NEW DELHI:
The Union Cabinet has approved the development of a Rs. 25,703 crore Exhibition-cum- Convention Centre (ECC) in New Delhi to compete with cities like Shanghai, Hong Kong and Singapore for a larger share of the massive global MICE market.
The Delhi Mumbai Industrial Corridor Development Corporation (DMICDC) is the knowledge partner for the project, which is expected to be completed by 2025 and is designed as an integratedcomplex with Exhibition & Convention spaces, multi-use arena, well-laid trunk infrastructure, Metro rail and highway connectivity, hotels, office and retail spaces.
The ECC will be among Asia’s biggest convention centres, sprawled over 90 hectares of land in Sector 25, Dwarka, with overall built-up space of 1.07 million sq. metres. Phase-1 of the project comprising trunk infrastructure, along with the Exhibition cum Convention Centre will be implemented in non-PPP mode and commissioned by December 2019.
Phase-2 of the project comprising the remaining Exhibition area will be implemented by 2025. The components such as hotels, retail space and offices will be implemented in PPP (Public Private Partnership) mode. The Cabinet, chaired by Prime Minister Narendra Modi, on Friday gave its nod to the incorporation of a new Government company as a Special Purpose Vehicle (SPV) for the implementation and development of the project with 100% equity from Government through the Department of Industrial Policy and Promotion (DIPP).
The Government of India will provide budgetary support of Rs.2037.39 crore to the SPV as equity over a period of three years to fund infrastructure and other allied non-PPP development. Approval has also been given for mobilization of Rs.1,381 crore from the market as Government-guaranteed loan and utilization of Rs. 4,000 crore by way of monetization of Government-owned land and annual project revenue by the SPV.
It is estimated that once completed, the ECC will host more than 100 major international and local exhibition events annually. An estimated 10 million paying visitors are expected annually after the completion of the first phase and 23 million after completion of the second phase (2025).
Similarly, convention-based delegate attendance is estimated to cross 1.5 million annually after successful completion of second phase of the project. An estimated five lakh direct and indirect employment opportunities are expected to be generated across the ECC’s core facilities as well as in areas such as retail, office and hospitality.
‘The global market for exhibitions and conventions is estimated at around 280 billion US dollars with as many as 400,000 conferences and exhibitions worldwide, and this poised to grow even more with ever-increasing business linkages. India’s share of this is under 1% and we currently don’t have a facility that meets the needs of large-scale international conventions in terms of space, infrastructure and connectivity’ said Alkesh Sharma, CEO and Managing Director of DMICDC.
‘The ECC will be a game-changer for us in terms of global competitiveness as well as in its contribution to the economy and job creation’, he added.
