Schedule 6 of Companies Act, 2013 : Infrastructural Projects/Facilities — Scope Of

  • Updated Till : September 21, 2023


(See sections 55 and 186)

[Effective from 1st April, 2014]


The term “infrastructural projects” or “infrastructural facilities” includes the following projects or activities:—

(1) Transportation (including inter modal transportation), includes the following:—

(a)   roads, national highways, state highways, major district roads, other district roads and village roads, including toll roads, bridges, highways, road transport providers and other road-related services;

(b)   rail system, rail transport providers, metro rail roads and other railway related services;

(c)   ports (including minor ports and harbours), inland waterways, coastal shipping including shipping lines and other port related services;

(d)   aviation, including airports, heliports, airlines and other airport related services;

(e)   logistics services.

(2) Agriculture, including the following, namely:—

(a)   infrastructure related to storage facilities;

(b)   construction relating to projects involving agro-processing and supply of inputs to agriculture;

(c)   construction for preservation and storage of processed agro-products, perishable goods such as fruits, vegetables and flowers including testing facilities for quality.

(3) Water management, including the following, namely:—

(a)   water supply or distribution;

(b)   irrigation;

(c)   water treatment.

(4) Telecommunication, including the following, namely:—

(a)   basic or cellular, including radio paging;

(b)   domestic satellite service (i.e., satellite owned and operated by an Indian company for providing telecommunication service);

(c)   network of trunking, broadband network and internet services.

(5) Industrial, commercial and social development and maintenance, including the following, namely:—

(a)   real estate development, including an industrial park or special economic zone;

(b)   tourism, including hotels, convention centres and entertainment centres;

(c)   public markets and buildings, trade fair, convention, exhibition, cultural centres, sports and recreation infrastructure, public gardens and parks;

(d)   construction of educational institutions and hospitals;

(e)   other urban development, including solid waste management systems, sanitation and sewerage systems.

(6) Power, including the following:—

(a)   generation of power through thermal, hydro, nuclear, fossil fuel, wind and other renewable sources;

(b)   transmission, distribution or trading of power by laying a network of new transmission or distribution lines.

(7) Petroleum and natural gas, including the following:—

(a)   exploration and production;

(b)   import terminals;

(c)   liquefaction and re-gasification;

(d)   storage terminals;

(e)   transmission networks and distribution networks including city gas infrastructure.

(8) Housing, including the following:—

(a)   urban and rural housing including public/mass housing, slum rehabilitation, etc;

(b)   other allied activities such as drainage, lighting, laying of roads, sanitation and facilities.

(9) Other miscellaneous facilities/services, including the following:—

(a)   mining and related activities;

(b)   technology related infrastructure;

(c)   manufacturing of components and materials or any other utilities or facilities required by the infrastructure sector like energy saving devices and metering devices;

(d)   environment related infrastructure;

(e)   disaster management services;

(f)   preservation of monuments and icons;

(g)   emergency services (including medical, police, fire and rescue).

(10) Such other facility service as may be prescribed.


  First proviso to sub-section (2) of section 55 refers to infrastructure projects and provides that a company may issue preference shares for a period exceeding twenty years for infrastructure projects, subject to the redemption of such percentage of shares as may be prescribed on an annual basis at the option of such preferential shareholders.

Rule 10 of Companies (Share Capital and Debentures) Rules, 2014 prescribes the percentage of shares to be redeemed and is relevant for this Schedule. It provides that a company engaged in the setting up of and dealing with infrastructural projects may issue preference shares for a period exceeding twenty years but not exceeding thirty years, subject to the redemption of a minimum ten percent of such preference shares per year from the twenty first year onwards or earlier, on proportionate basis, at the option of the preference shareholders.

Sub-section (11) (a) of section 186 relating to providing of loan and investment by a company allows exemption to a loan made, guarantee given or security provided by a banking company or an insurance company or a housing finance company in the ordinary course of its business or a company engaged in the business of financing of companies or of providing infrastructural facilities.

This Schedule is therefore also relevant for obtaining exemption from the provisions of sub-section (1) of section 186 in determining whether a company is engaged in the business of providing infrastructural facilities or not.

3 responses to “Schedule 6 of Companies Act, 2013 : Infrastructural Projects/Facilities — Scope Of”

  1. Hello owner, Thanks for sharing your thoughts!

  2. Osman says:

    Thanks for sharing such a pleasant thought, article is good, thats why i have read it completely

  3. To the admin, Your posts are always well-referenced and credible.

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