News
Thursday, April 25, 2013
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1. Road Ministry asks NHAI to resolve row with road developers
2. Infrastructure shortages a constraint on India’s rating: Moody’s
3. 4 hydro projects await green nods
4. Himachal Pradesh to set up panel for timely completion of hydel projects
5. FM pushes for coal, road regulators
6. Policy paralysis hit growth: PMEAC
7. PPP models for coal output discussed
8. Public-pvt partnerships to fall under RTI ambit
9. PAVING SUSTAINABLE ROADS
10. Jaipur road project still in limbo
11. Energy Security: Plan Panel projects Rs 15 lakh Crore investments
12. Mumbai City anchor: Architects, engineers present ‘corrupt’ picture of
civic officials
Road Ministry asks NHAI to resolve row with road developers
The Hindu Business Line,
April 25, 2013
The road ministry has asked the National Highways Authority of India (NHAI) to
expedite the process of resolving disputes with highway developers by the independent
committee set up under the Authority to review individual cases and send its
recommendations to the NHAI board.
Since its inception earlier this year, the committee has taken up seven cases of pending
claims but is yet to resolve any of them, said ministry officials. At present, about 227
cases with 10,963 crore of developer dues are stuck under arbitration or are pending in
court.
"We have asked them to meet more frequently and would like them to sit each week, so
that they can resolve multiple cases swiftly," said a highways ministry official, who didn't
wish to be named. Many of these claims are due to delays in land acquisition, change in
scope, officials' reluctance to sign off on deviations and cost escalations permitted under
the contract, restricting the ability of developers to bid for new projects.
News
In November 2012, the NHAI board had approved a three-stage system to resolve
disputes under which pending claims and cases are first referred to a committee of chief
general managers from NHAI. Then it is taken to the three-member independent
settlement advisory committee ( ISAC), which reviews the recommendations and can
communicate and negotiate with contractors. Their recommendations are then taken to
the board for approval. The seven pending claims are currently stuck at the second level.
The ministry hopes to fast-track settlement of claims, some of which go back to projects
awarded as far back as 1997-98, and release the much-needed capital - stuck in financial
disputes - back into the funds-starved sector.
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Infrastructure shortages a constraint on India’s rating: Moody’s
Mint
April 25, 2013
Moody’s Investors Service Inc.’s stable outlook on India’s sovereign rating assumes that
investments in infrastructure will increase in the next 12-18 months because such
demand remains robust despite the recent economic slowdown.
India’s infrastructure may be boosted by a conducive financing environment
characterized by low global interest rates and falling domestic interest rates, although
the country’s recent reforms do not address all the regulatory, financial and pricing
constraints on infrastructure investment, the credit rating company said in a report on
India’s infrastructure released on Tuesday.
Infrastructure shortages are a constraint on India’s Baa3 sovereign rating because it is
weaker than in comparable emerging markets, the rater said.
“This has hurt potential growth, as well as the competitiveness of its export and importcompeting sectors, thus contributing to its trade and current account deficits,” the
agency said in its report. “Moreover, poor infrastructure discourages foreign direct
investment inflows, which could finance these deficits and stimulate growth.
Infrastructure deficiencies also heighten the supply bottlenecks that fuel inflation.”
Moody’s is the only major international rating company that has a stable outlook on
India. It has given the country a Baa3 credit rating, the lowest investment grade. Last
month, the rater had warned that India’s widening current account deficit and the spurt
in external debt exposed it to the risk of a negative credit rating outlook.
There were investments worth some Rs.24 trillion in infrastructure in the five years
ended March 2012 and the government expects that to nearly double in the next five
years to Rs.56 trillion.
“The deficit areas in infrastructure are power, roads and ports.There is a huge pent-up
demand for investment in infrastructure that is being held up because key bills
pertaining to land, environment and forest clearances are stuck,” said Shubhada Rao,
Yes Bank Ltd’s chief economist. “Investments into the sector will ramp up with the
resolution of these issues. Assured supply of fuel and its appropriate pricing will also
make power sector more attractive for investments.”
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Since the government’s fiscal position is weak, the country’s vast infrastructure needs
cannot be bridged without private investment, Moody’s said. India’s fiscal deficit in the
year ended March was 5.2%.
“The private sector may be more interested in investing in Indian infrastructure, as
demand for infrastructure and the lowering of regulatory and pricing barriers revives the
prospects for profits,” the rater said. “Moreover, financing for infrastructure investment
may now be easier to obtain, as investors seek real investment assets, against the
backdrop of lower interest rates and slower global growth.”
The share of private investment in infrastructure is estimated at 38% in the 11th five-year
plan that ended in March last year and is expected to be about 48% in the next.
The report also mentions risks posed by India’s fragmented politics ahead of state and
general elections due in 2013 and 2014. These risks are not exclusively negative as
incumbent governments seek to revive sluggish growth ahead of elections, they may
accelerate policy implementation in order to attract investment, the report said.
There’s not much chance that investments in infrastructure will surge any time soon,
Moody’s said. The expected incremental infrastructure improvements, however, will ease
pressures on India’s balance of payments and inflation, while boosting growth and living
standards, it said.
Standard and Poor’s, the other rating agency that has a negative credit rating outlook for
India, in a separate report on Wednesday, projected the economy to grow at 6% in the
2013-14 financial year. “India continues to struggle, grappling with low growth and
relatively high inflation. Economic data in early 2013 have not been encouraging,” it said.
Finance Minister P. Chidambaram told the World Bank on Sunday that India has a $1
trillion infrastructure deficit in the next five years, PTI reported from Washington.
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4 hydro projects await green nods
The Hindu Business Line,
April 25, 2013
Four hydro power projects, having a total generation capacity of 1,472 MW, are awaiting
environmental clearances, Parliament was informed today. These projects are in
Karnataka, Sikkim, Arunachal Pradesh and Uttarakhand.
“Four hydro electric projects, which have been accorded concurrence by the Central
Electricity Authority (CEA), are pending for clearance in the Ministry of Environment &
Forests (MoEF) as on date,” Minister of State for Power Jyotiraditya Scindia said in a
written reply to the Rajya Sabha. They include 500 MW Hirong project in Arunachal
Pradesh and 520 MW Teesta Stage IV plant in Sikkim.
According to the Minister, MoEF has given environment clearance to two hydro projects
having a total capacity of 994 MW in the last six months.
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In another written reply, Scindia said there was an overall shortage of power in the
country.
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Himachal Pradesh to set up panel for timely completion of hydel projects
IBN7
April 25, 2013
To ensure completion of hydro-power projects in time, a committee would be set up that
will monitor the ongoing projects and address the problems of delay in getting
clearances. Chief Minister Virbhadra Singh on Wednesday directed the officials
concerned to complete the hydropower projects within time bound to avoid cost
escalation.
The committee headed by Chief Secretary would be in place soon to supervise and
monitor the progress of all the ongoing projects and also address the problems of delay
in getting various clearances, the CM said. Reviewing the meeting of Multipurpose
Projects and Power (MPP) and Non-Conventional Energy Sources in Shimla, the Chief
Minister expressed happiness over the increase in revised estimated hydropower
potential from 23,000 MW to 27433 MW in all five major river basins.
He said that according to a recent survey, the increase in Satluj basin alone was 13331
MW as compared to 10391 MW of old survey. The Chief Minister said more than 30
projects having capacity of 2200 MW would be completed and commissioned in current
financial year. After the completion of these projects, the state government would get
additional income of Rs 213 crore on account of 12 per cent free power as royalty (at Rs
2.90 per unit) for first 12 years.
Besides, additional revenue of Rs 89.65 crore would be generated on account of free
power sale in current fiscal, he added. The Chief Minister said 8418 MW hydro power
potential had already been harnessed in the state and projects with 4233 MW potential
are under execution by various agencies while projects with 2982 MW capacity have
been sent for obtaining clearances while 5132 MW were in the investigation State.
He said that Directorate of Energy (DoE) was examining the Hydro Policy-2006 with a
view to expedite clearances from all government agencies and departments and to avoid
multiple NOCs from Gram Sabha for same project. The Chief Minister said a Hydro
Projects Safety and Quality Control an Authority would be set up in DoE for monitoring
safety and quality of construction for the forty years till the project was handed over to
the state government.
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FM pushes for coal, road regulators
FE BUREAU,
April 25, 2013
FDI caps can be removed if not found useful, says minister
News
In the wake of the government's decision to scrap coal price pooling, finance minister P
Chidambaram said on Wednesday the government wants a regulator for the coal sector
in place. The government is also pushing for a regulatory body for roadways and a rail
tariff authority.
The minister said the work on the goods and services tax (GST) was in progress and
there were “70%” chances of it being passed by Parliament.
"We want the regulator for coal sector and road sector in place; we want rail tariff
authority in place to fix tariff in railway sector.” Chidambaram was speaking at a public
event in New Delhi.
On Monday, the cabinet committee on economic affairs (CCEA) buried a proposal to
pool prices of imported and domestic coal to make the commodity affordable to new
power plants, owing to sharp opposition to the scheme. It was decided that power
projects commissioned before 2009 will continue to get coal at below market rates while
post 2009 projects, which have signed power purchase agreements with procurers will
get the dry fuel at cost plus basis. This mechanism may lead to increase in electricity
tariffs if the generation companies passes the rise in cost to the consumers.
Chidambaram said India will limit its fiscal deficit for 2013-14 to less than 4.8% and the
deficit target was a red line that would never be breached. He also said the government
will look to push in more reform measures in next few months. “There are many more
executive actions that have to be taken. Some of these are executive actions which we will
take in the next 2-4 months.”
Speaking on foreign investment, the minister said there was a need to take a relook at the
foreign direct investment caps and promotion of FDI were essential to deal with the
problem of widening current account deficit, which was more worrying than fiscal
deficit.
“CAD is indeed high. In 2012-13, CAD is expected to be $90-94 billion. The satisfying
aspect of this is that we have financed it completely without drawing down our reserves.
There have been copious inflows. We need to open our economy more. We have to give
more space to FDI,” he said, adding FDI caps could be removed if no longer found useful.
The finance ministry and RBI are looking into various aspects of the foreign investment,
including removal or raising of the FDI caps.
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Policy paralysis hit growth: PMEAC
FE BUREAU,
April 25, 2013
The Prime Minister’s Economic Advisory Council (PMEAC), which projected a 6.4%
economic growth and an annual inflation rate of around 6% through 2013-14, has
highlighted the adverse impact of policy paralysis on the nation's economic growth in the
previous fiscal. It has also recommended urgent reforms in agriculture and energy
sectors.
News
The council, chaired by C Rangarajan, strongly urged the government to expedite
clearances for infrastructure and other projects through the newly created cabinet
committee on investments.
The council, in its review of 2012-13 released on Tuesday, highlighted the fact that
growth fell more sharply than what can be caused by the fall in investment. The council
analyses incremental capital output ratio (ICOR), a measure of how incremental income
has arisen from increments to capital stock in the past.
The worsening of ICOR has more to do with policy paralysis and the sharp slowdown in
growth doesn't seem to have flowed in from conventional structural parameters, said the
report.
Investments made did not commensurately translate into output and/or did not create
optimal economic value in the absence of complementary output. Rangarajan said that
although investments have come, complementary projects have not. This, however, can
be corrected, he said.
“The very high level of investment rate that we have even now gives us the hope that if
we take action for speedy implementation of projects, we can achieve the higher rate of
growth quickly even in the short term," the PMEAC chairman said after releasing the
review.
The slowdown in economic growth in 2012-13, possibly to 5%, may be partly caused by
an unsupportive macroeconomic situation in the rest of the world and the withdrawal of
both fiscal and monetary stimuli starting 2010. However, that does not fully explain such
a sharp deceleration in economic growth.
The council said the principal problem affecting economic growth is the issue of
clearances that have stalled projects and undermined conditions for investment.
“The only way to get the economy move ahead to a higher growth trajectory by
overcoming investment and implementation bottlenecks over the short term is to pursue
reforms with energy and expedite clearances through the newly constituted cabinet
committee on investment,” said the council.
what the report says
* Economic growth has declined more sharply than what can be caused by the fall in
investment, but has bottomed out and would rise to 6.4% in 2013-14 from the (likely)
5% in 2012-13
* Agriculture to grow at 3.5% in FY14 (1.8% in FY13); industry (including mfg, mining &
quarrying, electricity, gas, water supply & construction) at 4.9% (3.1%) and services at
7.7% (6.6%)
* The worsening of incremental capital output ratio has more to do with policy paralysis;
the sharp slowdown in growth doesn't seem to have flowed in from conventional
structural parameters
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* Investments made did not commensurately translate into output and/or did not create
optimal economic value in the absence of complementary output
* Rectification of the current account deficit will take more than a single year; take steps
to boost capital flows in the short run, while, over the medium term, the CAD needs to
be brought down to moderate levels
* The spurt in demand for gold as an investment vehicle is not related to the declining
return on investments in mutual funds and life insurance; the flaws in distribution of
savings products need urgent redress
* Recent decline in WPI inflation is bigger than expected, core inflation too in comfort
zone; this creates more room for monetary policy to support growth; inflation to be
around 6% over the next on year
* Inflation in primary food articles remains uncomfortably high; danger of a fresh spike
in wage and other cost pressures remains; supply side measures and re-look at
approach to administrative pricing needed
* Reform agricultural marketing & supply chains, the APMC Act limits the freedom of
farmers to sell and has prevented the modernization of the supply chain, causing
primary food inflation to rise
* Improve net energy availability. Aside from price reform, need to facilitate increase in
domestic coal production (but no specific proposal to de-nationalise commercial coal
mining)
* Budget target of 19% gross tax revenue growth achievable; control over the magnitude
of petroleum subsidies is central to keeping expenditure within budgeted limits
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PPP models for coal output discussed
PTI,
April 25, 2013
A committee formed to devise a policy framework under public-private partnership for
increasing domestic coal production has discussed various PPP models in its first
meeting this month, Coal Minister Sriprakash Jaiswal has said.
“The Committee has held its first meeting on April 9, 2013 and deliberated on the
various PPP models,” Jaiswal said in a written reply to the Lok Sabha. The panel is
required to devise a PPP policy framework in order to increase production of coal, he
said.
In pursuance of the announcement of Finance Minister P. Chidambaram in Union
Budget with regard to PPP policy framework, a nine-member committee was set up last
month.
The committee under the chairmanship of Coal Secretary S.K. Srivastava has members
from other ministries including Law, Labour and Finance among others.
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Public-pvt partnerships to fall under RTI ambit
PTI,
April 25, 2013
Public-private partnerships (PPPs) will soon come under the ambit of the RTI (right to
information) as per a fresh set of guidelines issued by the Department of Personnel and
Training (DoPT) on April 15.
According to the guidelines on suo motu disclosure under Section 4 of RTI Act, 2005, the
DoPT says since public services are proposed to be provided through PPPs, “all
information relating to the PPPs must be disclosed in the public domain by the Public
Authority entering into the PPP contract/concession agreement.
“This may include details of the Special Purpose Vehicle (SPV), if any, set up, detailed
project reports, concession agreements, operation and maintenance manuals and other
documents generated as part of the implementation of the PPP project.” Each
Ministry/Public Authority has been asked to ensure that these guidelines are fully
operationalised within a period of six months from the date of their issue.
Citizen organisations have for long been demanding that PPPs, which also involve
taxpayer money, should be brought under RTI.
To bring in financial transparency, the guidelines further state that with regard to PPPs
all information about fees, tolls, or other kinds of revenue can be collected under
authorisation from the Government.
Also, information in respect of outputs and outcomes, process of selection of the private
sector party may also be proactively disclosed.
“All payments made under the PPP project may also be disclosed in a periodic manner
along with the purpose of making such payment,” say the new guidelines, which have
been revised on the basis of the report submitted by a task force set up to look into
complaints of weak implementation of RTI under Section 4(1)(b) of the RTI Act.
The Section lays down norms for information that should be disclosed by Public
Authorities on a suo motu or proactive basis.
PROCUREMENT INFO
As regards procurement, all Government agencies have been asked to disclose
information relating to procurement made by public authorities, including “publication
of notice/tender enquiries, corrigenda thereon, and details of bid awards detailing the
name of the supplier of goods/services being procured or the works contracts entered or
any such combination of these and the rate and total amount at which such procurement
or works contract is to be done should be disclosed.”
CAG & PAC PARAS
News
After the recent controversy over “leaked” reports of the Comptroller and Auditor
General, the new guidelines propose that “Public Authorities may proactively disclose
the CAG & PAC paras and the Action Taken Reports (ATRs) only after these have been
laid on the table of both the houses of Parliament.
However, CAG paras dealing with information about the issues of sovereignty, integrity,
security, strategic, scientific or economic interests of the State and information covered
under Section 8 of the RTI Act have been exempt.
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PAVING SUSTAINABLE ROADS
Construction week online.in
April 25, 2013
Adoption of WMA and latest technologies will not only help India build roads faster but
also lay them in the most environment-friendly manner.
When a country’s plan is to build 54,000 kms of highways within a tight deadline, the
concern for greenhouse gas emissions from such developments tends to take a back seat.
At a time when the road ministry is still in a catch-up mode to meet its own targets for
building roads, the focus is far more on how quickly roads can be built than the impact it
may have on the environment. Though there has been a sea-change in the quality of
highways that are being laid out today (through PPP mode) in comparison to what it
used to be a few decades ago, sustainability is still to get its due attention in India.
There is this ever-ending debate on which types of roads—concrete or asphalt—are more
environ¬ment-friendly, with each side claiming to be greener than the other.Advocates
of concrete roads claim that they have a longer life-span, which means you need less
energy for raw materials and rehabilitation in the long run. Whereas, asphalt experts say
that cement plants produce more greenhouse gases than an asphalt plant. However,
asphalt continues to be the most widely used road building material across the world,
accounting for more than 90 per cent of paved roads in the US and Europe. The story is
not very different for India also. However, the percentage of concrete roads is fast
increasing in the country.
WMA TECHNOLOGY
There have been some major technological breakthroughs in the West—something which
India can also adopt for its roads and highway projects. Since the asphalt road building
process involves heating of tar, which is considered to be highly polluting, researchers
were looking for a solution that can reduce greenhouse emission. Incidentally, they
already have come up with a new technology called ‘warm mix asphalt’ (WMA) in which
an additive is mixed with hot mix asphalt (HMA) in desired proportion in order to lower
down the hot mix temperature from 150 degree celsius to 120 degree celsius. WMA offers
many significant advantages such as energy savings, decreased emissions and fumes,
besides reducing binder aging. The process of WMA is comparatively more economical
because bitumen usage also gets lowered down, equal to quantity of additive.
Researchers in Europe started devel¬oping warm mix asphalt in the late 1990s in order
to reduce greenhouse gas under the Kyoto Protocol. This technology is now widely used
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in the West. However, it is still to catch up in India. Inciden¬tally, if India starts using
this technology as a replacement for HMA, it will be able to earn carbon credits for
reducing greenhouse gases.
PRODUCT DEVELOPMENT
Till date, the US and Europe have developed a number of WMA technologies such as
synthetic zeolite, Sasobit, Evotherm, WAM Foam, LEA, Rediset WMX and REVIX. There
is a need to do some trials in India to understand which types of WMA will be suitable
for our country.
The Central Road Research Insti¬tute (CRRI) had undertaken a study on development of
an additive to produce asphalt mix at a temperature lower than hot mix asphalt. It also
studied two types of commercially available materi¬als (wax- based and emulsion-based)
for their physical and mechanical proper¬ties. The institute has developed a new
material which can compact the mix at as low as 90 degree celsius. However, the
performance tests are still in progress.
In India, there are some WMA tech¬nologies available in the market from companies
like Shell and MWV. Evo¬therm is a WMA technology from MWV that allows reduction
of mix production and compaction temperature by 30 to 40 degree celsius. Evotherm is a
liquid additive that is suitable for introducing at mix plant or asphalt terminal. It is
available in a ready-to-use form. "By de¬creasing environmental emissions upto 97 per
cent and allowing a fume-free work environment, Evotherm WMA creates a more
comfortable jobsite for paving crews and for surrounding busi¬nesses and
neighborhoods," says Suman Kar, sales manager, asphalt innovations, MWV India.
Evotherm has been evalu¬ated at CRRI laboratory for suitability with Indian mix design.
Kar says their product has been used to pave several Indian national and state highways.
"The first major paving project with Evotherm started in January 2011 on NH-10 near
Rohtak, Haryana. Other notable projects featuring Evotherm are SH-5 near Godhra,
Gujarat; NH-1 near Srinagar, Jammu and Kashmir; and NH-58 near Tapoban, Uttar
Pradesh," he says, adding that since 2009, roughly 50 lane kms of Evotherm warm mix
pavements have been executed on Indian highways.
However, these are just a few in¬stances where WMA technology was used. Though the
contractors recover the initial cost of WMA technology in terms of fuel savings and other
benefits, Kar says, there are no incentives for contractors to use environment-friendly
technologies in India.
Another company, Shell has also developed warm mix asphalt technol¬ogy called
Thiopave, which enables a proportion of the bitumen in the asphalt mixture to be
replaced with sulphur and special additives.
Ashoka Buildcon has been using WMA technology on experimental ba¬sis for its roads
projects. The company is convinced with potential of WMA in terms of laboratory results
as it reduc¬es fuel consumption by 10-15 per cent. "However, there is a need to observe
and evaluate all the aspects in terms of field results under Indian condi¬tions. As on
date, we have found the results fairly encouraging," says Sanjay Londhe, director,
Ashoka Buildcon.
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His company had used Thiopave on experimental basis on toll way work of NH-3 from
Pimpalgaon Nashik Gonde (km 380 to 440). The company had decided to utilise
Thiopave as an addi¬tive for hot mix hot laid DBM mixes for maximum portions of the
balance work after due consent from independent consultants of NHAI.
ROADBLOCKS FOR WMA
The existing stringent contract conditions for roads in India are acting as the biggest
deterrent for extensive use of WMA. The concessionaire is bound to work under the
limitations of the contract. “There is a need to make separate provision for use of WMA
in contract agreement by authorities. It would be very benefi¬cial if a technical
committee be formed, to address such issues and enable the incorporation of newer and
innovative tech¬nologies of construc¬tion," says Londhe of Ashoka Buildcon.
In order to promote latest technol¬ogy, industry players suggest that the responsibility
of implementing such solutions should be shared by engi¬neers also who can make
efforts to adopt and implement such measures wherever possible. "As specifications for
the production and placement of WMA are developed, contractors will become more
confident about using WMA technologies," says Kar of WMA.
RECLAIMED ASPHALT PAVEMENT
Whatever the glue material (concrete or asphalt) may be, the main component of a road
is rock (granite chips or crushed stone). The more you build new roads, the more you
need raw materials. Since the government has massive expansion plans of converting
existing four-lane roads into six-lane, it makes sense for them to go for recycling of
already-used construction materials.
Prof. Prithvi Singh Kandhal, an expert in road building technology, in an open letter to
the chairman of the National Highways Authority of India (NHAI), has questioned why
the burial of bitu¬men is done so indiscriminately on some of the highways, which are
being six-laned from the existing four lanes. “Existing four lanes of bituminous
pave¬ment get buried while constructing ve¬hicle under passes, public under passes,
and flyovers. In such cases, the existing bituminous pavement usually consisting of dense
bituminous macadam (DBM) and bituminous concrete (BC) can be milled off and the
reclaimed asphalt pavement (RAP) transported to hot mix plant for recycling,” he said.
Innovative road building techniques such as cold milling and recycling could be very
effective in India as the process not only involves extracting materials from the existing
roads but also re-use them for paving new roads. Cold recycling of damaged pavements
is the most environmentally-friendly and also a highly economical method of road
rehabilitation, which saves natural resources at the same time. Wirtgen, which
manufactures such machines, says the usage of such technology is still in a nascent stage.
In a small country like France, Wirtgen says, it sells 200 milling machines a year. Last
year, it sold 400 machines in China.
The challenge for this technology is lack of awareness in India. Also the Indian road
building codes do not encourage the use of RAP. "We are in touch with the authorities
and also with the IITs to inform them on the latest technologies being used in Europe
and USA and also in China with regard to cold milling and recycling," says Ramesh
Palagiri, MD and CEO, Wirtgen India.
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Cost savings largly depend on the condition of the existing road and new design to which
the road has to be de¬signed. However, the savings can vary between 10 to 25 per cent,
depending on several factors. But more than the saving on costs, Palagiri says, the
technology helps saving precious natural resources like aggregates and bitumen.
GREEN MACHINES
Major international companies such as Wirt¬gen, Case, Volvo and Caterpillar, besides
others, are responding well to the market need by con¬stantly working on improving the
performance and technology of machines. Case India, for example, is launching an
upgraded version of its tandem compactor model, Case 752, at bC Mumbai. The 9-ton
vibratory compactor, which is equipped with a water-cooled engine, helps reduce the
engine temperature substantially. This technology offers longer engine-life and lower
fuel consumption.
“We upgrade our machines to ensure the best fuel efficiency in their class, longer life
cycle expectancy, and minimal operating costs,” says Anil Bhatia, director sales and
marketing, Case India.
Volvo Construction Equipment, which sells com¬pactors, rollers and pavers in India,
says all its machines which were sold in the last one and half year meet governmentmandated tier-III standards besides being very fuel efficient. “As our machines burn
lesser fuel, they emit lesser carbon,” says AM Muralidharan, president, Volvo
Construction Equipment. But he says it’s time for India to look at the specifications of
road construction. “We are still using some 30-40 year old technology in terms of what
should be the grade or base materials or asphalt. As our traffic density and load factors
have been increasing, we need to look at specifi¬cations of roads itself," adds
Muralidharan.
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Jaipur road project still in limbo
Times of India
April 25, 2013
Clogged arterial roads of the Jaipur will continue to remain so for a longer period as the
all important ring road project is still awaiting official nod.
Even after receiving an approval for financial closure from urban development and
housing (UDH) minister Shanti Dhariwal, the civic authorities have turned a blind eye to
carry the procedure forward.
"To receive the final official nod, the proposal will have to be tabled in the empowered
committee meeting. The approval to the financial closure has been given informally by
the minister. However, even after two months, no meeting has been called to expedite
the project work," an official source at JDA said.
According to officials, once the letter is issued by the JDA, Sanjos Supreme, the contract
company, will have to complete work within 21 months. "On July 2011, the work was
awarded to the company. The duration of 21 months will be over soon, however,
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procedure and issue with the farmers is still pending. In such a situation, the project
seems to be a distant dream," a source said.
Officials said the company will start construction of the ring road once the
documentation process is complete. So far, levelling of the land has been completed. The
project would involve an investment of Rs 890 crore.
JDA has proposed a 90-metre-wide transport corridor and 135-wide development
corridors on both sides. The idea has, however, not gone down well with the farmers.
Under the banner of the Sangharsh Samiti, they are demanding compensation at market
price for 90 metres and the return of excess land.
Official said the ring road is the only solution to ease the congestion of the city as the
project consists a 47-km-long road of six lanes (three on each direction), 3.5-m-wide
each, two toll stations and 25 structures and four clover-leaf junctions. The JDA will also
build slip lanes and underpasses.
The authority has acquired nearly 1,620 hectares for the project and officials claimed
that it has completed land acquisition for the phase 1 (47-km long) of the proposed ring
road from Ajmer Road to Agra Road. Possession of nearly 29-km land has been
completed; however, it is not sufficient to start work as the land available is in small
patchess.
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Energy Security: Plan Panel projects Rs 15 lakh Crore investments
Taxindiaonline.com
April 25, 2013
As per the 12th Plan document prepared by the Planning Commission, an investment of
Rs 15,01,666 Crore (at current prices) has been projected for Electricity Sector during the
12th Plan, out of which investment in Central, State and Private Sectors has been
estimated at Rs 4,40,796 Crores, Rs 3,47,043 Crores and Rs 7,13,827 Crores respectively.
According to the 12th Plan document the projected investment in infrastructure over the
Twelfth Plan would be possible only if there is a substantial expansion in internal
generation and extra-budgetary resources of the public sector, in addition to a significant
rise in private investment.
In order to ensure energy security in the country in terms of power, the government is
making all possible efforts, which include the following:• By meeting the stipulated demand for electricity through power generation using a
mix of various energy sources including renewable energy.
• In order to fulfil the shortage in fuel supply, fuel is being imported while efforts are
being made to increase domestic supply by various measures including the adoption
of state of art mining technology.
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• To ensure better availability and improved power supply from old and ageing plants,
thrust is being given to Renovation & Modernisation and Life Extension of old power
plants.
• Measures such as Demand Side Management and Energy Efficiency are also being
implemented to ensure Energy Security.
• Assisting the neighbouring country Bhutan in the development of the hydro power
potential for mutual benefits.
No clearance of the Ministry of Power or CEA is needed for setting up generation
stations except in the case of Hydro Electric Schemes where in the Central Electricity
Authority accords concurrence under section 8 of the Electricity Act, 2003 to Hydro
Electric schemes submitted to it involving capital expenditure exceeding the limits fixed
by the Government from time to time. The concurrence of a Hydro Electric Scheme
involves different formations in Central Electricity Authority (CEA), Central Water
Commission (CWC), Geological Survey of India (GSI), Ministry of Water Resources
(MOWR), Central Soil and Materials Research Station (CSMRS), concerned State
Government and Project Developer during the appraisal process of the Detailed Project
Report of the Hydro Electric Project. For this purpose, CEA has already established a
‘Single Window Clearance' system under the office of Secretary CEA.
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Mumbai City anchor: Architects, engineers present ‘corrupt’ picture of civic
officials
Indian Express
April 25, 2013
Greedy civic officials, lack of services despite huge payments, extortion by politicians and
RTI activists, and a deaf administration — these were a few of the issues raised by a
forum of architects and engineers associated with BMC at a meeting Monday to address
concerns over bureaucratic hurdles and delays in approvals for building projects.
More than 2,800 members of the Practicing Engineers Architects and Town Planners
Associations (PEATA) have now planned to approach Chief Minister Prithviraj Chavan to
complain about the lacunae in the system. According to PEATA's estimates, over 800
proposals have been delayed by BMC over the past six months, whereas a file should be
approved within 60 days as per BMC rules.
At a seminar organised to discuss alternatives to expedite approval mechanism, these
architects, engineers and urban planners were critical of the existing mechanism to seek
approval for residential and commercial projects. From pleading for lost building
proposal files, 'begging' for concessions and reluctantly surrendering to BMC agents,
architects have to face a harrowing ordeal to get approvals, said Shirish Sukhatme,
president of PEATA.
Hinting at how the long and burdensome process, which often includes greasing a few
palms, is ultimately burdening the end customer, PEATA's members discussed the lack
of accountability in the civic administration.
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"The civic administration delays every proposal by over six months on an average, which
affects construction projects. In addition to lack of professionalism amongst BMC
officials, there is no accountability of the work which they have to accomplish, giving
them a free hand to approve or disapprove proposals," said another architect.
PEATA's grievances include civic administration sleeping over files, barter of
discretionary powers, threat of action and stop-work notices, puzzling overlapping
conditions, multiple NOCs, new circulars and policies announced every day, long waits
outside cabins of officials, high premium deposits and fees and accountability.
"Each BMC department, including building proposal, fire, traffic, solid waste
management and development planning, takes months to process files," said Pravin
Kanekar, convener and former president of PEATA.
The forum has suggested a single window clearance system. "When BMC is paid crores
in fungible FSI premium and other fees related to approvals, at least one can hope for a
clear, transparent and quick approval system for housing and commercial projects," said
Sukhatme.
The civic administration has raked in more than Rs 1,000 crore as premium from
developers seeking to utilise 35 per cent extra floor space index (FSI) for residential
projects. The premium, termed as "fungible FSI" in the construction lobby, is expected to
become the third largest fund raiser for the civic body.
The new Development Control Rules, which allow for fungible FSI, were implemented by
BMC more than a year ago. The policy, which curtails the municipal commissioner's
discretionary powers to grant building concessions to developers, was aimed at making
the building approval system more transparent.
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