INFRASTRUCTURE

FOCUS
The chapter focuses on the role
of infrastructure in economic
development. It highlights the principal
challenges India faces in the field of
TODO economic and social infrastructure,
1 What
is Infrastructure? considering 'energy', as a critical
1Relevance
of Infrastructure component of economic infrastructure
Or
and 'health' as a critical componentof
Howlnfrastructure social infrastructure.
Economic contributes to
Development?
I
Stateoflnfrastructure
in India

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 IndianEconomicDevelo ment
1. WHAT IS INFRASTRUCTURE?
Infrastructure refers to support system of economic and
of country.
social
development a
Imagine life in the
absence
the means of transport of
communication; and
imagine life
in the absence of
educational
institutes, hospitals and
nursing
homes; imagine life in
the
absence of electricity or
oil &
diesel!
Absence of these things would
only drive us to the primitive
age when production was just
for subsistence. Production
activity did not yield surplus for
growth and development.
It is because of the distinct
Infrastructure:Support System of Development 'infrastructural facilities' that
different states in the country are specialising in different areas of
production activity. Punjab, Haryana and Himachal Pradesh excel in
agriculture and horticulture because of irrigation facilities. Maharashtra
and Gujarat are epicentres of industry because of their proximity to ports
for sea transportation. Karnataka is hub of information technology (IT)
because of advanced communication facilities. Kerala excels in health
and sanitation because of its focus on social infrastructure including
health and education. And, so on.

Infrastructure refers to support system of economic and social development of a country without which
economic growth and social development are not possible.

Economic and Social Infrastructure

Infrastructure is broadly categorised as:
(1) economic infrastructure, and
(2) social infrastructure.
Following is a brief description of these concepts:
(1) Economic Infrastructure: Economic infrastructure refers to
such elements of support system (like power, transport and
communication)which serve as a driving force for production
activity in the economy.

284
 Infrastructure

Economic Infrastructure: Transport and Communication

availability of power supply would accelerate the

Abundant
paceof productionactivity; abundant means of transport would
themovementof goods from producers to the consumers,
facilitate
abundant meansof communication would facilitate exchange, and
soon and so forth.

Intheabsenceof economic infrastructure, it is virtually not possible

todevelopan efficient system of growth and development.
Social infrastructure refers to such elements
Infrastructure:
(2)Social
ofsupportsystem(like schools, colleges, hospitals and nursing
homes)whichserveas a driving force for social development of a
country.

Socialdevelopmentcombats morbidity (proneness to fall ill),

andconsequentlyleads to healthy and efficient workforce
inthecountrywhich is a key component of human resource
development.

Social Infrastructure:Hospitals and Schools

285
 Indian Economic Develo ment

While economic infrastructure accelerates the process of growth

of human development.
social infrastructure accelerates the process
without human
Indeed, economic growth is incomplete
and social infrastructure are
development. Accordingly, economic
reinforces the other.
complementary to each other; one
Other
Economic and Social Infrastructure are Complementary to Each
other.
Economic and social infrastructure are complementary to each
means of transport and communication,
Economic infrastructure includes sources of energy, better
besides efficient system of banking and finance.
change are an essential prerequisite of economic growth.
All these elements of economic
would not be of any use if the bulk of
However, these elements (of economic infrastructure) disease and sickness. This points
from
population of a country continues to be illiterate and suffers
to the significance of social -infrastructure.
sociall einfrastructure for growth and
Economic infrastructure must be,,complemented with
development of a country.

2. RELEVANCE OF INFRASTRUCTURE
OR
HOW INFRASTRUCTURECONTRIBUTES TO
ECONOMIC DEVELOPMENT
Following observations highlight the relevance of infrastructure or how
infrastructurecontributes to the process of growth and development:
(1) Infrastructure Promotes Productivity:
(i) Productivity in Primary Sector: Think of agricultural production
without permanent means of irrigation. Agricultural production
would then depend entirely on rainfall. Farmers would sow the
seed only if it rains. If the rainfall is deficient,sowing would
also be deficient.It means that, in the absence of permanent
means of irrigation (an important component of economic
infrastructure),actual output in agriculture would remain
lower than the attainable output (or the potential output).
(ii) Productivityin Secondary Sector: Think of industrial production
without such sources of energy as coal, petroleum and electricity.
Perhaps,industrial production would then depend upon wind
energy or solar energy. However, these are still underdeveloped
sources of energy. Implying, low level of productivity.
(iii) Productivityin Tertiary Sector: Come to the tertiary sector•
Let us consider tourism as a production
activity. Can tourism
be a productiveactivity in the absence
of rapid means Of
286
 Infrastructure
communication? Certainly not. In the
transportand absence of
means of transport and communication, tourism
rapid would
hobby of the explorers like
perhapsexist only as a Columbus
da Gama.
andVasco
sectors of economy (primary, secondary and tertiary
Thus,acrossall
sectors),high productivity is possible only when we have good
facilities.
infrastructural
induces Investment: Infrastructure induces
Infrastructure
(2)
investment. Example:A developed network of highways would
definitelyinduce investment across all sectors of the economy.
Because, it facilitates efficient movement of goods and services
acrossdifferentregions of the country. Infact, infrastructure is the
of business investment.
backbone
Generates Linkages in Production: Developed means
(3)Infrastructure
oftransportand communication, ample sources of energy along
withgoodfacilitiesof banking and insurance would generate inter-
linkages.It is a situation when expansion of one industry
industrial
the expansion of the other. Accordingly, growth becomes
facilitates
activity of change.
aself-propelling

in productionrefers to a situation when expansion of one industry facilitates the expansion

Linkages
oftheother.Economicgrowth becomes a self-propelling activity of change. But, this is possible only
wehaveample infrastructural facilities.
when

EnhancesSize of the Market: We know, largescale

(4)Infrastructure
productionis possible only when size of the market is large.
Infrastructureenhancessize of the market. It was with a view to
expandingsize of the market for the British products in India that a
network
of railwayswas developed under the British Raj.

Means
oftransportare an important component of economic infrastructure. These means are central
tothe
growth
ofthe market, and growth of the market is central to growth of the economy.
(5)Infrastructure
EnhancesAbility to Work: Here, we are referring
tosocialinfrastructure.
It includes educational and medical
Institutions.
Theseinstitutions promote education, skill formation
andhealthcare.
These are essential parameters to enhance the
ability towork.
Implyinga rise in efficiency and therefore, a rise in
Productivity.
Accordingly,growth process accelerated.
(6)
Infrastructure •
is
has Improves Quality of Life: Inadequate infrastructure
multiple
or adverse I
non-availability
of clean drinking
water lead to serious health

287
 Indian EconomicDevelo ment
and health
issues, Lack of transport,communication, infrastructure
to access healthcare
can make it difficult for people in timesof
in infrastructure ensures a
needs. Therefore, improvement better
quality of life.
Outsourcing: A country having a
(7) Infrastructure Facilitates good
infrastructure,emerges as a destination for outsourcing. Indiais
destination for call centres,
emerging to be global studycentres
owing largely to its sound systemof
and medical tourism. It is social
infrastructure.
Briefly,we can say that infrastructureis an importantdeterminant
of
growth and development of a country. It raises productivity of the factors
of production,and induces investment in diverse areas of economic
activity. It enhances size of the market and develops an economyasa
global destination for outsourcing.

3. STATE OF INFRASTRUCTURE IN INDIA

With the onset of Five Year Plans, the government took uponitselfthe
responsibility of infrastructural development in the country. Construction
of dams, roads and bridges (as components of economic infrastructure)
and provision of hospital and educational institutes (as components of
social infrastructure)were almost entirely funded through government
expenditure.
However, as the government's investment proved to be inadequate,
private sector slowly found its way into sharing the responsibility
of
development of infrastructure in the country.
The private sector, at present, either in partnership with the publicsector,
or solely, plays a major role in the provision of infrastructuralfacilities
in the country.
Yet, infrastructural base in the country continues to be inadequateacross
all sectors of the economy. Which is why our growth processremainlike
a broken pyramid.
Table 1 shows India's investment in infrastructureas a percentage Of
GDP, compared with some other countries in the world. It alsoshows
the availability of certain critical services to the people indicatingtheir
quality of life.

288
 InfrastructureInvestment and Availability of Certain
I.
Table critical Services in India and Other Countries

Investment in Percentage of Percentage Mobile

people of people Subscribers/ Consumption
Infrastructure of Energy (ml
COIlT1tN
having having 100 people tonnes
asa of oil
access to access to
percentage equivalent)
Safe Drinking Sanitation
of GDP
Water Services
96 72
44 115 3274
China
34
87 61 120 186
lidonesia 98 100
31 130 301
Korea
south 94 40 87
30 809
India
28
100 100 146 88
Singapore 92
22 100 259 31
Kong
Hong
16 35 64 73 85
Pikistan

WorldDevelopmentIndicators 2019, The World Bank website: www.worldbank.org.;

[source
BP Statistical Review of World Energy 2019, 69th
Edition]

1 showsthat India invests only 30 per cent of its GDP in Composition of

which is lower than China (44 per cent), Indonesia
infrastructure, Requirementof
Infrastructure Changes with
andSouthKorea (31 per cent).
(34percent)
andHong Kong, 100 per cent of the people have access
InSingapore With a rise in the
water.It is interesting to note that 100 per cent people
tsafedrinking level of development,
the composition of
and92 per cent people in Hong Kong have access to
inSingapore, infrastructure tends to
sanitation
services,
contrastingsharply with India where this percentage change. At the lower level
isjust40,
Thisis despitethe fact that India's infrastructure-investment is of development (or in low
income countries), basic
alittle
higher
thanSingaporeand significantly higher than Hong Kong. infrastructure including
This
couldperhaps
be due to the fact that Singapore and Hong Kong irrigation, transport
Were
committed
to high infrastructure-investment in the past. Between and power are more
1980 important.At the higher
to1985,
Singaporespentalmost 45 per cent to 46 per cent of its level of development(or
GDPon
infrastructure
development.During that time, India's investment in high income countries),
ininfrastructure
wasmerely 20 per cent of GDP. telecommunication along
with power tend to emerge
result
of low investment as important components
in infrastructure, crop residues, dung
fuelwood are primarysources of infrastructure,
to meet the energy requirement
areas.TheCensus 2011
Percent of of India reveals that in rural areas,
households had an electricity connection.
of the
householdshouseholdsused kerosene. 85 per cent of the rural
usedbiofuels
for c
drinkingwaterfrom open
and
totap canals) sources (wells, tanks, ponds, lakes,
water. while
onl y 31 per
only 30 cent rural households had access
per c ent
sanitation of the rural households had access to
in rural
areas.

289
 Component of Economic Infrastructure]
Energy [Key
Energy is the most important
component
of economic infrastructure. It is
the lifeline
of production activity across all
sectors
the economy. In the primary sector, of
energy
is a critical input to operate
tubewellsand
tractors. In the secondary sector,
energyisa
critical input to operate machines
(the
of production activity). In the tertiary hub
energy is crucial input to operate sector
computers
Infrastructure (the hub of service sector).
of Economic
Energy—Key Component
Commercialand Non-Commercial Sources of Ener
Sources of energy are broadly classified as commercial and non.
commercial.
u Coal, petroleum products, natural gas and electricity are the
important sources of commercial energy, as these goods are largely
used for commercial purposes in the factories and farms.Theyhave
an established market of sale and purchase.
Firewood, agricultural waste (straw, etc.) and animal waste(cow
dung) are the important sources of non-commercial energy,asthese
goods are generally used in the rural households as consumergoods.
Generally, commercial sources of energy command pricewhile
non-commercials do not. Also, commercial sources of energyare
exhaustible, while the sources of non-commercialenergyare
renewable.
Commercial vs. Non-commercial Energy

Basis of Difference Commercial Energy Non-commercial Energy

(i) Components Coal, petroleum products, Firewood, animal waste,

(or Sources) natural gas, electricity. agricultural waste.
for
(ii) Use Largely industrial, and for Largely domestic, and
commercial purposes. consumption purposes.
non-commercial
(iii) Nature of Goods of commercial energy Goods of procured
Goods are traded through the market. energy are generally goods.
as free
These goods command price. by the villagers not
goods do
Often, these thereis
There is domestic as well as price. At best
command goods.
international market for these market for these
goods. a local

290
 Non-Conventional Sources of Ener
io al and
sources of energy are those which have a long
conventional and use. Example: history
knowledge coal, petroleum,
natural gas
oftheir
electricity.
and sources of energy are those sources which
Non-conventional have
or explored only in the recent past and
which are
beendiscovered for their use. Example: Solar energy,
popularity
yetto gain wind
biomass, etc.
energy,
and Non-conventional Sources of Energy
conventional
Sources of Energy Non-conventional Sources of Energy
Conventional
petroleum and (i) These include solar energy, wind
includecoal,
These energy, biomass energy, etc.
(i)
electricity,
as diverse (ii) Most of these are only in the
Theseare being used experimentation stage and are being
(ii) energy over
ofcommercial
sources used as diverse sources of commercial
of time.
alongperiod energy only to a little extent.

conventionalsources (coal (iii) These are being developedprimarily

(iii)InIndia, particular) are with a view to checking environmental
andpetroleum'in to the pollution.
disregard
beingusedin total
environment.

differentiating between conventional and non-conventional

Theprincipalfactor
Note:
of energyis that white conventional sources (coal and petroleum in
sources
arenot
particular) environment-friendly, non-conventional sources of energy are
environment-friendly.

andFinalSources of Energy
Primary
is oftendrawn between the primary and final sources of
Adistinction
energy
whichis as under:

Primaryand Final Sources of Energy

PrimarySources Final Sources
(I)Primarysources
of energy are (i) Final sources of energy are not
available
as free gifts of nature. available as free gifts of nature.These
Example:
and Gas.
Coal, Lignite, Petroleum are obtained by converting input
into output. Example: Electricity. It is
obtained by using coal as an input.
(ii)These
are directly
inputs for the
used as energy (ii) These sources are to pass through a
andservices. production of goods process of transformation before they
usedto Example:Coal is directly
runsteam are used as energy inputs.Electricityis
no
transformation
engines. It needs used as an energy input only after coal
before use.
sourcescan
Other formsof
be converted into
(iii) These sources are used only as
energy, like coal
converted
into
can final sources of energy input. These
electricity.
cannot be converted into other forms
be
of energy. Thus, electricity cannot
converted into coal.
291
 Consu tion Pattern of Ener in India
the following points in this regard:
We may note
pattern of energy refers to the
(i) consumption
percentage
different sources of energy
(ii) Percentageuse of can be studied
n o some
unit. commo
In India, different sources of energy are converted
unit knownas MTOE (million tonne of oil intoa
equivalent).
(iii) Commercial energy consumption accounts for
74 percent
total energy consumed in India. Since coal
and lignite
principle sources of commercial energy, they are
makeupfor
74
(iv) Consumption of oil is 10 per cent of the total
energyconsumption,
natural gas is 9 per cent and hydro & other
renewablesources of

(v) Non-commercial sources of energy meet

the rest 26 percent
total energy consumption. ofthe

(vi) Indian economy is mainly dependent on

import of crudeand
petroleum products, and this dependence is
likely to increase in
future.

Sectoral Share of Ener Consum tion in India

Following are some notable points with regard to the sectoral share of

energyconsumption in India:
(i) Industrial sector has maintained its supremacy in energy
consumption, compared to other sectors (transport,agriculture
42
and households). Its consumption is estimatedto benearly
cent of the total consumption of commercial energy,compared
with 1 per cent consumption of the transportsector,18percent
consumption of the agricultural sector and 24 per centconsumption
of the household sector.
(ii) Consumption of commercial energy is very low in manual
agricultural

on
sector. This suggests the dependence of this sector
labour and the use of hand-operated tools and
agricultural
led to a low level of productivity in the Indian
lifeis
miserably
of
Consequently, poverty prevails and the quality
low.
prevalence
labour and a and
_0 . Al ,ctivity
 fall in percentage infrastructure
therehas been a consumption of
overtime, sector, while share of energy
transport industrial sector has
the transport sector was the tended
1953-54, largest
torise.In energy and accounted for 44 per cent of
consumer
ofcommercial the total
energyconsumed. In 2017-18, this declined to merely
commercial
suggests massive expansion of the industrial sector
percent.It
and
India, a shift from household industry to a factory system of
in
production.
Ener
VitalSourceof
Electrici
component of infrastructure and determines the
is a vital
Electricity
development of a country. The growth rate of electricity
economic
than the growth rate of GDP. It is estimated
isoftenhigher
generation
order toachieve8 per cent of GDP growth, India must generate
of 12 per cent annually.
ata growthrate
electricity
sourcesof electricitygeneration in India are shown in the figure
givenabove:

7%
2.5%
8.5%
Thermal
Hydro
Nuclear
New and Renewable Energy

Sourcesof Electricity Generation in India, 2016

Different

Thermalenergy is a major source of electricity generation in India.

112016,
itaccounted for 82 per cent of the total power generation
capacity.
Second mostimportantsource of power generation is hydel
accounting for 8.5 per cent of the total power generation
GPäcitYinIndiain 2016.Nuclear (atomic) power accounts for merely
Percent,
whichis quitelow as compared to the global average of
l) per
cent.

Ineentyears,
Indiahasshifted focus
indienewable to power generation through new
energy sources,especially, solar, wind and hydel energy,
donotrely
on fossil fuel and therefore, contribute towards
emissions. However, India has still a long way to go
rcesforma
major share of power generation.

293
 •

Indian

electricity through
generating
on suggest that it
is a big debate some scholars
There sources. nuclear
(atomic) more electricity using
nuclear
important to generate to this. The following points
is
while others object disadvantages of using
sources, advantages and
highlightthe power generation:
for
nuclear sources
depend on
Advantages
Source: It does not
Energy electricity
(i) clean therefore, generates
fossil fuel and NuclearEnergy
emissions. The thermal energy from
sans carbon decarbonising other energy intensive
reactors may also be used for sectorssuch
nuclear major source of carbon pollution.
transportation,which is a
plants run for 24 hours a day, seven
Reliable Source of Energy: Nuclear power daysa
(ii) of time and refuel every 1.5 to 2 years.
operatefor long stretches
of Energy: The requirement of man-power and space needed to runa nuclear
(iii) Low-costSource
compared to a thermal power plant of similar capacity. Thus, the
plantis muchlower operational
well as capital cost of running and setting a nuclear power plant is lower
costas thanthatofa
thermal power plant of similar capacity.
Disadvantages
(i) NuclearAccidents:Even though the nuclear plants are installed with highly sophisticated safety
mechanism,there is always a fear of unexpected event happening. It is safe to saythata nuclear
accident is unmanageable. The Chernobyl nuclear accident is the worst nuclear accidentinthehistory.
(ii) Managementof Nuclear Waste: Nuclear plants have a limited life and the nuclearreactors have
an expirationdate. On expiration, these have to be dismantled and disposed of,whichinvolves
the
risk of radioactivity.
(iii) ExternalDependence:Only a few countries have uranium mines. The countriesincreasing focus
on electricitygeneration using nuclear sources run a risk of increased externaldependence.
The
For
powerinfrastructureis then highly dependent on the diplomatic ties with the othercountries.
example:India currently imports uranium primarily from Kazakhstan and Canada.

Emerging Challenges in Power Generation

Power is the most important form of energy. It is commonly called
and
electricity. It is of critical significance in the contextof growth
development. Scholars often relate growth rate of power
generation

oughttote
to growth rate of GDP. It is believed that powergeneration
of
faster than GDP growth. Unfortunately, in India, generation
inthe
is emerging to be a serious challenge and a bottleneck
growth and development.

In spite of a total (as of

(1) Inadequate Generation of Electricity: MW
power generation capacity oft a bout
to meetthe
strugg ling
December, 2021), India is still
demand for power.
294
 Infrastructuro
Central Electricity Authority THERMAL
816.18 BU
for 2020-21 fiscal year, HYDRO
O NUCLEAR 126.39 BU
anticipated, 0.4 per cent.
deficit to be
34.77 BU
Bhutan Import
power 7.28 BU
financial year, the energy
the last cent.
0.7 per
shortagewas
Excessofdemandoversupplyhasgivenrise
tomanyprobIems.Thesearethe problems
excessive load on distribution,
of (i) fluctuation,
lowvoltage, (iii) voltage
(ii)
cuts, etc.
(IV)power Generation of Electricity 985.22
BU (billion unit):
increase supply to But Demand exceeds Supply
imperative to
It is (for April, 2021 to December,2021)
the rising demand.
meetwith
Utilisation: In India, there is an under-utilisation of
(2)LessCapacity
capacityof thermal power stations.
production
capacityutilisation is indicated by Plant Load Factor (PLF).
[PLF=Electricitygenerated + Production capacity]
onDecember,2021,PLF in India was nearly 57.16 per cent. It means
just57percent of electricity is available, the rest goes waste.
and Distribution (T&D) Losses: In Delhi, transmission
(3)Transmission
losses of electricity are close to the tune of 50 per
anddistribution
centofelectricity production.
Inmoststatesof the country, it is more than 20 per cent. It may
partly
be due to our backward technology but largely due to
pilferage
involvingthe official staff.
Itisowingto the mounting T&D losses that most states are now
going inforprivatisationof the distribution network.
(4)lossesofElectricity
Boards:Production and distribution of electricity
inIndiais the near
monopoly of the government.
Electricity
is distributedby State Electricity
Boards (SEBs).
Atpresent,
almostall the electricity boards
losses. are running into huge
They
do not have
funds to make payment for the electricity
purchased
by them.
Itisestimated
that the SEBs In
Thisis explained
electricity, in terms of the following
(ii) loss factors: (i) theft of
and(iii)free of el ectricity
during the course of transmission,
supplyof
electricity.

295
Indian Economic Develo ment
(5) Limited Rote of Private Sector: Private sector power generators
are yet to play their role in meeting the growing demandof
power in India. Though, in the recent years, TATA power, Reliance
Infrastructure, Adani Power have emerged as significant playersin
the private sector.
(6) Shortage of Raw Material: Thermal power plants, which accounted
for 82 per cent of the total power generation capacity, are facing
shortage of raw material and coal supplies. Between2013and
2016, 14 out of 20 largest thermal power plants in Indiawere
forced to shut on occasion due to severe water shortage.To meet
the shortage of domestic supply of coal, the import of coal hasbeen
increasing in past few years, and delivery of coal has been prioritised
to critical power plants supplying residential and commercialusers
rather than industrial consumers.

The Challenges in Power Distribution: Case of Delhi

Since 1947, the power management in the National Capital of India has changed four times.In 1951,
Delhi State Electricity Board (DSEB) was set-up. This was replaced by Delhi Electric Supply Undertaking
(DESU) in 1958. In 1997, this was succeeded by Delhi Vidyut Board (DVB). At present,distribution of
electricity in Delhi vests with two leading private sector companies—Reliance Energy Limited(BSES
Rajdhani Power Limited and BSES Yamuna Power Limited) and Tata Power Limited (NDPL). They supply
electricity to approximately 46 lakh customers in Delhi. The tariff structure and other regulatoryissues
are monitored by the Delhi Electricity Regulatory Commission (DERC). Although this was donein the
hopes of improving the power distribution, the results till date have been somewhat unsatisfactory.

Coping with the Challenge of Power Generation

The challenge of power generation can be met through the following
measures:
(1) Increase Production Capacity: Production capacity or installed
capacity needs to be raised to improve the supply of electricity
across all sectors of the economy.
(2) Improve Plant Load Factor: Plant Load Factor (PLF) needsto be
improved so that the existing capacity is fully utilised.
(3) Minimise the Transmission and Distribution Losses:Transmissi0[1
actual
and distribution losses must be minimised so that the
huge
availability of electricity improves. However, this requires
the existing
investment on the maintenance and upgradationof
plants. Indeed, it is a difficult task, in
Plants: Thermal powerplants
(4) Improve Supply of Inputs to Power
regularsupplies
India (often suffering the shortage of inputs) need existingplant
the
of coal. This would ensure fuller utilisation of
capacity.

296
 Infrastructure
Privatisation and FDI in Power Generation: Private
to play a significant role in the generation of power
is
sector yet
must encourage their participation.
The government Also,
Direct Investment) in power generation should be
(Foreign

use of Electricity
Conservativein the
be
increased electricity generation is not denied, it is equally
the urgency of important that the
g while households and the producers) should learn to minimise the
users(including use Of electricityas
possible.
muchas
energy-efficient electric appliances, as well as energy-saving
canfocuson the use of lighting
we
devices.
we can use CFL bulbs as they consume 80 per cent lesser power [according
ofordinarybulbs,
Instead
of Energy Efficiency (BEE)]. It is also estimated that replacing ten takh
theestimatesof Bureau
20 watt CFL bulbs can save 80 MW in power generation, equivalent to
100watt bulbs with
ordinary
crore.
savingZ 400
are being promoted for use throughout the country.LED
Light Emitting Diode (LED) bulbs
Atpresent,
as an ordinary bulb and half as much as CFL to produce same amount
useone-tenthenergy
bulbs
oflight.

TheGovernmentof India has initiated UJALA scheme to replace the incandescent bulb with
MW in power generation, translating into annual savings of
LEDbulbwhichwould save 5,905
efficiency gains.
foran average family due to
{4,000

[KeyComponentof Social Infrastructure]

Health
Health a soundphysical and mental
means
ng individual.It does not simply mean
stateofthe
absence
of disease.

Good
healthimplies the following:
city
(i)increase
in overall efficiency to handle
) be difficulttasks,

(ii)increase
in productivity of labour, and
(lit)increase
in mental
:tual abilities.
huge Health; Key Component of Social Infrastructure
sting ofHealthServices
hasbeen after Independence
a substantial
rits
_ifl improvement of health facilities after
lies Il)DeclineFollowing observations prove this point:
in Death
lant 27Per Rate:Death rate has
thousand come down from as high as
in 1951to
7.2 per thousand in 2018.

297
 Indian Economic Develo ment
Essential Indicators of Good
Health
(i) Low Death Rate
(ii) Low Infant Mortality Rate
(iii) High Expectancy of Life
(iv) Low Incidence of Deadly
Diseases
(v) High Nutrition Levels
Female Life Expectancy
is greater than Male Life
Expectancy
a It is 70 years for females
compared to 66.9 years
for male.
n It is a pointer towards a
significant improvement
in healthcare in India.
(iii) Expansion of healthcare facilities has been so significantthatthere
To improve health facilities to its citizens, governmentannounced
National Health Policy, 2017. Government has launched Ayushman
298
(2) Reduction in Infant Mortality Rate: Infant mortality rate (referring
to death of the infants up to 1 year of age) has significantly reduced
from 218 per thousand in 1951 to 33 per thousand in 2018.
(3) Rise in Expectancy of Life: Expectancy of life has risen from
32 years in 1951 to 69 years in 2018.
(4) Control over Deadly Diseases: Deadly diseases like malaria,
tuberculosis (TB), cholera and smallpox have been brought under
control.
(5) Decline in Under-five Mortality Rate: Under-five mortality rate
has declined significantly from 248 per thousand in 1960 to 37 per
thousand in 2018.
Following table indicates expansion of health services in India between
the period 1951-2018.
Table 2. Expansion of Health Services
Item 1951 2018
Medical Colleges 28
Hospitals (Government) 2,694 25,778
Dispensaries 6,600 27,951
Number of Beds (Government)
Doctors (Allopathy) 62,000
Nurses
18,000
725 25,743
Sub-centres
CHCs
5,624
[Source: National Health Profile, 2018; National
Commission on Macroeconomicsand Health.
Ministry of Health and Family Welfare,Goll
(i) Significant it is to note that the number of governmenthospitals
and dispensaries has increased from a little over 9,300to
approximately 53,800. Number of beds has increased from
1.2 lakh to approximately 7.1 lakh.
(ii) Also, there has been a substantial rise in the numberof nursing
personnel from 18,000 to 30 lakh and allopathic doctorsfrom
nearly 62,000 to more than 11.5 lakh.
is a complete eradication of smallpox from India which at onetime
used to be a deadly disease in the country.
 Protection Mission) to provide Infrastructure
(NationalHealth
Bharat health insurance
family per year to poor households in the
ed
lakhper country.

Systemin India
Healthcare
healthcare system, as under:
hasa three-tier
India
PHC (Primary Health Centres), CHC (Community Health Centres),
Tier-Iincludes and Sub-centres
small hospitals (or healthcare centres)
(i) Theseare small towns and rural areas, and
in
set-upmostly Centre

managedby the single doctor and ANM (Auxiliary PrimaryHealth

te
NursingMidwife).
focus on educating people on issues
(ii)Thesecentres
provide immunisation
relatingto healthcare, and
against infectious diseases.
facilities
treatment is offered to patients within
(iii)preliminary
Primary Health Centres:
themanageable limits. Small Hospitals in Small Towns
health centres often
Itmaybenotedthat community
asreferralcentres for the primary health centres.
i work
includesSecondary Healthcare Institutions
Tier-2
are upgraded (compared to PHC) and have facilities for surgery, ECG and X-rays. They
institutions
These
arelocatedin big towns and district headquarters.
includesTertiary Healthcare Centres
Tier-3
arehigh-endand fully equipped medical centres, offering specialised medical facilities.
(i)These
(ii)Thetertiarysector also includes educational and research centres such as AllMS (All India Institute
ofMedicalSciences,New Delhi), PGI (Post Graduate Institute, Chandigarh), and NIMHNS (National
Institute
ofMentalHealth and Neuro Sciences, Bengaluru).

Private
SectorHealth Infrastructure
Here,
following
are some notable observations:
(i)Theprivate
sectoraccounts for more than 80 per cent of total
healthcare
spendingin India. Private sector runs almost 70 per cent of
thehospitals
in India.Nearly two-fifth
the of the beds are available with
Private
hospitals.
run Nearly 60 per cent of the dispensaries are also
byprivate
sector.They provide healthcare
Out-patients for 80 per cent of
and46 per cent of in-patients.
Ofthose
seeking treat
Patients
areavailing
and58Per private non-institutional
centrural (out-patient) facilities
and 62 per centn
(Ill)
urbanl patients arre going to

in health
care has gained
a dominant presence in all the
medicaleducation
and training, medical technology

299
 Indian Economic Develo ment
Medical Tourism
n Medical tourism is
choosing to travel
outside your local area
for medical services. It is
also known as medical
travel or health tourism.
Medical tourism is a
growing sector in India.
India's medical tourism is
expected to grow at the
rate of 30 per cent.
u Medical tourism is
patients from developed
countries due to cost
advantage and for the
patients from poor
countries due to better
quality.
n Cost of major surgeries
in India is just 10 per
cent of that in developed
countries.
u In 2016,as many as
2,01,000 foreigners
visited India for medical
treatment. And this figure
is likely to increase by
15 per cent each year.
It has been estimated
that in 2020 India would
have earned more than
500 billion a year
through such 'medical
tourism'. However,
due to restrictions on
international travel in
the light of COVID-19
pandemic, the actual
earning is expected to
be much less than the
projected earning.
300
provision of medical services.
construction and finally, the
post-independence period, private sector health
(iv) During the
But most of these facilities
facilities have grown substantially.
per cent of private healthcare enterprises) are working
(nearly 80
just a worker or two.
as individual enterprises, hiring
as the dominant source of healthcare
Thus, private sector has emerged
services in India.
Health as an Emerging Challenge
have produced good results in the
Consistent efforts since independence
social infrastructure.As already
area of health, a key component of
has substantially reduced,
noted, it is significant that: (i) death rate
infant mortality has came
(ii) birth rate has significantly declined, (iii)
epidemic deaths have
down, (iv) expectancy of life has risen, and (v)
to be a challenge.
substantially reduced. Yet, healthcare in India continues
emerging challenge:
Following observations highlight how healthcare is an
of
(1) Unequal Distribution of Healthcare Services: Distribution
healthcare services is extremely unequal across rural and urban
sectors of the country. Most of the healthcare facilities have been
confined to the urban areas.
(2) Communicable Diseases: Communicable diseases like AIDS
(Acquired Immune Deficiency Syndrome), HIV (Human
Immunodeficiency Virus) and SARS (Severe Acute Respiratory
Syndrome) are raising their ugly heads and are posing a serious
threat to the society.
(3) Poor Management:There is a substantial mismatch betweenthe
number of patients and the number of healthcare centres.Health
personnel are grossly inadequate particularly in the rural areas,and
or
often the rural folk have to rush to the urban healthcare centres
be the victims of local quacks (un-authorised doctors).
(4) Privatisation: The government is gradually moving towards
privatisation of healthcare services. The number of private
hospitals is surging in place of government hospitals.Consequently,
the
healthcare is becoming increasingly expensive and beyond
reach of the millions in India.
the
(5) Poor Upkeep and Maintenance: Upkeep and maintenanceOf
difference
government healthcare centres is very poor.The quality
 Infrastructure
hospitals is so huge that the people are
te and public GBD (Global
Burden
priva depend on private treatment, even when not of Disease)
between
compelledto n GBD is an
indicatorused
often to assess (i) the
number
level is extremely poor both in of premature
affordable. Levee sanitation to a particular
deaths due
sanitation
areas in India. Sanitation infrastructure has two
disease,
and (ii) the
and urban duration of
disability of the
persons
suffering from that
functions:
clean surroundings where we live and work, disease.
tomake n We can be proud
awareness of sanitation among the masses and
of
habitating 117th of the
to arouse participation in awareness programmes. world population, but
encouragetheir also have the dubious
we

we are way behind the international standards. distinction of carrying 20

theseareas, per cent of the houses per cent of GBD.
that nearly 30 have no
beenfound In the urban slums, sanitation
A 2017 study shows

facilitiesin the urban areas. nearly two-third of

toilet
miserable:slum dwellers are highly prone to disease
GBD was caused by
isabsolutely non-communicable
disasters.Rural sanitation is still worse. In a recent survey of diseases associated
and latrines are found to be a luxury. with heart, respiratory
150districts in India, kachcha systems— lungs, kidney,
population does not have even 20 per cent of the required obesity and lifestyle.
Rural noteworthy to acknowledge the
facilities.However, it is
n Diarrhoea, lower
sanitary respiratory system and
towards achieving universal sanitation
effortsof the government other common infectious

coverage through'Swachh Bharat Mission', a flagship scheme of diseases account for

one-sixth of total deaths
thegovernment, which aims to achieve a Swachh Bharat by 2019. in India.
in India, though it has significantly Out of 4.1 million early
wecanstatethat healthcare
Briefly, deaths occurring globally
improvedovertime,is still way behind the developed countries of the due to air pollution, 1.1
million deaths occur in
Twoverydisturbingfacts are: (i) low healthcare expenditure:
world. India alone.
5 percentof GDP compared with 17 per cent in USA, and
merely u The GBD study 2017
(Il)low
share of governmentin total healthcare expenditure—merely reports that premature
deaths due to neo-natal
20percent compared with 50 per cent in USA. Both these facts make disorders tops in both
astrong
casefora much deeper role of the government in improving the years 2007 and 2017
and this has not declined
thehealthcare
systemin India. It may be stated that Indian Health System since 2005.
needsmuch
strongerdose of public expenditure to cure itself.

Health—A
BasicHuman Right

is attained in long-term battle against diseases, it is important that health facilities

areaffordableand
accessible to all. It is vital to create awareness on health & hygiene and
efficient
systems.As such, the role of IT and telecom sector is undoubtedlysignificant.There
needtoaddress
the sharp urban-rural divide in healthcare access. Universal accessibility
considered
as critical priority
of healthcare system in the country.

301
 jnrjmn

with Other Countries, 20162018

indicators of Health an India in Comparivon
india China

t*'th'. (2018)
Irve biflh% (2016) 6.3

(X of tota!)(2016) 81 81
by
(7016) 89 89 94
(O!P)
Governmen' Health at a % of GOP (2016) 3.7

Vxpendltute at a % of Current Health 65 36 11.1

Cyoendßure (201 (i)

Observations:
India hat higher infant mortality rate and under-five mortality rate as compared to China, USA and
Lanka,
In India, major expenditure on health is incurred as out of pocket expenditure.
Out of pocket expenditure means that the patient himself pays for the health services
availed andthis
payment is not covered by any insurance.
Government expenditure on healthcare is extremely low—just 3.7 per cent of GDP compared
to 17 per cent
in USA and 5.7 per cent in China.

Indian Systems of Medicine (ISM)

Indian systems of medicine are the systems of
medicine whichare
considered to be Indian in origin or which have come
to Indiafrom
outside and got assimilated into Indian culture. India
has six recognised

Ayurveda: Indian Systems of Medicine

302
 in this category. These are: Ayurveda, Infrosfructurø
medicine Yoga, Unani,
of
hospitals and 27,951 dispensaries and as many as
AYU5H India. 8 lakh
practitioners in
ægistered
Divide
and Rich-Poor
ural.Urban
8 infrastructureis significantly biased in favour of the rich and in
Health favour of the
the country's population lives in rural areas, urban areas.
per cent
of 80 per cent of White
0.36 hospitals for every one the hospitalsare located
There are lakh people in rural
areas. areaswhile
in urbanareas,
Percentage of population
having access to
increases to 3.6. proper medical
thisfigure care is just about
and access to specialised medical care is insignificant, if not
cent
25per listless. The PrimaryHealth
in rural areas do not have the basic facilities of X-ray or blood
located
centers test.
have access to specialised care such as pediatrics,gynaecology,
Ruralareasalso do not anaesthesia
Out of the 50,000 medical graduates every year, one-fifth leave
andobstetrics. the country for better
abroad and many others opt for private hospitals, located in urbanareas.
opportunities The ruralareas
immense shortage of medical personnel.
sufferan
bittertruth:while the rich are to spend only 2 per cent of their income on healthcare,thepoor
on healthcare. Implying a debt-trap for
tospendas much as 12 per cent of their income
are the pooras
andwhenexpenditure on healthcare becomes essential.
Health
Women's
WomeninIndiasuffer from a serious neglect not only in the area of education,but in the area of
aswell.Morethan 50 per cent of women in India in the age group of 15-49years sufferfrom
healthcare
Female foeticide is a common practice, causing a decline in child sex ratio(from
deficiency.
nutritional
to919in 2011) and suggesting a social bias of healthcare against women in the country.
927in2001
d

RURAL-URBANAND RICH-POOR DIVIDE

URBAN
HEALTHCARE RURAL HEALTHCARE

303
Indian Economic Develo ment

Power Points Revision Window

Infrastructure:It refers to support system of economic and social developmentof a country,without
which economic growth and social development is not possible.
Economic Infrastructure: It refers to such elements of support system (like power,transportand
communication) which serve as a driving force for production activity in the economy.
Social Infrastructure: It refers to such elements of support system (like schools, colleges and hospitaß)
which serve as a driving force for social development of the country.
Infrastructure Contributes to Development in a variety of ways: (i) Infrastructure promotesproductivity,
(ii) Infrastructure induces investment, (iii) Infrastructure generates linkages in production.
(iv) Infrastructure enhances size of the market, (v) Infrastructure enhances ability to
outsourcing.
(vi) Infrastructure improves quality of life, (vii) Infrastructure facilitates
in rural areas only 56 percent
State of Indian Infrastructure:Due to low investment in infrastructure,
the households used keroseneand
of the households had an electricity connection, 43 per cent of
69 per cent of the households had access
85 per cent of the rural households used bio-fuels to cook food.
and canals).
to drinking water through open sources (wells, lakes, ponds
Energy: An important component of economic infrastructure.
o Forms and Sources:
(i) Commercial and non-commercial sources of energy.
(ii) Conventional and non-conventional sources of energy.
(iii) Primary and final sources of energy.
of coal has reduced over time,thoughits
Consumption Pattern of Energy in India: Direct final consumption
energy) has substantially risen.
total consumption (including coal as an input for other forms of
our dependence on other countries
o Consumption of oil has substantially risen over time, and so has
for oil.
substantially risen over time, but still continues
o Consumption of electricity in agricultural sector has
Industrial sector continues to bethe
to be dismally low compared with other sectors of the economy.
biggest user of electricity in India.
the total power
Electricity as a Vital Source of Energy: Thermal energy accounts for 82 per cent of
generation, accountingfor
generation capacity. Hydel power is the second major source of power
8.5 per cent of the total power generation capacity.
(ii) Lesscapacity
Electricity as an Emerging Challenge: Because: (i) Inadequate generation of electricity,
(v) Limitedroleof
utilisation, (iii) Transmission and distribution losses, (iv) Losses of electricity boards,
private sector, (vi) Shortage of raw material.
Improve plant load factor.
o Coping with this challenge, we should: (i) Increase production capacity, (ii)
inputs to powerplants
(iii) Minimise the transmission and distribution losses, (iv) Improve supply of
(v) Encourage privatisation and FDI in power generation.
Health: An important component of social infrastructure.
Reductionin infant
Development of Health Services after Independence: (i) Decline in death rate, (ii)
Decline in under-five
mortality rate, (iii) Rise in expectancy of life, (iv) Control over deadly diseases, (v)
mortality rate.
healthcare services
Health as an Emerging Challenge: Because: (i) Unequal distribution of
healthcareservices
(ii) Communicable diseases (like AIDS, HIV) are rising, (iii) Poor management of
(iv) Increasing privatisation, (v) Poor upkeep and maintenance, (vi) Poor sanitation level.

304
 Infrne,tnjfturo

(Remembering & Understanding based

Questions
Type
.ti€e
Questions
choice
option:
correct
thC considered as social infrastructure?
following is (b) Education
of the
Which
1. Transport (d) Energy
(a)
Communication
a type of commercial energy?
followingis not
(c)
of
which the (b) Natural gas
2,
Firewood (d) Electricity
(a)
(c) Coal as non-conventional energy?
thefollowingis considered
of
3.which
energy
(a) solar (d) Natural gas
Electricity
(c)
facilitates:
Infrastructure (b) industrial linkages
4.
outsourcing
(a)
(d) all of these
(c) investment
consumption of energy in India?
sectoraccountsfor highest
5.Which (b) Industry
(a) Transport
(d) Agriculture
(c)Household
infrastructurein India is biased against:
6,Health
(b) the poor
(a)therich
(c)women (d) both (b) and (c)

Burdenof Disease (GBD) as an indicator is used to assess:

7.Global
(a)deathscaused by communicable diseases
(b)thequalityof (disease free) life lived by the people
(c)thequantityand quality of life lived by the people
(d)deathscaused by non-communicable diseases
8.Which
ofthefollowing is not a system of Indian medicine?
(a)Ayurveda (b) Allopathy
(c)Unani (d) Siddha
9.Infrastructure
contributesto growth and development on account of which of the following?
(a)Itpromotes
productivity (b) It generates linkages in production
(c)Itreducesthe
size of the market (d) Both (a) and (b)
Withrespectto coal
as the conventional source of energy, choose the correct statement.
(a) Indiais deficient
in coal production
(b)Indiahasbeen
experiencing shortage of coal supply in recent years
(c)Theprinciple others
consumers of coal are thermal power stations, steel plants among
(d) Both (b)
and (c)
305
Indian Economic Develo ment

11. With respect to electricity generation in India, choose the correct statement.
(a) Private sector accounts for major share of power generation in India
(b) The government has restricted the entry of private sector in power
generation sectorin
(c) For generation of power, India is mainly dependent on thermal power India
plants
(d) Share of new and renewable sources of energy in power generation has
been increasing

12. Which of the following are the emerging challenges in power generation
in India?
(a) Inadequate generation of electricity (b) Less capacity utilisation
(c) Transmission and distribution losses (d) All of these
13. Which of the following facts illustrate the development of health services
after independence
in
(a) Decline in death rate (b) Rise in life expectancy
(c) Control over deadly diseases (d) All of these

Answers

11. (c) 12. (d) 10. (d)

13. (d)

B. Fill in the Blanks

Choose appropriate word and fill in the blank:
1. infrastructure accelerates the process of
economic growth.
2. Economic and social infrastructure are (Economic/Social)
to each other.
3. (complementary/competitive)
is the most important component of
economic infrastructure.
(Energy/Hospital)
4. Wind energy is a
source of energy. (conventional/non-conventional)
5. For low income countries,
infrastructure is of utmostimportance.
(basic/service-related)
6. India has
healthcare system. (two-tier/three-tier)
7.
health centres focus on educating people on issues relating tohealthcare
(Primary/Secondary)
8.
sector accounts for more than 80 per cent of the totalhealthcare
spending in India. (Private/public)
9. Infrastructure
size of the market. (reduces/enhances)
10.
healthcare centres are high-end and fully equipped medicalcentre*
(Secondary/Tertiary)

Answers
1. Economic 2. complementary 3. Energy 4, non-conventional
5. basic 6. three-tier 7. Primary 8. Private
9. enhances 10. Tertiary

306
 Infrastructurø

false statements are True or False:

or thefo/ lowing
Cfroe the process
accelerates of human development.
infrastructure (True/Fal;e)
social
colleges, (True/False)
schools, generates linkages in production.
Infrastructure are generally procured by the villagers as (True/Fatse)
3 non-commercial energy
of
(True/False)
freegoods. hydro-electricity stations to thermal power stations has occurred
4.

shift from import coal.

5 The it is very cheap to (True/False)
because primary source of energy. (True/Fatse)
is a
6
Electricity ncourage privatisation in power generation
is a need to e
of power generation in India.
7 There with the challeng e (True/False)
cope work as referral centres for primary
to
healthcentres often
community (True/False)
centres.
health the dominant source of healthcare services in India.
sectorhas emerged as (True/False)
private are the systems of medicine which are considered
systemsof medicine
Indian to India from outside and got
Indian in origin or which have come
tobe (True/False)
into Indian culture.
assimilated

Answers
4. True 5. False 6. False 7. True 8. True 9. True 10. True
2.False 3. True
l. True

Matching/Chronological
D.
given in Column I and Column Il, choose the correct pair of statements:
theset of statements
1,From
Column Il
Column I
(i) Accelerates the process of human development
A. Economicinfrastructure
(ii) Non-conventional source of energy
B. Natural gas

C. Powergeneration in India (iii) Optimum capacity utilisation

D. AIMS (iv) Tertiary healthcare centre

Alternatives:
(a)
Hi) (b) B—(ii)
(d) D—(iv)
with respective
thecorrectsequence of alternatives given in Column Il by matching them
Identify
itemsin
Column l:

Column I Column Il
A Economic energy
infrastructure (i) A conventional source of
B.
Petroleum nature
(ii) Available as free gifts of
C. Primary
and ECG
(iii) Have facilities for surgery
sources of energy
D,Secondary
healthcare institutions (iv) Means of transport

307
 Develo ment
Indian Economic
Alternatives:
(b)
(a) A ---(iii), C-..-(iii),

Answers

E. Assertion and Reason

(1-5), a statement of Assertion (A) is followed by a Statement
In the followingquestions
alternative among those given below:
Reason(R).Choosethe correct
Alternatives:
(R) are true and Reason (R) is the correct explanation OfAssertion(A)
(a) Both Assertion (A) and Reason
are true and Reason (R) is not the correct explanation ofAssertion(A)
(b) Both Assertion (A) and Reason (R)
false
(c) Assertion (A) is true but Reason (R) is
is true
(d) Assertion (A) is false but Reason (R)

1. Assertion (A) Private sector is a hindrance in development of health infrastructurein India.

Reason (R) More than 70 per cent of the hospitals are run by private sector in India.
2. Assertion (A) India carries 20 per cent of global burden of diseases.
Reason (R) Majorityof rural population in India does not have access to basic healthfacilities
3. Assertion (A) India is emerging as a global destination for call centres, study centres and medical
tourism.
Reason (R) The development of infrastructure in a nation facilitates outsourcings
4. Assertion (A) Telecommunication along with power emerges as an important componentof
infrastructureat the lower level of development.
Reason (R) With rise in the level of development, the composition of infrastructuretendsto
change.
5. Assertion (A) India is emerging as an important destination for medical tourism.
Reason (R) The cost of major surgeries in India is just 10 per cent of that in developed countries

Answers
1. (d) Assertion (A) is false but Reason (R) is true
2. (a) Both Assertion (A) and Reason (R) are true and Reason (R) is the correct explanation of Assertion(A)
3. (a) Both Assertion (A) and Reason (R) are true and Reason (R) is the correct explanation of Assertion(A)
4. (d) Assertion (A) is false but Reason (R) is true
5. (a) Both Assertion (A) and Reason (R) are true and Reason (R) is the correct explanation of Assertion(A)

308
 Alternative
correct (1-5), two statements are given. Read the
questions among those given below: statement;
careful"/Ond
.-
f
are true
statements
60ththestatementsare false
2 is false
the true and Statement
1 is false
statement true and Statement 1 is
2 is
statement commercial sources of energy have an established market
of sale and
I commercial sources of energy are largely used for
Statement purchase.
industrial
and
2 commercial
Statement purposes.
60 per cent of total healthcare
private sector accounts for spendingin India.
I provides healthcare for 80
Statement private sector per cent of out-patientsand
2 2 46 percentof
Statement in-patients.
Economic infrastructure accelerates the process of growth whilesocial
Statement1 process of human development. infrastructure
3 accelerates the
Economic and social infrastructure are complementary to each other.
Statement 2
1 Medical tourism in India is attractive for patients fromdevelopedcountries
4. statement
Statement 2
Due to restrictions on international travel in the light of COVID-19pandemicin
India, the actual earning from medical tourism is expected to be much less thanthe
projected earning.
1 Infrastructure induces investment.
5. Statement
ties.
Statement 2 .
The productivity of the primary, secondary and tertiary sector dependsupon
ital infrastructure.

Answers

of I (a)Boththestatements are true

2 is true and Statement 1 is false
2 (d)Statement
3.(a)Boththe statements are true
4.(a)Boththe statements are true
5.(a)Boththe statements are true

G.Case-based
Questions

Read
thefollowingcase study carefully and answer the questions 1-6 on the basisef the
same:

development is measured in terms of per capita consumption of electricitywhichin turn

Thecountry's
dependson electricity for the year
generated. In India, per capita energy consumption is quite low and
itwasonly a meagre USA and 34000
665 KWh per annum in comparison to about 12,000 KWh for
InNorway,
which indicates peak powershortage
fairly low level of industrialization in the country. The sectorfor
Percentand power
average energy shortage of 9.8 per cent has been plaguing Indian

result,regulators, organizational
worldwide new regulatory schemesand
reforms
inan effort are now implementing
electricityutilities.All these
to improve the incentives of
for efficient operation
309
 should be introduced
view that competition into
with the feasible and India is not exception
to
consistenttechnologically these
are it is
reforms —Rahi et al
(Choose the (2008)
statement.
increase competitiveness
correct is a way to in the
choose the of private
sector energysector
1 involvement in power generation
Introduction private sector
(a) have any
does not sector is limited till distribution
(b) India sector in Indian energy of
of private consumption of
role energy in India
(c) The
sector accounts for highest
reason for inadequate generation
(d) Transport installed capacity is a of
utilisationof in
2. Lower
generation of electricity should be
growth, the growth in
economic (Fill up the blank
3. For growth rate. with correct
thaneconomic (b) higher
(a) lower (d) constant
one
(c) one to
distributed by
in India is
4. Electricity (Fill up the blank with
correct
boards (b) central electricity boards
(a) state electricity
boards (d) none of these
(c) district electricity
the following statements carefully and choose the correct alternative amongthose
5. Read
below:
Statement1 The growth rate of electricity generation is often higher than the growthrate
Statement2 GDP growth is directly related to the growth of electricity generationinthe
Alternatives:
(a) Boththe statements are true
(b) Both the statements are false
(c) Statement1 is true and Statement 2 is false
(d) Statement2 is true and Statement 1 is false
6. Stateany one problem faced by power sector in India.

ll. Readthe following case study carefully and answer the questions 1-6 on the basisofthe
same:
Indiawitnessedhigh levels of growth in the last decade but national levels of povertyandinequality
remainhigh. Infrastructureprovision is seen as a particularly important instrumentfor helping in
regionaldevelopmentwhere the government can play a significant role due to the public goodsnatureof
infrastructurefacilities. Literature confirms the positive association between infrastructureandgrowth
However,it is not necessary that economic development will
growth attributable to infrastructure
consequently lead to a reduction in inequality. The impact of infrastructure on consumptioninequality
acrossstatesdiffersfor the
type of infrastructure under consideration and the relation of
infrastructure
withinequalityis not androads
necessarily negative. Some components of infrastructure, mainly power some
areassociatedwith
increased interpersonal inequality at the regional level and the paper provides
explanations for this result. Infrastructure bethatthese
not
benefitsarereaped can help open up opportunities but it should
by those who are in a position these.
to be able to take advantage of
—SumedhaBajarand provisioning onInequality:
Meenakshi Rajeev, The Impact of Infrastructure
Evidencefrom India, Change,Bangalore
Working Papers, Institute for Social and Economic
310
 focuses on the distribution of LPG connections
(free of
he country. (Fill up the charge)to
(b) Ujjwala Yojana blank Withtorree_t the
Scheme (d) NIPUN Bharat
up India Mission
stand significance of infrastructure?
(c) following is a (Choose the
of the productivity (b) It induces correct
which investment
2. It enhances (d) All of these
(a) quality of life
enhances
(c)It refers to the income disparity between rich and poor
people of a
whole. (Fill up the blank regionor the
3 countryas a (b) with correct
divide Rural-urban divide
(a)Rich-poordivide (d) None of these
Locational
(c)
Level of development, basic infrastructure like
irrigation
4.
Ata (Fill up the blank with and transportis
needed. (b) medium correctalternative)
(a)lower (d) none of these
(c) higher
statements carefully and choose the correct alternative
Readthefollowing among those given
below:
infrastructure is not comprehensively developed in India.
1 - Medical
statement
2 Enforcement of laws relating to medical tourism is still a far cry in our
Statement country.
Alternatives:
statements are true
(a)Boththe
statements are false
(b)Boththe
1 is true and Statement 2 is false
(c)statement
2 is true and Statement 1 is false
(d)Statement
refers to such core elements of economic and social change which serve as a support
6.Infrastructure
toall productionactivities in the economy. True or False.
system

hswers

of private sector is a way to increase competitiveness in the energy sector

LI (a)Introduction
2 True
3. (b) higher

4.(a)state
electricity boards
5,(a)Boththe statements are true
thereis an under-utilisation of production capacity of thermal power stations
6,InIndia,

[l (c)Ujjwala
Yojana
2,(a)All
of
these
(d)Rich-poor
divide
4 (a)lower
(a)Boththe
statements are true

311
 Questions
Miscellaneous
Data-based
H.
1. Item
1951

28
Colleges
Medical
(Government) 2,694
Hospitals
6,600
Dispensaries
(Government)
Number of Beds
62,000
Doctors (Allopathy)
1,500
18,000
Nurses

725
pH CS
25,743

Sub-centres

CHCs 5,624

[Source: National Health Profile, 2018; National Commission on

Macroeconomics
Ministry of Health and
FamilyWelfagrg
information answer the following question:
On the basis of the above-mentioned
in India (as per the given data) has increased
The number of government hospitals
(approximately) between 1951 and 2017.
(a) 9.57% (b) 85.6%
(c) 856.87% (d) 323.5%

2.
7%
2.5%
8.5%
Thermal
Hydro
Nuclear
..rif,.
New and Renewable Energy

82%
Figure showing different sources of Electricity Generation in India, 2016
On the basis of the above pie diagram answer the following question:
Whichof the following is a major source of electricity generation in India?
(a) Hydro energy
(b) Thermal energy
(c) Nuclear energy
(d) New and renewable
energy

312