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ALSTOM T&D India will supply its world-leading energy management system to Power Grid Corporation of India

11/11/2013 | 04:07am US/Eastern Recommend:

Alstom T&D India will help monitor and control India's electricity supply network with two contracts worth 1 billion INR (12.5 million) awarded by Power Grid Corporation of India (POWERGRID). Alstom will supply its world-leading energy management system (EMS) to enable reliable, secure and efficient operation of the electric power system. The scope of the two contracts covers EMS packages for India's Southern[1] and Western[2] Regional Load Dispatch Centres (SRLDC and WRLDC). The growth in India's electrical grid capacity requires the upgrade to both 765 kV AC transmission and High Voltage Direct Current (HVDC) transmission for bulk power transfer. These technologies need to be backed up by equally advanced energy management software. Alstom's EMS ensures overall reliability of the electric power system, through state-of-the-art user interface and situational awareness capacities. It is anticipated that this will enable POWERGRID operators to make fast decisions using advanced visualisation, information storage and retrieval tools. Rathin Basu, Managing Director, Alstom T&D India Limited, said "Since 2002, Alstom has been a pioneer in bringing in smart technology to India's transmission grid. It has supplied equipment to India's three out of five Regional Load Dispatch Centres and to the National Load Dispatch Centre. This second wave of upgrades for the regional centres will significantly improve the operational efficiency and increase power flow across the Indian grid, particularly after the integration of Southern grid into the national grid (expected in 2014). This success, once again, confirms Alstom T&D India's leadership in the Smart Grid domain". Alstom is the world's leading provider of energy management systems and its technologies manage more than 70% of the power flow in India's electrical grid. Its eterraplatform technology runs 10 out of 14 of the world's largest Power Grid Operators, including PGCIL. The latest contracts follow a 1.9 Billion INR order last year for the National Transmission Asset Management Centre Project, which is currently under implementation. The project will support PGCIL in the management and control of 192 substations from nine regional and one national asset management centre. About Alstom Alstom is a global leader in the world of power generation, power transmission and rail infrastructure and sets the benchmark for innovative and environmentally friendly technologies. Alstom builds the fastest train and the highest capacity automated metro in the world, provides turnkey integrated power plant solutions and associated services for a wide variety of energy sources, including hydro, nuclear, gas, coal and wind, and it offers a wide range of solutions for power transmission, with a focus on smart grids. The

Group employs 93,000 people in around 100 countries. It had sales of over 20 billion and booked close to 24 billion in orders in 2012/13. Alstom T&D India (globally known as Alstom Grid), is a market leader in the Indian power transmission sector. It has over 100 years of expertise in building the transmission infrastructure for the country. Alstom has a strong portfolio of products, solutions and services, comprising the entire range of transmission equipment up to Extra and Ultra High Voltages (765 kV and beyond) including air-insulated switchgear (AIS) and locally manufactured power transformers and gas-insulated switchgear (GIS). It also provides power electronics solutions (HVDC, FACTS) to create super highways and offers highly advanced power management Smart Grid solutions for transmission and distribution including renewable energies integration. With over 3,500 employees and eight world class manufacturing units, Alstom T&D India is future ready to support the rapidly evolving transmission sector in India. Press Contacts (Alstom India) Aparna Srivastava +91 9560646622 / aparna.srivastava@alstom.com Website www.alstom.com/India [1] Southern Region Load Dispatch System includes Andhra Pradesh, Puducherry, Kerala and POSOCO [2] Western Region Load Dispatch System includes Madhya Pradesh, Gujarat, Chhattisgarh, Goa, Daman, Diu and Dadar Nagar Haveli

Grassroots Governance

Devolution of Powers and The Panchayats


Despite many well thought-out, detailed guidelines and advisories, and messages from none other than the Prime Minister, the pace of devolution of powers to the panchayats has been slow and patchy, says Sudha Pillai

The Constitution 73rd Amendment Act, which came into effect on 23 April, 1993, created a three-tier structure of Panchayati Raj. The Act provided for mandatory conduct of panchayat elections to the three tiers district, intermediate and village every five years, the setting up of a State Election Commission, a State Finance Commission and reservation of not less than one-third of the elective seats of members and chairpersons for women, and for SC and ST persons in each district in proportion to their population. The Constitution, moreover, provided for devolution of powers upon panchayats. Article 243 G of the Constitution provides as under: A 243 G powers, authority and responsibilities of panchayats Subject to the provisions of the Constitution, the legislature of a State may, by law endow the panchayats with such powers and authority as may be necessary to enable them to function as institutions of self government and such law may contain provisions for the devolution of powers and responsibility upon panchayats, at the appropriate level, subject to such conditions as may be specified therein, with respect to (a) the preparation of plans for economic development and social justice, and (b) the implementation of schemes for economic development and social justice as may be entrusted to them, including those in relation to matters listed in the Eleventh Schedule. According to the Expert Committee on Leveraging Panchayats for Efficient Delivery of Goods and Services, headed by Mani Shankar Aiyar, which gave its report in April 2013, Article 243 G calls for Panchayats to be endowed with the required power and authority function as institutions of self government for planning and execution of economic development and social justice, pertaining to the 29 subjects listed in schedule XI, whether in respect of devolution to PRIs through Central Government schemes, or through devolution to the PRIs through State Governments. The provision relating to grassroots planning contained in Article 243 ZD, is to be read with Article 243 G. Twenty years down the line, many things have changed. The subject of Panchayati Raj was dealt with by a division in the Ministry of Rural Development till mid-2004. The earlier years saw focus on the implementation of certain provisions, such as conduct of elections under the 73rd Amendment as well as the Panchayats Extension to Scheduled Areas Act, which was passed in December 1996. Even during those early years, the Central Government was mindful of the need for grassroots planning as well as devolution of powers and functions under Article 243 G. It was equally clear that the spirit of the law envisaged empowered panchayats and vibrant Gram

Sabhas. It was also equally clear that empowerment would result not only from a generalised devolution from State governments, but that this devolution would work only if there was clarity of roles among the three tiers. Further, the devolution would work only if matching funds and functionaries were also made available to panchayats. The Model Panchayati Raj Act and Activity Mapping Exercises, undertaken through these years, were aimed at making possible operationalisation of Article 243 G and Article 243 ZD. The subsequent transfer of Article 243 ZD to the remit of the newly created Ministry of Panchayati Raj was expected to stitch together planning and implementation roles of panchayats. During these years, several advisories and what Mani Shankar Aiyar calls, unambiguous orders at the highest level to institutionalise Panchayat Raj systems, have not really led to the embedding of grassroots planning in the annual or five-year plans of Centre/States, nor have the panchayats been significantly vested with powers as contemplated under Article 243 G. Panchayat elections are being held, though some States manage to put them off for a year or two. Panchayat elections could be held in Jharkhand only 12 years after the creation of the State. By and large, provisions relating to reservation and Gram Sabha meetings, have been complied with. However, we have to come back to Article 243 G, which, to quote Mani Shankar Aiyar (MSA) once again, is the operative core of the 73rd Amendment. Both, the State governments and central ministries have been very slow to take note of these provisions. It has been suggested that the use of the word may in Article 243 G implies that there is no mandatory requirement to devolve powers and functions. Shortly after he took over as Minister for Panchayati Raj, Mani Shankar Aiyar embarked on a series of round table conferences with State governments to discuss each and every issue pertaining to the 73rd Amendment. The very first round table, held in July 2004, pertained to Effective Devolution of Functions. The relevant resolutions which were the outcome of the joint exercise, stated that the essential step was the identification of activities related to the devolved functions, with the view to attribute each of these activities to the appropriate tier of the three-tier system; that, to the extent possible, there should be no overlapping; and, the principle of subsidiarity must guide this exercise. States were called upon to complete activity mapping within the fiscal 2004-05. The Union Ministry of Panchayat Raj even offered technical advice on demand. Most importantly, the resolution called upon the State governments to ensure a measure of irrevocability of devolved functions by routing devolution through legislative measures, or alternatively providing a strong legislative framework for devolution through executive orders. The resolutions, similarly, covered effective devolution of functionaries in consonance with activity mapping of functions and also reconceiving the DRDAs. Resolutions pertaining to finances called for the preparation of a road-map by end of fiscal 2005-06 comprising inter alia the inclusion of PRI component in the budget of each State/Central Government department, based on activity mapping, provision of progressively larger untied grants from the Planning Commission to PRIs, setting a timeframe for submission of State Finance Commission Reports, and action on these recommendations/ATRs. The resolutions also called for steps to encourage panchayats to raise their own resources. Finally, this round table called for certain specific steps for empowerment of Gram Sabhas as contemplated under Article 243 A. In November 2004, the Cabinet Secretary also issued a letter to all ministries operating Centrally Sponsored Schemes (CSS) to reflect in their respective schemes, the import of Constitutional provisions in letter and spirit. This exercise was to be completed, in consultation with the Ministry of PR, within two months. In January 2009, an advisory was issued by Secretary PR to chief secretaries of States. The scope and content of this advisory is so exceptional that had the State governments acted on in and put the systems in place by the stipulated date of 1 April 2009, the last four years would have represented the golden age of decentralised governance, characterised by grassroots

participation, transparency and accountability. As for planning, there is similarly, no dearth of guidelines and advisories. In August 2006, the Planning Commission had issued guidelines for the preparation of the district plans and their incorporation into the 11th Plan and Annual Plan 2007-08. Some States, notably Kerala, issued detailed guidelines on planning. The Kerala example has been periodically made available to other States, specially with regard to participatory planning exercise at the level of Gram Panchayats. However, despite these well thought-out and detailed guidelines/advisories and messages from none other than the Prime Minister, the pace of devolution has been slow and patchy. The Indian Institute of Public Administration (IIPA) brought out a publication earlier this year on Panchayat Devolution Index 2012-13, relating to the implementation of the Operative Core devolution of funds, functions and functionaries. According to this Devolution Index, certain States have done better than others. Maharashtra, Karnataka, Kerala, Rajasthan, Tamil Nadu, West Bengal, Madhya Pradesh, Chhattisgarh, Haryana, Gujarat, Odisha, Tripura, Uttrakhand and Sikkim are above average in the Devolution Index. Uttar Pradesh, Assam and Himachal Pradesh are at midpoint. States such as Goa, Punjab and Bihar show a very low level of devolution. In the devolution of functions, Karnataka tops the list while Maharashtra occupies overall the first position and also the first position with regard to the devolution of finances and functionaries. Kerala occupies overall the third position, but is at number four with regard to devolution of functions. It is Rajasthan which is at number three with regard to this parameter. Since Karnataka, Maharashtra and Kerala are certainly leading the States, it is important to analyse their profile with regard to devolution of funds, functions and functionaries. Maharashtra: The State leads in the overall Index. The State government has regularly constituted SFCs, taken steps to facilitate IT-enabled e-governance, and has empowered panchayats to levy taxes. As many as 102 schemes of 11 key departments stand transferred to panchayats along with approximately 16,000 personnel. The downside is that with regard to the 11 subjects transferred, the devolution is not complete. Moreover, the subjects with regard to which no devolution has taken place, are critical to the working of panchayats. Given the size of Maharashtra, the number of functionaries transferred to panchayats is inadequate. In the tribal districts, staff situation, both in terms of inadequacy of sanctioned posts and vacancy position, is much worse than elsewhere. Accountability to panchayats is not embedded into the system. Zila Parishad recruits officials at class III and IV levels, while staff to higher positions is provided by the State government.The most serious problem is that of one gram sevak being in change of more than one Gram Panchayat. Multi-village Gram Panchayats are also another facet of this problem which leads to lack of accountability. Karnataka: The IIPA Devolution Index places Karnataka overall at the number two position. The State is number one in the devolution of functions, number two in the devolution of finances, and number three in the devolution of functionaries. Specific functions have been spelt out in Karnataka PR Act 1993. Further, empowerment and independence has been ensured by the Activity Mapping Framework issued in 2003. However, there are areas of ambiguity. Moreover, with regard to subjects such as agriculture, animal husbandry and dairy, power and general education, the scope of functions is very limited.

Kerala: The State is number three in the Devolution Index, but in many ways it has demonstrated greater compliance with the 73rd Amendment. Most of the provisions of the Model Act have been reflected in the State Panchayat Raj Act, with only a few notable exceptions for example, the making of a panchayat disaster management plan. Devolution has been spelt in respect of 17 functions. However, as in other leading States, the number of functionaries is not adequate relative to the functions. This places the available staff under great pressure. State Finance Commissions are appointed on time and with due regularity. Funds for panchayats comprise one-third of the State Plan and are shown in the State Plan. The eco-system is more pro-Panchayati Raj on the 73rd Amendment paradigm. However, Gram Sabhas are mostly platforms for identification of beneficiaries. Maintenance of accounts and their audit, greater functional role for members of panchayats, improved functioning of statutory committees which will draw into these members and give a greater say to women and SC/ST members, are reforms that Kerala can contemplate. There is need for more and better trained staff to provide for greater financial and functional efficiency. The there is need also for some formal provisions of rules for social audit. If we now look at some other States such as Odisha, Chhattisgarh, and Gujarat, which are above the mean in the Devolution Index, we find that in Odisha, the law does provide for entrusting the panchayat with 21 matters out of 29 matters listed in the XI Schedule and Activity Mapping has also been done. Orders were issued in October 2005. In fact, Activity Mapping clearly sets down the list of functionaries and the panchayat to whom they are accountable. However, none of the 11 departments concerned have operationalised these orders. Only with regard to drinking water and sanitation are the Gram Panchayats directly involved. At the intermediate and district panchayat level, almost all activities are carried out by the line departments and functionaries are mostly under the control of the administrative department. On paper, however, they are accountable to panchayat with regard to finances, the revenue base of Gram Panchayats is rather poor though the kendu leaf grant constitutes a major source a revenue. The overall budgetary allocation for panchayats is low. In Chhattisgarh, there was a reverse movement in the first 10 years after the formation of the State. Now, however, the state has shown a renewed commitment to devolution. An activity mapping documents that the role of panchayast is limited to schemes such as MGNREGA, though under PDS panchayats are playing an increasingly important role. Finally, bulk of the money available to PRIs is from the Central Finance Commission grants and centrally sponsored schemes. In Gujarat, after several top-level initiatives and activity mapping exercises, it was decided that 14 subjects would be fully devolved and five would be partly devolved. Notable among the 14 devolved functions are agriculture, rural housing, road, poverty eradication programmes and health. Among the partly devolved functions, primary and secondary education are the most important. Lack of accountability of staff to panchayats and lack of funds characterise the present situation with regard to panchayats, even though in many respects the State Government has taken innovative steps and computerisation of Gram Panchayats has certainly been a pioneering and empowering step. In some States, however, even formal activity mapping has not been done. Devolution in these States is at an elementary or rudimentary level. The Expert Committee has, in fact, come to the conclusion that nothing would incentivise full-scope activity mapping by the States as activity mapping through CSS. Once CSS scheme guideline are brought in line with the Constitutional imperative, it would automatically create the framework within which States

would find it practical and feasible to devolve state schemes to PRIs. The Expert Committee refers to the 2008 report of Secretary Coordination and Performance Management Cabinet Secretariat and Secretary (PR), titled Modifying the Guidelines of Centrally Sponsored Schemes for Identifying a Domain for Panchayati Raj Institutions. In its essence, the report recommends that CSS guidelines be substantially modified to provide centrality to elected rural local bodies with a new initiative to enhancing coverage and outreach. These recommendations, as also the latest advisory of the Planning Commission of 1 April 2009, have remained on paper. In the meantime, CSSs continue to be implemented through parallel bodies which emerge as competing power centres. These send a strong anti-panchayat messages that neutralise all the advisories and limit the impact of the schemes of the Ministry of Panchayati Raj. It is not strange, therefore, that only a handful of States put their weight behind Article 243 G. This brings us to the toughest question that we must confront. Does Article 243 G as it is presently worded, really create a legal and Constitutional imperative to devolve powers upon panchayats? Should it have been worded differently and should there be a panchayats list in the same manner as there are Central, State and Concurrent lists? The existence of the State list has not prevented formulation of CSSs so a panchayat list will not really make things too rigid. But it might give panchayats what they really need a place in Indias federal polity. Sudha Pillai is Distinguished Fellow, SKOCH Development Foundation

Draft guidelines on hydel projects local area fund issued


SUMIT KUMAR November 13th, 2013 0

The Mumbai power ministry has issued guidelines on the local area development fund (LADF) of central hydroelectric projects, in order to meet the infrastructure and development needs of local population. As envisaged in the National Hydro Power Policy 2008, an additional one per cent free power from the project would be provided and earmarked for LADF. The host state governments would also provide a matching one per cent from their share of 12 per cent free power towards this corpus. These guidelines will be applicable to all central hydro-electric projects whose power allocation orders have been issued after August 31, 2008. The ministry has sought comments and suggestions from all stake holders. According to the draft guidelines, the amount received from the sale of one per cent additional free power by the project developer will be allotted by the local area development committee (LADC) in the form of cash transfer to all families of the project affected area (PAA), every year, during the entire life span of the project. Cash transfer to the beneficiaries under the scheme be carried out only by electronic transfer of funds from the bank account of the LADF to the bank account of the beneficiaries. The works to be taken up in the PAA and project affected zone will be only on the basis of the recommendations of

the concerned gram panchayat, block and district level local bodies.

Draft guidelines on hydel projects' local area fund issued


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The Mumbai power ministry has issued guidelines on the local area development fund (LADF) of central hydro-electric projects, in order to meet the infrastructure and development needs of local population. As envisaged in the National Hydro Power Policy 2008, an additional one per cent free power from the project would be provided and earmarked for LADF. The host state

governments would also provide a matching one per cent from their share of 12 per cent free power towards this corpus. These guidelines will be applicable to all central hydro-electric projects whose power allocation orders have been issued after August 31, 2008. The ministry has sought comments and suggestions from all stake holders. According to the draft guidelines, the amount received from the sale of one per cent additional free power by the project developer will be allotted by the local area development committee (LADC) in the form of cash transfer to all families of the project affected area (PAA), every year, during the entire life span of the project. Cash transfer to the beneficiaries under the scheme be carried out only by electronic transfer of funds from the bank account of the LADF to the bank account of the beneficiaries. The works to be taken up in the PAA and project affected zone will be only on the basis of the recommendations of the concerned gram panchayat, block and district level local bodies. The revenue to be deposited in the LADF for a project for a particular year would be based upon the annual tariff fixed by the power regulator. The contribution into LADF would be made annually by the state government and project developer. The LADF would be available in the form of an annuity over the entire life of the project. Former power secretary R V Shahi told Business Standard: With these guidelines, one could expect more seriousness on the part of state level implementing agencies. When the policy of 12 per cent free power to the concerned states was made, its implementation review indicated most of the states have hardly spent any amount for the local as well as state level infrastructure and welfare development activities. This was the single-most responsible factor contributing to the lack of confidence among people for hydro-electric projects. Therefore, one per cent additional power was added in 2005 exclusively for local area. A state-level committee headed by secretary (energy) will monitor the operation of the LADF. Further, the LADF will be administered by LADC, which will be constituted for each project separately. All these LADCs constituted within the district will function under the overall superintendence and control of the district magistrate. There will be four categories of families in the PAA: fully-affected families; partially affected families; below-poverty-line families among non-projected affected families; and above-poverty-line families among non-projected affected families.

Energy & Power 12 Nov, 2013 17:13 IST India Inc. Moots PPP For Coal Sector Coal remains mainstay in energys back-bone with over 57% share in power generation Moyna

ONGC's Flat Profit Worries As Growth Financing Eyed Government May Allow Doubling Of KG-D6 Gas Price SC Dismisses Essar Oil's Plea On Tax Dues Indian industry is seeking increased public private partnerships (PPP) for re-energising domestic coal production and wants the government to find ways to meet the current and future demand for coal, instead of delving in the past. The demand comes at a time when coal availability and India's energy security has been very uncertain since the unearthing of the coal scam close to two years ago. An industry sponsored knowledge paper, released at an event organised by apex association Ficci on Monday, 11 November, emphasised the need for PPP model in coal mining and production, and called for the use of inland waterways for transportation of coal. Additional fuel rakes for freight transportation and expeditious land and environmental clearances were also sought.

Speaking on the occasion, SK Srivastava, secretary, Ministry of Coal, said that the main factors not taken into account when blaming coal production in India. According to him, the high population density of the country and the fact that majority of the coal reserves, limited to 7-8 states, are located under forest cover or populated areas are the real reasons why India fails to utilise its ample reserves. Given the limitations in the sector the real question is about our ability to extract any coal at all, he said. Srivastava claimed that the government is working on all the suggestions made by the industry. Dedicated rail-lines from coal production to consumption centres in order to avoid supply chain inefficiencies related to coal transportation was another demand which is considered seriously. In FY2013 cumulative coal production was 575.71 million tons - an increase of 7.4 per cent but against the projected demand of around 770 million tons, implies power producers will need to import coal over 130 million tons this year. Though growth is much better than the nominal 2-3 per cent growth over previous years it is way below the requirement. It is expected that aggregate coal demand is will increase to 980 million tons in 2017 and coupled with oil imports and other essential commodities, further increase in coal imports will put strain on the exchequer. The recommendations assume greater significance as coal is and will continue to remain the mainstay in Indian energys back-bone with over 57 per cent share in power generation. The largest coal consumer remains the power sector at 74 per cent followed by steel and cement at a combined share of 11 per cent. The paper points out the need for India to look at a long term strategy and pointing out the time taken from the initial geological surveys to commencement of production in a coal block is typically around 10 years as opposed to between 6-7 years internationally. These long cycles discourage private sector investment and increase the risk considerably for everyone involved, said S. Ravishankar, Director Metis Energy Consulting. While cautioning against drawing parallels with international coal scenarios Srivastava suggested increased coal production in the near future. He said MoC in consultation with Coal India, ministry of finance and Ministry of Environment is working on four aspects of coal mining environmental clearance, land acquisition, evacuation and extraction.

The discrepancies of coal block allocation were brought to light following the CAG report which in turn prompted the ongoing CBI investigations. Ever since India Inc feels coal - mainstay of India's energy - has become a hot potato with no official willing to sanction clearances or allocate new blocks. The scam and subsequent ban on mining as well as de-allocation of blocks had damaged businesses across the board. The Ficci conference was meant to address the concerns surrounding the sector. The knowledge paper released at the event was produced in collaboration with Metis Energy Consulting. mmatbworld@gmail.com - See more at: http://www.businessworld.in/news/business/energy-andpower/india-inc-moots-ppp-for-coal-sector/1149497/page1.html#sthash.ebV3XpQF.dpuf

Indian sponge iron industry loses steam as problems multiply 374 times viewed. Saturday, 09 Nov 2013

India has the rare distinction of being global leader in DRI production acquired primarily on account of bountiful iron ore reserves and unregulated production and environmental norms. However it is economy of production which guides the quest for volume. Steel production through sponge iron route is not only cheaper but even the set up cost of new plant is low on investment with relatively shorter gestation period. India is plush with critical raw materials viz., thermal coal and iron ore. Not surprisingly when the developed nations are switching over to more eco -friendly production process, Indian steel producers have found a safe haven in the mineral rich regions of Chattishgarh, Orissa and Karnataka. Propelled by the whirlwind of hiked GDP growth and insatiable demand by an emerging economy in infrastructure, construction and consumer durables DRI production touched 27.56 million tonnes in 2011 accounting for 43.4% of global production. In a way India was China in sponge iron production. However ever since the sheen has been lost with production slumping to 19.799 in 2012, accounting for 35.7% of global production and in 2013 till September the production has been only 13.931 million tonnes expected to end at 18.617 million tonne for about 29% of global production. The gradual climb down is a natural outcome of acute mess prevalent in the iron ore mining over the last 2 years. Marked by severe clampdown on iron ore mining and unending legalities iron ore production has slumped by 35% over the last 2 years from 207 million tonnes in 2010-11 to merely 135 million tonne in 2012-13 and expected to below 100 million tonne 2013-14. With no resolution in site of the mining issues in site as the CEC and the Supreme Court toil to put full proof mechanism in place shortage is likely to continue for some more time.

Thermal coal is another critical output in DRI production. Despite abundant reserves Coal Indian Ltd has been struggling to meet requirements of the power sector. As a result Sponge iron industry has been relegated to non-priority level with allocated volumes getting transferred to power generation. Import is an expensive option which will decimate margins by bloating cost in an already down market for finished steel. A plethora of historical problems remain alive viz 1. Non availability of hard iron ore lump, 2. High cost of natural Gas 3. Absence of good scrap Multiplicity of problems has taken toll of the capacity utilization which has dropped by 8% from 58.22% to 50.05% from 2011 to 2012. In the backdrop of unending list of problems faced by the sector the drop in production seems a natural outcome and it wont be long when the sector has painful demise lest concerted policy measures are enunciated in time. Some immediate thrust areas would be: 1. Resumption of mining in Karnataka where move already afoot to expedite production from category A & B mines. 2. Karnataka is expected to produce about 20-22 million tonnes of iron ore by February 2014 and touch 25 million tonne by end 2014. 3. Setting up of pellet plants to alleviate shortage of lump 4. Earmarking of thermal coal by signing stringent Fuel Supply Agreement (FSA) with Coal India 5. Setting up of Coal gasification units to replace natural gas for the production of synthesis gas. 6. Reduction in import duty on iron ore import Source - Strategic Research Institute (www.steelguru.com)

IT's Power Play: Lalit Jalan o Shweta Rao 13.11.2013 kl 01:12 | CIO India Be it steering the transformation of a conventional distribution company (discom) or championing the cause of electricity privatization, Lalit Jalan, CEO, Reliance Infrastructure, has always taken the road less traveled. Be it steering the transformation of a conventional distribution company (discom) or championing the cause of electricity privatization, Lalit Jalan, CEO, Reliance Infrastructure, has always taken the road less traveled. Today, the 56-year-old has fueled the metamorphosis of an erstwhile public electricity distribution company, BSES, to India's largest power utility in the private sector. In this interview, Jalan shares how IT is helping Reliance Infrastructure (RInfra) create new benchmarks and gain competitive edge. CIO: You transformed a large PSU to a mammoth private company. Was the transition smooth? Lalit Jalan: Taking over BSES in 2003, marked the beginning of an exciting and transformational journey. But becoming one of India's largest infrastructure companies wasn't a cakewalk. BSES was a reputed utility company and came with a sizeable experience in the power generation sector. The Electricity Act 2003 opened the power sector to private players. But, Reliance also had in-house domain expertise as well as sound financial strength--with strong management and project execution skills--to drive the company. And we were prepared to face resistance in the process. We broke our journey into three parts. First, BSES Mumbai changed to Reliance Energy. This meant transforming a conventional discom to a technologically sturdy and world-class utility. We then revamped BSES Delhi from a deep-in-debt power discom to a symbol of hope for electricity privatization. Reliance Energy then metamorphosed into Reliance Infrastructure, marking the final stages of an electricity utility evolving into a mega-player in the infrastructure sector, as well as the power sector.

If we had to transform from powering India to enabling India, we had to fuel the acceptance of change. Our main focus lay in adopting the most advanced technologies and to develop and rise as an IT-driven organization. This has always given Reliance Infrastructure an edge over its competitors. CIO: You said you were prepared to face resistance. How did you manage? Lalit Jalan: The most critical aspect of transforming public utilities is to ensure employee buy-in. We knew that the employees of both BSES and Reliance needed to be taken into confidence even before the transition was initiated. We are a people-intensive business. Our success is based on human resources. So, we highlighted the growth opportunities that the new setup would open up. I believe that employees have a lot of hidden potential and the key lies in understanding this value. We chalked out a roadmap to enhance employee quality and initiated some people development and team building processes. Some of these initiatives touched an entire gamut of employees in the company. Today, these initiatives have grown into a movement engaging over 8,000 employees in 422 programs. What started as a people development and engagement initiative has also resulted in imbibing teamwork and ownership values, and has also promoted innovation. CIO: The power industry is IT-intensive. What role does IT play in your organization? Lalit Jalan: Reliance Infrastructure's robust IT roadmap has helped us pioneer many IT practices in all our verticals. For example, we are the only Indian utility with integrated IT systems. Our network uses real time SCADA or DMS interface with GIS which has improved power quality with a 60 percent reduction in power interruption time. We also have an outage management system which reflects outage areas in GIS and ensures faster complaint resolution.

In fact, thanks to our in-house expertise, RInfra is now an IT consultant and implementation agency under the R-APDRP initiative of the Ministry of Power for several SEBs (state electricity boards). We have also been awarded IT consultancy for Karnataka discoms and SCADA consultancy for Chattisgarh, Haryana, Maharashtra and Bihar. RInfra pioneered the implementation of an enterprise toll management system along with mobile environment monitoring system in the infrastructure business. In the near future, our toll management systems will be integrated with a common mobility card which is being introduced by the Ministry of Urban Development. We have also implemented several initiatives like providing our users with an energy manager, a mobile website, and a multi-stage grievance escalation matrix in our utility business. Consumer-friendly initiatives like these not only simplify CRM processes but also bring customers closer to the organization and help build brand reputation. CIO: What are the key challenges of India's power distribution sector? Lalit Jalan: One of the most critical challenges faced by the power sector in India is the exceptionally high technical and commercial (AT&C) losses, which is prevalent across all distribution utilities. The national average of AT&C losses stands at an astounding 30 percent today. There needs to be relentless focus on productivity enhancement through continuous improvements in systems and processes and the adoption of best industry practices to yield impressive results--like our discoms in both Delhi and Mumbai. Another challenge is to find urgent solutions for the dismal financial health of distribution utilities. Also, the most critical challenge faced by the power sector lies at the distribution end of the generation, transmission and distribution value chain. The deteriorating financial health of discoms has led to inadequate investments in the sector. This, in turn, has led to serious power shortfall, as well as poor quality of supply, which constrains overall economic output. CIO: How can the power sector overcome these challenges? Lalit Jalan:

By taking a leaf out of our book. Take a look at our AT&C numbers, for instance. Today, our Mumbai distribution business reports AT&C losses to the tune of 10 percent as compared to approximately 14 percent in 2003. This is one of the lowest reported figures in AT&C losses across Indian utilities. The privatization of BSES Delhi has also been a remarkable turnaround story where we invested over Rs 6,500 crore in network and technology along with complete overhaul of systems and processes. This has translated into a drastic reduction in AT&C losses from 60 percent before privatization to an average of 18 percent for our Delhi discoms. Also, we have introduced significant reforms in quality and reliability of power supply. In Delhi, daily power cuts of four to five hours have now come down to four to five hours of annual supply interruptions. This means reliability levels in Delhi are now comparable to international benchmarks. And in Mumbai, with our history of providing consistent quality and uninterrupted power to consumers, our reliability levels stand at 99.9 percent. I believe that unless the health of the power sector is restored, it will most definitely derail India's growing economy. Clearly, we have to find a national will towards cost-reflective tariffs. At the same time, the need of the hour is to induct greater efficiencies into distribution utilities by replicating our success story. Keywords: Business Issues

EDITORIALS

Koizumis nuclear power questions

NOV 11, 2013 ARTICLE HISTORY PRINT SHARE While political repercussions continue over former Prime Minister Junichiro Koizumis surprise calls for ending nuclear power generation in Japan, what the once popular leader points out are all sensible and legitimate questions about Japans energy policy that remain unanswered by members of the Abe administration. Any energy policy that fails to squarely answer the questions posed by Koizumi will not have any credibility. Koizumi, who kept largely out of the media spotlight after retiring as lawmaker in 2009, has been speaking out in recent months that Japan should end its reliance on nuclear power. He says the Fukushima nuclear disaster changed his perception of nuclear power as a low-cost and safe source of energy and now says, There is nothing more costly than nuclear power. He urges the government to divert the massive energy and money needed to maintain nuclear power in Japan into more investments in the development and promotion of renewable energy sources. Many of his former Liberal Democratic Party colleagues initially tried to dismiss Koizumi as a retired politician who has nothing to do with the party today. Prime Minister Shinzo Abe, who served in key Cabinet and LDP positions during Koizumis 2001-2006 rule, said it is irresponsible to commit to ending nuclear energy at this point. Meanwhile, hopes have emerged within the opposition camp that an alliance with Koizumi who drew strong popular support while in office on the zero nuclear agenda could provide them with ammunition against the LDPs dominance in the Diet.

The political ripple effects and some criticism over his flip-flop after promoting nuclear power while in office aside, what seems missing in the controversy are discussions on the very real and pressing issues highlighted by Koizumi. He points to poor prospects for finding a permanent storage site for highly radioactive waste after spent fuel is reprocessed. This problem for which Japans nuclear power industry has long been likened to a condominium without a toilet has been set aside since well before the Fukushima crisis. Abe has told the Diet that a technology has been established to store such waste in geological layers deep underground. Koizumi says the problem is that despite the existence of this technology, the government has been unable for more than a decade to find a candidate site anywhere in Japan. And this technology, Koizumi says, might be problematic in this quakeprone country a point that Abe conveniently neglects to mention. Given the safety concerns over nuclear power following the triple meltdowns at the Fukushima plant, it is even more doubtful that a candidate site will ever be found, Koizumi says. Thus radioactive waste will continue to pile up as long as nuclear power plants are operated. Japans nuclear fuel cycle program is at a standstill. Completion of a fuel reprocessing plant in Rokkasho, Aomori Prefecture, has been delayed for years, and the Monju fast-breeder reactor in Tsuruga, Fukui Prefecture, has been idled for much of the time since a sodium leak and fire in 1995. Meanwhile, storage space for spent nuclear fuel from reactors around the country, and in the Rokkasho complex, is nearly 70 percent full. As Koizumi points out, the myth that nuclear power is cheaper than other sources of energy is thrown in doubt when the expenses for siting nuclear plants, their future decommissioning and waste disposal are included. And on top of this there is the massive cost of dealing with the aftermath of the Fukushima No. 1 meltdowns, including compensation, which far exceeds the financial capacity of its operator, Tokyo Electric Power Co. This is necessitating the injection of a huge amount of taxpayer money. Abes rebuttal is that increased fossil fuel imports for thermal power generation to make up for the nuclear plant shutdowns is costing the nation trillions of yen a year. But his rhetoric does not answer the question whether nuclear power is really the affordable source of energy as it has long been touted to be by the government especially after the costs of

compensation and decontamination in the wake of the Fukushima nuclear crisis are taken into account. Abe has vowed to scrap the nuclear phaseout policy of the Democratic Party of Japan-led administration that his LDP ousted from power last year. But the prime minister has yet to present a new vision for the nations energy policy except to say that he would reduce as much as possible Japans reliance on nuclear power while maximizing energy-saving efforts and development of alternative energy. While the future of Japans energy policy remains elusive and the Fukushima nuclear crisis is continuing, Abe has been pushing for the sale of Japanese nuclear power plant technology overseas as part of his bid to boost infrastructure exports. When Mitsubishi Heavy Industries and Frances Areva clinched a joint-venture deal in October to build a nuclear power plant with four advanced reactors in Turkey, Abe said Japan is responsible for helping improve the safety of atomic power in the world by sharing the experience and lessons from the disaster at the Fukushima plant whose situation he has described as under control. At home the Abe administration and the LDP are pushing for the restart of some idled nuclear reactors once they have cleared a new set of safety criteria, even though radiation-contaminated water continues to leak from the Fukushima compound nearly 2 years after the meltdowns. Abe should lay out a new energy vision that will fully address the doubts about nuclear power raised by Koizumi. His legitimate concerns are likely shared by a large part of the public a majority of whom, according to media surveys, oppose restart of the idled nuclear reactors. As Koizumi says, only Japans political leaders can set the direction for the nations energy policy. The Abe administration has an obligation to choose a path that ensures Japan will not have to contend with another nuclear power plant disaster in the future.

L&T Construction wins Rs 2309 cr orders

Engineering major L&T Construction on Thursday said it has won new orders worth ` 2309 crores across various business segments in October and November 2013.
The Transportation Infrastructure Business has secured a major order worth ` 694 crores from Kannur International Airport Limited for construction of a greenfield airports air side works near Kannur city in Kerala.

The scope includes design, engineering and construction of earth work and pavements for runway, basic strips, turning pads, taxiways, apron, access roads, drainage system, related retaining structures, formation platform for landside facilities along with airfield ground lighting system, visual aids for navigation and bird hazard reduction system. This order adds one more feather to the companys International airport construction expertise, matching global standards in line with Bangalore, Hyderabad, Delhi and Mumbai International airports. In Power Transmission & Distribution Business, new orders valued ` 738 crores have been received. This includes an order worth USD 72 Million (` 447 Crs) received by L&T Oman LLC, a subsidiary of Larsen & Toubro Limited in Oman, from Oman Electricity Transmission Company. The project is to be completed in 20 months and involves engineering, procurement and construction of two nos. 132/33 kV grid stations along with its 132 kV D/C overhead line and cabling works in Muscat Governorate, Sultanate of Oman. This project was won by L&T Oman against stiff international competition. A turnkey order has also been received from Power Grid Corporation of India Limited for construction of a 400 kV D/C transmission line under transmission system associated with Mauda Stage 2 (2 x 660 MW) generation project and two 220 kV D/C transmission line at Dadra & Nagar Haveli. Another order has been received from Karnataka Power Transmission Corporation Limited for construction of 220 kV D/C Transmission line from Gadag to Bagalkot district in Karnataka on total turnkey basis. The Buildings & Factories Business has secured an order worth ` 504 crores. The order is from an esteemed customer for construction of 15 Nos. residential towers on design and build model in Bangalore.
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Manager / Senior Manager - Commercial


Perfect Peoples - New Delhi, Delhi
Skills: CEA, ERCs, MoP, PGCIL, Electricity, Act, Grid , Tariff, ABT, PPA, security, cess, Govt, Buyers, taxes, Account, sale, UI, short, term, PPA, Verification, Energy, Account, billing, PPA, plan, UI

Development of plan & strategy to meet obligations under long term PPA. Development of plans & strategies for realization of optimum revenues from short-term

Read More Skills: CEA, ERCs, MoP, PGCIL, Electricity, Act, Grid , Tariff, ABT, PPA, security, cess, Govt, Buyers, taxes, Account, sale, UI, short, term, PPA, Verification, Energy, Account, billing, PPA, plan, UI

Development of plan & strategy to meet obligations under long term PPA. Development of plans & strategies for realization of optimum revenues from short-term & long term power sale through UI, power exchange etc. Verification of Energy Account, billing and monitoring of revenue realization. Monitoring of payment security mechanisms Recovery of cess, taxes and duties paid to Govt. from Buyers Co-ordination with O&M team to comply with ABT mechanism and avoid penalties UI Account and LDC Transactions - Coordination with Load Dispatch Center for realization and reconciliation. PGCIL transmission charges bills verification and payments Keep updated and comply with regulations related to Electricity Act, Grid Code, Open Access, Tariff Guidelines, ABT etc. Relationship management with Buyers, Government Bodies like CEA, ERCs, MoP, PGCIL etc.

Markets back in green, Nifty above 6,000; banks lose


ECONOMICTIMES.COM Nov 13, 2013, 11.45AM IST

MUMBAI: The Nifty, after briefly slipping below 6,000 for the first time since since October 8, is moving in a narrow range with positive bias. Losses in banks, capital goods and realty sectors were offset by gains in pharmaceuticals, auto and power sectors. Meanwhile, the rupee continued with its fall against the US dollar for sixth straight session. The Indian unit weakened to hit two-month low on concerns that US Fed might begin tapering of easy monetary policy sooner than expected. This resulted in sharp fall in currencies of major emerging markets. Back home, the dollar demand by oil companies, debt outflows and downbeat economic data are putting pressure on the currency. The partially convertible rupee was at 63.64, up seven paise, against its previous close of 63.71. It had slipped to two-month low of 63.88 in early trade. "Rupee is depreciating continuously against the US dollar and is now trading close to 64.00 levels. Yesterday's poor CPI and IIP numbers are seen putting pressure on the rupee. Importers should cover around 63.30-63.20 levels. Exporters can start covering partially near 63.80-64.00 levels," said India Forex Advisors report. Industrial production growth picked up in September but came in below expectations as retail inflationclimbed to double digits in October; strengthening the possibility of a further rise in interest rates to tame prices. Growth in factory output as measured by the Index of Industrial Production (IIP) rose 2 per cent in September, from a year ago. The annual consumer price inflation (CPI) rose to 10.09 per cent in October from 9.84 per cent in a month-ago period. "It seems unlikely to us that the RBI can ignore the CPI inflation numbers, although there will at least be another release before the central bank's next meeting on 18 December. We had already penciled in a 25bp repo rate hike at that meeting and feel more confident about that," said Credit Suisse report. At 11:00 a.m.; the 50-share index was at 6,024.10, up 6.05 points or 0.10 per cent. It touched a high of 6,033 and a low of 5,994.25 in trade today. The S&P BSE Sensex was at 20,334.23, up 52.32 points or 0.26 per cent. It touched a high of 20,345.81 and a low of 20,224.19 in trade today. "Going ahead, economic data in US and India will be in focus as the RBI and US Fed meet in the next month for their respective policy meetings. Fed meeting will be in focus with markets looking at cues on the Fed taper. RBI's actions on interest rate front will also be watched closely. Before that, the results of the elections in the five states will be announced and that will be an important trigger for the market," said Dipen Shah, Head of Private Client Group Research, Kotak Securities.

"At about 14.5x consensus FY15 earnings, valuations are not undemanding. We would recommend a selective approach across sectors. We do like select stocks in sectors like IT, Media and private sector banks. Within beaten-down 'investment-led' sectors, one can look at stocks having attractive valuations, strong balance sheets and ethical management," Shah added. The S&P BSE Midcap Index was up 0.09 per cent and the S&P BSE Smallcap Index edged 0.06 per cent lower. Among the sectoral indices, the S&P BSE Healthcare Index was up 1.03 per cent, the S&P BSE Auto Index was 0.82 per cent higher and the S&P BSE Power Index gained 0.41 per cent. The S&P BSE Bankex was down 0.43 per cent, the S&P BSE Capital Goods Index slipped 0.34 per cent and S&P BSE Realty Index was 0.22 per cent lower. The Nifty gainers included Sun Pharma (up 3.39 per cent), Tata Motors (up 1.93 per cent), BHEL (up 1.55 per cent), Tata Steel (up 1.50 per cent) and M&M (up 1.37 per cent). Sesa Sterlite (2.16 per cent), Asian Paints (1.92 per cent), IDFC (1.56 per cent), L&T (1.13 per cent) and Cipla (1.07 per cent) were among the losers. The market breadth was negative on the NSE with 524 gainers against 597 losers. The foreign institutional investors bought shares worth Rs 347.58 crore while domestic institutional investors were net sellers worth Rs 870.4 crore on Tuesday as per the provisional data from the National Stock Exchange.

Minister rules out construction of nuclear plant


BUSINESS & ECONOMY | NOVEMBER 8, 2013 | 14:43 SOURCE: TANJUG

JAGODINA -- Minister of Energy, Development and Environmental Protection Zorana Mihajlovi says that the construction of a nuclear power plant in Serbia is out of question.

(sxc.hu, stock)

Mihajlovi dismissed the possibility of building a nuclear power plant in Serbia not only for environmental reasons but also because the construction would be extremely expensive. In addition to this, Serbia lacks experts in this field, and the issue of radioactive waste would also come to the forefront, Mihajlovi said in a TV panel discussion held Thursday evening in Jagodina.

"I don't think it would be good to build a nuclear power plant here", the energy minister said.

She said that Serbia refused to participate in the construction of a nuclear plant in Bulgaria. In her opinion, it would be a waste of money, and the funds could be used to build not one, but two hydroelectric power stations.

"Let us make use of what we have and what is more environment-friendly," said Mihajlovi, pointing out that the capacities Serbia plans to build would generate enough electricity, even for export.

The Energy Ministry's priorities are the construction of the 600 MW thermal power plant Stavalj, which will use h igh-quality zeroemission coal, the 600 MW reversible hydroelectric power plant Bistrica, and the Novi Sad thermal power plants, she explained, noting that the plants are expected to employ several thousand people.

Mihajlovi also emphasized that the government will not sell the Electric Power Industry of Serbia (EPS) and the natural gas provider Srbijagas because they can help drive the development of Serbia".

Nuclear Power Plant In Serbia Is Out Of Question Mihajlovic


TANJUG
Find story with similar tags:NUCLEARPLANTPOWERZORANA MIHAJLOVIC

JAGODINA Serbian Minister of Energy, Development and Environmental Protection Zorana Mihajlovic says that the construction of a nuclear power plant in Serbia is out of question.

Zorana Mihajlovic

Mihajlovic dismissed the possibility of building a nuclear power plant in Serbia not only for environmental reasons but also because the construction would be extremely expensive. In addition to this, Serbia lacks experts in this field, and the issue of radioactive waste would also come to the forefront, Mihajlovic said in a TV panel discussion held Thursday evening in Jagodina. I dont think it would be good to build a nuclear power plant here, the energy minister said. She said that Serbia refused to participate in the construction of a nuclear plant in Bulgaria. In her opinion, it would be a waste of money, and the funds could be used to build not one, but two hydroelectric power stations. Let us make use of what we have and what is more environment -friendly, said Mihajlovic, pointing out that the capacities Serbia plans to build would generate enough electricity, even for export. The Energy Ministrys priorities are the construction of the 600 MW thermal power plant Stavalj, which will use high-quality zero-emission coal, the 600 MW reversible hydroelectric power plant Bistrica, and the Novi Sad thermal power plants, she explained, noting that the plants are expected to employ several thousand people. Mihajlovic also emphasized that the government will not sell the Electric Power Industry of Serbia (EPS) and the natural gas provider Srbijagas because they can help drive the development of Serbia.

PFC extends deadline for bidding of Odisha UMPP


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Power Finance Corporation (PFC), the nodal agency for implementingultra mega power projects (UMPPs), has extended the deadline for the first UMPP in Odisha to November 25 from November 11 scheduled earlier. The maiden 4,000 Mw UMPP in the state is coming up at Bhedabahal in Sundargarh district.

The deadline has been extended due to amendments in certain provisions of the Request for Qualification (RFQ). At a recent meeting of the Union power ministry, it was decided to complete bidding and award of projects for the Bhedabahal and Cheyyur (Tamil Nadu) UMPPs by January next year. As per the revised standard bidding documents, the projects would be set up on design, build, finance, operate and transfer (DBFOT) basis. The Odisha Integrated Power Ltd (OIPL), a fully owned subsidiary of Power Finance Corporation (PFC), will conduct the bidding process for selecting the developer for the Odisha project. OIPL has been authorized by the Odisha government to take all necessary decisions to this effect. The decisions will be taken by OIPL in line with the Guidelines for Determination of Tariff by Bidding Process for Procurement of Power by Distribution Licensees issued by the Union power ministry under Electricity Act-2003. State owned power trading firm Gridco Ltd has been appointed as the lead utility among all the utilities that will be allocated power from the Bhedabhal UMPP. Earlier, the government of India had scrapped the initial bids for the project in September, this year since the bids were invited as per the previous standard bidding documents (SBDs). Some big names in the power sector like NTPC, Tata Power, Adani Power, JSW Energy and Jindal Steel & Power Ltd (JSPL) were among 20 companies, which had evinced interest in developing the UMPP. The UMPP needs 3,100 acres of land in all. Odisha would get 1,300 Mw as its share from this project. It may be noted that Meenakshi, Meenakshi-B and Dipside Meenakshi coal blocks have been allotted for the UMPP with a total reserve of 880 million tonnes. Besides Bhedabahal, two more UMPPs are set to come up in Odisha. It has been decided to set up the second UMPP at Bijoypatna in Chandbali tehsil of Bhadrak district and third UMPP at Narla under Kesinga sub-division in Kalahandi district. The sites have been selected after field visits by PFC. Two subsidiaries- Sakhigopal Integrated Power Company Ltd and Ghogarpalli Integrated Power Company Ltd have been formed by PFC for executing these two UMPPs. The second and third UMPPs would contribute 2,000 Mw each to the state grid.

PFC extends deadline for bidding of Odisha UMPP


SUMIT KUMAR

November 13th, 2013

Power Finance Corporation (PFC), the nodal agency for implementing ultra mega power projects (UMPPs), has extended the deadline for the first UMPP in Odisha to November 25 from November 11 scheduled earlier. The maiden 4,000 Mw UMPP in the state is coming up at Bhedabahal in Sundargarh district. The deadline has been extended due to amendments in certain provisions of the Request for Qualification (RFQ). At a recent meeting of the Union power ministry, it was decided to complete bidding and award of projects for the Bhedabahal and Cheyyur (Tamil Nadu) UMPPs by January next year. As per the revised standard bidding documents, the projects would be set up on design, build, finance, operate and transfer (DBFOT) basis. The Odisha Integrated Power Ltd (OIPL), a fully owned subsidiary of Power Finance Corporation (PFC), will conduct the bidding process for selecting the developer for the Odisha project. OIPL has been authorized by the Odisha government to take all necessary decisions to this effect. The decisions will be taken by OIPL in line with the Guidelines for Determination of Tariff by Bidding Process for Procurement of Power by Distribution Licensees issued by the Union power ministry under Electricity Act-2003. State owned power trading firm Gridco Ltd has been appointed as the lead utility among all the utilities that will be allocated power from the Bhedabhal UMPP.

Power demand set to double in Karnataka by 2022


Manu Aiyappa, TNN Nov 12, 2013, 07.52PM IST

BANGALORE: Electricity consumption in Karnataka, which is currently some 63,000 million units annually, is set to double by next decade. Keeping this in view, Karnataka Electricity Regulatory Commission (KERC) has suggested the state government to invest heavily in power generation over the next few years to match the imminent demand. Addressing a seminar jointly organised by Indian Institute of Science and Civic here recently, KERC chairperson M R Sreenivas Murthy said: "The demand for power in the state is expected to touch 1.10 lakh million units annually by 2022. Therefore the government really needs to pull up its socks to meet that demand " He said factors like increasing economic activity, wealth and population, an improved standard of living and infrastructure developments are all expected to underline a continuous increase in demand for power in the next decade. "It is high time the government pulled up their socks and focus on power sector to take the state forward in power generation," he added Keeping in view of the poor response to grievance meets of escoms and meetings seeking objection over power tariff hike by the KERC, Murthy said they have also suggested all escoms to set up power consumer groups in each district of the state and hold frequent meeting with them to get necessary feedback. "Feedback from public is essential for the improvements in power sector. But unfortunately not many people are showing keen interest in giving the suggestions," he added. Bangalore was the first city in India to get electricity. In 1906, the city was electrified with the setting up of a hydroelectric plant in Shivanasamudra. Unfortunately today we just not only lag behind in power generation but also in transmission and distribution compared to other developed states," said Sreenivas Murthy. He also said the Karnataka Electricity Act of 2003 clearly says the escoms are private companies and the government has no control over them but chief minister and energy minister are still part of the board as the chairperson and vice-chairperson respectively.

Power demand set to double in Karnataka by 2022


SUMIT KUMAR November 13th, 2013 0

BANGALORE: Electricity consumption in Karnataka, which is currently some 63,000 million units annually, is set to double by next decade. Keeping this in view, Karnataka Electricity Regulatory Commission (KERC) has suggested the state government to invest heavily in power generation over the next few years to match the imminent demand. Addressing a seminar jointly organised by Indian Institute of Science and Civic here recently, KERC chairperson M R Sreenivas Murthy said: The demand for power in the state is expected to touch 1.10 lakh million units annually by 2022. Therefore the government really needs to pull up its socks to meet that demand He said factors like increasing economic activity, wealth and population, an improved standard of living and infrastructure developments are all expected to underline a continuous increase in demand for power in the next decade. It is high time the government pulled up their socks and focus on power sector to take the state forward in power generation, he added

Power sector fuels modest recovery in factory output


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Consumer durable, capital goods numbers belie green shoots


NEW DELHI, NOV 12: Even as consumer confidence continued to wane, the power and mining sectors helped factory output post a modest recovery in September. Industrial production recorded a growth of 2 per cent in September against a contraction of 0.7 per cent in the same month last year. Industrial production in August was up 0.4 per cent. Expectations had been raised by the strong core sector numbers of September, which had indicated some green shoots. But this hope was belied by the capital goods (heavy machinery) sector remaining in contraction mode, indicating that companies are not investing in new projects or expanding existing facilities. The IIP growth came mainly from the power and mining sectors, while manufacturing was only marginally better.

The consumer durables segment contracted 10.8 per cent in September against contraction of 1.5 per cent last September. For the six months (April-September), this segment declined 10.9 per cent against a growth of 4 per cent during the corresponding previous period. Consumer non-durables, such as soaps and detergent powders, grew over 11 per cent in September against a growth of 1.4 per cent in September 2012. According to experts, with high inflation reducing disposable income, spending on consumer durables was restricted. Industry chambers are, however, disappointed at the latest output numbers. The Confederation of Indian Industry (CII) felt that the modest increase in IIP in September is not reason enough to conclude that industry has turned the corner and is on a recovery path. Assocham said that the number mirrored the prolonged subdued industrial activity in the country. A disaggregated analysis shows that while growth in the capital goods sector is still fragile, there are indications of an upturn in the production of intermediate goods. However, the performance of consumer goods particularly that of consumer durables continues to be a cause for concern as it indicates very poor demand, said Chandrajit Banerjee, Director-General of CII. He, however, hoped that the data for October and November will see some buoyancy owing to demand pick-up during the festival season. Naina Lal Kidwai, President of FICCI, said, The positive growth in manufacturing shows some revival in activity. However, we expect the growth in manufacturing to be subdued in the coming months also as a result of the current slowdown in domestic demand and a lack of investor optimism given the usual uncertainty that builds around elections. Looking at the consistent negative growth in consumer durables, the Government needs to consider reviving demand to stimulate investments, including reduction of interest rates both for consumers and corporates she said. The equity market also found the latest data below their expectations. IIP growth for September at a modest 2 per cent has come in below market expectations largely owing to negative surprise from the manufacturing sector, Bhupali Gursale, Economist with Angel Broking, said.

shishir.s@thehindu.co.in
(This article was published on November 12, 2013)

Keywords: Industrial production, grows 2%, signs of recovery, factory output, Index of Industrial Production

Power sector to showcase inclusive growth at IITF


Express News Service : New Delhi, Thu Nov 14 2013, 02:44 hrs

The power ministry will showcase its achievements and contribution to inclusive growth at 'Power Pavilion' at India International Trade Fair (IITF), which opens on Thursday. Education, sanitation, medical and self-employment schemes being undertaken by the sector at the project and national levels will be highlighted as part of the inclusive growth focus, a press release issued by National Thermal Power Corporation (NTPC) said. Themes like energy conservation, capacity addition, generation, transmission and rural electrification will be highlighted through dioramas, working models, films and posters, the release said. The Power Pavilion will be at Pragati Maidan's Hall 11, and will house power sector majors like NTPC, PowerGrid, SJVN, PFC, NEEPCO, DVC and REC. Nuclear Power Corporation of India (NPCIL) will participate as an important associate of the sector. Other important contributors such as NPTI, BEE and CPRI, will also be part of the show. The Bureau of Energy Efficiency will hold a nukkad natak to provide energy conservation tips to visitors. The ministry has been an important participant in the fair. Last year it got silver medal for its display, along with silver certificates for all its constituents.

Solar Energy Corp seeks licence for power trading from CERC
SUMIT KUMAR

November 7th, 2013

0 Sensing huge potential in solar power production, the Solar Energy Corporation of India Ltd (SECI) has applied for licence for power trading with Central Electricity Regulatory Commission (CERC). SECI managing director Rajendra Nimje said the PSU is authorised to sell power that will be produced under the proposed 750MW solar power projects under Phase-II Batch-I, recently announced by the Government. We see huge potential in solar power production in the coming years. We have applied for licence with the CERC. It is under process and expected to be in final stages within two months, Nimje told PTI. Nimje was talking on the of a seminar on Solar Water Heating System organised by the Ministry of New and Renewable Energy in association with New and Renewable Energy Development Corporation of Andhra Pradesh (NREDCAP) Ltd and the Federation of Andhra Pradesh Chambers of Commerce and Industry (FAPCCI). He said they have invited bid for the second phase of the 750MW Solar power projects and will have a prebid meeting on November 19. The proposed scheme for solar projects would be implemented through the Solar Energy Corporation of India in association with NTPC Vidyut Vyapar Nigam Ltd. Electricity generated from these plants would be purchased by Solar Energy Corp at a fixed-level tariff of Rs 5.45 per KWH for a period of 25 years. The Government has allowed around 1600MW solar power projects under the first phase under the Jawaharlal Nehru National Solar Mission (JNNSM) which has set a target, amongst others, for deployment of grid connected Solar power capacity of 20,000MW by 2022 to be achieved in three phases. Source: PTI

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