economies (EMDEs) still do not have access to reliable and affordable basic services. From Africa to Asia, the lack of basic infrastructure for millions is stifling economic development and impacting people's lives. The World Bank estimates for example that blackouts alone cut the gross domestic products of Sub-Saharan countries by 2.1 percent. "We cannot end poverty and we cannot deal with financing for development, without putting infrastructure front and center," said Bertrand Badre CFO, World Bank Group. He adds "The GIF would like to invitee merging market and developing country governments to come forward with projects and investment programs that may need support through the project preparation and transaction process." This statement means it would include infrastructure investments in basic services such as power, transport, water and sanitation that have the potential to leverage private finance and that come with strong government commitment. That is already beginning to happen. Infrastructure is now front and center with the OECD, G20, G77, and the IMF. The multilateral development banks are ratcheting up their work on infrastructure . Some are increasing their balance sheets (ADB), some are growing their lending (WBG), many are setting up project preparation 26