Union Economic Affairs Secretary Arvind Mayaram asked private firms to set up facility management companies in order to take over completed infrastructure projects.
Speaking at a conference organised by Ficci, the secretary said the facility management companies must take over the operation and maintenance of completed projects so that the developer who has over-stretched order books can focus on other projects.
In order to facilitate capacity building in the government and also to promote public private partnership (PPP) projects in sectors like coal, road and rail, he made a case for strong independent regulatory authorities.
He noted that the country does not have adequate number of independent regulators and also the terms of reference of the existing ones are not properly defined to meet all the challenges that the sectors are facing.
The regulatory authorities have to be empowered to deal with the issues which are arising in their sectors, he said.
Mayaram said some more sectoral regulators would also be set up during the course of this year. Budget 2013-14 has proposed formation of a new regulator for road sector and in the rail budget there has been an announcement for tariff regulator.