$60-billion business opportunity beckons nuclear suppliers

M. RAMESH
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Mumbai to host nuclear energy summit on Nov 28

CHENNAI, NOV. 17: On November 28, Mumbai will host the Indian Nuclear Energy Summit, 2013 and it is expected that scores of nuclear suppliers from abroad will converge in the city for a pie of the $60-billion business opportunity. The Indian civil nuclear market is particularly attractive, says the Organisation of Canadian Nuclear Industries (OCI), which estimates the business potential to be $60 billion. Other estimates put it at $100 billion. Coming close on the heels of the commissioning of the long-delayed Kudankulam nuclear power project, there seems to be a renewed interest in Indian nuclear energy. The massive growth in Indian PHWR and the aging current fleet are potential opportunities for companies from overseas and should not be overshadowed by the forthcoming light water plans, says Gunjan Bagla, Managing Director of Amritt Inc, a California-based consultancy that assists North American companies to do business with India. Incidentally, Amritt has been retained by the OCI to conduct an assessment of opportunities in India for nuclear market for its members. India has nuclear power capacity of 5,780 MW (counting in the 1,000 MW of Kudankulam-1) and plants worth 4,300 MW are under construction. There are plans for many more nuclear plants, but realistic targets have been put at 14,600 MW by 2020-21 and 27,500 MW by 2032. India is, therefore, seen as a major nuclear market. The US, Russia, France, UK, South Korea and Canada, as well as Argentina, Kazakhstan, Mongolia and Namibia have signed civil nuclear cooperation agreements with India. Of these, the agreement with Canada came into force in September. Amritt believes that the business opportunities may extend beyond supply of equipment. NPCIL staff may start to become burdened with project and construction management and may decide that external help is appropriate, says Bagla. Overseas players who prepare now may find themselves in a favourable situation as this process begins to play out, he says. ramesh.m@thehindu.co.in
(This article was published on November 17, 2013)

Keywords: nuclear energy summit, mumbai, View Comments (2)Post Comment

107yr old Mohra project in Kashmir bags 5th Indian Power Award
GK NEWS NETWORK
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New Delhi, Dec 1: J&K State Power Development Corporation has bagged an award for Mohra hydroelectric project under the Unique Project Category. The award was given to the PDC in recognition of its pioneering work in hydroelectric project construction in J&K at the 5th India Power Awards at New Delhi today. The award instituted by the Council of Power Utilities (CPU) is given every year to companies, corporations, authorities, departments and eminent personalities for their contributions in the field of Generation, Transmission and Distribution and other fields of power sector, an official statement said. Giving details it said the awardees are nominated through a rigorous process by a jury of members of national and international repute in the energy sector. Every year one award is given to a Power Project for its uniqueness. This years unique project award was bagged by Mohra hydroelectric project primarily for its wooden water conductor. The award function was held at New Delhi in India Habitat Centre in which about 51 awards were given away by the Chief Guest Prof. M. R. Srinivasan, Member Atomic Energy Commission; a nuclear energy expert of International Repute. The awardees also included foreign companies from China, Japan and Bhutan. On behalf of JKSPDC, the award consisting of a memento and a certificate was received by Executive Director JKSPDC Zahoor Ahmad Chat. 4 MW Mohra Multipurpose Hydel project the 2nd Hydel Project in the subcontinent and first in Asia with a wooden water channel was commissioned in 1905. The water conductor is 10.35 Km long out of which 7.5 Km is wooden and

rest comprises of six small masonry tunnels and four cut and cover conduits. The capacity of the project was upgraded to 9 MW in 1950. After the devastating floods of 1959, the power house which was washed away and was shifted towards upstream side and re-commissioned in 1962 generating about 50 MUs of energy annually till the Power house again got damaged in 1992 due to floods. The wooden water conductor now more than 100 years old is now in decayed and damaged condition having outlived its useful life. As the water conductor has not been in use, the damages have been aggravated which has been accentuated due to slides. To revive the project particularly its heritage character, JKSPDC has initiated the preparation of Detailed Project Report after which various works shall be tendered out for execution. These works would include complete replacement of Electro-Mechanical Components, tapping of additional water from nearby Hapat Khai Nallah- Boniyar, reconstruction of damaged portion of water conductor etc. To safeguard the existing power house from further flood damages, some river protection works have been executed by JKSPDC last year. JKSPDC has already approached MNRE for financial assistance by way of subsidy which will make the revival of the project techno- economically viable.

20 ways to gain weight fast

Health Me Up Oct 21, 2013, 12.00AM IST (How to gain weight: 20 Ways)

How to gain weight is as difficult as losing weight. Okay, that might be a slight exaggeration; but we all know someone who is skinny as a stick and does not shy away from food. Most of us are envious that they never put on weight, but they too wish to have a lean well toned, even curvy or muscular look. How to gain weight: People may be underweight due to various reasons Inadequate feeding habits, prolonged meal time gaps, poor selection of foods, increased physical activity without increasing the food intake can lead to energy deficit, are a few of the major reasons for being underweight. Other reasons can be malabsorption due to prolonged illness, diseases such as tuberculosis, cancer, hormonal imbalances (hyperthyroidism) and eating disorders such as anorexia nervosa or bulimia. How to gain weight: Healthy weight gain Gradual weight gain is always advisable. An increase in 500 kcal per day can result in increasing the body weight by 0.5 kgs per week. Objective should be to restore a desirable weight/ ideal body weight according to one's age, gender and height. To rebuild body tissues, to maintain a good nutritional status and to maintain ideal body weight are a few reasons why healthy weight gain is important. How to gain weight: Exercise If you're indulging where food's concerned, beware of the inevitable skinny person's paunch. No matter what your skinny status, as you grow older, you will develop an unsightly paunch. To avoid this, you must endeavour to maintain a toned body. For this, exercise is essential. Participate in a balanced mix of cardio, weight training, and flexibility exercises every day. How to gain weight: Lift weights for lean mass If you haven't figured it out already, you're going to be doing some heavy lifting in order to put on lean mass. The foundation of your routine should be the big compound lifts: Squats, deadlifts, presses (bench and overhead), pull-ups, rows, dips, snatches, power cleans, clean and jerks. These engage multiple muscles while triggering your hormonal response systems. How to gain weight: Exercises for beginners A Squat 5x5 Pull-ups 5xFailure (add weight if "Failure" is becoming more than 12 reps) Overhead Press 5x5

B Squat 5x5 Deadlift 1/2/3x5 (your choice; deadlifts can be incredibly taxing, and with exhaustion comes poor form, so be careful; sometimes it's better to do a really heavy load for a single set) Bench Press 5x5 C Squat 5x5 Pull-ups 5xFailure Overhead Press 5x5 Do this sequence every week (maybe Monday, Wednesday, Friday) and steadily increase the weight each session. Once you're making progress, feel free to add in other exercises like dips or more Olympic lifts. How to gain weight: Healthy diet You may take dietary supplement, but you need a balanced diet more. You need the right amount of protein, carbs and fats. Help yourself to nuts and dairy products. Protein is the key for muscle building; this will help you gain weight. How to gain weight: Healthy heart and weight gain diet Add pistachios or roasted channa to your diet. Make them your evening munchies, as they help you lower risk of heart disease. Other snack ideas include whole wheat or multi grain bread/ soy sticks with hummus or peanut butter. Opt for salsa dips and chutneys as they are high on fibre and very healthy. How to Gain Weight: Increase liquid intake If you want to gain weight, you need to build an appetite; and while this might be a tad non-traditional, you can rely on wine as a hunger stimulant. A small glass of wine before your evening meal will help you appreciate your food a whole lot more. Also, avoid drinking water before meals and in between meals, you don't want to ruin your appetite. How to gain weight: Eat less If you eat in between meals, cut it out. They say you should eat three large meals or five to six small meals in a day. Eating less is more. Choose food with nutritional calories and increase intake of starchy foods like potatoes. Remember, the more junk food you eat, the more you deprive your body of healthy nutrients. A thin person who gorges on junk food will suffer the same unhealthy consequences as an obese person with poor eating habits. How to gain weight: Indulge the right way

Often times, well meaning folks will tell you to eat cakes and other sugarheavy desserts in order to help you gain weight. While normally this strategy works perfectly for some, for others it could just lead to visceral fat - a state of being skinny fat. Skinny fat essentially means that a person appears skinny on the outside, but has fat accumulated in the wrong places (around vital organs) on the inside. Besides, sugar-heavy foods deplete your body of whatever little nutrients it might be getting from other foods. How to gain weight: Eat lots and lots of healthy vegetables and meat

2nd Edition Indian Power Sector Scenario Analysis 2012: Harmonising Growth Opportunities
Published: June 2012 Region: India

500 Pages

Metis Business Solutions PVT

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Metis through its forthcoming report on Indian Power Scenario Analysis 2012: Harmonising Growth Opportunities, has taken an initiative to exhaustively study the Indian Power sector and analyse the major happenings in the sector. The primary objective behind the report is evaluating the performance of the sector and the key impediments to the development of the sector. The report also focuses upon the growing market place for the industry at the domestic level and analyzes the current market trends along with the future growth prospects of the industry. Through this report an attempt has been made to study the major developments in the sector over the past few years, scrutinize the key impediments and identify the upcoming opportunities in the sector. Study Scope The Scope of Study would include the following - Exhaustive coverage of the entire power sector - Holistic analysis of all the Power Sector Issues - Financial Insight and Scope of Investment in the Indian Power Sector - Sector wise key issues and challenges - Exploring the Future of Indian Power Sector: Sectoral Analysis - Special highlight on key developments in the renewable energy sector - Glimpse on Industry's appetite and probable solutions - Key statistics on power sector Key Questions Answered The Report will focus on the following areas - Comprehensive depiction of the entire value chain in the Indian power sector - Exhaustive statistics on Indian power segment and sub-segments - Segment-wise credentials of India power subsystem demand and supply drivers, growth rates, key participants in each segment - Trend Analysis of demand and supply with classification of inimitable opportunities and impediments relevant to Indian power industry - Insight, success stories and industry's experience and requirements

- Recommendations for participating in and gaining from the Indian power boom Must Buy For The Report is a must buy for all stakeholders involved in India's Power Sector - All Power Plant Developers - Private Distribution and Franchisee Companies - Power Transmission Companies - Fuel Suppliers - Equipment Suppliers - Consultants - Investment Bankers / Banking professionals and Financial Institutions - Research / Business Analysts from Equity Research / Credit Rating / Market Research firms - Industry Associations, liaisoning with government policy makers The Indian power sector is undergoing a serious phase of multiple problems. This Report will give the opportunity to get a good overview and understanding of the complexities and risks of the power Sector in India and will equip readers with a practical insight into those issues. SHOW LESS

300 landline phones dead in Chadoora

Burglars steal BSNL telephone cable GK NEWS NETWORK
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Chadoora, (Budgam), Dec 1: Over 300 BSNL landline phones in Wathoora, Chadoora are dead for about a week as the telecom cable in the area has been stolen. Residents from the area told Greater Kashmir that about a week ago, some unknown persons stole the telecom cable of the BSNL leaving over 300 fixed line phones dead. They said the incidents of theft and burglary in the area had been on rise for past few weeks. Recently burglars stole cash and jewelry of a family at Gopalpora Alamdar Colony. Earlier, copper utensils worth lakhs of rupees had been stolen from a shop at Wathora Shahpora and now the BSNL telephone cable has been pilfered, said Dr Muzaffar of Gopalpora Chadoora Meanwhile, the residents urged the BSNL authorities to restore the internet and telephone services in the area. All the internet cafes, domestic internet services, Khidmat Centres are out of order in the area including 300 landline telephone connections, they said, adding that BSNL should work overtime to restore the service in the area. When contacted, Sub Divisional Engineer BSNL Budgam, Adil Farooq said the service restoration would take four days as there has been a severe technical snag caused to the system in the area, due to damage caused by the cable theft.

5 Natural tips to prevent hair loss

Purvaja Sawant, Nov 14, 2013, 12.00AM IST

(5 Natural tips to prevent)

It's better to use natural products to stop hairfall than to go in for expensive parlour treatments, that may not help the problem. Try the following easy tips at home and see how effective they are in reducing hair loss! 1. Hot oil treatments: Take any natural oil - olive, coconut, canola - and heat it up so that it is warm, but not too hot. Massage it gently into your scalp. Put on a shower cap and leave it on for an hour, then shampoo your hair. 2. Natural juices: You can rub your scalp with either garlic juice, onion juice or ginger juice. Leave it on overnight and wash it thoroughly in the morning. 3. Get a head massage: Massaging your scalp for a few minutes daily will help stimulate circulation. Good circulation in the scalp keeps hair follicles active. Circulation may be improved through massage by using a few drops of lavender or bay essential oil in an almond or sesame oil base. 4. Antioxidants: Apply warm green tea (two bags brewed in one cup of water) on your scalp and leave this mixture on for an hour and then rinse. Green tea contains antioxidants which prevent hair loss and boost hair growth. 5. Practice meditation: Believe it or not, most of the times, the root cause for hair loss isstress and tension. Meditation can help in reducing that and restore hormonal balance. purvaja.sawant@timesgroup.com

7 Day flat belly diet plan

TNN Apr 30, 2012, 12.00AM IST

(Waist watch: The right diet)

Here is an exclusive plan to help you shape up in 2012... Celebrity trainer James Duigan's Clean & Lean diet plan can help you lose all the unwanted flab. The diet involves cutting out 'toxic' foods that encourage the body to store fat - including alcohol, sugar and processed foods. Meals on James's diet plan are full of fish, lean meat including turkey and chicken - and fresh, preferably organic vegetables. James says, "My diet works on the principle that your body's natural state is lean and fit, not sluggish and fat. But processed foods and drinks and excess sugar pollute the body, causing fat to cling to the hips, thighs, bum and tummy. However, as soon as you stop doing the wrong thing, your body responds very quickly, and you'll get lean fast. But you have to believe you can do it. It doesn't matter how often you have failed in the past. What matters now is focusing on what you want and taking action." Food rules Make these changes to your diet to lose weight and get a flat tummy fast! 1 Cut the C.R.A.P: Avoid the four main food groups that cause fat to cling to our bodies: caffeine, refined sugar, alcohol and processed foods. 2 But allow yourself a weekly cheat meal. Once a week, enjoy an indulgent meal of whatever you fancy, from creamy pasta to a slice of chocolate cake with cream. As ong as you're eating clean, healthy food the rest of the time, an occasional high-fat treat actually speeds up your metabolism. 3 Take fish oil supplements: They burn fat and supply essential fatty acids.

4 Always have breakfast: Eat within one hour of waking up. If you don't have time for a proper breakfast, just grab a piece of fruit and a few nuts. 5 Don't eat after 8pm: Eating a large meal in the evening when your body is slowing down or sleeping is a bad idea for your digestion and weight. Five food swaps for flat Abs Bad croissants: Full of fat, sugar and no goodness Milk Most non-organic milk is filled with hormones Standard yoghurt Most are full of sugar Margarine Full of chemicals Beer High sugar and calories Better wholemeal bread: Fibre is good for digestion Organic milk It's chemical-free Organic yoghurt It's free from pesticides Olive oil spread Full of essential fatty acids Organic cider Less alcohol and calories. Best spelt bread: No tummy-bloating gluten Organic almond milk: Doesn't contain lactose that can cause bloating Organic full-fat yoghurt Makes you feel full and is less sugary than low-fat options Organic butter Natural and additive free Good red wine Grape skin contains resveratrol, a great antioxidant Tummy toning moves James Duigan says, "Exercise smarter, not harder. So, if you are trying to lose weight, don't go mad with exercise - get more out of less." These moves can help you get a flatter tummy as they reduce levels of stress hormones in the body, which encourage fat around your middle. Breathing squat - Go slow and low and repeat 10 times - Stand with feet shoulder width apart, arms out and parallel to floor - Inhale through the nose, then lower your bottom down as far as is still comfortable while exhaling l Pause for a few seconds, then inhale as you come up Energy push Great for digestion - breathe slowly and repeat 20 times - Take a comfortable stance with feet shoulder width apart, arms in front of you, palms facing down - Inhale and pull hands back towards your shoulders - Exhale, pushing your arms back out to starting position Leg tuck Great for lower abs - repeat 10 times - Lie back, feet on floor, knees bent l Inhale then bring knees into your chest as you exhale - Inhale again as you return your feet to the floor Your food plan

Stick to this eating plan for two weeks to start your weight loss. It's best to begin on a weekend, when you have more time to get everything ready. Plus, you won't feel so stressed or rushed, which means you'll be less likely to succumb to a mid-afternoon chocolate bar. Day 1 Breakfast: Omelette made with three egg whites and filled with 75g chopped mixed peppers and a handful of spinach Mid-morning snack: 100g chicken with red pepper, sliced Lunch: One grilled chicken breast, mixed salad leaves, red peppers, green beans and tbsp olive oil Mid-afternoon snack: 100g turkey breast with cucumber, sliced Dinner: 100g grilled chicken breast with steamed broccoli Day 2 Breakfast: Baked chicken breast with a handful of stir-fried kale Mid-morning snack: 100g turkey breast and green pepper, sliced Lunch: Baked haddock fillet with mixed green salad, with tbsp olive oil Mid-afternoon snack: 100g turkey breast with 75g steamed broccoli Dinner: One salmon steak with chopped dill and steamed green beans Day 3 Breakfast: 100g smoked salmon, plus spinach Mid-morning snack: 100g chicken breast with yellow pepper, sliced Lunch: One grilled chicken breast with garden salad and tbsp olive oil Mid-afternoon snack: 100g turkey slices with avocado Dinner: One grilled lamb steak (or two cutlets); steamed broccoli and spinach

A gridlocked state of affairs

N. RAMAKRISHNAN

The Ministries of Coal, Railways and Environment perform crucial roles for the power sector.

Mr N. RAMAKRISHNAN
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There is a lack of coordination between arms of the Government that have a major say in the power sectors development.
There are a few things that have not changed in the power sector in the country in the last two decades or so. One is the continuing shortage of electricity and the worsening financial position of the State electricity utilities. The other is the complete lack of coordination among various arms of the Government that have a major say in the sectors development. Decisions are often taken in a knee-jerk and haphazard manner. The net result is that the power sector continues to be in as bad a shape, if not worse, than what it was in the early 1990s, when the first so-called attempts at improving the sector were taken. The installed generating capacity has grown more than three-fold in the last two decades from 63,636 MW at the end of the Seventh Plan (as on March 31, 1990) to 1,99,877 MW at the end of the Eleventh Plan (as on March 31, 2012), and has now crossed the two-lakh MW mark. The basket is more diverse, but still coal-fired power plants account for bulk of the installed capacity. Despite this growth in generating capacity, the deficit in energy requirement is around 8 per cent and that in peak demand about 8.5 per cent. Nearly 30 power plants across the country have coal stocks of less than seven days. In most cases, the reason given for this critical situation is the deficiency in supply from the mines. You substitute the year, the picture would be the same the numbers similar.
CARROT AND STICK

The reasons for this state of affairs are many. For one, the Centre proposes and the States dispose. The Centre may have taken a couple of wrong steps along the way, but it cannot be faulted for not trying. In the early 1990s, it focussed on increasing generating capacity and provided counterguarantees to eight fast-track projects, including Enron. The focus should simultaneously have been on setting right transmission and distribution. Having learnt the lessons, the Centre attempted to get the States to set right their utilities. For the carrot of financial assistance, the stick was that they had to unbundle their utilities. A few States did, many did not. The Centre could do precious little but to keep extending the deadline. Not that unbundling has solved all the problems plaguing the sector.

The Electricity Act, 2003, was yet another effort to set right the wrongs in the sector. Compared with the piecemeal and out-dated laws, here was a comprehensive piece of legislation that gave a clear direction to the power sector. A key positive fallout of all this was that States set up regulatory commissions. However, legislative efforts and policy initiatives can only go so far. They have to be matched by action on the ground. This has been a key failing for the power sector. There are several ministries and departments involved and not often do all of them work in unison. The ministries of coal, railways and environment to name just three play a crucial role in a power projects successful completion. The coal sectors performance largely depends on the Environment Ministry. With heightened environmental awareness and activism and the Ministry concerned too taking a tougher stand than hitherto, both power and coal mining projects have suffered.
COAL PRODUCTION

While power capacity addition has increased in every Plan period though always short of the Plan target domestic coal production has not kept pace with the demand. All along, about 3,000-5,000 MW of power would be added every year, but in the just concluded Eleventh Plan, this increased to more than 13,000 MW a year; a total of 67,548 MW came up in the Five Year Plan period ending March 31, 2012, a record for the power sector. In the preceding four Plan periods, the capacity added was: 21,052 MW in the Seventh Plan; 22,159 MW in the Eighth; 19,250 MW in the Ninth; and, 27,284 MW in the Tenth. Coal consumption for power generation has increased from 253 million tonnes in 2002-03 to nearly 415 million tonnes in 2011-12. Because of shortfall in supply, coal imports by the power sector have been steadily going up over the last few years. From about 10 million tonnes in 2007-08, imports went up to 42 million tonnes in 2011-12. According to the Central Electricity Authority, which monitors the power sector in the country, the plant load factor of coal-based plants came down to 74.86 per cent in April 2012 from 79.19 per cent a year ago. The dip in PLF is mainly on account of shortage of coal. During 2012-13, the anticipated gap between the requirement and availability of domestic coal is estimated at 70 million tonnes. Of this, 46 million tonnes is to be met through imports, for which all utilities have been asked to take steps. Power plants for the balance 24 million tonnes were in any case designed for imported coal.
INFRASTRUCTURE CHALLENGES

Coal India, the monopoly public sector coal miner and supplier, has been finding it difficult to scale up production because of delays in environment clearance and land acquisition. The coal shortfall for power generation in two years is estimated to increase to 160 million tonnes, much of which will have to be imported. Importing such large quantities of coal will impact the cost of electricity produced. More importantly, the infrastructure both railways and at the ports will have to be improved immediately to receive and move the coal to power plants. The Railways will have to provide adequate lines from the ports to the power stations in the hinterland and also provide wagons so that coal does not get held up at the ports. Also, imported coal has to be handled carefully, particularly in summer, because of the higher volatile matter which makes it inflammable. Blending imported coal with domestic production has its own issues as the plants are designed for the latter that have high ash content and lower calorific value compared with the former. Power plants have been blending 10-15 per cent of imported coal by weight. In future, all power plants must be designed to handle blended coal and also be able to give 100 per cent performance using indigenous coal alone. While fuel availability is one issue affecting the power plants, another major aspect is the fuel price increase and how it is affecting the viability of operations. But, that calls for a complete overhaul of the Governments approach. blfeedback@thehindu.co.in
(This article was published on June 20, 2012)

Keywords: State electricity utilities, power sector, worsening financial, generating capacity, energy requirement, domestic coal production

Adani Power CEO may join US-based PE fund

Wednesday, Jun 20, 2012, 10:00 IST | Place: Mumbai | Agency: DNA Rajiv Ranjan Singh Ravi Sharma, outgoing chief executive officer (CEO) of Adani Power, is learnt to be joining a New York-based private equity fund focused on the energy sector. Ravi Sharma, outgoing chief executive officer (CEO) of Adani Power, is learnt to be joining a New York-based private equity fund focused on the energy sector. According to an investment banker close to the development, the fund has assets of over $10 billion and plans to invest over $1 billion in acquiring renewable energy projects in South Asia and Latin America. Sharma is to head the funds Indian operations, said the banker. The fund will be backing him to do brownfield acquisitions in solar, wind and biomass projects, he said. Sharma, who resigned from the company recently and is to exit at the end of this month, declined to comment on his future move. Adani Power chairman Gautam Adani, had a good word for the parting honcho. Under his guidance, the company performed extremely well, he said, but added that exiting was his own decision, based on personal priorities. Adani did not say where Sharma was headed. Incidentally, the market has been rife with speculation over the exit of Sharma, whose pay packet is said to have been the highest among industry CEOs. Before joining Adani Power, he was the CEO of Datacom, the Videocon-promoted mobile services provider. Videocon chairman Venugopal Dhoot also endorsed Sharmas top billing saying he was an expert in developing new projects and organisations. He has the calibre to start or take up big initiatives.

Aluminium prices: new warehouse rules come into focus

LMEs new warehousing rulesset to be implemented from 1 Aprilare designed to tackle lengthy metal delivery queues
Ravi Ananthanarayanan
1

Global aluminium producers have been cutting production with the twin objective of supporting prices and lowering costs at less profitable locations. Photo: Sam Panthaky/AFP

Aluminium prices have not managed to hold on to the gains they made early on in the December quarter, and have fallen by 5.6% to $1,745 a tonne from the high seen in October. That fall, though not alarming, coincides with an uncertain time for metal prices as the London Metal Exchange (LME) is moving ahead with a proposed reform of its warehousing rules.

The LMEs new warehousing rulesset to be implemented from 1 April are designed to tackle lengthy metal delivery queues, which are blamed for high metal premiums payable by buyers. The new rules will compel warehouses with over a 50-day delivery queue to deliver a certain amount of metal determined by a formula. These changes are expected to affect aluminium in particular, where large inventories have been built up while metal premiums too have been rising. Thus, although LME metal prices have declined, rising metal premiums have benefited aluminium producers. These premiums that differ by region are paid for immediately on delivery of the metal. More metal on the market should result in softening prices and even premiums but there are some counter views to it. One view is that LME prices will recover while premiums will decline, with little effect on producers. Another is that inventories may move out of LME warehouses to those that are not monitored. That too could have the effect of propping up prices. A third view is that falling realizations may see more plants shut shop and lower output will see prices rise again. Though more clarity on the effect of these changes should emerge in the next few quarters, one can expect some volatility in the run-up to the implementation of the new rules. The industry scenario is challenging as it is. Global aluminium producers have been cutting production with the twin objective of supporting prices and lowering costs at less profitable locations. Aluminium producers remain optimistic, however. UC Rusal expects Chinas production to rise due to new plants but also expects higher demand to absorb it. Excluding China, it is forecasting a deficit and expects this deficit to widen further between 2014 and 2016 due to improving demand and slower than expected capacity additions. The long term may offer a comforting picture if you believe aluminium producers, but in the short to medium term attention is likely to be focused on the effect of changes to warehouse rules on aluminium price realizations (inclusive of metal premiums). A substantial decline can put more pressure on the financial health of the industry.

Availability of coal a major challenge for power sector

A 500 MW power plant in Koderma was ready, but was unable to start commercial production due to scarcity of coal
The financial condition of Damodar Valley Corporation is not sound and availability of coal remained a major challenge for the power sector, DVC Chairman R N Sen said today. A 500 MW power plant in Koderma was ready, but was unable to start commercial production due to scarcity of coal, the DVC chairman said. About 6000 tonne of coal was required per day for a power plant of 500 MW capacity, Sen said expressing hope that one of the units in Koderma would start commercial production by January. Stating that coal supply remained a major challenge for power plants in the country, he said the problem began from April 2009. However, DVC was set to procure coal from adjoining Odisha for its Koderma unit, Sen said adding that DVC did not have any plan for a new power plant. An unit of Durgapur Power plant was also facing a similar problem and unable to meet the commercial production target, he said. Sen said DVC has begun dismantling units 4, 5, and 6 of old Chandrapura power plant. Referring to the financial status, he said it was not good and the company had a surplus of 2000 employees. Besides, the Jharkhand government had dues of Rs 5,300 crore with the issue being discussed at cabinet level to clear them, he said. Referring the power tariff, he said it was not in favour of DVC, which was incurring a loss of Rs 40 crores per annum. Emphasizing the need for skilled human resources, Sen admitted that there was hardly any scope for employment of employee dependents or displaced families.

Bangladesh hits milestone in power generation

Perennially starved for electricity, in just five years Bangladesh more than doubled its production capacity, thanks to dozens of new power plants and co-operation with India.
By Kamran R Chowdhury for Khabar South Asia in Dhaka
November 22, 2013

Bangladesh this month celebrated a milestone in electrical generation that could ease crippling power cuts endured by the country for decades. In the past five years, generation capacity more than doubled, from 4,900mw in 2009 to 10,000mw, government officials announced.

Vendors sell onions at a Dhaka wholesale market in September. Bangladesh began importing electricity from India in October and announced that it now had capacity to generate 10,000mw of energy daily. [Munir uz Zaman/AFP]

"It's a joyous day for us. It's a successful and historic day for our government. It's a day of setting a milestone and materialising our commitment to people," Prime Minister Sheikh Hasina told thousands of people gathered for a fireworks and laser show November 12th at Dhaka's picturesque Hatirjheel Lake. The doubling of capacity was made possible by heavy government investment in the power sector since 2009. The import of electricity from India also helped boost supply, while opening a new vista of cooperation between the neighbours. Filling the power gap Bangladesh's energy demand had been rising each year, as its economy registered a 6%-plus growth rate over the last decade.

Government figures set Bangladesh's highest daily production of electricity at 6,350mw, while peak demand is 8,400mw a gap that leads to frequent nationwide power outages. Assuming an annual 10% increase in demand, the government plans to generate over 30,000mw of additional power by 2021. Currently, over 60% of Bangladeshis have access to electricity. A common power market Under a bilateral agreement, Bangladesh began importing 175mw of Indian electricity last month, mainly distributed in the south-western and southcentral parts of the country. The volume was set to peak at 500mw before December. Launching the trade deal on October 5th, Hasina told Indian counterpart Manmohan Singh via video conference that, with help from India, she hoped to make Bangladesh "poverty- and hunger-free" by 2021. "The initiative we took during your historic visit to India in January 2010 is being realised," Singh said, praising Bangladesh's progress under Hasina's leadership. Experts termed the electricity deal with India a historic move. "This is a watershed event in Bangladesh and (for the) whole of South Asia. Bangladesh must co-operate with India to ensure continued power import in the future," Mohammad Tamim, who managed the Power and Energy Ministry in 2008 during the caretaker government, told Khabar South Asia. "This grid connectivity will help Bangladesh supplement its energy deficit on the one hand and build confidence between the two countries," he said. Bangladesh's energy deficit increases at night, while India's increases by day due to its massive industrial activities. That pattern underlines how countries can benefit from regional co-operation. "Bangladesh can easily benefit from India's power surplus at night," said Q.A.M.A. Rahim, former secretary-general of the South Asian Association for Regional Co-operation (SAARC), who helped negotiate a proposed SAARC power grid that would "ultimately set up a common power market in the region".

"Bhutan and Nepal have huge potentials of hydroelectricity," Rahim said. "Bangladesh must connect with the Indian distribution network to import power from any of its neighbours and be a part of the proposed SAARC grid." SR Trading owner Salauddin Ripon told Khabar, "People want electricity. I see nothing wrong if it comes from India or Bhutan or Nepal." The number of power outages in the south-central Barisal region has dropped significantly since Bangladesh began importing electricity from India, he said.

Bharat Light and Power and IBM Collaborate to Drive Business Growth and Build Smarter Operations
The Indian renewable energy producer will use IBM cloud, analytics, and mobile technologies to increase power generation
By IBM

Published: Tuesday, Nov. 19, 2013 - 6:05 am

BANGALORE, India, Nov. 19, 2013 --BANGALORE, India, Nov. 19, 2013 /PRNewswire/ -- Bharat Light and Power (BLP), a leading renewable energy producer in India, has formed a strategic engagement with IBM (NYSE: IBM) to drive business growth, enhance revenue and increase operational efficiency. In this 10-year collaboration, BLP will use IBM's SoftLayer cloud capabilities, built on open standards, as well as IBM analytics and mobile solutionsto increase its power generation capacity.

(Logo: http://photos.prnewswire.com/prnh/20090416/IBMLOGO )

According to industry estimates, approximately 400 million people in India do not have access to electricity. At the same time, India's energy infrastructure is highly strained, with an ever increasing demand for energy. To sustain its growth trajectory, India needs to meet its energy demands in an environmentally sustainable manner.

"The Indian power sector has doubled its capacity in the last 10 years and is projected to add another 100GW in next five years. With the issues facing fossil-based fuels, a good share of this growth will come from renewable energy sources. The scope of investments for renewables is estimated to be $10-12 billion in next five years making it ripe for global investments in India," said Mr. Tejpreet S Chopra, president & CEO of BLP.

BLP is one of the largest clean energy generation companies in India. It aims to address the sustainable energy challenge by increasing its renewable energy generation capacity to one giga watt (GW) over the next few years. The company focuses on wind, solar, biomass and hydro technologies for power generation and is exploring other advanced technologies such as energy storage, and smart grid to better integrate renewable energy to the grid. BLP also uses its years of expertise in building, owning and operating power plants around the globe to offer pre-development and post commissioning services to wind farm developers, operators, owners, investors and lenders.

The integration of disparate systems across the enterprise is critical so all users have access to one version of the truth and a fuller view of the most comprehensive data, regardless of their department or role. Cloud computing provides the fastest, most efficient delivery of IT resources for integration without the need for extensive start-up or capital budgeting.

IBM will work with BLP to help the company manage, and effectively use the vast amount of data generated by the power generation sources. With efficient and predictive analysis of data, energy producers can better manage their resources, take necessary precautionary measures, and improve overall productivity. IBM will deploy its SoftLayer cloud infrastructure as a

service to centrally monitor and manage BLP's existing and future generation plants as well as store and manage the data on cloud.

IBM and BLP's big data analytics capabilities will help gather valuable insights from the data generated, which will ensure that BLP has an integrated view of its operations and is equipped to take pro-active measures. Using IBM's mobile technology the company will be able to provide all the information, analyzed on the cloud platform, to its ground staff on their handsets and alert them well in advance. This will enable BLP to build smarter operations with higher efficiency and greater utilization.

"The focus of power generation globally, and especially in India, in the next five years is going to be about operational efficiency and productivity enhancements. This requires an intelligent and innovative collaboration between the power and the IT sector. BLP has ambitious growth plans for providing this service and we needed a strategic partner who understands, and helps us realize, our vision," said Balki G. Iyer, chief development officer, BLP. "A significant factor in selecting IBM was its rich global experience in the renewable energy sector and scalable technology capabilities that suits our requirement."

The solution is expected to significantly improve BLP's Plant Load Factor (PLF), which is essentially the generation efficiency of the installed capacity. IBM will also bring its subject matter experts to help BLP take effective business decisions and make efficient planning, based on the data analysis.

"By making clean energy widely available and affordable, BLP is solving a very important challenge for India and we are excited about collaborating with BLP on this transformative journey. We see tremendous potential for smarter operations, using cloud and analytics, in achieving scale and efficiencies in this business. As a strategic partner, we will deliver measurable business outcomes to BLP by bringing together expertise and capabilities across IBM," said Ajoy Menon, director of strategic outsourcing, Global Technology Services, IBM India South Asia.

About IBM Cloud Computing

IBM is the global leader in cloud with an unmatched portfolio of open cloud solutions that help clients build, rent or tap into cloud capabilities. No other company has the ability to bring together unique industry knowledge and unmatched cloud capabilities, that have already helped more than 20,000 clients around the world. Today, IBM has more than 100 cloud SaaS solutions, 37,000 experts with deep industry knowledge helping clients transform and a network of more than 25 global cloud delivery centers. Since 2007, IBM has invested more than $6 billion in acquisitions to accelerate its cloud initiatives. Most recently IBM acquired SoftLayer with more than 22,000 clients in 140 countries to further build out its IaaS portfolio with an easy and secure on ramp to cloud integrating IBM SmartCloud. For more information about cloud offerings from IBM, visithttp://www.ibm.com/smartcloud. Follow us on Twitter at @IBMcloud and on our blog athttp://www.thoughtsoncloud.com. Join the conversation #ibmcloud

For more information on IBM India, please visit www.ibm.com

About BLP

BLP is one of the largest clean energy generation companies in India. BLP builds, owns and operates renewable energy power plants to generate clean energy through renewable sources namely wind; solar; bio mass and hydro. BLP creates clean energy to meet the increasing demand for clean electricity and to address the pressing challenges of global warming and energy security. They plan to grow to 1GW operational capacity in the next few years. BLP also offers pre-development and post commissioning services to wind farm developers, operators, owners, investors and lenders, including plant monitoring for analysis. It has a strong pipeline of projects in India and one of the most experienced teams in the sector. They are currently located in Bangalore and Delhi.

For more information on BLP, please visit www.blp.co.in Follow BLP on Twitter @ blp power

To know more about IBM: www.facebook.com/IBMIndiaNews www.twitter.com/ibmindianews

Media Contacts

Raghavendra Ramesh (Raghu) External Relations, IBM India/South Asia Phone: 91-80-406-83844 Email: raghu.rags@in.ibm.com

Supriyaranjan (Supriyo) Kar External Relations, IBM Growth Markets Unit Phone: +919717443337 Email: supriya.kar@in.ibm.com

Pooja Khera Media Relations, BLP Phone: +91 9810593836 E-mail: pooja.khera@blp.co.in

SOURCE IBM

Read more articles by IBM

Read more here: http://www.sacbee.com/2013/11/19/5925883/bharat-light-and-power-andibm.html#storylink=cpy

Bharat Light and Power and IBM collaborate to drive business growth
A call to conserve energy for Gen-Next
The Indian renewable energy producer will use IBM cloud, analytics, and mobile technologies to increase power generation News | by CIOL Bureau MUMBAI, INDIA:Bharat Light and Power (BLP), a leading renewable energy producer in India, has formed a strategic engagement with IBM (NYSE: IBM) to drive business growth, enhance revenue and increase operational efficiency. In this 10-year collaboration, BLP will use IBM's SoftLayer cloud capabilities, built on open standards, as well as IBM analytics and mobile solutions to increase its power generation capacity. According to industry estimates, approximately 400 million people in India do not have access to electricity. At the same time, India's energy infrastructure is highly strained, with an ever increasing demand for energy. To sustain its growth trajectory, India needs to meet its energy demands in an environmentally sustainable manner. Tejpreet S Chopra, president & CEO of BLP said:"The Indian power sector has doubled its capacity in the last 10 years and is projected to add another 100GW in next five years. With the issues facing fossil-based fuels, a good share of this growth will come from renewable energy sources. The scope of investments for renewables is estimated to be $10-12 billion in next five years making it ripe for global investments in India." BLP is one of the largest clean energy generation companies in India. It aims to address the sustainable energy challenge by increasing its renewable energy generation capacity to one giga watt (GW) over the next few years. The company focuses on wind, solar, biomass and hydro technologies for power generation and is exploring other advanced technologies such as energy storage, and smart grid to better integrate renewable energy to the grid. BLP also uses its years of expertise in building, owning and operating power plants around the globe to offer pre-development and post commissioning services to wind farm developers, operators, owners, investors and lenders. The integration of disparate systems across the enterprise is critical so all users have access to one version of the truth and a fuller view of the most comprehensive data, regardless of their department or role. Cloud computing provides the fastest, most efficient delivery of IT resources for integration without the need for extensive start-up or capital budgeting. IBM will work with BLP to help the company manage, and effectively use the vast amount of data generated by the power generation sources. With efficient and predictive analysis of data, energy producers can better manage their resources, take necessary precautionary measures, and improve overall productivity. IBM will deploy its SoftLayer cloud infrastructure as a service to centrally monitor and manage BLP's existing and future generation plants as well as store and manage the data on cloud. IBM and BLP's big data analytics capabilities will help gather valuable insights from the data generated, which will ensure that BLP has an integrated view of its operations and is equipped to take pro-active measures. Using IBM's mobile technology the company will be able to provide all the information, analyzed on the cloud platform, to its ground staff on their handsets and alert them well in advance. This will enable BLP to build smarter operations with higher efficiency and greater utilization. "The focus of power generation globally, and especially in India, in the next five years is going to be about operational efficiency and productivity enhancements. This requires an intelligent and innovative collaboration between the power and the IT sector. BLP

has ambitious growth plans for providing this service and we needed a strategic partner who understands, and helps us realize, our vision," said Balki G. Iyer, chief development officer, BLP. "A significant factor in selecting IBM was its rich global experience in the renewable energy sector and scalable technology capabilities that suits our requirement." The solution is expected to significantly improve BLP's Plant Load Factor (PLF), which is essentially the generation efficiency of the installed capacity. IBM will also bring its subject matter experts to help BLP take effective business decisions and make efficient planning, based on the data analysis. "By making clean energy widely available and affordable, BLP is solving a very important challenge for India and we are excited about collaborating with BLP on this transformative journey. We see tremendous potential for smarter operations, using cloud and analytics, in achieving scale and efficiencies in this business. As a strategic partner, we will deliver measurable business outcomes to BLP by bringing together expertise and capabilities across IBM," said Ajoy Menon, director of strategic outsourcing, Global Technology Services, IBM India South Asia.

Bharat Light and Power and IBM to drive business growth

News | CIOL Bureau BANGALORE, INDIA: Bharat Light and Power (BLP), a leading renewable energy producer in India, has formed a strategic engagement with IBM to drive business growth, enhance revenue and increase operational efficiency. In this 10-year collaboration, BLP will use IBM's SoftLayer cloud capabilities, built on open standards, as well as IBM analytics and mobile solutions to increase its power generation capacity. According to industry estimates, approximately 400 million people in India do not have access to electricity. At the same time, India's energy infrastructure is highly strained, with an ever increasing demand for energy. To sustain its growth trajectory, India needs to meet its energy demands in an environmentally sustainable manner. Tejpreet S. Chopra, president and CEO of BLP, said: "The Indian power sector has doubled its capacity in the last 10 years and is projected to add another 100GW in next five years. With the issues facing fossil-based fuels, a good share of this growth will come from renewable energy sources. The scope of investments for renewables is estimated to be $10-12 billion in next five years making it ripe for global investments in India." BLP is one of the largest clean energy generation companies in India. It aims to address the sustainable energy challenge by increasing its renewable energy generation capacity to one giga watt (GW) over the next few years. The company focuses on wind, solar, biomass and hydro technologies for power generation and is exploring other advanced technologies such as energy storage, and smart grid to better integrate renewable energy to the grid. BLP also uses its years of expertise in building, owning and operating power plants around the globe to offer pre-development and post commissioning services to wind farm developers, operators, owners, investors and lenders. The integration of disparate systems across the enterprise is critical so all users have access to one version of the truth and a fuller view of the most comprehensive data, regardless of their department or role. Cloud computing provides the fastest, most efficient delivery of IT resources for integration without the need for extensive start-up or capital budgeting. IBM will work with BLP to help the company manage, and effectively use the vast amount of data generated by the power generation sources. With

efficient and predictive analysis of data, energy producers can better manage their resources, take necessary precautionary measures, and improve overall productivity. IBM will deploy its SoftLayer cloud infrastructure as a service to centrally monitor and manage BLP's existing and future generation plants as well as store and manage the data on cloud.

Bharat Light Partners IBM to Boost India Wind Farm Output

Alok Tripathi November 19th, 2013 0 Draper Fisher Jurvetson-backed Bharat Light & Power Pvt. and International Business Machines Corp. (IBM) are combining efforts to boost the electricity output of wind farms in India, seeking to expand capacity fivefold. Under a 10-year agreement, IBMs technology will raise the profitability of Bharat Light projects by better managing wind-farm data, said Balki Iyer, chief development officer of the renewable developer founded by the former country head of General Electric Co. (GE), Tejpreet S. Chopra. Clean-energy utilities such as Bharat Light and Morgan Stanley-backed Continuum Wind Energy Pte are sparking a shift in Indias wind industry by focusing on maximizing generation as they compete against fossil-fuel plants to deliver power. India, fighting blackouts that restrain its growth, is trying to cut dependence on imported fossil fuels and double clean energy capacity to about 59 gigawatts by 2017. These projects are usually located in very remote parts of India and the level of intelligence dispatched from the field is low, Iyer said today in a phone interview. The collaboration with IBM will allow Bharat Light to generate power at levels way beyond what wind farms, often managed by turbine suppliers in India, currently can do, he said. Wind farms are already able to supply power at the same cost or cheaper than new coal-fired plants in some Indian states. That trend was helped by falling turbine prices, down a quarter from their 2009 peak amid global oversupply, as well as newer machines that produce more power at lower wind speeds.

Operational Efficiencies
There is only so much you can do to improve existing turbines, Iyer said. In contrast, raising the operational efficiency of remote wind farms by just 1 percent can lead to a huge increase in revenue. Continuum Wind Chief Executive Officer Arvind Bansal said Oct. 29 that generation losses at Indian wind projects can be reduced from 6 percent to less than 1 percent by managing assets better. Clean-energy utilities such as Bharat Light, backed by Menlo Park, Californiabased venture capital firm Draper Fisher Jurvetson, which bet early on such

companies as Skype Inc., and Continuum are expanding faster than traditional wind-farm investors that are exiting the market after the expiration of a tax break. Most of Indias 20,000 megawatts of wind capacity was built claiming tax breaks, leading to small holdings that owners often allowed to rust and idle once the depreciation benefits were claimed. IBMs technology will also help Bharat Light comply more easily with a government directive on July 15 that ordered wind farms to forecast dayahead power output or face fines, Iyer said. Goldman Sachs Group Inc.s ReNew Wind Power Pvt. and Tata Power Co. (TPWR) say the rule would wipe out industry profits because its too difficult to meet. Asset Acquisitions? Indias fragmented wind industry is ripe for mergers and acquisitions as indebted companies such as property developer DLF Ltd. and truck maker Ashok Leyland sell off wind portfolios built for tax breaks, according to Bloomberg New Energy Finance. Such assets can be bought for less than half the cost of building a new wind farm, according to Mumbai-based developer Ushdev Power Holdings Pvt. Bharat Light owns about 200 megawatts of operating wind farms, including 150 megawatts of capacity acquired from DLF in July. It plans to diversify into solar, biomass and hydropower to reach 1,000 megawatts in five years through acquisitions and by building projects, Iyer said. The developer is in talks with potential overseas investors to help fund that growth, he said, declining to elaborate. IBM is combining efforts with Bharat Light in a sunrise industry, Ajoy Menon, a director at IBM in India, said by phone. Were betting on renewables. Source: Bloomberg

Bharat Light, Mytrah Energy eye DLF's wind power business

Ravi Teja Sharma, ET Bureau Jun 20, 2012, 03.21AM IST

Tags: Wind power| Swaraj Paul| PricewaterhouseCoopers| Mytrah Energy| DLF| Caparo Energy| Bharat Light

NEW DELHI: Bharat Light and Power, a cleantech company promoted by former president and chief executive of GE India, Tejpreet Chopra, and the Hyderabadbased Mytrah Energy are in the race to buy real estate firm DLF's wind power business for around Rs 1,000 crore. The board of DLF, which is selling non-core assets as part of a big debt restructuring exercise, has already approved the divestment and the company has sought shareholders' approval for the scheme this week. Sources familiar with the developments said professional services firm PricewaterhouseCoopers is involved in the transaction. An executive of one of the companies that is negotiating the deal said that the business could possibly be sold in about 4-6 weeks but declined to reveal names of potential buyers. A senior executive of Bharat Light and Power confirmed that the company was in talks with DLF, but could not comment on the current status of their talks. Chopra did not respond to text messages sent to his mobile phone. A spokesperson for Mytrah (earlier called Caparo Energy and promoted by London businessman LordSwaraj Paul) also declined to comment. Another source said ReNew Power Ventures, promoted by Sumant Sinha, is in the race as well, but in an email response, Sinha categorically denied it. According to a consultant working on cleantech projects, including wind power, for new projects in the sector, companies usually get close to 70 per cent debt. "But since these are operating assets with proven cash flows, the buyer could get debt of up to 80 per cent. This would mean the buyer would need to put in an equity of Rs 250-300 crore for the assets," he said, requesting anonymity. DLF has sought shareholders' approval for selling the business through a postal ballot after its company's board had approved the sale in its meeting on May 30. One source in the company said it has finalised a buyer for the assets and a deal will be signed after the shareholders' approval comes through. The result of the postal ballot will be declared on July 20. In the postal ballot notice, DLF said its wind power assets include wind turbine generator-based power plants with installed capacities of 150 MW in Kutch, Gujarat and 11.2 MW at Gadag, Karnataka. The company also has power purchase agreements with Gujarat Urja Vikas Nigam Ltd and Hubli Electricity Supply Co Ltd.

The company has an additional 70 mw of installed capacity spread across plants in Tamil Nadu and Rajasthan in another company, DLF Homes, which is an unlisted entity, hence does not require approval from shareholders. In a response to an email sent by ET, a DLF spokesperson said: "As a company policy, we do not comment on market speculation." DLF has been trying to sell a number of its non-core assets to reduce its debt that stood at Rs 22,725 crore at the end of March 31, 2012. In the fiscal 2011-12, it managed to raise only Rs 1,774 crore through asset sales against a target of Rs 5,000-6,000 crore and has reduced its debt by only Rs 33 crore in the fourth quarter of fiscal year 2012. In an analyst call after its Q4 results, the company's management said that it has increased the overall target for asset divestments by an additional Rs 5,000 crore in the medium term.

Can assure only 66% supply to power cos: CIL to Coal Min
This would add supply woes to the sector

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Coal India has informed the government that it would be able to assure a minimum supply of only 66% of the total fuel contracted to power plants, a move that would add to the woes of the sector this fiscal. The proposed minimum fuel supply level of 66% is much lower than the 80% that has been stated in the Presidential directive to CIL in April. "As per the production plans of Coal India Ltd for this year, the PSU has said that it can make available only 66% of the committed quantity to the power producers for plants commissioned from April 1, 2009," a source in the Coal Ministry told PTI. This issue is also expected to be taken up at the meeting scheduled for tomorrow at the Prime Minister's Office (PMO) to discuss various factors related to coal sector, amid acute fuel shortages hurting power generation. The meeting, to be chaired by Prime Minister's Principal Secretary Pulok Chatterji, is also likely to be attended by officials from Coal and Power Ministries, besides CIL Chairman and Managing Director S Narsing Rao. CIL's proposal to make a minimum fuel supply of 66% is only for the current fiscal (2012-13). In the next fiscal, the same might come down to 55%, the source said. However, based on future production estimates, Coal India might increase the minimum fuel supply level to 67-68% in 2014-15, and further to 73% in 2015-16. According to the source, the supply level could be raised to as much as 88% in 201617, provided Coal India manages to ramp up production. Following the PMO intervention, a Presidential directive was issued in April, asking CIL to commit a minimum of 80% of fuel supply to power projects. CIL, which produces 436 million tonne (MT), plans to enhance the capacity to 464 MT by the end of 2012-13 fiscal.

Cheaper Chinese solar equipment affecting domestic industry: Praful Patel

Rakesh Kumar Kubde November 23rd, 2012 2
inShare

Cheaper solar equipment from China are a threat for Indian manufacturers, including Bharat Heavy Electricals Ltd, the Minister of Heavy Industries and Public Enterprises Praful Patel informed Lok Sabha today. Responding to a question on whether the Government is aware of this fact, the Minister while acknowledging the problem said the Chinese dominate the manufacturing segment in the world market, and have a share of about 57 per cent of crystalline technology segment, according to an estimate. This is affecting photovoltaic (PV) manufacturers worldwide, he said adding that, at present, it is estimated that the global production capacity for solar power items/equipment is in excess of the demand globally. This overcapacity coupled with cheaper Chinese manufactured cells and modules is a threat for Indian solar equipment manufacturers, including BHEL, Patel said. Denying power major NTPCs argument that Coal India Ltd (CIL) charged inflated prices, the latter said on Thursday that though NTPC had a choice of joint sampling, it did not do so in many cases. There were no official complaints (earlier) from them. Moreover, they have the option of joint sampling and prices are decided on the basis of that, which they were not doing in many cases, said a senior official from the sales and marketing division. Both NTPC and CIL are central government-owned; CIL has near-monopoly on coal. According to reports, NTPC chairman Arup Roy Choudhury had alleged in a recent meeting with Union power secretary P Uma Shankar that it had billing problems after CIL shifted to pricing based on gross calorific value, from the earlier system of useful heat value, in January.

As far as quality is concerned, sampling is done during the production stage and also during loading for consumers, said N Kumar, director (technical), CIL. NTPC sources said Choudhury had written a letter in this regard to CIL chairman and managing director S Narsing Rao in September. The issue is not yet resolved. There were problems with quality, as lower grade coal was being delivered on a higher price. This is continuing since January. There was a high-level meeting in this regard early this week and the losses are estimated to be more than Rs 350 crore, said an NTPC spokesperson. On the revised fuel supply agreements, an issue of some controversy, CIL said only 30 had been signed and it was yet to get a response from the remaining power utilities. We are willing to sign FSAs any time but the onus is on power firms. More than 120 units are yet to respond, the CIL official added. The company came out with a revised draft of FSAs in September, following protests from power utilities. There are 49 units set up between July 2009 and December 2011 and another 81 units commissioned, already and due to be, between January 2012 and March 2015, where an FSA is yet to be signed.

CIL hikes transportation charge; power cost may go up slightly

By PTI Nov 18 2013 , New Delhi Tags: News Government-run CIL has hiked the fare it charges from customers for transporting coal from mines to loading points, a development that may lead to a marginal hike of one paisa per unit in power tariff. Since 2009, Coal India Ltd (CIL) has not increased the transportation charges. The company has hiked the charges due to increase in diesel prices and wage costs, company sources said. "When the coal is transported beyond a distance of 3 kms to the loading point, the coal companies shall be entitled to charge additional surface transport costs from purchasers," Coal India said. The revised rates, applicable with effect from November 14, are Rs 57 per tonne for 3-10 kms. Earlier, the charge was Rs 44 a tonne. For a distance of more than 10 kms and not more than 20 kms, the fares is Rs 116.00 per tonne, CIL said. "In cases, where coal is transported for more than 20 kms to the loading point, transport charges will be payable at actual basis, to be borne by the purchaser," CIL said. "For undertaking special sizing or beneficiation of coal, additional charges as may be negotiated between the purchaser and the producer may be realised over and above the pithead prices," it added. CIL in May had raised coal prices by an average of 10 per cent on lower grades of fossil fuel. The world's largest coal producer had also announced a price reduction for higher grades by an average of 12 per cent.

Coal India to supply 65% fuel for first three years

SIDDHARTHA P. SAIKIA

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Ministry to propose revised pact for power firms today

NEW DELHI, JUNE 21: The Coal Ministry will on Friday put up a proposal to the Prime Ministers Office on the new modalities for fuel supply by Coal India Ltd to power producers. According to the Ministrys latest plan, Coal India will supply 65 per cent of the fuel demand for the first three years after signing a fuel supply agreement (FSA). The miner will supply 72 per cent of the demand in the fourth year and 80 per cent from the fifth year. In case of any shortfall from these levels, there would be a flat penalty of around 10 per cent, a Government official told Business Line.
AGAINST PRESENT NORM

This goes against the present FSA norm, according to which Coal India is suppose to supply up to 80 per cent of the fuel requirement. Failing this, there would be a 0.01 per cent penalty, but only after three years. Private power producers are opposed to this monopolistic approach by Coal India. If the PMO agrees to the new plan, Coal India will have to take Board approval to make changes in the current FSA. However, it cannot be predicted till PMO gives its go-ahead, the official said. Apart form this, the PMO will review nine key issues related to the coal sector on Friday, including de-allocation of captive mines, coal import requirement, pool-pricing for imported and domestic coal, new coal auction policy and so forth.
PANEL SET UP

The Government on Thursday set up an inter-ministerial panel to decide on de-allocation of coal blocks given to private companies and not mined till now. The Additional Secretary to the Coal Ministry, Ms Zohra Chatterji, heads the panel, which will have representatives from the Ministries of Power, Steel, DIPP, Finance and Law; and the Chairman of CMPDIL, said a Government official. The Coal Ministry had issued show-cause notices for de-allocation of blocks to 58 companies. The panel will review the replies sent by the companies and recommend the blocks that need to be de-allocated.
(This article was published on June 21, 2012)

Keywords: power producers, fuel supply,

Coal output is key to energy security

ANIL SARDANA
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There is no alternative to developing more domestic coal mines, despite the difficulties involved. Imports are not sustainable.
To maintain India's growth, it is imperative that energy is readily available and is affordable. According to the Ministry of Coal, the gap in demand and domestic supply of coal has increased to 83 million tonnes (MT) in 2010-11 from about 50 MT in 2007-08. With the shortage of coal, generation in different power plants is getting affected. As many as 18 power plants in the country are facing critical levels of coal shortage. Power utilities have already reported a generation loss of 8.7 billion units in 2011-12 (up to February 2012) due to shortage of coal. By the end of the 12th Plan (2012- 2017), which envisages the development of coal-based power plants, the projected gap between demand and supply is likely to reach a colossal 200 MT. Buying coal from abroad to meet the demand deficit may make sense on paper but the very prospect of importing coal in today's circumstances is giving sleepless nights to many power producers. Traditionally, India has been sourcing its coal from Indonesia and Australia. The coal import scenario has drastically changed in

recent times; while the steep carbon tax in Australia at 30 per cent has made coal imports unviable, Indonesia poses significant political and legal risks in the form of the changing regulatory framework for coal imports. The price of coal imports from Indonesia has already increased phenomenally after the local government's fixed coal prices. A further revision may be on the cards since the Indonesian government is considering imposing fresh taxes. The situation on LNG is no better. The absence of new gas finds and declining production from Krishna-Godavari-D6 field is pushing the need for enhanced gas imports.
FUEL AVAILABILITY

Union Petroleum ministry data suggests that LNG imports in 2012-13 is expected to be at 69 million standard cubic metres per day (MSCMD), well over twice the quantity last year. From there on, the imports are expected to increase over 2.5 times to 184 MSCMD in 2016-17. While a combination of high import levels and volatile international prices threatens to destabilise the financial structure of Indian coal and/or LNG-dependent energy companies, many States and their associated regulatory commissions are not reconciled to the twin facts about coal and LNG supplies. They refuse to believe that the country's coal production is in deficit and imports have been increasing each successive year. They also fail to acknowledge that gas supplies from domestic sources are dwindling and the gap would have to be met from expensive imported LNG. Since, power is a concurrent subject, these entities wish to avoid sourcing electricity based on imported fuels. However, avoidance is a temporary reprieve and cannot be sustained for long. The question is: Can India do without energy? The answer is an emphatic No since energy is universally recognised as one of the most important inputs for economic growth and GDP. Economists say the growth of an economy hinges on the reliable availability of cost-effective and environmentally benign energy sources

invulnerable to short- or long-term disruptions. India is no exception to this rule.

SUPPLY AGREEMENTS

It is estimated that in order to sustain a 7.6 per cent GDP growth, as per the Finance Minister's Budget announcement, India would need the power sector to grow by 9 per cent. The Central Government and the Planning Commission have also made necessary announcements about setting up approximately an additional 76,000 MW of power generation facilities. However, simply setting up additional capacities without tying up the fuel requirements for the same is fraught with risks. The Government is well-aware of the problems faced by some of the UMPP projects and the ever-escalating import price of coal and gas. The need of the hour, therefore, is to immediately evolve a long-term National Energy Security Policy. In its Energy Security Policy, the Centre must consider mediating and help resolve the pending fuel supply agreements for longterm fuel linkages in India and abroad. Mining of domestic coal must be accorded the highest priority. In fact, the Government should set up a single window inter-ministerial body for facilitating fast track clearances of coal mining projects. The Government should also consider issuing guidelines on power tariff using bulk sourcing of both imported and domestic fuels. There is an urgent need for the government to fully liberalise the coal business and for Coal India Ltd to step up domestic production, as well as acquire coal mining companies abroad, if necessary. Concurrently, the Government should introduce an independent coal regulator to oversee mine planning and development. The regulator and the Energy Security Policy would together create a conducive and enabling framework which would ensure adherence to investment plans and production schedules to build a road map for commercial mining.
COAL OUTPUT

In India, there are multiple unexplored coal blocks where energy companies government-owned and private can apply for captive mining. However, the inherent challenges are huge and can deter companies from applying. Even in areas which are known to have coal deposits, the distribution of minerals is often uneven and varies drastically from one region to another. Also, a large part of India's coal reserves may not be extractable with current mining technologies. These problems are compounded by delays in approval of investments in the mining sector, infrastructure impediments, the often contentious issue of large scale displacement of tribal population, resistance of locals and environment issues. These issues notwithstanding, as far as India is concerned, there is no alternative to developing more domestic coal mines. While coal has been the mainstay for meeting more than half of India's commercial energy requirements, importing coal is simply not sustainable in the long run. Already, the world's coal reserves have dwindled to 4,200 BT from 10,000 BT over the last 25 years. Therefore, going forward, India's ability to import large quantities of coal will get increasingly restricted. This is all the more reason as to why India should immediately adopt a National Energy Security Policy, look at removing the roadblocks and pave the path for ensuring long-term energy security. (The author is Managing Director, Tata Power)
(This article was published on April 18, 2012)

Keywords: Coal, Output, energy, power generation, fuel supply, agreement

Confederation of Indian Industry for push to infrastructure sector in Punjab budget

TNN Jun 20, 2012, 06.51AM IST

CHANDIGARH: The Confederation of Indian Industry (CII), northern region, has recommended a push for industrial infrastructure, power, health and education in the Punjab Budget 2012-13, to be presented in the assembly on Wednesday. Chairman, CII Punjab state council and MD, International Tractors Ltd, Deepak Mittal, said that "the government should take a judicious view of subsidies to reduce deficit. This would help improve the state's economy to a great extent and reduce the burden on state's exchequer." Vice-chairman, CII Punjab state council and director, Vardhman Textiles Ltd, D L Sharma, was of the view that "allocation of funds for maintenance of industrial infrastructure is imperative for industrial growth, without which the industry can't grow." Immediate past chairperson, CII Punjab state council and director, GDPA Fasteners, Kamna Raj Aggarwalla, felt that "priority needs to be accorded to health and education sectors in the budget since these are going to be most crucial in coming times". Co-convenor, CII Punjab agri and water panel, B S Sangha, hoped that the government would come up with schemes for food processing and cold chains to prevent wastage of agriculture produce. Regional director, CII northern region, Pikender Pal Singh shared that "Apart from adequate funding for timely execution of power projects in Punjab, allocation is also needed towards strengthening transmission and distribution systems to reduce T&D losses". This would alleviate the power crisis in the state and hence help the industry, he added.

CoS calls meet of EGoMs to resolve power sector issues

Noor Mohammad | New Delhi | Updated: Jan 31 2012, 01:58 IST SUMMARYThe

Pulok Chatterjee-led committee of secretaries has begun work on resolving issues threatening growth of the Indian power sector by convening meetings of two empowered groups of ministers one on gas allocation and another on ultra mega power projects.
The Pulok Chatterjee-led committee of secretaries (CoS) has begun work on resolving issues threatening growth of the Indian power sector by convening meetings of two empowered groups of ministers (EGoMs) one on gas allocation and another on ultra mega power projects (UMPPs). The fuel-related issues being considered by the two EGoMs is critical for future growth of power sector where investment of over $200 billion is proposed during the Twelfth Five year Plan (2012-17). The committee has also proposed a meeting of the inter-ministerial panel to resolve issues relating to short supply of domestic coal to power projects. Sources said the committee has identified five key areas gas linkage, Coal India Limited's fuel supply agreement, diversion of surplus coal from captive mines, forest clearance for allocated captive coal mines located in dense forests and Indonesian coal pricing issues relating to the Mundra and Krishnapatnam UMPPs for the government intervention. These would be taken up on priority basis as the committee has been given the mandate to resolve all issues in three months. We have a lot of expectation from the committee. The Prime Minister has promised to reolve all power sector issues in a time bound manner, Association of Power Producer's director-general Ashok Khurana said. The constitution of the commitee is being seen as an intevention by the Prime Ministers Office (PMO) to ensure that inter-ministerial wranglings did not impede growth of critical infrastructure. Though government agencies and ministries have been aware of the problems, decisions have been pending for a long time. This has severely affected the power sector which is expected to end the 11th Plan with a capacity addition of mere 42,000-45,000 MW against the original target of 78,700 MW. Few days in to its constitution, the Chatterjee-led commitee has called for a meeting of the EGoMs on gas allocation on February 14, while a similar committee is also expected to meet shortly to look into the Indonesian coal pricing issues affecting Mundra and Krishnapatnam UMPPs which are caught in a contractual bind.

The EGoM on gas allocation has been asked to ensure gas linkage to power projects worth

Cybersecurity projects next on Israel-India agenda

An Indian student in Tel Aviv is behind a new wave of cooperation between Israeli and Indian enterprises
BY DAVID SHAMAH June 24, 2013, 5:21 am

Vishal Dharmadhikari (Photo credit: Courtesy)

To the already robust cooperation between Israel and India, add the field of cybersecurity, with Israeli companies being recruited to protect Indias networks, databases, and enterprise computer systems. Cooperation in this area is new, and its the result of hard work by Vishal Dharmadhikari, a student at Tel Aviv University who is a member of a program called theIsrael-Asia Fellowship, providing Asian students who are enrolled in degree programs in Israel and show potential to be leaders in their fields in the future with an 8-month leadership program, helping them build high-level professional partnerships with Israel in their chosen fields.

Israel has a lot of sophisticated technology, especially in cybersecurity, that India needs, Dharmadhikari told The Times of Israel. India has endless markets for this. Both sides would benefit significantly if they cooperated in this field. To enhance that cooperation, Dharmadhikari organized a cybersecurity conference at Tel Aviv University. Held in the framework of the last months International Cybersecurity Conference of Tel Aviv Universitys Yuval Neeman Workshop, Dharmadhikaris event, called India-Israel Cybersecurity Connect, featured speakers from Israeli and Indian tech companies, as well as diplomats and cybersecurity experts Like Israel, India is surrounded by hostile countries, with individuals, groups, and perhaps even governments managing ongoing cyberattacks against networks throughout the country. Cybercrime is also a major problem, with many online businesses lacking the sophisticated software needed to protect their systems. Israel also faces those problems, but has done an excellent job of keeping its systems safe. So, it makes sense for India to take advantage of Israeli cybersecurity technology. Pakistan, of course, is a country from where many of the attacks on India originate, said Dharmadhikari. But China is also a major source. Both these and other countries send worms and Trojans into our systems to steal data, and launch DDOS (denial of service) attacks with the purpose of disrupting our services. Israel recently successfully fought off a major DDOS attack by Anonymous, and we want to be able to do that as well. Dharmadhikari sees Israeli cybersecurity companies as a source for companies in India engaged in cybersecurity work to draw from. A good example is the joint arrangement between Israels Sentropi, a developer of security solutions, and E-Core Techno, a company in India that markets Sentropis technologies in dozens of verticals in the Indian market. Sentropi has the technology and E-Core uses it to develop solutions specifically for the Indian market. My objective is to get more companies to work together in this manner, said Dharmadhikari. Dharmadhikari isnt sure why such cooperating hasnt been promoted before. Frankly its a bit surprising that the two governments have not developed an official program to encourage cybersecurity cooperation, considering how much other cooperation there is between India and Israel. But maybe its for the best that the governments have left the cybersecurity arena to private companies. There is only so much governments can do, and so far much of the work being done by Israel in India is a result of government cooperation, said Dharmadhikari. This needs to shift to the private sector, and cybersecurity cooperation is a good place to start.

Dubai beckons Indian power companies

Rakesh Kumar Kubde November 20th, 2012
inShare

Dubai Energy and Water Authority wants Indian companies to help change its energy dependence from natural gas to a more sustainable mode. The current power generation, using natural gas, is 8,000 MW. Dubai Integrated Energy Strategy-2030 envisages the total generation mix to be 71 per cent from natural gas, 12 per cent each from clean coal and nuclear power and the balance five per cent from renewable energy. The requirement is expected to grow over six per cent each year or an incremental 500 MW annually to touch about 18,000 MW in the year 2030. Our annual growth rate till 2008 was 12-14 per cent. Now, it has reduced, it is still at about six per cent per annum, said A.S.A. Hameed, Senior Manager- Contracts, Dubai Electricity and Water Authority (DEWA). Major companies Ten major companies such as Nagarjuna, Jyothi Structures, Pratibha Industries and HCL Info Systems have been awarded contracts worth over two billion dirhams ($545 million) since 2008. Besides this, others supplying cables, transformers and conductors also received another two billion dirhams ($545 million) worth of orders, he said.

MUMBAI, NOV. 19: Dubai Energy and Water Authority wants Indian companies to help change its energy dependence from natural gas to a more sustainable mode. The current power generation, using natural gas, is 8,000 MW. Dubai Integrated Energy Strategy-2030 envisages the total generation mix to be 71 per cent from natural gas, 12 per cent each from clean coal and nuclear power and the balance five per cent from renewable energy. The requirement is expected to grow over six per cent each year or an incremental 500 MW annually to touch about 18,000 MW in the year 2030. Our annual growth rate till 2008 was 12-14 per cent. Now, it has reduced, it is still at about six per cent per annum, said A.S.A. Hameed, Senior Manager- Contracts, Dubai Electricity and Water Authority (DEWA).
MAJOR COMPANIES

Ten major companies such as Nagarjuna, Jyothi Structures, Pratibha Industries and HCL Info Systems have been awarded contracts worth over

two billion dirhams ($545 million) since 2008. Besides this, others supplying cables, transformers and conductors also received another two billion dirhams ($545 million) worth of orders, he said. Post-2008, the government is also open to independent power producers setting up generation facilities either on build-operate-transfer or buildown-operate-transfer mode, he said. Recently, the first IPP proposal for a 1,200 MW natural gas-based project at Hassyan has been deferred, following the 2030 guidance.
1000 MW SOLAR

Dubai plans to have 1,000 MW of solar power in its energy portfolio, which is solely dependent on natural gas. The UAE government has earmarked about 120 sq km, near the city, for setting up of a 1,000 MW solar park. shanker.s@thehindu.co.in
(This article was published on November 19, 2012)

Keywords: Dubai Energy and Water Authority, Dubai Integrated Energy Strategy-2030, Dubai Electricity and Water Authority, Nagarjuna, Jyothi Structures, Pratibha Industries and HCL Info Systems have been awarded contracts

EC allows launch of first all-woman Bharatiya Mahila Bank

By PTI Nov 18 2013 , New Delhi Tags: News The Election Commission has allowed the launch of the first all-woman Bharatiya Mahila Bank in the country tomorrow but asked government not to open its branches in Delhi and Madhya Pradesh and neither do publicity of the bank in these poll-bound states. In a letter to the Finance Ministry, the Commission has said government should ensure that no publicity of the bank opening be done in poll-bound states. Prime Minister Manmohan Singh and UPA Chairperson Sonia Gandhi are expected to be present at the inaugural ceremony of the country's first all-woman bank in Mumbai tomorrow, coinciding with the birth anniversary of former Prime Minister Indira Gandhi. Finance Minister P Chidambaram will also attend. Government earlier wanted to launch the bank in Delhi but changed its plan in view of the Model Code of Conduct in force in the capital. With the inauguration of the bank, seven branches would become operational across the country, including in Kolkata, Chennai, Ahmedabad and Guwahati. The government proposed opening of the bank branches in Delhi and Indore also, which has been disallowed by the poll body till the end of polls. Headquartered in Delhi, the bank proposes to have 25 branches by March 31, 2014. The Finance Minister had announced the setting up of the all-woman bank in his Budget speech this year. The bank will be set up with an initial capital of Rs 1,000 crore. The Reserve Bank of India gave its in-principal approval for the Bharatiya Mahila Bank in June. Earlier this week, the government appointed Usha Ananthasubramanian as the bank's Chairperson and Managing Director. "Women are heads of many banks today, including two public sector banks, but there is no bank that exclusively serves women. Can we have a bank that lends mostly to women and women-run businesses, that supports women SHGs and women's livelihood, that employs predominantly women, and that addresses gender-related aspects of empowerment and financial inclusion? I think we can," Chidambaram had said.

Energy Storage India leading conference and expo addressing the need for energy storage solutions
IndianPowerSector.com November 20th, 2013 0 Premiere announced for December 4 to 6 at Nehru Centre in Mumbai The premiere of Energy Storage India is announced for December 04 to 06 2013 in Mumbai. Energy Storage India (ESI) is the leading conference and expo addressing the need for energy storage solutions in India. ESI will be the first energy storage conference and exhibition in India to focus exclusively on applications, customers and deal making. It is poised to provide a first-class networking event to drive energy storage market expansion in profitable applications highlighting the synergies, inter-relationships and new business opportunities for transmission, distribution, customer-sited, microgrids/campuses and mobility (electric vehicle charging) applications. The event is member of the World of Energy Storage, the product family of energy storage conferences and expos established by Messe Dsseldorf. Energy Storage India is organized by Messe Dsseldorf India Pvt. Ltd. together with the India Energy Storage Alliance (IESA). India is one of the fastest growing economies in the world, with current electricity generation capacity of 212 GW to meet the needs of over 1.2 Billion people. Experts forecast that India needs to add at least 250-400 GW of new generation capacity within the next two decades to keep up with steep demand growth. The country is relying on the adoption of renewable energy sources such as wind and solar for meeting the growing supply demand gap. The launch of Jawaharlal Nehru National Solar Mission (JNNSM) a joint initiative of the Ministry of New and Renewable Energy (MNRE) and Ministry of Power will integrate 20 GW of solar generation into grid. Wind energy is also pegged as a key growth driver with the sector targeting 30 GW by 2020. Currently, India ranks fifth in terms of installed capacity from wind energy projects globally which has reached 19 GW of wind power. As a result, there is an increasing need to balance supply and demand at any time, enabling more flexible grid management & ensure optimized levels of energy efficiency. India presents a large untapped opportunity for advanced energy storage system providers throughout the electric power system. Many applications, both on the utility-side and customer-side of the meter, demand the benefits of smaller, lighter and longer-life, flexible energy storage solutions creating tremendous new project development and business opportunities. As a low-cost global technology leader, lndia also offers opportunities for partnering with world class manufacturing and system integration companies that can leverage domestic manufacturing capabilities and access to supply chain to simultaneously provide economies of scale that can help transform global energy storage market.

Realizing the growing importance of Smart Grid technologies in the Indian power sector, the Ministry of Power (MoP) has also released the Smart Grid Vision and Roadmap for India at the Power Ministers Conference in Delhi on 10th Sep 2013. In order to achieve its vision, MoP is seeking active participation from various stakeholders to formulate state/utility specific policies and programs in alignment with its broad policies and targets to achieve objective of Access, Availability and Affordability of Power for All. There are several drivers for the need to develop Smart Grid solutions in India, which in turn could lead to growth in micro grids integrated with energy storage. Some of the drivers are as below: Access, availability of power via Microgrids, Renewable sources & Energy Storage This will be in alignment with Smart Grid vision for India along with Indias aggressive renewable generation program. Under the Smart Grid roadmap MoP has targets for: Development of Microgrids, energy storage options, virtual power plants (VPP), solar photovoltaic to grid (PV2G), and building to grid (B2G) technologies in order to manage peak demand, optimally use installed capacity and eliminate load shedding and black-outs. Microgrids in 1000 villages/industrial parks/commercial hubs by 2017, 10,000 villages/industrial parks/commercial hubs by 2022, and 20,000 villages/industrial parks/commercial hubs by 2027 which can island from the main grid during peak hours or grid disturbances. Setting up of Renewable Energy Monitoring Centres (REMCs) and Energy Storage Systems to facilitate grid integration of renewable generation. Promotion of smart rural microgrids under Rajiv Gandhi Grameen Vidyutikaran Yojana (RGGVY) may be accorded priority to address both access and availability concerns of rural electrification. These will help push technology, business case, and regulatory frameworks for smart grids, microgrids integrated with energy storage. Smart Grid, Energy Storage to help Electric Mobility India has also recently launched a National Mission on Electric Mobility with a target of 6 million electric vehicles (4 million two-wheelers and 2 million four-wheelers) by 2020. These millions of EVs connected to the power system can be leveraged as virtual power plants (VPPs) that can store energy when there is surplus generation and support the grid during moments of deficit. Vehicle to Grid (V2G) technologies are evolving rapidly that can achieve these objectives. To achieve these objectives the Smart Grid roadmap targets to introduce Battery Parks and other Energy Storage Systems on trial basis under the 12th Plan, and large roll outs of Energy Storage Systems, EV charging stations in all urban areas and strategic locations on highways under the 13th Plan. Reduction in Transmission and distribution losses The transmission and distribution losses are still very high in the Indian power system and distribution network (aggregate technical & commercial, or AT&C) loss

reduction continues to be the top priority of both utilities and government. Smart grid solutions will help monitor, measure and even control power flows in real time that can help identify losses and thereby appropriate technical and managerial actions can be taken to arrest the losses. Smart Grid road map targets Reduction of AT&C losses in all Distribution Utilities to below 15% under 12th Plan, below 12% under 13th Plan, and below 10% under 14th Plan. Microgrids will play major role to achieve these targets to reduce the AT&C losses. National Smart Grid Mission (NSGM) In order to effectively implement the goals conceived in the Smart Grid Vision and Roadmap, MoP is targeting to launch the National Smart Grid Mission (NSGM) in 2014.The NSGM Secretariat will work closely with all industry stakeholders and through a process of consultation to conclude all issues related to standards, regulation and policy, engineering design, process methodologies, technology selection etc. National Electric Mobility Mission Plan (NMEM) NMEM is amongst the most significant interventions of the Ministry of Heavy Industries, Government of India that promises to transform the automotive paradigm of the future by lessening the dependence on fossil fuels, increasing energy efficiency of vehicles and by providing the means to achieve ultimate objective of cleaner transportation that is compatible with sustainable renewable energy generation. The Ministry further approved taking up this initiative on National Mission Mode along with setting up of high level apex structure in the form of National Council for Electric Mobility (NCEM) & National Board of Electric Mobility (NBEM). In order to fast track the introduction & manufacturing of full range of electric vehicles including hybrids a National Electric Mobility Mission Plan (NEMMP) 2020 was approved which aims to sell around 6 million units of xEVs by 2020. About: Energy Storage India Energy Storage India (ESI) is the leading conference and expo addressing the need for energy storage and microgrid solutions in India scheduled from December 0406, 2013 at the Nehru Centre in Mumbai. The debut edition of the Energy Storage India, will welcome around 200 top industry experts from 10+ countries worldwide. Excellent speeches will come from 40+ speakers in 8 focused sessions and additional workshops that will addresses issues covering policy framework, international case studies, challenges & solutions for wind and solar integration, rural microgrids and energy access, electric transportation, smart cities / townships and emerging technologies. India Energy Storage Alliance (IESA) The India Energy Storage Alliance (IESA) was launched by Customized Energy Solutions in 2012 as a platform to promote Energy Storage and microgrid technologies and their applications in India. IESA does this by creating awareness among various stakeholders to make the Indian industry and power sector more

competitive and efficient, and by promoting information exchange between technology providers, project developers and the end users to assist with more informed decision making. Messe Dusseldorf is one of the worlds largest organizers of international trade fairs for the machinery, medical, fashion and leisure industries. With a total exhibition space of 306,000 sqm (of which indoor: 262,700 sqm) in Dsseldorf, the company is one of the largest in the industry. More than 40 annual fairs are staged at the premises in Dsseldorf, including 23 leading events in their respective sectors. November 2013 Contacts: Mr. Sachin Patil Senior Project Manager Messe Dsseldorf India Pvt. Ltd. E-mail: PatilS@md-india.com

Fairwood to make India global hub for green energy solutions

By Ritwik Mukherjee Nov 17 2013 , Kolkata Tags: News Fairwood Smart Green, a wholly owned subsidiary of the Singapore-headquartered Fairwood Smart Green Global, has lined up plans to eventually turn the Indian operation into global production hub for hardware and software for hi-tech automation products and solutions for renewable and infrastructure projects across the world. Singapore-based Fairwood group and Slovenia-based Robotina Group are two major shareholders in the company. With this in view, the company has already set up a large production facility at Gurgaon with a total capital outlay of Euro 1 million, which will primarily cater to Indias growing renewable power sector and eventually come up as a global sourcing hub. The manufacturing facility at Gurgaon will be making a range of hi-tech energy conservation devices, including the Hybrid Green Box, a stand-alone energy production and management system, which combines solar plant production, other renewable energy systems, for rural and remote locations and urban areas, Vikas Chopra, CEO, said. This will manufacture 5000 units of different sizes in the first year, but it has capacity of manufacturing 15000 units in the same facility, which is further expandable. This is just the beginning. We can either expand in the same facility or look at o ther locations as and when India becomes a sourcing hub for West Asia, Europe and other Asian countries, he said. The company has also started working with an NGO at a far-flung village in Jhansi with the objective of empowering homes, irrigation wells, community centers and primary schools. The company has set a target of covering 200-500 villages for rural electrification across various states of India including Bihar, Orissa, Uttarakhand, Uttar Pradesh, Himachal and Northeast states. The same model will be replicated in other Asian countries as well, he said. The huge potential and vast scale of the Indian market have been the two key reasons for Fairwood Smart Green to set up its production facility in India. We aim to establish India as a base for production of hardware and software for hi-tech automation products and solutions for renewable and infrastructure projects across the world. The potential for off-grid, mini-grids, and smart-grids, is enormous in rural and remote areas of India, as well as in other countries of Asia, such as Indonesia, Philippines, etc . Announcements in this regard will follow soon, said Ranbir Saran Das, vice chairman, Fairwood Group. Devid Palcic, CEO of Fairwood Smart Green Global, on his parts, said that the whole idea is to offer services that are responsible for overall reduction in energy and optimisation of manpower requirements, with features supporting remote management of energy, manpower, safety, security, failure detection and preventive maintenance. The Hybrid Green Box, for instance, is an integrated power generation system, which is easy to install and provides efficient, reliable and sustainable power supply. All products have integrated intelligence and feature full remote monitoring and management. This unique concept enable green boxes to be integrated into smart city concept, to be included in the virtual power plants

and to provide full demand side management, ensuring energy where and when most needed, said Palcic.

festivals of India
India is a land of fairs and festivals. As different communities belonging to different religions live here, therefore many festivals are celebrated regularly every year. Among these festivals, some are religious; some are based on seasons while some are of national importance. All the festivals are celebrated with great enthusiasm in a colourful atmosphere. Diwali, Dussehra, Raksha Bandhan, Id-ul-Fitr, Id-ul-Zuha, Christmas, Mahavir Jayanti, Gurunanak Jayanti, Ganesh Chaturhi etc. are the religious festivals of India. These festivals are celebrated by different communities but they are celebrated as a whole. We can see festive atmosphere everywhere in India. Holi, Baisakhi, Basant Panchami, Bihu, Pongal, Onam etc. are seasonal or harvest festivals. The spirit of Holi is colour-rich and vibrant, flung into the air and smeared with immense joy on friends and dear onces. This festival marks the end of winter season and advent of bright days of summer. Baisakhi, a harvest festival, is celebrated in North India, particularly in Punjab and Haiyana, when the Rabi crop is ready for harvesting. In South India, during the same period, 'Pongal' is celebrated. The farmers worship the sun, the earth and the cattle as thanks giving for a bounteous harvest. And then there is Basant Panchami. It marks the arrival of sweet spring the season of pleasant breeze, flowers and fragrance. All fill life with vigour and vitality. Hence people celebrate this festival with great zeal and excitement. Then comes our national festivals- the Independence Day, The Republic day and the Gandhi Jayanti these festivals are celebrated by all communities through out the country. The Independence Day celebrated on 15th August every year reminds us those numerous freedom fighters that made the Britishers leave the country. They gave us our long-cherished freedom. The Republic day, which falls on 26th January, is observed with national feeling. This festival fills us with pride that now we live in a sovereign democratic republic country with a constitution of our own. On this day colourful parade starts from Vijay Chowk which ends at the Red Fort. Similarly Gandhi Jayanti is also celebrated nation wide. It falls on 2nd October, the birthday of Mahatma Gandhi, the father of Nation. Whole nation pays heartiest tribute to our revered soul, who lived and died for the country. The festivals make our life colourful and enthusiastic. They bring people together. They come every year to make us forget all ill-will and communal hatred the festivals strengthen the feeling of oneness too people, without any malice, meet with one another and wish for bright future. Thus, festivals are very important and they must be celebrated with pomp and show by all

India is a land of great diversity. It described as a land of many religions and innumerable languages, it might well be described as a land of festivals as well. Indians love celebrating. Every little occasion from the harvesting of crops, welcoming the spring or rain, to seeing the full moon lends itself to joyous celebrations splashed with colors, music, folk dances and songs. Even the birthdays of divine beings are celebrated by connecting them with particular festivals. The Indian calendar is one long procession of festivals. These are as varied in origin as they are large in number. India is a multilingual, multi-religious, multi-cultural nation. The homes are neatly decorated, new dresses are worn for every occasion, prayers offered to Gods, and lot of sweets and goodies are cooked. Most of these festivals are common to most part of India however they may be known by different names in different parts of the country. Different cultures also mean that different rituals are followed. Indian festivals are celebrated according to the solar and lunar calendars. Consequently, dates & months may vary accordingly.

Here's a list of common festivals celebrated all over India.

January:
Lohri : Lohri marks the culmination of winter, and is celebrated on the 13th day of January in the month of Paush or Magh, a day before Makar Sankranti. For Punjabis, this is more than just a festival, it is also an example of a way of life. Lohri celebrates fertility and the spark of life. People gather round the bonfires, throw sweets, puffed rice and popcorn into the flames, sing popular songs and exchange greetings. Makar Sankranti / Pongal : These are celebrated predominantly in the southern part of India. This harvest festival marks the commencement of the sun's journey to the Northern Hemisphere. People take dips in rivers and worship the sun In Gujarat, Makar Sankranti is celebrated by the flying of kites. Republic Day: Celebrating the anniversary of India's establishment as a Republic 26th January 1950, all the state capitals resound with the beating of drums and parading of the army. Delhi, the national capital of India has the grandest parades, displaying India's strength in terms of the armed forces and weapons. These are followed by floats and dancers from all parts of the country.

February :
Maha Shivratri :Maha Shivaratri This is a day of fasting dedicated to Lord Shiva, the third deity of the Hindu trinity. Religious people stay awake and chant prayers the whole night. Processions to the festivals are followed by chanting of mantras and anointing of lingams. Vasant Panchami is a festival in honor of Saraswati, the goddess of wisdom and learning.

March :
Holi : This is one of the most exuberant festivals and also the most colorful. It heralds the advent of spring and the end of winters. It is celebrated by throwing colored water and powder at each other. On the eve of Holi, bonfires are built to symbolize the destruction of the evil demon Holika. Mahavir Jayanti : is a major Jain festival and commemorates the birth anniversary of Mahavira, the 24th and last Jain Tirthankar. It is a day of prayer. There are celebrations in all Jain temples and pilgrimages to Jain shrines. Ram Navami : is the day of Rama's birth and is celebrated as a day of great piety, with the chanting of prayers and the singing of ballads.

April :

Easter and Good Friday : Good Friday is observed in India in April every year, broadly on the pattern adopted worldwide. Christians from all stratas of society visit the Church to attend the Mass held on this occasion. Easter Sunday, which follows Good Friday is celebrated with much joy and gaiety. Processions are taken out in some parts of the country. Baisakhi : Baisakhi, celebrated with joyous music and dancing, is New Year's Day in Punjab. It falls on April 13, though once in 36 years it occurs on 14th April. It was on this day that the tenth Sikh Guru, Guru Gobind Singh, founded the Khalsa (the Sikh brotherhood) in 1699. The Sikhs, therefore, celebrate this festival as a collective birthday.
Id-ul-Fitr or Ramazan Id : is a day of feasting and rejoicing as it marks the end of the end of

Ramazan (Ramadan), the Muslim time of fasting.

May - June :
Buddha Purnima : The Buddha's birth, enlightenment and his reaching nirvana are all celebrated on this day. The Buddha is supposed to have gone through each of these experiences on the same day, but of different years.

July :
Naga Panchami :This festival is dedicated to Ananata, the serpent whose coils Lord Vishnu rests between universes. Offerings are made to snake images. Snakes are supposed to have the power over the monsoon rainfall and keep evil from homes.

August :
Raksha Bandhan : is an integral part of the Hindu family structure whereby a woman ties a rakhi or decorative thread on the wrist of her brother to remind him to protect her if the need arises. Independence Day : The anniversary of India's independence commemorates the day on August 15th. The prime Minister delivers an address from the ramparts of Delhi's Red Fort. It is celebrated all over the country with meetings and flag-hosting ceremonies.

September - October - November :

Janamashtami : The birth of lord Krishna, the eighth incarnation on earth of Lord Vishnu, is celebrated throughout India. Devotees celebrate it by fasting and prayers, which is followed by feasting and merriment. Id-ul-Zuha or Bakrid : celebrates the sacrifice of Hazrat Ibrahim, who willingly agreed to kill his son at the behest of God. To celebrate the event Muslims sacrifice one animal per family or group of families. There are prayers in mosques, feasting, and rejoicing. New cloches are worn and visits and greetings are exchanged. Onam : is celebrated Kerala, Andhra Pradesh and Tamil Nadu. It is celebrated against a setting

of lush green vegetation. This picturesque harvest festival brings ten days of colour, feasting, boat races, song and dance to the state. Ganesh Chaturthi : This festival is dedicated to the popular elephant headed God, Ganesha. Pune, madras, and Bombay are the important centers of celebration. In Maharashtra, huge images of Ganesha are carried in procession. On specific dates in the following ten days, these images are immersed in the sea or rivers with thousands of worshippers dancing and singing after them. Navaratri/Dussehra/Durga Pooja. : Navaratri, the Festival of Nine Nights, is celebrated in honor of goddesses Durga, Lakshmi, and Saraswati. The tenth day, Dussehra, commemorates the victory of Rama, of the epic Ramayana, over Ravana. In many places it culminates with the burning of huge images of Ravana and his accomplices, celebrating the victory of the good over evil. Re-enactments of the epic Ramayana takes place in various places. Gandhi Jayanthi : A solemn celebration marking the birth date of Gandhiji, the father of the nation, includes prayer meetings at the Raj Ghat where he was cremated. Diwali or Deepawali : This is perhaps the happiest of Hindu festivals.Of all the festivals celebrated in India, Diwali is by far the most glamorous and important. is a festival of lights symbolizing the victory of righteousness and the lifting of spiritual darkness. Countless number of lamps are lighted at night, giving the impression that the stars have descended on earth. Gurpurab: The birth anniversaries of Guru Nanak, the founder of Sikhism (October-November), and of Guru Gobind Singh, the last Guru (December-January), are important festivals of the Sikhs. In addition to the reading of the holy verses, the Guru Granth Sahib, the Sikh holy book, is carried in procession. Govardhan Pooja : A Hindu festival dedicated to the holiest of animals for the Hindus, the cow. Bhai Dhuj Guru Nanak Jayanthi is celebrated as the birth anniversary of Guru Nanak, the founder of Sikh religion.

December :
Christmas : Christians in India celebrate their festivals broadly on the pattern adopted worldwide.
However some influence of local Indian tradition has been absorbed into the festivities. . Christmas is a major event in all Indian Christian households and one can see Goa come to life at this time of the year. Festivals of India are characterized by color, gaiety, enthusiasm, prayers and rituals. Foreign travelers are struck by the scale and multiplicity of Indian festivals that have evolved in the society. Diwali, the popular festival of Indians, celebrates the return of Lord Rama and Sita from exile. Diwali is also called as thefestival of lights. It usually falls between 15th October and 15th November. It is celebrated because on that day hundreds of years ago lord ram returned home to Ayodhya after 14 years of being into exile.

It also celebrates the day Mother Goddess destroyed a demon called 'Mahisha' & Victory of Good over evil. The day is celebrated by lighting lamps, diyas, visiting relatives, feasting, and displaying fireworks. Major Festivals of India Makar Sankranti | Baisakhi | Diwali festival | Durga Puja | Dussehra | Onam | Holi | Janmashtami | Karwa Chauth | Maha shivaratri | Naag Panchami |Ganesh Chaturthi | Navratri | Pongal | Raksha bandhan | Guru Nanak Jayanti | Lohri | Eid ul Fitr | Muhorram| Ram Navami | Christmas | Good Friday | Gandhi Jayanti | Independence Day | Republic Day | Jamshed Navroz | Buddha Purnima | Hemis Gompa | Other Festivals in India : The word festival means feast day, festive celebration. As kids, when there used to be festivals the only thing that came to our minds was holidays and sweets that in turn meant lots of fun. India being a society of may religions there are a lot many festivals. For the Hindus there is diwali, for the Muslims there is id, for the Christians its Christmas and for the Parsis its the New Year and apart from all these days there are two other days that are celebrated by all Indians irrespective of cast, creed or sex. Yes, its 26th January and 15th August. i.e. republic day and the Independence Day Dusshera in India is another festival celebrated by the Hindus. It marks the victory of good over evil. On that day lord ram killed the evil Ravana. On dusshera an effigy of Ravana is burnt at many places. Ramzan Id is the most important festival in the Muslim calendar. A month long fasting and prayers is followed by Ramzan Id. Its said that during this month all the prayers and wishes of an individual comes true. Christmas in India - Christmas marks the birth of Jesus Christ on 25th December every year and is an inseparable part of Christians all over the country and the world. Santa Claus, gifts, cakes, cookies, and the beautifully decorated Christmas tree with a midnight mass depicts he beginning of Christmas. Easter is another important festival for Christians. Its usually falls in the month of March or April. 40 days fast is followed by Good Friday and Easter. On this day Jesus Christ rose from the dead and ascended into heaven. Easter eggs and Easter bunnies are a major attraction during Easter. Parsi New Year is one of the most important days in the Parsi community. It marks the beginning of a New Year filled with joy and prosperity. 15th august is celebrated by all Indians because on this day in the year 1947 India received independence from the British rule in India. Holi is another festival that is celebrated by all communities. Its a festival of colours. It marks the beginning of summer season and so water balloons are burst to beat the heat. Some other festivals that are celebrated happily all over the country are Onam, Baisakhi, Pongal, Mahavir Jayanti, Buddha Jayanti, Guru Purnima, Raksha Bandhan, Krishna

Janmashtami, Gandhi Jayanti, Kumbh Mela, Childrens day, Ganesh Chaturthi and many many more festivals. Festivals bring joy and happiness in our lives. If we celebrate all festivals alike we can spread the message of joy, happiness, brotherhood and humanity among one another and live as one family and community.

Festivals Of India
India is often described as a land of many religions and languages, but it might as well be described as a land of festivals. Some festivals are observed throughout the country; others have specific regional associations. India celebrates holidays and festivals of almost all the faiths in the world. In one region or the other, festivals happen almost every day, each with a specialty of its own. Each festival in each region has its own particular foods and sweets appropriate to the season and crops, and days are spent in their careful preparation. There are three National holidays: Independence Day: This is celebrated on 15th August as India gained independence from British rule on this day in 1947. Republic Day: This is celebrated on 26th January. On this day India became a republic. Gandhi Jayanti: This is celebrated on 2nd October which is father of the nation Mahatma Gandhis birthday. Following are some of the major festivals from India. Diwali: Deepawali literally means an array of lamps is the Festival of Lights. Depawali is the occasion of joy and jubilation for one and all in the entire Hindu world. All the illumination and fireworks, joy and festivity, signifies the victory of divine forces over those of wickedness. Deepawali symbolizes the victory of righteousness and the lifting of spiritual darkness. Depawali is a festival that lasts 5 days. In North India, Depawali is associated with the return of Sri Rama to Ayodhya after vanquishing the demon Ravana. The people of Ayodhya, overwhelmed with joy, welcomed Rama through jubilation and illumination of the entire capital. In South India, Diwali is celebrated to commemorate the victory of Lord Krishna over the demon Narakasura. To the Jains, Depawali has an added significance to the great event of Mahavera attaining the Eternal Bliss of Nirvana. Though, Diwali is mainly a 5 day festival but people start preparing for Diwali weeks ahead by cleaning and decorating their households. It is said that Lakshmi, Goddess of

wealth roams the earth on this day and enters the house that is pure, clean and brightly illuminated. It is also the beginning of the new financial year for the business community. For More information on Diwali Click Here Bhai Dooj: Bhaiya Duj is the festival that is celebrated on the fifth day of Diwali and it falls on second day after Diwali that is on 'Shukla Paksha Dwitiya' in the Hindi month of 'Kartik'. 'Dwitiya' means 'Duj' or the second day after the new moon. This festival is popular in different regions with different names such as 'Bhai-Dooj' in north India, 'Bhav-Bij' in Maharashtra, 'Bhai-Phota' in Bengal and 'Bhai-Teeka' in Nepal. On this day sisters perform 'aarti' of their brothers and apply a beautiful 'Tilak' or 'Teeka' on their forehead. Then they offer sweets to them. Then the brothers and sisters exchange gifts with each other. Sisters are lavished with gifts, goodies and blessings from their brothers. For More information on Bhaiduj Click Here Dussehra or Vijayadashmi: Dussehra or Navratri is one of the most popular festivals of India. Dussehra is the anniversary of the victory of Goddess Durga over the buffalo-headed demon, Mahishasura, giving the goddess her name Mahishasura-Mardini (the slayer of Mahishasura). Dussehra also commemorates the victory of Lord Rama over Ravana of Lanka. The theme of this festival is the victory of good over evil. For more information on Dussehra click here. Ganesh Chaturthi: Ganesh Chaturthi, the birthday of Lord Ganesh, is celebrated in August-September. Ganesh is the elephant headed son of Goddess Parvati, consort of Lord Shiva. In Maharashtra, it is most important festival and is celebrated for 10 days. It is celebrated from 4th to 14th day of bright fortnight of Bhadrapad month. In Tamil Nadu, Maharashtra and Andhra Pradesh, images of Ganesh made of unbaked clay are worshipped on this day in every house. A special sweet called Modak is prepared on this occassion. To mark the end of the festivities, the clay idols are immersed in water. Holi: The full-moon day in February-March is celebrated as Holi, the festival of colors. Holi is a festival of fun and gaiety for people of all ages. Bonfires are lit and people smear colors on each other. Holi signifies the start of spring and end of winter. People celebrate the new harvest and return of color in nature. The mythological origin of this festival varies in North and South India. In the South, especially in Tamil Nadu and Kerala, it is believed that Kama Deva, the God of love, aimed his arrow at his wife Rati. The arrow hit Shiva by mistake. Kama was burnt to ashes by the fire coming out of the third eye of the enraged Lord Shiva. Rati, was so grief-stricken that Shiva relented and granted her the power to see Kama deva but without a physical form. In Tamil Nadu, the festival known as Kaman vizha, Kaman pandigai, or Kama Dahanam commemorates the burning of Kama. In the North, it is believed that a mighty King Hiranyakashipu ordered his people to worship him as a God. But Prahlad, his only son, refused to accept his father as a God,

because he believed only in Lord Vishnu. The King tried to kill his son, but every time Prahlad was saved as he uttered the name of Vishnu. Finally, Prahlad's aunt Holika, claiming herself to be fireproof, took the child in her lap and sat in the fire to burn him alive. When the fire subsided, the king found, the child alive while Holika had perished. In North India, grains and stalks saved from the year's harvest are offered to Agni, the God of Fire. Holi fire is a symbol of destruction of all filth and impurity be it physical or mental. For more information on Holi Krishna Janmastami: The birth of Lord Krishna an incarnation of Lord Vishnu is celebrated on the eight day (Ashtami) of a lunar fortnight in August-September hence the name (Krishna + ashtami). Krishnastami is celebrated over two days. This first day is Krishnastami or Gokulastami. The second day is called Kalastami or more popularly Janmastami. Men and women fast and pray on the occasion of Janmashtami. As it is the worship of infant Krishna, who was fond of milk and butter, women prepare a variety of delicacies with milk products as offerings. This festival is a community celebration and people visit temples which are specially decorated for this occasion. Durga Puja or Navaratri: This nine-day festival of the Hindus is celebrated in almost all parts of India in the month of Ashvina, and is marked by fasting and praying to different aspects of Devi. Literally 'nine nights', this nine-day period from the new moon day to the ninth day of Ashvina is considered the most auspicious time of the Hindu calendar. It is celebrated as Durga Puja in the state of West Bengal. Durga Puja is the most important and the most eagerly awaited festival of the state. It commemorates the victory of Durga over the demon Mahishasura. The nine different aspects of Devi are worshipped over the nine days. Durga: goddess beyond reach; Bhadrakali: the auspicious power of time; Amba or Jagdamba: mother of the world; Annapurna: giver of food and plenty; Sarvamangala: auspicious goddess; Bhairavi: terrible, fearful, power of death; Chandika or Chandi: violent, wrathful, furious; Lalita: playful; Bhavani: giver of existence. The festivities culminate on the tenth day on Vijayadashmi or Dussehra. In North India the nine-day period from the first to the ninth day in the bright fortnight of the month of Chaitra is also known as Navaratri and is dedicated to the worship of nine different aspects of Devi. The ninth day in this month is also celebrated as Ramanavami. In Gujarat, this is the time for the joyous Garba and Dandia dances and people pour out at night to participate in this community festival. In Tamil Nadu, the first three days of the festival are dedicated to Lakshmi, the next three to Durga and the last three to Sarasvati. Maha Shivaratri:

On the 14th day of the dark half of Margshirsh month the great night of Shiva is celebrated. On this day the devotees of Shiva observe fast. According to a legend once King Bhagiratha left his kingdom to meditate for the salvation of the souls of his ancestors. He prayed for the holy River Ganga from heaven to wash over his ancestor's ashes to release them from a curse and allow them to go to heaven. But Lord Shiva was the only one who could sustain the weight of her descent. So he prayed to Lord shiva and Ganga descended on Shiva's head, and after meandering through his thick matted locks, reached the earth. This story is believed to be re-enacted by bathing the linga. The love of water, the primary element of life, is also remembered in this ritualistic action. The linga is bathed with milk, water and honey. It is then anointed with sandalwood paste. People offer wood apple or bel leaves and fruit, milk, sandalwood and jujube fruit or ber to the linga. People decorate the linga with flowers and garlands and also offer incense sticks and fruit. Ramanavami: The birth anniversary of Lord Rama is celebrated as Ramanavami in the Hindu month of Chaitra (March-April). It occurs on the ninth day (navami). The festival commemorates the birth of Rama who is considered to be Maryada Purushottam or The Ideal Man. Ramrajya (the reign of Rama) has become synonymous with a period of peace and prosperity. Mahatma Gandhi also used this term to describe how, according to him, India should be after independence. Celebrations begin with a prayer to the Sun early in the morning. At midday, when Lord Rama is supposed to have been born, a special prayer is performed.

Raksha Bandhan: This is a festival that falls on the brightest night of Shravan month.Raksha Bandhan stirs up one of the deepest and noblest emotions - the abiding and chaste bond of love between the brother and the sister. On this day sisters tie a rakhi which may be a colorful thread, a simple bracelet, or a decorative string around the wrist of their brother(s). The word "raksha" signifies protection, and "bandhan" is an association signifying an enduring bond; and so, when a woman ties a rakhi around the wrist of her brother, she signifies her loving attachment to him. He, likewise, recognizes the special bond between them, and by extending his wrist forward, he in fact extends the hand of his protection over her. Yugadi: The first day of the year according to the National Calendar of India is significant both for its historical importance and for the advent of bountiful nature. On the national plane, the day recalls the inspiring occasion when the invading Shakas - the barbaric tribal hordes from Central Asia descending on India like locusts during the 1st century A.D. - were vanquished by the great emperors Shalivahana and Vikramaditya. The day falls in the beginning of spring - Vasanta Ritu - When the Goddess of Nature gets bedecked as a divine bride. In some parts of India, the tender leaves of Neem mixed with jaggery are distributed on the occasion. The Neem, extremely bitter in taste, and jaggery sweet and delicious, signify the two conflicting aspects of human life - joy and sorrow, success and failure, ecstasy and agony. The Neem-jaggery blend is offered to God as

naivedya and then distributed as prasad. This embodies one of the highest philosophical attitudes taught by the Hindu spiritual masters. Makar Sankranti: Makara Sankranti festival coincides with the beginning of the sun's northward journey, and falls on January 14 according to the solar calendar. According to legend, Bhishma, a great hero of the Mahabharata, though wounded mortally, waited for this auspicious time to give up his life. For, it is believed that, a person dying on this day reaches the Abode of Light and Eternal Bliss. In many states, the celebration has a special offering of rice and pulses cooked together with or without jaggery and clarified butter. In many areas of India people distribute tilgud - the sesame seed and jaggery. The til brimming with fragrant and delicious oil, stands for friendship and comradeship and jaggery for the sweetness of speech and behavior. In Tamil Nadu, Makara Sankranti is celebrated as Pongal, a three-day harvest festival. On Bhogi Pongal, the house is cleaned and the discards are burnt, while children sing and dance around the bonfire. On Surya Pongal, sweet Pongal is prepared and the Sun God is worshipped for a good yearly harvest. The last day of Pongal, Mattu Pongal, is celebrated to pay respects to the cows, the animal that is used in cultivation. In Uttar Pradesh, it is called the Khichri Sankranti. In Gujarat, there is a custom of making gifts to near relatives on this day. Makara Sankranti bears a festive occasion for the people of Rajasthan. Kite Festivals are organized on Makara Sankranti. Kite flyers from all over the world participate in the festival. Guru Purnima: Devotional worship of the Guru - the teacher - is one of the most touching and elevating aspect of the Hindu cultural tradition. The auspicious moment of Vyasa Poornima, chosen for observing this annual festival, is no less significant. It was the great sage Vyasa, son of a fisherwoman, who classified the accumulated spiritual knowledge of the Vedas under four heads - Rig, Yajur, Saama and Atharva. The Guru in the Hindu tradition is looked upon as an embodiment of God himself. For, it is through his grace and guidance that one reaches the highest state of wisdom and bliss. Gururbrahmaa gururvishnuh gururdevo Maheswarah Guruh-saakshaat parabrahma tasmai shrigurave namah "My salutations to the Guru who is Brahma, Vishnu and Maheshwara. The Guru is Parabrahma incarnate" Karwa Chauth: Karwa Chauth is a very significant festival for the women of North Indian. Karwa means clay pot and Chauth corresponding to the fourth. The festival is celebrated nine days before Diwali, on the fourth day of the waning moon in the Hindu month of Kartik, around October-November Traditionally the Indian woman was expected to uphold family honor and repute. The festival of Karwa Chauth is not only a day when women pray to God for the long and prosperous lives of their husbands, but is also symbolic of their unflagging

loyalty towards their spouses. Married women, old and young, begin their fast on the day of Karwa Chauth well before sunrise, and eventually partake of food and water only after spotting the moon. But this is not a solemn day rather a good measure of festivity, rituals and merriment complement its more serious aspects. For more detailed information on Karwa Chauth please click here. Vasant Panchami: Literally 'the fifth day of spring', Vasanta Panchami is celebrated on the fifth day of the bright fortnight in the month of Magha. The festival itself dates to antiquity. It is reminiscent of the festival of Vasantotsava of the ancient times, which was one of the most important celebrations as it marked the beginning of the agricultural season. Vasanta Panchami heralds the spring season. It is hence celebrated with gaiety and festivity to mark the end of the winter, which can be quite severe in northern India. The festive color yellow, symbolic of spring, plays an important part of this day. People wear yellow clothes, offer yellow flowers in worship and put a yellow, turmeric tilak on their forehead. They visit temples and offer prayers to various gods. It is also known as Sirapanchami in Bihar and Orissa, when the ploughs are worshipped and the land is furrowed after the winter months. In Bengal, the day is celebrated as Saraswati Puja and is marked by the worship of Saraswati. Baisakhi: This is a major Sikh festival - a religious festival, harvest festival and New Years Day all rolled into one. In April, this day marks the beginning of the Hindu solar New Year. In fact this day is celebrated all over the country as New Year day under different names. It is also the time when the harvest is ready to cut and store or sell. For the Sikh community Baisakhi has a very special meaning. It was on this day that the last Guru Gobind Singh organized the Sikhs into Khalsa or the pure ones. By doing so, he eliminated the differences of high and low and established that all human beings were equal. Hanuman Jayanti: Hanuman Jayanti is celebrated to commemorate the birth of Hanuman, the monkey god widely venerated throughout India. It is celebrated during Chaitra and is especially important to Brahmacharis, wrestlers and bodybuilders. Hanuman was an ardent devotee of Rama, and is worshipped for his unflinching devotion to the god. From the early morning, devotees flock Hanuman temples to worship him. The officiating priest bathes the idol and offers special prayers to the gods. Then the entire body is smeared with sindoor and oil, a symbol of life and strength. According to a popular belief, once when Sita was applying sindoor to her hair, Hanuman asked her the reason for doing so. She replied that by applying sindoor, she ensured a long life for her husband Shri Ram. The more sindoor she applied, the longer Rama's life would be. The devoted Hanuman then smeared his entire body with sindoor, in an effort to ensure Rama's immortality. Hence Hanuman's idol is always daubed with sindoor.

Fighting Corruption

The Role of Corporate Governance

Nurturing of right values, a helpful overall structure and individual initiative and willingness to sacrifice ones time and money are three imperatives to fight corruption and enable development, says Prabhu Guptara

When the British East India Company (EIC) became Bengals dominant power in 1757, the geographical area which came to be known as India was divided into about a thousand kingdoms. Whether Hindus or Muslims, Sikhs, Buddhists or Jains, our forefathers knew caste, kingdoms, and empires, but not one person in our vast land then had the political vision of uniting warring kingdoms into a nation-state, because the idea was a foreign one (it was invented in 1648 on the basis of the renewed understanding of the Bible which emerged in Europe from the 13th century and resulted in the Protestant Reformation). From 1757, it took the British just about a century to create the colony which went on to become the nation that is now known as India. The entire enterprise was driven by economics and politics the EIC was a private company which got itself entangled with politics, as large-scale private enterprise always does. However, in the 18th and 19th centuries, the British did not see history as a process driven by blind accidents. They saw it as working out Gods vision for humanity Gods standards of truth, law, justice, and mercy creating more and more collective good. Adam Smiths invisible hand, in their understanding, was nothing other than the hand of God, who wanted us to act with Him to build our social, economic and political structures on truth, righteousness and justice. The mission to make India a great nation required bringing our individual sinfulness as well as our socio-religious evils under the searchlight of Gods truth. That could be done only if the Bible was translated and published, and then applied to specific areas of institutionalised darkness such as idolatry, inequality before law, untouchability, infanticide, widow-burning, child-marriage, polygamy, mass illiteracy, corruption, and feudalism. However, the efforts set India on course to become a great nation by nurturing and strengthening three essential areas:

cultivating love for truth and virtue through mass education, development of vernaculars; printing press, and journalism; creating a legal environment for development through land reforms, property rights, penal code, modern judiciary, and a monetary system; and,

building a nation-wide infrastructure for administration, transportation and communication.

The British got many things wrong. But they also got at least a few things right. At the same time, a rising generation committed to materialism, even if often sheltering under the garb of religiosity, has undone some of reduction in institutionalised evil (for example, by corrupting education, administration, Parliament and law) and has created new institutionalised evils scams and corruption of various new sorts. So we now have in our country, a patchwork of institutionalised good and institutionalised evil, and what we would like to discuss is the role of corporate governance in reducing institutionalised evil. Except for a few diehard feudalists found in the RSS and BJP, (and even in those organisations, their influence is less than it once was) all the public discourse in our country honours concepts of inclusive growth, secularism, equality, liberty, fraternity and democracy. The problem in our country is that our culture divorces sound from meaning, and imposes a gap between what is said and what is done, as well as between appearance and reality. How does our culture divorce sound from meaning? Take Aum for example. It is a very powerful sound in our culture, and you will find people discussing the healing and other qualities of the vibrations of that sound. But what does Aum mean? Well, it means whatever you want it to mean, from nothing to everything. I have heard at least 50 different explanations of what it means. The fact is that you can come up with your own interpretation, and if people like it, then it becomes an acceptable or even the most acceptable explanation. That is why the role of PR is so important in our country. Our culture does not emphasise what is real, what is true, so all that we are left with in our dominant culture is propaganda. Not only does our culture divorce sound from meaning, our culture also imposes a gap between what is said and what is done? How often have you heard a statement similar to: Sahib ek minute lagega (when the speaker has no idea of how long it will take, or even knows that it will take half an hour). Of course, part of the explanation is our Indian concept of politeness (which actually means an inability or unwillingness to tell the truth) and part of the explanation, in this particular case, is that our culture has no concept of the importance of time, because the kal that has gone (yesterday) is the same word as the kal that is to come (i.e. tomorrow) - the lack of the importance of time is structured into our language, into the way we think. If this life is only one among innumerable births, then why is time in this life important? The time that is given to us in this world is only important if this is the only life we have and if, after this life is

completed, we have to give an account to somebody of how we have spent each minute and each second. But these are ancillary matters, the key point to keep in mind is that, whatever the reasons, our culture has a deep and profound gap between what is said and what is done. Of course that is part of a universal human tendency, but ones culture can either reinforce that tendency (as in our own culture) or it can struggle against it, as in Protestant cultures (e.g. of Northern Europe). So our culture divorces sound from meaning, and it accepts a large gap between what is said and what is done; how does our culture split appearance and reality? Well, we could discuss at length the notions of izzat and shaan versus the real quality of relationships in the home, or even the real quality of life in the home. If I am willing to murder an unborn child or my grown-up daughter for the sake of izzat, what kind of izzat is that? Is it not an attempt to preserve an appearance, for the sake of which, people are willing even to eliminate the reality of the life of their own flesh and blood? Our Constitution clearly institutionalises values such as democracy, freedom from hunger and education for all. But it is for you to tell me to what degree we actually have liberty, equality and fraternity in our country. Do we have the rule of law or has the law itself been turned, at least in many places and occasions, into becoming itself an instrument of exploitation, for example by the police on the road? We may have good laws but, even those good laws, such as those relating to Panchayati Raj, can become a means of oppressing the lower castes (and that is the case even when a lower caste person becomes the panchayat Sarpanch, she or he is simply manipulated by the upper castes and if the person refuses to comply they have been known to have been beaten up, raped or even killed). Of course such malpractices do not mean that the institution of Panchayati Raj is somehow wrong. No. Malpractices rather mean that citizen power is required to identify malpractices, report malpractices, and pursue malpractices through the institutions of redress till wrongdoers are identified, judged and punished. Every case of a wrongdoer being punished is a victory for the right, and a demolition of the culture of injustice in our country. Exactly for that reason, every instance of the honouring (for example by a Prize or Award or Padma Bhushan of a person who has done something good) should be celebrated because it strengthens the Kingdom of Right. Of course, a Padma Bhushan or an award or a prize might be given to someone unworthy, and then it is our duty to expose that and to talk about it. However, the human tendency is to talk too much of the negative and not enough of the positive. As the Bible puts it, whatsoever things are true, whatsoever things are honest, whatsoever things are just, whatsoever things are pure, whatsoever things are lovely, whatsoever things are of good report; if there be any virtue, and if there be any praise, think on these things. We should focus our minds on such things - because if we dont do so, it is too easy to become depressed, to become apathetic and withdrawn from the

effort to build up our country, our people and ourselves. Of course, governance is not only about where we should focus our attention, or about values. It is also about creating the right structures. That is why, at the highest levels in our political structure, we have a division of powers between the legislature, the executive, and the courts. And that is why our founders also institutionalised the freedom of the press. Of course, evil always tries to subvert each of these, and it is up to us to use the instruments offered to us by all these to fight against what is wrong and to fight for what is right. You may have noticed that China has detained Xu Zhiyong, the prominent lawyer known for his support of human rights and greater government transparency, merely on suspicion of gathering people to disturb public order in a public place. Though India also has somewhat similar incidents occasionally, they are unconstitutional in India whereas they are entirely in accordance with the law in China. By contrast, if an IPS officer is doing something wrong in India, you have the right to gain access to that officers superiors or, if even that person refuses to act rightly for any reason, you have the right to gain access to the courts you certainly have the right to gain access to the press as well as the right to have access to the public, to organise a mass protest. Perhaps you might have also noticed that Zhang Xiaoming, Chinas top representative in the Chinese colony, Hong Kong, met pro-democracy lawmakers recently for the first time since the territory was taken over by China in 1977. This would be simply incredible in India, where we have had talks right from the start, perhaps not as often as would have been desirable, with separatists in the south, north-east and north of our country. To continue with the theme of the right structures of corporate governance in our country, these include not only those of the Constitution at the highest level, or exalted things such as the separation of powers but, more recently, quite down to earth things such as Public Interest Litigation (PIL) and Right to Information (RTI) and Right to Education (RTE) and now the Right to Food (RTFood). Naturally, not everything is fine with these, let alone their implementation, but you and I need to be active and help to implement the system that is envisaged, and then identify how best to improve the operation of the system, whether in its implementation or even in the way it should be organised. In the commercial sector, governance norms have been proposed for all publicly traded companies by SEBI (Securities and Exchange Board of India), which are actually tougher than what corporations face in more advanced economies. For instance, the CEOs in only about half of Indias top 50 listed companies still double as chairmen, and they will be required to split their roles (those that want to continue combining the roles will need the explicit approval of their shareholders). Further, SEBI wants companies

above a certain size to appoint at least one independent director from among small shareholders. Still further, SEBI is apparently going to require independent directors who resign their position to publicly disclose the reason(s) for their departure - and personal reasons wont be considered a satisfactory answer if directors are only giving up one of multiple directorships. Till recently, founders of companies in India have been happy with eager-to-please boards, a case in point is the way independent directors of Satyam Computers rubber-stamped the former CEOs desperate attempt to cover up fraud in December 2008. Of course, bringing about changes in rules is no guarantee of future good behaviour. Even boards that boast of independent leadership can do better. Infosys Technologies, the only Indian entry last year in CLSAs selection of 20 large Asian companies with best corporate governance, lists K V Kamath, a former banker, as a non-executive chairman. However a former Infosys CEO holds the position of executive co-chairman. Meanwhile, Kamath continues to be independent chairman at ICICI, even though he was its founding CEO. So there are all kinds of gaps and challenges, but the fact is that the web of corporate governance is gradually becoming more and more tight, and that is the case not only in India but also globally. Corporate governance, whether at the level of an NGO, a company or the country as a whole, has three dimensions, of whether the right values are embedded and nurtured, whether the overall structure helps or hinders, and finally individual initiative and willingness to sacrifice (ones own time and energy and money and interest) that is required in order to fight corruption and enable development. These dimensions are essential to fight corruption and yet again these are also necessary to enabling development. Prabhu Guptara is an expert on management issues

Fire at Tatas Mundra plant; generation to resume on 24 November

Full restoration of the station is likely by 3 December, the company said
PTI

Fire occurred in conveyor gallery and coal feeding conveyors were partly impacted, the statement said adding the company is taking all measures to deal with this incident. The conveyor repair work is in progress. Photo: Priyanka Parashar/Mint

New Delhi: Private power producer Tata Power Ltd on Monday said the companys Mundra plant which has been hit due to a fire at the site will resume electricity generation from 24 November. Coastal Gujarat Power Ltd, subsidiary of Tata Power which is operating the Mundra ultra mega power projects (UMPP) in Gujarat, would like to inform that generation from the plant has been temporarily shut down due to a technical incident caused by fire, the company said in a statement. The generation is expected to start from 24 November onwards progressively. Full restoration of the station is likely by 3 December, the statement said.

However, the company did not divulge the quantum of financial loss due to burning of the equipment as well as cost of coal stock destroyed by fire. Fire occurred in conveyor gallery and coal feeding conveyors were partly impacted, the statement said adding the company is taking all measures to deal with this incident. The conveyor repair work is in progress. All efforts are being made to expedite the matter, it added. According to sources, the procurer states will suffer loss of availability to the extent of 433 million units (Gujarat), 182 million units (Maharashtra), 91 million units each (Haryana and Rajasthan) and 114 million units (Punjab). The levelized tariff of the plant is Rs.2.26 per unit. The share of these states is 47.5%, 20%, 10%, 10% and 15%, respectively.

FIS tech to power India's first bank for women

19 November 2013 | 1376 views | 0

India's first public sector bank for women opens its doors today, powered by technology from US fintech vendor FIS. On the birthday of former Prime Minister Indira Gandhi, her daughter-in-law Sonia Ghandi and current PM Manmohan Singh are opening the Bharatiya Mahila Bank's first branch in Mumbai's Air India building today. The Indian government has committed around US$160 million in initial capital to the bank, which will focus on bringing financial services to India's under-served female population, although men can open accounts. Bharatiya Mahila begins with just seven branches throughout the country but plans to increase this to 25 by March and 500 by 2017, many of them small mobile operations designed to serve rural areas. Technology has been outsourced to FIS, which under a multi-year agreement will provide a core banking platform, trade finance and payments services, data centre management and branch technology infrastructure management. Usha Ananthasubramanian, chairman and MD, Bharatiya Mahila Bank, says: "FIS was able to present us a high-quality technology solution with a model that could be operationalised in the shortest time frame and is easily scalable for our planned growth."

For some sectors, election is party time

ANAND KALYANARAMAN BL RESEARCH BUREAU
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Long cavalcades of muscular vehicles ferrying netas, security men and sidekicks mean strong sales for companies churning out macho sports utility vehicles.
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Trends reveal media firms, SUV makers and power generation companies gain the most
November 17, 2013: It is not just pollsters and political parties who are all geared up for the five State elections and the general elections to be held over the next six months. Companies running print and television media houses, the ones manufacturing utility vehicles and those engaged in power generation and trading are in a tizzy too, for their business gets a direct boost from the Great Indian Elections.
AD REVENUES

Whats a poll campaign without full-page photos and adverts extolling the social schemes of the big leaders? Well, that translates into strong ad revenues for newspaper companies, particularly the language media. Consider what happened during the 2009 parliamentary elections. The global financial crisis had cast a shadow on the Indian economy that year, and for 2008-09, advertising growth for media companies was below 5 per cent. But DB Corp, publisher of Dainik Bhaskar, saw its ad revenue for the year grow nearly 12 per cent. The parliamentary elections were held in April-May 2009, and ad revenues got a boost in the JanuaryMarch quarter.
MACHO VEHICLES

Dont forget the long cavalcades of muscular vehicles ferrying the netas, security men and sidekicks to their speaking venues. That means strong sales for companies churning out macho sports utility vehicles. In the January-March 2009 quarter, sales of utility vehicles by Mahindra & Mahindra Ltd grew 12 per cent to 48,088 units, compared with 42,999 units the previous year. Industry volumes shrank 15 per cent that quarter. But M&M notched up strong sales of Bolero and the then newly introduced Xylo. M&Ms good run continued in the AprilJune 2009 quarter, too, with its utility vehicle sales growing about 30 per cent. New launches helped, but elections provided the additional zing.
POWER PLAY

Come elections and the powers-that-be, anxious not to sour voter sentiment, go the extra mile to ensure better electricity supply. This means more short-term transactions in merchant power. Companies that export excess power to the grid and power exchanges such as the Indian Energy Exchange and Power Exchange India benefit from this. Rahul Prithiani, Director, Crisil Research, confirms that there was an increase in the price and volume of short-term power traded in the months to the 2009 elections. The average tariff on the Indian Energy Exchange went up to as much as Rs 10.1 a unit in April 2009 only to subside once polls were concluded. Again in 2011, prior to State elections, power volumes in the short-term market saw a spike of 25-50 per cent.
BUY RATINGS

With history providing ample evidence of a business boost from elections, brokerages have begun to put out Buy ratings on some of these stocks. A report by brokerage Anand Rathi, expects regional print players DB Corp and Jagran Prakashan will grow 2013-14 advertising revenues by 12-13 per cent, compared to 4-7 per cent in 2012-13. There are already encouraging signs. Nai Duniya, a Hindi daily published by Jagran Prakashan in Madhya Pradesh and Chhattisgarh (States going to polls this month) reported 30 per cent growth in advertising revenue in the September quarter.

The auto sector is in not doing well, but for M&M, things are looking up. From an average of 15,000 units in June-August 2013, the companys utility vehicle sales have risen to 18,000-22,000 units in the last two months, helped mainly by the Scorpio and XUV 500. Short-term power contracts also seem to be on the rise. In September, Chhattisgarh and Rajasthan doubled the power purchased from the market. As we enter the frenetic election months, at least some companies and stocks will be quite busy, no matter if the economy remains in the doldrums. anandk@thehindu.co.in
(This article was published on November 17, 2013)

Keywords: print and television media houses, manufacturing utility vehicles, power generation, trading, business, direct boost, Great Indian Elections. Post Comment

Funding issue for power sector to ease in next seven days

feBureau | New Delhi | Updated: Apr 18 2012, 17:15 IST

The Reserve Bank of India will issue guidelines to allow external commercial borrowing (ECB) by power sector companies to retire their rupee debt with Indian banks in next seven days, a source in the finance ministry said on Wednesday. The scheme announced by Finance Minister Pranab Mukherjee as part of the Budget proposals for 2012-13 will allow power sector companies refinance their rupee debt with cheaper funding from ECB and thereby opportunity to expand their loan portfolio with banks to muster funds required for their expansion and new projects. Several banks and financial institutions have reached the sectoral exposure limit allowed by RBI for the power sector there putting pressure on power sector companies to mobilise funds from the domestic market. The RBI will also issue guidelines to allow ECB for making capital expenditure on the maintenance and operations of toll systems for roads and highways. The remaining decisions on ECB financing announced in the Budget would be taken up separately by RBI at a later stage.

Greening our power supply

SAURABH KUMAR

Emissions from super-critical thermal plants are lower than conventional ones.
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Super-critical thermal plants and renewable energy obligations of utilities can work as effective carbon mitigation measures.
As India fine-tunes its nuanced response to the global sustainable development agenda during the Rio Earth Summit later this month, it is mindful of the development challenges that lie ahead. A fair proportion of these challenges emerge from India's quest for energy security in an increasingly climate-constrained world. India's energy supply needs to grow by 4-5 times in the next two decades to realise developmental goals. It is also certain that India will continue to be reliant on fossil fuel-based energy over the next two decades. Inevitably, the growth trajectory needs to usher in innovative approaches that reduce the overall carbon intensity of

the energy sector, while at the same time providing affordable and reliable access to all.
CARBON INTENSITY

An appropriate policy response needs to be evolved to hedge against the volatility of global fossil fuel market, both in terms of availability and price. Reducing carbon intensity in the supply side of energy value chain, improving efficiencies at the demand side, limiting leakages and promoting innovative decentralised, alternate energy systems, are some of the immediate tasks that policy makers will need to implement. These challenges have already been articulated in the recent policy papers of the government, particularly those related to the XII Five Year Plan, and will probably find mention during the Rio conference. Cognisant of the enormous challenges of sustainable development, India has, in the last few years, initiated a measured, yet significant, shift towards reducing carbon intensity in the energy sector, the power sector being a major contributor to the overall carbon emission of India. The strategic shift commenced with the Electricity Act, 2003 that requires all electricity utilities to use a minimum percentage of renewable energy in their power mix, also known as the Renewable Portfolio Obligation (RPO). The implementation of the market-based instrument, Renewable Energy Certificate (REC), has made it possible for utilities to achieve their allocated RPOs in a cost effective manner, particularly those whose service area is not amendable to setting up renewable energy projects (Delhi for instance). The RECs have also helped in promoting private investments in renewable energy.
EFFICIENT THERMAL PLANTS

The second dimension of the shift is the promotion of supercritical thermal power technologies. This technology increases the efficiency of generation by at least 10-15 per cent, compared with

the conventional power plant, and thereby uses lesser coal for same level of power generation. The emissions from super-critical technology-based power plants are undeniably lower than from the conventional ones. The last Five Year Plan has seen commissioning of about 6,000 MW of thermal power plants (out of the achieved capacity addition of 55,000 MW) based on super-critical technologies. The next Plan seeks to build on this modest beginning and increase the proportion of new thermal plants using super-critical technologies to about 40 per cent, a trend that could become the norm in subsequent years. However, like any new technology, super-critical technology also comes with an incremental price tag, which could result in higher cost of electricity to the consumer. Contrary to popular belief, the affordability of energy is extremely low in India. Per litre cost of petrol in India is about $1.5, which is almost 180 per cent of cost of petrol in Thailand, and 150 per cent of the level in OECD countries. The average expenditure of a household on electricity in India as a proportion of the per capita income at 15 per cent, is at least 5-6 times more than OECD average of about 3 per cent. Thus, to achieve affordability of electricity from clean technology without further straining the burgeoning subsidy bill, innovative measures are necessary. The Ultra Mega Power Policy (UMPP) unveiled by the Ministry of Power has been able to stitch together the two seemingly dichotomous issues of reducing carbon footprint, while still being affordable into a comprehensive package that has attracted private investment in power sector perhaps not seen before. The Ministry of Power, under the UMPP, has undertaken most of the pre-construction activities, like obtaining regulatory clearances, enabling predictable fuel supply either by a captive coal mine or firm imported fuel linkage, ex-ante environment and forest clearance and land acquisition.

This has resulted in reduced risk perception among investors. Further, the fact that each of these plants are of 4,000 MW capacity has brought in economies to scale for seamless induction of super-critical technologies. Riding on the inherent investor confidence and interest in UMPPs, Ministry of Power has adopted competitive tariff-based bidding to make sure that the benefits to consumers accrue in form of lower tariffs. The private sector has committed tariffs as low as Rs. 1.25 per unit for domestic coalbased UMPP and and Rs. 2.50 per unit for imported coal ones for the next 20 years. UMPPs have been successful in attracting clean generation technologies, while at the same time preserving affordability. The surge in demand for super-critical technologies has resulted in most of the international power equipment manufacturers setting up facilities in India, that augurs well for the long-term low carbon strategy in the power sector.
OTHER MEASURES

Another important policy direction to reduce carbon intensity of power sector is the phased retirement of old and inefficient power plants. Over the next few years, according to the Central Electricity Authority, almost 5000 MW of such plants will be retired. A comprehensive programme for increasing the efficiency of other thermal power plants is under implementation. India has been able to achieve modest success in greening the supply side of power sector. Innovative measures like the REC, UMPPs have started to yield the desired outcome of reducing carbon intensity while protecting consumers from high costs. These measures need to be replicated across the energy supply chain, while encouraging efficient use of energy on the demand side. (The author is Programme Officer, Ozon Action Programme, UNEP, Bangkok. The views are personal.)
(This article was published on June 8, 2012)

Keywords: super-critical thermal plants, renewable energy, carbon mitigation measures, power supply, Rio Earth Summit, carbon intensity

Gujarat demands higher coal and gas allocation

Mitul Thakkar, ET Bureau Jun 19, 2012, 03.26PM IST

Tags: renewable energy market| Power transmission| petrochemicals| Gujarat power sector| Gujarat Organization| Energy Security in Gujarat| Energy Development| Energy and Petrochemicals Department

AHMEDABAD: The state of Gujarat, which is accounts for one third of natural gas consumption and claiming to have 3,000-5,000 mw of surplus power generation, want to improve transmission infrastructure and expandrenewable energy market. It also wants higher coal and gas allocation from the centre. "There is market for Gujarat's surplus power in South India. However, there is no adequate power transmission infrastructure. Also, we did not anticipate other state utilities to have poor finances and will not be able to procure adequate power. These factors are limiting growth of Gujarat's power sector. There are discrepancies in central government policies in fuel allocation and it is not in the interests of progressive state like Gujarat," said minister of state for industries, energy and petrochemicals Saurabh Patel. He added that Gujarat has huge power generation capacity to generate 30 million units lying idle. Patel criticised Centre's policy framework and alleged that it is not in interests of Gujarat. Today, Industrial Extension Bureau, a Government of Gujarat Organization, in coordination with Energy and Petrochemicals Department and Urban Development and Urban Housing Department, organised a seminar on 'Energy Security in Gujarat - Challenges and Way Ahead' at Mahatma Mandir Convention Centre, Gandhinagar. Representatives from industry and relevant government departments participated in the conference. The seminar brought together senior government officials, research institutes, agencies working on energy development and leading private players in the energy sector. The seminar helped deliberate on the issues of current energy supplies in Gujarat, its implications on energy security for the state, and cost of power generation from various energy sources. The key focus of the event was to access Gujarat's position in terms of energy security in the current scenario and discuss current status of energy infrastructure. Patel added: "Clean and renewable energy is expected to constitute a significant part of India's incremental capacity addition. In fact, the Ministry of New and Renewable Energy Sources plans to add 14,000 mw of renewable power during the 11th Plan period (2007-12). The share of renewable energy sector in the fuel mix is expected to increase to 12.7% from the current level of 10% by the end of 13th Plan." Maheshawar Sahu, principal secretary, industries and mines department, while sharing insights on the energy sector in Gujarat said, "Number of steps have been undertaken in Gujarat with respect to energy conservation." The initiative includes energy audits in government, domestic, commercial and industrial sectors; popularization of energy efficient devices; upgrading energy efficiency levels in the industrial sector and Walk Through Energy Audit (WTEA) mapping energy use in the small scale sector among others. While talking about the unfavourable demand-supply balance of hydrocarbons in India, he stated that acquiring equity oil and gas assets overseas is one of the important components of enhancing energy security.

"Shale gas can emerge as an important new source of energy in the country. India has several shale formations, which seem to hold shale gas. These formations are spread over several sedimentary basins such as Cambay, Gondwana, Krishna-Godawari, and Cauvery," Sahu added.

Gujarat's power sector wins five Enertia Awards

Prashant Rupera, TNN | Nov 28, 2012, 04.54PM IST VADODARA: Gujarat's power utility companies and its officials have bagged five awards at the 6th Enertia Award 2012 for sustainable energy and power. The five awards consisting of three state levels and two individual levels were given away by theunion minister of new and renewable energy Dr Farooq Abdullah, who was the chief guest at the award function held recently at New Delhi. Gujarat has won award in 'Top investment and infrastructure excellent state in energy and power' category for fifth consecutive time since the introduction of this category in 2008. The 214 MW Gujarat Solar Park set up by Gujarat Power Corporation Limited (GPCL) has won the power generation award - renewable energy (solar) as the 'Best renewable energy project in India and the World for 2012'. Gujarat's principal secretary (energy and petrochemicals) D J Pandian was adjudged 'India's best officer effecting transformation in power sector of a state government' for sustainable energy and power in the category of power persona of the year award for individual excellence for his work in growing solar energy in Gujarat that has reached 695 MW in the state as on date. In the same category, SK Negi, managing director of Gujarat Energy Transmission Corporation Limited (GETCO) has received the award for 'Power persona of the year award for individual excellence' for transmission and distribution (T&D). Dakshin Gujarat Vij Company Limited won the award for 'Best performing utility - state' for reduction of T&D losses from 11.94% in 2010-11 to 10.21% in 2011-12.

Hindujas to turn energy arm into investing co, bring in R400 crore
Subhash Narayan | New Delhi | Updated: Aug 27 2011, 04:37 IST SUMMARYDiversified

business conglomerate Hinduja Group has revised its business plan for India to expand its presence in the growing power sector.
Diversified business conglomerate Hinduja Group has revised its business plan for India to expand its presence in the growing power sector. Under the new structure, Hinduja Energy India (HEIL), an entity set up by the group for making foray into the power sector, will be converted into an investing company. The group plans to bring in R400 crore foreign direct investment from its entities registered in Mauritius into HEIL This entity will then make downstream investment in the power sector indirectly by investing in existing or setting up special purpose vehicles engaged in generation, transmission, distribution and power trading. HEIL was set up to make direct investments in the power business in India. But the group reworked the business strategy to kick start its power operations here by looking for investments both in existing power projects and setting greenfield projects. So far the company has been unable to make a foray into the power sector and its proposed 1,040 mw coal-based plant in Visakhapatnam has been delayed for last several years due to legal and bureaucratic wrangle. As per companys submission to the finance ministry, HEIL now plans to give a boost to its power ambition by bringing in R400 crore foreign direct investment from Hinduja Group Energy (HEL) and IXTF, the investment holding entity for subsidiary companies in Indian power sector. Another dose of FDI worth R200 crore would be brought from other group entities. At present, Hinduja Group has formed only one SPV Hinduja Power Corporation (HNPCL) which is supposed to run the Vizag-based merchant power plant. Once the revised business plan is implemented, this SPV will come under HEIL, which will become the beneficiary of the downstream investment to be made by the company. The group is eyeing a larger share in the Indian power market and hopes to to set up 10,000 mw generation capacity over next few years. Apart from Vizag, the group is also exploring opportunity to invest in the states of Gujarat, Maharashtra and Uttar Pradesh.

Hinduja Group is multi billion dollar investment and banking group with diversified global portfolio of holdings across manufacturing, services and banking sectors. The group has activities across three core areas such as investment, banking, international trading and global investments. As part of its global investments their group owns businesses in automotive, information and technology, media, entertainment and communications, banking and finance, infrastructure project development, chemicals and agri business, energy, healthcare and real estate.

Hydro power sector not seen recovering soon: Voith

Mechanical engineering firm postpones investment plans on lower orders despite having enough capacity
Utpal Bhaskar

First Published: Sun, Dec 02 2012. 11 03 PM IST

Voith CEO Hubert Lienhard says the fact that NHPC hasnt had a chairman for the last two years reflects the state of the sector. Photo: Daniel Maurer/AP

New Delhi: Indias moribund hydro power sector isnt expected to change trajectory in the next two years, said Hubert Lienhard, president and global chief executive officer of Voith GmbH, which makes electro-mechanical equipment, reflecting the state of the sector and prospects for revival. While the government has been trying to attract investments to the country, there have been concerns that faltering hydro power generation could hit Indias energy security plans. Hydro power accounts for 39,291.40 megawatts (MW), or 19%, of Indias 205,340.26MW power-generating capacity.

In the next two years, nothing will happen in the country, Lienhard, whose firm has postponed its investments in India, said in an interview earlier this month. The 5.6 billion Voith, which has a presence in other businesses including hydro power as a system supplier, is present across 50 countries and employs 40,000 people. It has a presence in India throughVoith Hydro Pvt. Ltd with a workforce of 1,000. India contributes 147 million to Voiths global sales of 5.6 billion. With state-owned firms such as NHPC Ltd (NHPC), SJVN Ltd, THDC India Ltd and North Eastern Electric Power Corp. Ltd (Neepco) failing to meet capacity addition targets, even the Comptroller and Auditor General of India (CAG) has criticized the functioning and performance of these firms. Also, a total of 41,601.5MW of hydro power capacity allotted by various states to private companies were either yet to be taken up for construction or still in the award stage as reported by Mint on 23 October. According to the CAG report, while hydro power capacity addition was initially set at 11,813MW in the 11th Plan period (2007-2012), even the revised target of 6,794MW couldnt be met due to project delays. State-owned units added just 1,550MW at the end of the plan. The countrys top auditor is of the view that these public sector units (PSUs) are likely to add only 3,774MW capacity in the 12th Plan (2012-17) against a target of 14,535MW. We have postponed our plans for our investments. There is no need. While we have enough capacity, we dont have enough contracts. It is a reflection on the sector, said Lienhard, whose company supplies electro-mechanical gears to state-owned Bharat Heavy Electricals Ltd (Bhel). As Bhel has declining sales, we have declining sales. Constructing a hydro power project takes time. Apart from a thorough survey and investigation, preparation of a detailed project report and infrastructure development, it also involves the tedious process of relocation and resettlement of the affected population, which could involve legal battles. On average, it takes around five years to execute a hydro project after it is cleared for construction. Also, at a time when state-owned NHPC is struggling to compete with its private sector rivals, the Union power ministry is yet to appoint a full-time head for the PSU. The last incumbent retired around two years ago. NHPC doesnt have a chairman for the last two years. It tells us something when such an important position is empty, Lienhard said. To be sure, the appointment of board-level executives is a time-consuming process and takes at least one year to be completed.
U.D. Choubey, director-general of the Standing Conference of Public Enterprises, the

apex body of state-owned firms, said, It is unfortunate for PSUs (public sector units) such as NHPC as no decision is being taken by the decision makers. The real problem starts after the panel is selected by Public Enterprises Selection Board (PESB), as then the problem of anonymous and false complaints start.

PESB short-lists a panel of two candidates in order of merit and sends the names to the parent ministry, in this case the Union power ministry. The short-listed names are then sent to the Central Vigilance Commission for background checks. With the inquiry taking time, either the panel is scrapped, or it is put in abeyance. In such a situation, a temporary charge is given and the PSU suffers, Choubey said. G. Sai Prasad, joint secretary in charge of hydro power in the power ministry, holds additional charge as chairman and managing director of NHPC.

First Published: Sun, Dec 02 2012. 11 03 PM IST

IEEMA calls for immediate imposition of import duty on power equipments

Debjoy Sengupta, ET Bureau Jun 21, 2012, 09.36PM IST

Tags: transmission & distribution| power equipments| mega and ultra-mega power projects| IEEMA

KOLKATA: The Indian Electrical & Electronics Manufacturers' Association (IEEMA) has called for immediate imposition of import duty on power equipment for mega and ultramega power projects over 1,000 mw. Ramesh Chandak, President, IEEMA said in a statement: "This issue of providing a level playing field for domestic manufacturers of electrical equipment vis-a-vis imported equipment has been debated and discussed for long at the highest levels of the government and action must now be taken immediately. There is equally a strong case for even increasing import duty on transmission & distribution (T&D) equipment and generation equipment for non-mega projects." According to IEEMA, immediate imposition is required since the entire industry is in doldrums because of the sluggish growth in the power sector. The escalating import of electrical equipment poses a danger of making the sector commercially unviable. This industry accounts for 10.56% of the manufacturing sector in terms of value and 1.5% of the GDP. It also provides direct and indirect employment to 1.5 million people and over 5 million across the entire value chain. The Indian electrical equipment industry touched Rs 1, 10,000 crore in 2010-11. It comprises of two segments - generation equipment which is 24% of the industry, and T&D and allied equipment which constitute the rest at 76%. T&D equipment manufacturers are working at only 65% of their production capacity. In the last few years, the domestic manufacturing capacity of generation equipment has being ramped up and currently stands at 20,000 mw per annum against a requirement of about 16-17,000 per annum. With 6-7 joint ventures coming up in India, the capacity will increase to 40,000 mw per annum by 2014-15. The power generation capacity addition target for the 12th Plan may also be scaled down to about 75,000 mw. As a result, even the generation equipment sector will soon be sitting on huge surplus capacity. During the last five years, India's imports of electrical equipment imports have increased at a CAGR of 28.28% and were at $11 billion in 2010-11. Import duties on most products are quite low and are being further lowered under the various FTAs signed by India. There is uncertainty in the power generation sector due to unavailability of fuel / lack of coal linkages for new projects, land acquisition issues, delays in environmental and other clearances, etc., which is impacting the downstream T&D sector. All this is directly impacting the domestic electrical equipment industry as demand is not picking up.

Assured availability of quality power at competitive rate is a sine qua non for industrial and economic development of India. For an efficient and developed power sector in a country of India's size, a strong domestic electrical equipment manufacturing base is essential and also strategic.

India firms up its strategy on Brahmaputra water diversion

Indias action plan to pre-empt Chinese threats to divert Brahmaputra waters involves several key govt departments
Utpal Bhaskar

New Delhi: India and China have been engaged in a dispute over the diversion of the Brahmaputra river, which originates in Tibet. Even while India is still exploring a diplomatic option, it has initiated an action plan that would give it user rights. In the first of a three-part series,Mint chronicles the government efforts to accelerate hydroelectric projects in Arunachal Pradesh, a key element of the multi-pronged strategy. Even as India seems to be playing down the potential problems associated with Chinas plans to divert river waters that flow into the Brahmaputra, it is simultaneously working on a detailed strategy involving several key government departmentsracing to preempt Chinese threats. According to documents reviewed by Mint, a technical expert group (TEG) entrusted with devising Indias game plan has made a slew of recommendations, including expeditiously allotting at least one major hydropower project each in strategically located Subansiri, Lohit and Siang basins in Arunachal Pradesh as close to the international border as possible in order to establish existing user rights. The TEG was set up by a committee of secretaries (CoS) on the Brahmaputra water diversion issue to address the concerns emerging from the actions of the Chinese. In addition, signalling the governments growing concern, an inter-ministerial expert group (IMEG) was simultaneously set up to monitor and collate information on the sensitive issue that has major strategic ramifications for India. The multi-pronged strategy includes completion of regional environment impact studies and biodiversity studies; resolving the issues of possible submergence of habitations and towns by hydropower projects and allotment of projects to central public sector units such as NHPC Ltd andSJVN Ltd. There is also a focus on developing meteorological and hydrological data banks. India and China have sparred intermittently over hydropower projects in Arunachal Pradesh, which borders China and has the highest potential for hydropower generation in India. With China planning to divert waters from rivers that flow into the Brahmaputra to the arid zones of Xinjiang and Gansu, India is worried about the slow pace of work on hydropower projects awarded in Arunachal Pradesh. Any delay in executing these projects, particularly on rivers originating in China, will affect Indias strategy of establishing a prior-use claim. Under international law, a countrys right over natural resources it shares with other nations becomes stronger if is already putting these resources to use. This comes in the backdrop of recent agreements over sharing flood data, signed during Prime Minister Manmohan Singhs visit to China last month.

Apart from the CoS, the government created a ministerial group headed by finance minister P. Chidambaram on developing the north-eastern region of the country. The CoS comprises the secretaries and chiefs in the ministries and departments of home, power, cabinet secretariat, intelligence bureau, National Technical Research Organization, defence, foreign affairs, economic affairs, space, water resources, Planning Commission, environment and forests, chairman of joint intelligence committee and chief secretaries of Arunachal Pradesh and Assam. Regular meetings are now being held and we are working to implement the recommendations. The seriousness of the issue has been grasped and we are on the job. However, a lot of time has been lost, said a senior Indian government official aware of the governments strategy, requesting anonymity. The three major rivers of Arunachal Pradesh that originate in China are Siang, Subansiri and Lohit. Of the Brahmaputras 2,880km-length, 1,625km is in Tibet, 918km in India, and 337km in Bangladesh. To speed up work on these projects, the TEG has recommended declaring them National Projects, hastening technical concurrence including approvals from the ministries of defence and home affairsand development of the road infrastructure in the region. Another move involves the possible re-allocation of the 1,800 megawatts (MW) Subansiri Upper project, currently with KSK Energy Ventures Ltd, to a state-owned firmwhich would give the government greater control over its execution. Measures are also planned to speed up a study of the strategic river basins of Siang, Subansiri and Lohit and the construction of transmission links for the evacuation of power to other parts of India. Indias anxiety stems from the fact that out of Arunachal Pradeshs estimated potential of unleashing 50,064MW of power, less than 1%, or 405MW, has been harnessed so far. This is in spite of the fact that 94 projects with a combined capacity of 41,502.5MW have been allotted across eight river basinsall in Arunachal Pradeshof Kameng, Subansiri, Tawang, Siang, Dibang, Lohit, Dikrong and Tirap. Queries emailed to KSK Energy on 10 November remained unanswered, but a second government official who also didnt wish to be identified due to the sensitive nature of the issue identified the strategic projects as Siang Upper stage one (6,000MW); Siang Upper stage two (3,750MW); Oju (1,800MW); Naba (1,000MW); Kalai one (1,352MW); and Kalai two (1,200MW) in the critical Siang, Subansiri and Lohit basins. These projects are close to Indias border with China, the official said. The ministries of water resources and power have already expressed their reservations on Beijings ambitious water diversion scheme, into which it is pouring $62 billion. China is building 36 projects on rivers that lie upstream of the Brahmaputra. Commenting on Indias plans, Alka Acharya, director of the New Delhi-based Institute of Chinese Studies and editor of China Report, said, Well, one hopes. The kinds of sentiments and expectations that have been stoked have heightened the sense of uncertainty. With the spotlight on the issue, the Indian government will be putting much

more effort and focus on the issue. The need for these efforts is gaining traction. The success of such efforts will depend upon the extent to which the Indian government is able to bring in partners from the Northeast. Arguing along the similar lines, Umesh Narayan Panjiar, chairman, Bihar Electricity Regulatory Commission and former secretary, ministry of water resources, said, It is never too late. However, to expedite the projects one has to convince the Arunachal Pradesh government and make sure that the people affected by the project are taken care of. Another big bottleneck is the infrastructure in the north-eastern part of the country. We have to construct strong roads to carry large equipment. The Central Water Commission (CWC) has been asked to conduct the studies for the Subansiri sub-basin and Siang sub-basin in consultation with the Central Electricity Authority (CEA)Indias apex power sector planning bodyand ministry of environment and forests (MoEF). After completing these two studies, the CWC will carry out studies in the other basins. Also, it has been decided that for accelerating the projects, MoEF will not deny clearances to the projects located in the three strategic basins of Siang, Subansiri and Lohit in the absence of basin-wise environmental impact assessment (EIA) studies. Cumulative EIA studies of Siang, Subansiri, Lohit, Dibang and Tawang are set to be completed shortly. Land acquisition problems and delays in securing government clearances have delayed hydropower development in the country. Hydroelectric projects with a capacity to generate 16,754MW of powerenough to meet the demands of states such as Uttar Pradesh and Punjabare awaiting environmental clearances, even though they have been cleared by CEA. The water debates have also brought focus to the issue. The debate has also become more pronounced within China from the point of view of pollution, environment concerns and the need for water. Within India it has been put under the security perspective. This has heightened the issue. This has also become an important agenda with the coming together of other issues such as development of Indias Northeast and Indias Look East policy, added Acharya, who has authored China and India: Politics of Incremental Engagement. The development of infrastructure in the Northeast is also key to Indias so-called Look East policya focus on South-East Asia. There have also been an increase in Chinese military incursions into the Northeast. Given the quantum of capacity being planned in the region, India plans to commission power transmission links for the evacuation of power to other parts of India in sync with the projects. The first set of projects, Pare (110MW), is set to be commissioned by 2015, followed by lower Subansiri (2,000MW) and Kameng (600MW) by 2017. Transmitting electricity through Chickens Neck, a 22km strip in West Bengal that tenuously connects the Northeast with the rest of the country, has been a major constraint for the transmission of power from the region. The government is also

planning to strengthen the intra-state transmission and distribution system in Arunachal Pradesh. The planned commissioning of the projects comes against the backdrop of the central government stepping up efforts to develop infrastructure in a region that has often complained of being neglected.

India Power List Ambanis Big Investment Plans

Reliance Industries Ltd.s Chairman Mukesh Ambani again topped the list of business leaders in India making headlines, according to the monthly data compiled by Dow Jones Insight and edited for clarity by The Wall Street Journal. Earlier this month, Mr. Ambaniannounced plans to invest over $18 billion in India over the next five years with the aim of expanding and diversifying his companys businesses, which already range from gas production to grocery retailers. The announcement came as India is struggling with slowing economic growth and Reliance Industries energy business has been under stress due to a fall in gas output and volatile crude prices. When he announced his plans, Mr. Ambani said the economic difficulties are temporary. Mr. Ambanis ambitious expansion plan is not the only reason he recently generated so much public interest. Last week, he was among a long list of Indian business leaders who came out insupport of Rajat Gupta, a former director at Goldman Sachs Group Inc. and Procter & Gamble Co., ahead of his conviction on charges of insider trading. And theres also his 27-storey Mumbai home. An interview with his wife Nita that ran in this months edition of Vanity Fair offered a rare window into Antilia Tower, widely believed to be the worlds most expensive home. This has long been a no-go area for the press, sparking rumors on its interiors and even on whether the family actually lived there. For the first time, Mrs. Ambani publicly said they are, indeed, living there. Ranking second after Mr. Ambani in the Power List is the chairman of the State Bank of India, Pratip C. Chaudhuri. Fitch Ratings recently

lowered the outlook of several Indian financial entities including the SBI, Indias largest public sector bank. Come back next month to see which business leaders are making news in India. See full rankings here.

India to witness 89 GW of installed wind power by 2020

To fully exploit alternative energy sources, India needs to remove barriers holding back development
S. Bridget Leena First Published: Wed, Nov 28 2012. 10 21 PM IST

India is the third largest annual wind power market in the world and provides business opportunities for both domestic and foreign investors. Photo: Mint

Updated: Wed, Nov 28 2012. 10 51 PM IST Chennai: India is expected to have 89 gigawatts (GW) of installed wind power capacity by 2020 and attract $16.5 billion annual investment according to Indias Wind Energy Outlook 2012. This would hypothetically help prevent the emission of 131 million tonnes of carbon dioxide annually.

Today we face a formidable challenge in meeting our energy needs and providing adequate and affordable energy to all sections of society in a sustainable manner, said Farooq Abdullah, union minister for new and renewable energy while releasing the report. India is the third largest annual wind power market in the world and provides business opportunities for both domestic and foreign investors. The countrys wind power sector experienced record annual growth in 2011 with the addition of more than 3 GW of new installations and $4.6 billion in investments. With an energy demand-supply gap of 8%, peak shortages are at 11-12 % and grid access is not available to more than 55% of the rural population, maximising the potential of renewable energy sources, Abdullah said. The minister said he had recommended to the finance ministry that the industry be given generation-based incentives from April 2013. Renewable power represents about 12% of the total installed electricity generation capacity in India. Investment in renewable energy was $10.3 billion in 2011, up 52% from the previous year. India is not constrained by resources but lacks good policy incentives to support and give impetus to the wind energy sector, said Steve Sawyer, secretary general, Global Wind Energy Council. There has been a policy vacuum since the accelerated depreciation incentive has been scrapped while the generation-based incentive is yet to kick in, added Sawyer. To fully exploit alternative energy sources, the Indian government needs to address several challenges and remove barriers holding back development, the report said. The key policy thrust areas should be a comprehensive renewable energy law, incentives for repowering or replacing older power plants with new ones, establishing clear long-term targets, rules for interconnection and forecasting, the report said. One key concern is the lack of policy guidelines and incentives for repowering, the report said. Others include the disposal of old equipment, fragmented land ownership at existing wind farms, lack of clarity on the feed-in tariff offered to newly repowered projects and constraints on the evacuation of the extra power generated.

Indias potential for wind power development is higher than previously thought, going up to 400 GW if the potential of offshore wind power development and repowering are fully exploited, the report said. More than 95% of the wind energy development to date is concentrated in just five states Tamil Nadu, Gujarat, Maharashtra, Andhra Pradesh and Karnataka. Rajasthan is emerging as a state with a rising number of wind turbine installations, the report said.

First Published: Wed, Nov 28 2012. 10 21 PM IST

INDIA SOLAR Indias national policy WEEKLY MARKET is betting big on UPDATE centralized solar power November 15th, 2013 Average project allocation sizes under Indias National Solar Mission (NSM) have been increasing ever since the mission started. The batch one of phase one allowed a single developer to take up a capacity of up to 5 MW. This was increased to 50 MW in the second round. In the first round of phase two, it has been increased to 100 MW. With this, the direction of the national policy is clear. It is moving towards ever larger projects. Now, the Ministry of New and Renewable Energy (MNRE) has taken it a step further by announcing ultra-mega solar power projects. These are envisaged to be gigawatt scale projects. The first of its kind is the 4 GW project that has been allocated to a joint venture of six government owned companies (refer). Bharat Heavy Electricals Limited (BHEL), one of the project

eggs in one basket, i.e., centralized solar. From the ministrys perspective, the key objective of doing this is to bring down costs and ensure a hassle free meeting of targets. However, all these decisions are being made by the ministry even when the debate about centralized solar vs. decentralized solar, as the way to go for India, has not even begun. Centralized solar offers economies of scale and helps bring down costs on the generation side. However, this power needs to be transmitted to the consumption end and the losses in between can be as high as 20%. Moreover, in the centralized framework, solar power is competing with the cost of power generated from other sources of power such as thermal, wind and nuclear. Also, under the centralized model, new transmission infrastructure in the form of green corridors needs to be set up. On the other hand, solar power, unlike most other

proponents, is expected to announce EPC bids for the first 1 GW capacity by March 2014.

sources of power, can be generated directly on the consumption end. Under this framework, there is no need to set up new According to media reports transmission infrastructure (refer), the MNRE may be and there are no planning to set up five transmission losses. The ultra-mega renewable drawbacks of decentralized power plants which will generation include higher add up to a capacity of 18 cost of generation due to GW over the next 10 the lack of scale and new years. However, it is investments in making the important to note that distribution of power these are renewable parks smarter at the last mile. and not solar parks . Within the decentralized Hence, this would not framework, economies of increase Indias solar scale can be created if the capacity by nine-fold as market size increases and claimed in the report. investments in making the grid smarter can also help According to BRIDGE TO make distribution of INDIA, the MNRE will stick conventional power more to its target of allocating efficient. 2.52 GW of solar PV capacity by 2017 (refer). As a country, until we have The only shift that can be a clear answer as to envisaged is that the 1.08 whether centralized GW of solar thermal generation is better than capacity will also be decentralized generation or diverted to solar PV. This vice-versa; it might not be means that a maximum of very wise for us to choose a 3.6 GW can be allocated to side. solar PV by 2017. Considering that 750 MW According to BRIDGE TO is already being allocated INDIA, creating an under batch one of phase ecosystem which will help one of the NSM and 1,000 solar to stand on its own MW is being allocated to feet in the future is more the first ultra-mega important that just meeting project, only 1,850 MW the target numbers set will be left to be allocated under the policy document. until 2017. Most likely, up to four projects with a

capacity of around 500 MW each will be allocated in 2014 to meet the current five year plan (2012-2017) targets. Apart from this 3.6 GW capacity, any predictions for allocations beyond 2017 cannot be made as of today as they will be guided by a new policy document for phase three of the NSM. With very little emphasis on decentralized solar under the central government policy, it seems like India has put all its

THROUGH OUR LINKEDIN GROUP 'INDIA SOLAR FUTURE' Which fair is better for solar in your view: Intersolar, Mumbai or RE Expo, New Delhi?

Indias Power Grid $1.2 bln share sale likely to open on Dec 3
IndianPowerSector.com November 20th, 2013 0 State-run Power Grid Corp of Indias sale of shares, valued at about $1.2 billion, is likely to open on Dec. 3, three sources with direct knowledge of the matter said, as part of the governments drive to revive the divestment programme. The Power Grid offering, which was approved by the Indian cabinet earlier this month, includes fresh issue of company shares and the governments divestment of a 4 percent stake. The governments planned sale of stakes in Power Grid and other state companies including miner Coal India Ltd is critical to relieving pressure on public finances that could put the countrys investment-grade credit rating at risk. India has targeted raising $6.4 billion from selling stakes in state companies in the fiscal year ending March 2014, but has so far managed about $230 million, as ministries squabble over the timing of the issues and the rupees fall against the dollar. The Power Grid issue is likely to remain open for investors to bid until Dec. 6, said the sources, who declined to be named as they were not authorised to speak to the media before a public announcement. A Power Grid official said the issue was likely to be launched in December but he was not aware of the launch date. Ravi Mathur, secretary at the Department of Disinvestment, was not immediately available to comment. Shares of Power Grid were trading down 1.3 percent at 95.10 rupees on Tuesday at 0924 GMT. At the current market price the sale of 787 million shares, of which 185 million will be sold by the government, will raise about $1.2 billion.

Indian Hotels Overseas cheer not enough to check domestic gloom

Sep-quarter performance of premium hotel chains show the sector has not escaped from the clutches of oversupply and weak demand
The September-quarter performance of premium hotel chains show that the sector has not escaped from the clutches of oversupply and weak demand. Results of Indian Hotels Co. Ltd reflect this as net revenues of the standalone firm inched up by barely 3% from the year-ago quarter. The 26% year-on-year growth in operating profit was realized on account of stringent cost cutting and a greater share of food and beverages income in revenues. Fortunately, consolidated performance of Indian Hotels was buoyed by a strong improvement in its overseas business and, of course, the depreciation of the Indian rupee during the quarter. Net consolidated revenue rose by 10% from a year back to Rs.895.9 crore. A report by JP Morgan says the net consolidated revenue rose due to the strong operating parameters mainly in the US markets, where most properties clocked occupancy rates of 75% and expansion, although minimal, in average room rate. However, higher advertising and marketing expenses, repairs and maintenance and administration expenses pulled down consolidated operating margin by about 45 basis points to 4.3%. Meanwhile, a recent positive development is the groups abandoning of its chase for a $1.2 billion acquisition of the international luxury chainOrientExpress Hotels Ltd. This would allay concerns of uncertainty at a time when financials are already under pressure. But abandoning the bid did cause a mark-to-market loss of about Rs.370 crore during the quarter. Prospects for the shareholders will, however, improve only when demand growth outpaces room additions. Interest expenses have been rising, as is the case for peers. In fact, a note by Elara Securities states the management intends to add around 1,488 rooms in fiscal 2014 and 1,635 in fiscal 2015, but largely through joint ventures. For now, the single-digit year-on-year growth in foreign tourist arrivals and the sluggish economic scenario at home is not conducive for hotels to earn enough to compensate rising expenses due to capacity expansion.

Indian power equipment makers oppose setting up of Chinese manufacturing units

Sarita C Singh, ET Bureau Nov 28, 2012, 05.00AM IST

(Chinese firms have formally)

NEW DELHI: China's top power equipment makers are keen to set up manufacturing facilities in India, and are seeking easier visa and import rules as the global slowdown has prodded the world's leading suppliers such as Shanghai Electric to boost business in India. Chinese firms have formally approached Indian authorities this month, particularly after Beijing announced its new leadership, government officials said. But Indian suppliers, including state-run Bhel, are resisting Beijing's moves, worried that they may face unfair competition from China, which restricts access to its own market and helps its suppliers. Funding by Chinese banks helped Reliance Power place a $10-billion order, the world's largest, with Shanghai Electric two years ago. The issue came to the fore at a meeting between Indian and Chinese executives and officials coordinated by the Planning Commission on Monday.

A Planning Commission official said Chinese companies are worried about the global slowdown in the sector. "China has added about 6,00,000 mw power generation capacity in the last 10 years. Chinese power equipment makers have built huge capacities and the slowdown in the US and European markets is hitting them," he said. At the meeting, the Indian side argued that the Chinese have an advantage as they started manufacturing equipment at least two decades ahead of Indian companies. "We insisted on collaborations in technology, research and turnkey contracts and said they should ease duty on imported power equipment in their own country before seeking relaxations here," a senior Ansaldo Caldaie India official said. "Their currency is artificially pegged and the manufacturers are offered subsidies that make their goods cheaper," he said. India's power sector, which added 20,000 mw of capacity last year, is a lucrative market for foreign firms.

Supplies from Chinese firms such as Dong Fang and Harbin Electric International Co would also reduce costs for power producers, which are facing high costs, fuel scarcity and distribution bottlenecks. India imposed a 21% duty on imported power equipment after strong demand from local suppliers. Government officials said Chinese firms want to set up facilities in India, but they want the import regime eased. They are also concerned about various obstacles, including restrictions on Chinese participation in tenders. Thermax India Managing Director MS Unnikrishnan said setting up shop in India was a logical next step for Chinese firms. "No one can ignore India now. India will be the most competitive market with advantage of access to local market and probable export base." Chinese firms want a more liberal visa regime. India allows only highlyskilled Chinese technicians at power plants that have to justify the requirement at site. Officials said the home and labour ministries are not liberal in allowing Chinese executives to work in India. State-run companies like NTPC and electricity boards are seeking only locally made equipment for their power plants, putting another obstacle for Chinese companies. But Indian firms such as Bhel, Larsen & Toubro and Ansaldo Caldaie India said China needs to open up its own power equipment market. Industry officials said Chinese power equipment makers, including Shanghai Electric Corp and TBEA Shenyang Transformer Group, are strongly pitching for relaxation of import duty. "They argued that this would benefit common people as they can offer cheaper equipment and finance. The companies also offered setting up manufacturing base and operation and maintenance facilities for servicing Indian power plants, but wanted the government to ease the norms first," said an industry official who attended the meeting.

India's power distribution sector needs serious revamp

Venugopal Pillai Friday, November 23, 2012, 11:57 , Hrs [IST] Dr. Sadananda B., Managing Director, Standard Transformers Pvt Ltd Karnataka-based Standard Transformers is engaged in manufacture of power and distribution transformers. It has also diversified into the EPC contracting space. discusses his company's activities in detail and also gives keen insights into several pressing issues in the transformer industry. While regarding the mandatory star-labeling for distribution transformers as a good move, he feels that procurement policies of state power utilities still need fine-tuning. An interview by Venugopal Pillai. At the outset, tell us about your Manipal transformer manufacturing plant and the various types of transformers produced by your company. Established in 1988 and ISO-certified in 2003, Standard Transformers is a private limited company engaged in manufacture and testing of transformers in the voltage class from 11kV to 132kV and rating from 10KVA to 40MVA. Our Manipal unit commenced production in 1988. Till 2001, we were manufacturing oil cooled and dry type distribution transformers in voltage class of 11kV and 22kV, voltage regulators and rectifiers for electroplating, anodizing, hydrogenation and zinc extraction. Given the major investment outlay in the country's power T&D sector, are you planning any capacity expansion? In 2001, we upgraded our facilities at Manipal for manufacturing and testing transformers up to 132kV/40MVA and set up additional unit at Canacona, Goa for manufacturing distribution transformers. Around a decade of experience in the distribution transformer field gave us the confidence to enter the intermediate voltage class of up to 132kV. The first 110kV delta-connected 10MVA power transformer was supplied to KPTCL through turnkey contractor Crompton Greaves Ltd, Nasik. Though we have so far supplied only few 33kV, 66kV and 110kV class power transformers to utilities over the past ten years, all of them are performing well till date with zero per cent failure rate. However, given that the life expectancy of 20-30 years for power transformers, this may be a premature evaluation! Speaking of capacity expansion, we currently have no plans. What is your view on the mandatory BEE certification for distribution transformers that has come into effect from January 2010? Do you think the overall efficiency of distribution transformers has improved? We appreciate and fully support the BEE Certification that has come effect from January

2010. Though India's power generation and transmission infrastructure has seen phenomenal growth, the distribution sector has been badly neglected. India's T&D losses are 30-40 per cent compared to the world average of 8 per cent. As much as 70 per cent of the country's T&D losses are contributed by distribution transformers. Strict enforcement on use of star-rated transformers by discoms and other utilities can reduce transformer losses. Use of more distribution transformers, especially at load centres to maintain uniform voltage, feeder separation in rural distribution system, use of auto-reclosers, avoiding use of under-sized conductors, minimizing radially-laid 11kV and 0.4kV distribution lines, etc, can drastically reduce distribution losses apart from transformer losses. I must add here that AT&C loss measurement at feeder is better measure of the overall efficiency of the distribution losses. Here, we take into account power theft, un-metered agricultural load, etc. MESCOM, our local power distribution utility, has effectively implemented many of these measures and losses of their system are much below the national average. The steel ministry is in the process of making it mandatory to use only BIScertified electrical steel (CRGO). What is your opinion? Electrical grade CRGO is not manufactured in India. Lot of second grade electrical steel was being used in distribution transformers in the past contributing to higher losses. The steel ministry's move in this direction is highly appreciated. Though electrical prime steel is imported, the current CRGO requirement from developed countries is minimal. Thus there might not be shortage in the international market. State government power utilities are your major clients. What is your view on the L1 procurement policy? State governments depend on e-tendering for procurement of materials like transformers. Usually it is a two part tender. In Part- 1, the technical bid is opened and evaluation is done about tenderer. Proper evaluation of vendors like infrastructure availability, quality of the technical team, feedback on performance and service can be done at this stage. After this, eligible suppliers are selected. If strictly adhered to norms, the L1 procurement system is a good system but utilities accepting L1 bidders that quote lower than "Schedule of Rates" of utilities is paradoxical! Perhaps due to this, there is a very unhealthy competition in the Indian market and lot of compromise done on the quality. Still, do you find any change in the procurement policies of state government utilities after the trifurcation of erstwhile state electricity boards? Yes, there has been a gradual change in procurement policies and it is in the positive direction.

Tell us about the projects division of Standard Transformers. What type of services to you offer? The Project Division of our company was established in 2003 for execution of substation projects in the 33kV to 132kV class. The first 66/11KV station incorporating two Standard Transformer-make power transformers was established for KPTCL at Kanakapura, Bangalore, in the same year. Please summarize your business strategy over the next 4-5 years. Presently we are manufacturing distribution transformers mainly for discoms and private utilities. We would also continue making power transformers of up to 132kV class but for a select customer base. We would also like to concentrate on redesign and retrofitting of power transformers. Given that India's transformer base will substantially expand in the coming years, how do you see the prospects of transformer repairs emerging as a specialized service? More than half of the power transformers in India have been in operation for over 25 years. Considering the average life of a transformer to be around 25 years, in normal operation, it is essential to carry out repair and retrofit on transformers whilst they are in service condition rather than when they fail. This can extend the life of a transformer technically and economically. Viable repair and retrofit solution can be attained after recording all parameters of transformers under service. All original parameters of a transformer can be maintained as there is only replacement of winding as per the existing design, and new transformer oil. If there is a redesign or change in parameters, it is for better performance. Repaired and fully retrofitted transformers are economical than new transformers with both having same life expectancy.

Japan gives nuclear industry a reason to cheer

Restart of reactors may boost nuclear power, uranium prospects
By Myra P. Saefong, MarketWatch

SAN FRANCISCO (MarketWatch) Japans devastating disasters last year derailed some growth in the nuclear industry world-wide, but demand for uranium is poised to strengthen after the nation that fed doubts over safety approved its first restart of nuclear reactors since the catastrophe. Stealthily developments in the nuclear industry are moving ahead, said Jeb Handwerger, a natural-resource analyst and editor of GoldStockTrades.com. Homage was paid to Fukushima, but it did not deter companies in the nuclear power industry from continuing the development of nuclear energy.

Click to Play

Japan to restart nuclear reactors

Japan plans to reactivate two idled nuclear reactors in Oi this summer, a first step toward getting the nuclear industry back on track, 15 months after the disaster at the Fukushima Daiichi plant. WSJ's Chester Dawson reports from Oi, Japan.

On March 11, 2011, a magnitude 9.0 earthquake, the most powerful ever recorded in Japan, struck the eastern coast of the nation. Tsunami waves

followed, causing a power outage at Japans Fukushima Daiichi nuclear plant that, in turn, sparked a radiation crisis that was the worst the world had seen since the 1986 Chernobyl nuclear disaster in Ukraine. And in the months that followed, all 50 of Japans main nuclear reactors, which provided around 30% of the nations electricity, were shut down the most recent being a reactor at the Tomari nuclear plant in May of this year. That marked the first time since 1970 that the nation had been without nuclear power. The main difference between now and before Fukushima is that the future growth curve for nuclear power (and uranium demand) is much flatter now than it would have been if Fukushima had not happened, said Jonathan Hinze, senior vice president, international, at the Ux Consulting Co., the worlds leading nuclear-fuel consultancy.

The restart of the Japan reactors is likely to be the triggering event to start an upward movement in uranium prices and uranium stocks.
Steve Laflin, International Isotopes But, in a sign of progress, the Japanese government recently approved the restart of the two reactors at the Oi nuclear power plant in Fukui prefecture in western Japan. The restart process is expected to be completed by late July.

The restart of the Japan reactors is likely to be the triggering event to start an upward movement in uranium prices and uranium stocks, said Steve Laflin, president and chief executive officer of International Isotopes INIS +18.57% Some estimates pegged the loss in uranium stocks at more than $1.5 billion in value in the week following the Fukushima disaster, said Laflin, whose firm takes depleted uranium and turns it into specialty fluoride gases. Since then, uranium prices have largely stabilized and industry commodity experts believe that it has found a solid floor price, he said. Shadow of a doubt Many analysts dont believe that the worlds nuclear prospects were ever really threatened, though it certainly looked that way. Had the Oi units not been approved for restart, that would have cast a big shadow over the world nuclear industry, as well as over Japans economy, said Ann MacLachlan, European bureau chief of Platts Nuclear Publications, Paris. So in that sense, its good news for the nuclear sector.

Click to Play

Protests over Japan nuclear restart

The Japanese government's decision to restart operations at two nuclear reactors in western Japan draws protests. Sunita Rappai reports. Video courtesy of Reuters.

In the wake of Japans disaster and the shutdowns of the nations nuclear reactors for maintenance and safety checks that followed, nuclear energy appeared to be falling out of favor. Germany announced plans to phase out nuclear power by 2022 and Switzerland said it would phase out nuclear power by 2034, according to the World Nuclear Association. The biggest hits in terms of country nuclear power programs were seen in Japan and Germany, said Hinze. A few other places also saw significantly reduced prospects for nuclear power usage in the future, including Switzerland, Belgium, Taiwan and Italy, he said. A few other countries, such as China, reduced their growth targets as additional safety requirements were placed on new construction.

JK Bank accords farewell to two senior executives

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Srinagar, Dec 1: J&K Bank gave a warm send-off to its Executive President Sahibzada Ghulam Mohi-ud-din and Vice President Nazir Ahmad Parimoo who retired from service on Friday. Chairman and CEO, Mushtaq Ahmad, presided over the farewell meet at Banks Corporate Office, here, which among others was attended by Executive Presidents and Presidents of the bank. Hailing the contribution of the two officers, who have served the Bank in different capacities for more than three decades, Chairman said, J&K Bank is marching ahead with confidence because of the commitment and life-long services of its staff members. It is because of our dedicated employees that this organisation has transformed itself into profitable financial institution with a unique organizational culture based on integrity and strong sense of identity, he added. Speaking on the occasion, Sahibzada said, It is a moment when we both feel satisfied for having been able to contribute something to this institution. And honestly speaking we have received much more respect and cooperation for our contributions. We feel overwhelmed by the affection and respect from our colleagues throughout our service career and we really are proud to be part of this great institution that serves to empower people financially, said Nazir Ahmad Parimoo.

Keep the windmills turning

Rakesh Kumar Kubde November 20th, 2012 0
inShare

At a time when every country in the world is trying to get its nose into renewable energy, what with concerns over environment and fossil-fuel geopolitics, Indias contribution seems to be practically nothing more than mouthing shibboleths. A good instance of this is the regression in the wind-power sector last year, India added 3,100 MW of wind power capacity, but this year, going by the record of the first half, some 1,500 MW seems optimistic. While there are many reasons for this, such as grid problems in the windiest State (Tamil Nadu), difficulties in acquiring land and the slowdown in the Indian economy, the most disturbing factor can be attributed directly to the Union Government red tape. From time to time, Minister for New and Renewable Energy Farooq Abdullah has been saying in public that a generation-based incentive scheme would be brought. The scheme pays a fixed sum for a unit of electricity generated. A similar earlier scheme expired in March this year. The Ministry is now believed to have recommended 81 paise for a kWh and the proposal in favour of the scheme is currently under the active consideration of the Ministry of Finance. Hurting industry It has been under active consideration for months now. Fair enough. No fair-minded, person would expect the Finance Ministry to blindly sign on a proposal that

involves considerable outflow of money from the Government, especially at a time when it is grappling with a recalcitrant fiscal deficit. But the avoidable uncertainty around it is killing the industry.

KPMG India report paints bleak power scenario, but bankers optimistic
Most private plants are operating at 60% of capacity due to non-availability of fuel, says KPMG India report
Anup Roy & | Makarand Gadgil

Nearly 33,000MW of projects set to come up by March 2017 dont have any long-term power purchase agreements with state distribution utilities because of which they can also become non-performing assets. Photo: Harikrishna Katragadda/Mint Mumbai: A shortage of fuel has stranded more than 33,000 megawatts (MW) of power generation in India, and if the situation does not improve fast, Indian banks could be staring at a bad debt of more than Rs.1 trillion, according to a white paper by a global consulting firm, even as bankers said things have improved substantially in the sector and bad debts are not likely to deteriorate in the near future. Bad debt as a percentage of total advances in the power sector stands at 0.57%, according to Reserve Bank of India (RBI) data. However, including restructured advances, the ratio is 19.40% at the end of fiscal ended March against 13.30% a year ago. It was as low as 4.11% in the fiscal to March 2011. This includes advances to state electricity distribution companies (discoms), which together accounted for Rs.1.9 trillion of restructured advances. A big concern today is a lack of financing available for new projects, said the report by KPMG India, titled Recharging the Power Sector. The 13th Five-Year Plan requires Rs.1.27 trillion of private sector equity and the project pipeline looks weak, the report said.

A bank chairman with a big public sector bank contested the claim. The amount of pending projects are huge and drawdowns have not happened against them. There is actually no need immediately to draw a fresh power project but it will be good if the government just pushes the pending projects faster, said the banker who did not want to be named. Once the existing projects fire up, the power scene in the country will change rapidly. Government banks have been financing these projects and will continue to do so if the projects turn viable again. There are stranded power assets and at the same time in many regions consumers are facing power shortages, the KPMG India report said, adding the distribution sector financial losses stood at Rs.67,000 crore in fiscal 2012, while bank exposure to discoms in the form of short-term loans stands at Rs.1.9 trillion. The debt to equity ratio of private power generation firms shot up to 2.64 in fiscal 2013 from 0.91 in fiscal 1995. The cost of power deficit in the form of additional cost of diesel back-up generation is Rs. 43,800 crore a year. Commissioned but stranded power capacity stands at more than 33GW (due to lack of coal and gas) which will result in non-performing assets (NPAs) with investments of over Rs.1 trillion, the report said. 1GW, or gigawatts, is equivalent to 1,000MW. The Electricity Act of 2003 opened up the power generation sector to private firms. It allowed companies with funds, land, fuel and environmental clearances to set up plants anywhere in the country. Since 2003, according to Planning Commission data, private sector firms added around 24,000MW capacity. However, today these private sector companies are facing twofold challengesavailability of fuel and lack of demand from distribution utilities, which are still mostly controlled by the state governments. Most of these plants are operating only at 60% of their capacity due to non-availability of fuel, both coal and gas, according to the KPMG India report. Besides this, nearly 33,000MW of projects which are to come up by March 2017 dont have any long-term power purchase agreements with state distribution utilities because of which they can also become NPAs. These generators dont have bankable agreements because the procurement process of state distribution utilities is extremely slow. Bankers and power sector analysts do not see the situation as dire as painted by the consulting firm. Most of the problems of power sector are because of over enthusiasm of the private sector players to anyhow bag the contracts for supply of power from distribution utilities, said V.P. Raja, former chairman of Maharashtra Electricity Regulatory Commission. In an attempt to quote lowest tariff to get the contract, they did not bother to double-check whether fuel is really available and at what price. Power projects are being cleared fast by the cabinet committee on investments and things are looking up, according to S.L. Bansal, chairman of Oriental Bank of Commerce. There could be delay in revenue generation, but in a power-deficit country like India, projects will eventually pick up. There were problems because discoms were not paying the power generation companies. Now that their loans have been recast and they are paying the companies, things are improving. Of course, there will be cost

overruns, but in most cases the firms have a cost pass-through clause in the agreement, said Bansal. Of course, in power agreements where there is no passthrough clause (or the cost of power is pre-fixed), the promoters will be in deep problem. Theres no need to panic on the power sector, said Bank of Barodachairman S.S. Mundra. He doesnt see the bad-debt situation worsening from the current level. We are nowhere near a situation that oversaturation in power has happened. There is still heavy demand for power and tariffs are getting revised. There is no dearth of coal in the country and power can now be generated with imported coal as well, Mundra said. I dont see why power should continue to remain a big NPA problem for banks in the future. The long-term forecast for power demand is good, Raja said. I believe these are shortterm problems, he said. Sixty five percent of our population is below 25 and we need to find them jobs and if we need to create jobs for them, we need huge power generation capacities; so long-term forecast for power demand looks good.

Ajai Shukla | New Delhi June 21, 2012 Last Updated at 00:21 IST

L&T-Tata-HCL in Rs 10k-cr defence deal race

Private sector consortium to compete with public sector giant Bharat Electronics Ltd
In a long-anticipated move towards unleashing the abilities of Indias private sector in equipping the military, the ministry of defence (MoD) has chosen a private sector consortium to compete with Bharat Electronics Ltd (BEL), the public sector giant, to develop a backbone communications network for the 21st century battlefield. The project is worth an estimated Rs 10,000 crore. Called the Tactical Communications System (TCS), this network will be created simultaneously by two Indian development agencies, or DAs. Besides BEL, the MoDs traditional go-to shop for electronics and communications, South Block has selected a private sector consortium of Larsen & Toubro, Tata Power (Special Electronics Division) and HCL. The MoD today informed the two DAs in writing about their selection. Business Standard has reviewed a copy of the MoD letter. The TCS is a mobile communications grid that is rolled out across the battlefield, even deep inside enemy territory, for advancing tank formations. Each TCS provides an army corps (some 60,000 soldiers) with the frequencies and bandwidth needed for its communications, including voice, data and video. It operates like a cellular phone network, but with three major differences. First, the TCS is mobile, its exchanges and switches installed in high-mobility vehicles that can transport and install these anywhere, including mountains and deserts. Second, the TCS transmits enormous volumes of data, such as map overlays, video conferencing or streaming video from unmanned aerial vehicles. Finally, the TCS maintains secrecy, forestalling enemy eavesdropping by rapidly hopping frequencies, hundreds of times a second, in a coded sequence. Given the importance of secrecy, the MoD ruled that the TCS must be built in India. It is the first project being taken up under the Make category of the Defence Procurement Policy of 2008 (DPP-2008). This mandates that an Indian company, or consortium, must develop the TCS, with a minimum 30 per cent indigenisation at the prototype stage. The two DAs will now take about six months to prepare a Detailed Project Report (DPR). This will define every system, sub-system, and capability of the TCS network. After studying the DPR, the MoD will estimate the cost of developing a TCS prototype. Industry sources say a working TCS prototype for an army division (15,000 troops) could cost about Rs 300 crore. MoD will fund 80 per cent of this cost; the vendors will pay 20 per cent. The next crucial stage, explains Rahul Chaudhary, CEO of Tata Power (SED), is the building of the TCS prototype, which the two contending DAs would do separately, taking some 18 months. Then, in six to eight months of user evaluation trials, MoD will choose the better design. The DA that indigenises technology better will have an advantage over the one that relies more on foreign technologies and components. The trials would also give the user a last chance to recommend design changes. The finalised design, to be documented into a General Staff Qualitative Requirement (GSQR), will be the TCS that enters operational service. The government could nominate a single winning vendor between BEL and the L&T-led Special Purpose Company (SPC) to build all seven TCS systems the army needs, each worth some Rs 1,500 crore. However, most insiders expect MoD would

speed up production and hedge risks by distributing the order 65:35, with the superior design getting the lions share. In choosing the two DAs that were intimated today, MoD evaluated eight carefully vetted companies: L&T, Tata Power (SED), HCL, Rolta, Wipro; and also from PSUs: BEL, Electronics Corporation of India Ltd and ITI. Given the complexity of the projects and the stakes involved, L&T, Tata Power (SED) and HCL decided to combine forces, bidding jointly as an SPC. Jayant Patil, executive vice-president at L&T, told Business Standard at Defexpo India 2012 in March that the distribution of stakes in the SPC are: L&T, 56.67 per cent; Tata Power (SED), 33.33 per cent; and HCL 10 per cent.

Lenders turn down power companies, say Coal India fuel supply pacts are not bankable
Sarita C Singh, ET Bureau Jun 22, 2012, 01.00AM IST

Tags: Rural Electrification Corp| Pulok Chatterji| Power Ministry| fuel supply| FSA| Coal India| CIL| Association of Power Producers| Ashok Khurana

NEW DELHI: In a setback for power producers, lenders have said fuel supply pacts offered by Coal India are not bankable as they do not guarantee supplies while the state monopoly has said it cannot provide even 80 per cent of the promised fuel before 2015.

Over 50 power plants with a combined capacity of 50,000 mw were expected to sign supply pacts with CIL. Banks such as State Bank of India and Infrastructure Development Finance Company have proposed that power companies should be allowed to sell part of their electricity in the short-term market.
State-run Rural Electrification Corp, a leading lender in the sector, said it was comfortable lending only to power companies that had captive coal blocks. "The scenario looks grim. We are unable to take most lending decisions as there is not much clarity," he said. CIL had modified its model fuel supply agreements (FSAs) after the Prime Minister's Office directed it to supply 80 per cent of required coal to plants that have long-term power pacts with distribution companies.

The new FSAs give CIL the discretion to end the agreement unilaterally, creating uncertainty regarding the pact's term. Clauses allowing the miner to decide on the cost of imported coal and relieving it from commitment in case of power cuts or equipment breakdown have not gone down well with producers. Power Ministry says FSA Favour CIL Companies are also uncomfortable with CIL's decision to pay 0.01 per cent penalty for short supply. The power ministry has conveyed to the PMO that the FSAs are tilted in favour of CIL as the company has virtually refused to commit to deliver the agreed amount of coal. A senior power ministry official said 27 of the expected 50-odd power units have signed pacts with CIL while others have refused. Meanwhile, CIL has communicated to the PMO and power ministry that supplying coal at 80 per cent of projects' requirement was not possible and it can only meet 65 per cent of the needs in the next three years. The PSU said it will be able to meet 80 per cent demand by 2015-16. Top officials from the coal ministry and CIL will meet PMO Principal Secretary Pulok Chatterji on Friday to discuss the issues. The lenders are also apprehensive about the pre-requisite of signing power-purchase agreements (PPAs) to be eligible for coal supply, given the financial condition of distribution utilities and delay by the power ministry in finalising bidding documents. As per data available with the Association of Power Producers, the fate of power projects with a capacity of 14,715 mw hangs in balance as states have either not concluded the bidding process or plants have signed PPAs for only a part of the capacity. There are very few opportunities for companies to bid for PPAs. Powerpurchase agreements for only 7,745 mw have been signed on a long-term basis in the past three years, data from the Association of Power Producers shows. Association of Power Producers Director-General Ashok Khurana said, "In view of paucity of bidding opportunities, developers who have made sufficient progress in implementing power projects with letters of allotment from CIL and are likely to get commissioned before 2015, should be allowed to sign FSAs on the condition that coal would be supplied after signing powerpurchase agreements".

Lights out
The Indian Express : Thu Jun 21 2012, 03:50 hrs

Hard decisions on power tariffs, not sledgehammer rules to conserve electricity, are needed The aborted attempt by the Uttar Pradesh government to switch off electricity to heavy consumers like malls after 7 pm is a reminder of the gathering crisis in the power sector, but more than that, of the fact that states are still in the dark. In 10 years, from 2000 to 2010, the UP state regulator has revised electricity tariffs only once. As a result, by the end of fiscal year 2010, the aggregate losses of all state utilities, including UP, have risen to Rs 1,23,000 crore. The borrowing of the distribution companies from the banking sector to finance this loss has approximately doubled, according to Crisil figures, to Rs 2,67,000 crore. The scale of crisis is enough to pull the balance sheets of several banks into trouble. As banks have baulked at providing fresh loans, the companies have reached the end of their capacity to buy additional electricity to feed their grid. So even though year 2011-12 has ended with a capacity addition of 20,000 MW, the power cannot be sold to bankrupt discoms. Instead of taking steps to correct this mismatch by fixing the tariff regime, UP seemed to be planning to handle the power shortage by reaching out for sledgehammer rules to conserve power. As the core of the problem remains unaddressed, there is a corresponding impact on the consumers. Studies show that as industrial consumers get used to low tariffs they skimp on improvement in the quality of their electrical machinery and end up losing on electrical efficiency. The correct remedy for power shortage is to ensure that the so-called independent regulators actually act independently and raise tariffs in keeping with the rise in costs a saving grace here is the Central Electricity Regulatory Commission's directive mandating that each state regulator examine costs and give a power tariff ruling each year. The states also have to take over a significant portion of the loans run up by the discoms as tariff hikes are not allowed to service past dues as per current regulations. But for the future, the takeover has to be accompanied by the imposition of a strict financial discipline on state utilities to ensure that tariffs are mandatorily raised when costs rise this, in fact, is one of the recommendations of the B.K. Chaturvedi panel that is working on a plan to reduce the debt of state electricity boards. Only these steps will create the space for financing additional capital investment by the utilities, allow them to replace outdated transmission lines and stop states from issuing orders that are difficult to implement even as they skirt the fundamental problem.

Logic for alternative coal supply

SRIKUMAR BONDYOPADHYAY

Calcutta, June 21: The shortfall in domestic coal supply is unlikely to be met even if the penalty provision in the new fuel supply agreement (FSA) is increased to a maximum of 40 per cent, Coal India chairman S. Narsing Rao told The Telegraph on the eve of a meeting at the Prime Ministers Office.
Rao: Listing options

He said the country would have to look for alternative sources other than Coal India.

The average price that the power sector pays for our coal is around Rs 1,000 per tonne. Even if we had to pay the maximum penalty of 40 per cent on any shortfall from the minimum trigger level of 80 per cent of the annual contracted quantity, is that going to get them the coal? So, the question of very low penalty provision in the new FSA is not tenable for power companies not signing the agreement, Rao said. The penalty provision is one of the nine agendas to be discussed at the meeting. According to Rao, In 2000, the government and the Planning Commission envisaged that CIL will not be able to cope up with the demand for coal. So, they had set a production target of 520mt (million tonne) for Coal India for the final year of the Eleventh Five Year Plan and thereafter none. The production target for Singereni Collieries was 45 mt. The total coal supply from the public sector companies was estimated at around 560mt in the final year of the Eleventh Plan. Therefore, the government had thought about it and the incremental coal supply would have to come from alternative sources other than Coal India, Rao said.

Singh said by alternative source, the government meant captive blocks. Accordingly, coal resources worth 50 billion tonnes were allotted to various private and public firms from 1999 to 2009. The output from these blocks was estimated at 104mt by March 31, 2012 and 250mt in the final year of the Twelfth Plan. Since 1993, the Centre had allocated 213 blocks for captive use but only 28 have started production. NTPC, which was awarded the Pakri Barwari reserve in Jharkhand in 2004, could not produce anything from the block against an expectation of 25mt per annum. No doubt, Coal India fell short of its planned production target, but the shortfall was also there from captive sources. So, it is the failure of the entire system and there are a number of issues involved such as land acquisition laws, environment and forest clearances and state administration. All these have to be coordinated to enhance production, Rao said. Coal India, which has set a production target of 464mt for 201213, plans to supply 347mt to the power sector against 312mt in 2011-12. Calculated at 85 per cent plant load factor for power projects, the PSU will have to supply at least 393mt to avoid the penalty. This means Coal India may have to import 46mt this fiscal. The import provision is there in the new FSAs. But I doubt whether the consumers will find any value addition in CIL importing the coal and supplying it to them when they can get it imported by any other agency, Rao added.

M&M wins Govt order for 630 vehicles

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MUMBAI, NOV 15: Mahindra & Mahindra has won an order for a fleet of over 630 vehicles from the Government of India. The vehicles would be gifted to the Nepal government as a support for the upcoming Constitutional Assembly elections. The elections are planned to be held in Nepal on November 19. These vehicles would be utilised by the Security Forces, Nepal Police, Armed Police Force and as part of the convoy. For us, this epitomises one of the important aspects of the Mahindra brand namely, Driving Positive Change, and also demonstrates the confidence of both governments in our products, said Ruzbeh Irani, Chief Executive (International Operations), Auto & Farm Equipment Sectors at M&M. rajesh.kurup@thehindu.co.in
(This article was published on November 15, 2013)

Keywords: Mahindra & Mahindra, GoI order, India gift to Nepal

MHI hopes to work with Hitachi in transportation, nuclear power

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to get 'clean diesel' Mazda6 car in 2013 Next ArticleTeijin to recycle polyester textiles at plant in China

December 01, 2012 By HIROAKI KIMURA/ Staff Writer

Following the announcement of a planned joint venture in thermal energy, Mitsubishi Heavy Industries Ltd. President Hideaki Omiya said his company hopes to expand its cooperation with Hitachi Ltd. even further to include transportation infrastructure and nuclear power generation. Omiya discussed his strategy with The Asahi Shimbun on Nov. 30, a day after the two companies announced plans to set up a joint venture in January 2014 to combine their thermal power generation businesses. Excerpts from the interview follow: *** Question: What is the significance of the new joint venture with Hitachi? Answer: There is little overlap in the products and markets we excel in, which means we can complement each other almost perfectly. It is epoch-making that we can work together in a growingnot shrinking business area. It is also significant that Hitachi has agreed to a joint venture in which Mitsubishi will hold a majority stake of 65 percent. Q: In what other areas are you willing to cooperate with Hitachi? A: The next area in which we expect to join hands is transportation. Mitsubishi has a strong track record in integrating a variety of systems, winning contracts for a new transportation system in Dubai and a highspeed rail system in Taiwan. Hitachi, on the other hand, is good at train cars and operation controls, so this is an area in which we can complement each other.

We have already worked together on urban transportation systems in overseas markets. Another potential area of cooperation is nuclear power generation. Under the latest agreement, Hitachi will shift some of its steam turbines and power generators, which are also used at nuclear power plants, to the new joint venture. That means that we have, in fact, already decided to combine part of our nuclear power operations. As for nuclear reactors, Mitsubishi and Hitachi are handling pressurized water reactors and boiling water reactors, respectively. If we join hands, we can provide both types of reactors. Q: Do you plan to work with other companies? A: There is no taboo against it as long as Mitsubishi and its partners can both expand operations. We are willing to work with foreign companies, and mergers and acquisitions are also among our options. For example, we have been holding discussions with Denmarks Vestas Wind Systems to strengthen our offshore wind power generation business. Q: How will the new joint venture affect your goal of increasing sales to 4 trillion yen ($48 billion) in fiscal 2014 and 5 trillion yen in fiscal 2015 or later? A: We expect our sales will increase by 400 billion to 500 billion yen. Because we have received fewer orders this year, it was starting to look unlikely that we would reach our goal of 4 trillion yen in fiscal 2014, but including sales from the joint venture, we now hope to achieve that goal. Q: Why are you putting emphasis on expanding sales? A: Our group net sales have remained around 3 trillion yen for many years and failed to keep up with the increase in Japan's gross domestic product.

Unless the size of our business grows to a certain level, we cannot make reinvestments. With the current size, it will also become difficult to pay dividends to shareholders.
By HIROAKI KIMURA/ Staff Writer

Ministerial note on 15% disinvestment in PFC

SUMIT KUMAR November 26th, 2010

The Power Ministry is believed to have sent a cabinet note to the department of disinvestment on its 15 per cent follow on public offer (FPO) in Power Finance Corporation next year, a source revealed today. The ministry has circulated the note to Department of Disinvestment yesterday for its comment on the FPO, the source said. The government plans to divest 10 per cent stake in Power Finance Corp through the follow-on public offer, while the company has offered a five per cent of fresh equity. Power Finance Corp, which is engaged in financing the power projects, is likely to raise Rs 6,300 crore through the share sale programme. Earlier, Minister of state for power Bharatsinha Solanki had informed Parliament in the last session that the board of Power Finance Corp has approved a proposal for a fresh issue of equity shares along with disinvestment, not exceeding the aggregate 20 per cent. At present, the government holds 89.78 per cent stake in the public sector company. It had divested 10 per cent stake through an initial public offer in 2007. The government, which hopes to raise Rs 40,000 crore through disinvestment this fiscal, has already mopped up close to Rs 20,000 crore through divestment in PSUs Satluj Jal Vidyut Nigam, Engineers India, Coal India and PowerGrid. Other stake sale programme in line are Hindustan Copper, SAIL, Oil Corporation and ONGC among others.

Source Business Standard

MONTHLY REVIEW OF INDIAN POWER SECTOR - OCTOBER 2013...

During the month of October 2013, around 530 MW of generating capacity has been installed under the Indian Power Sector reaching the total cumulative generating capacity at around 229.25 GW. Further around 411 Circuit Kms of transmission lines are also added.

Summary of the review of Indian Power Sector for the month of October 2013 is depicted below:

Electricity Generation for the month of October was at 79.44 BUs Generating Capacity Addition for the month was 530 MW o Commissioning of Unit 6 (500 MW) of Rihand STPS III by BHEL on 7th October o Commissioning of Unit 2 & 3 (30 MW) of Nimmo Bazgo Hydro Project by NHPC on 31st October The all India installed capacity reaches at 229251.74 MW Transmission Lines for 411 Circuit Kms installed during the month Transformation Capacity Addition during the month was 7225 MVA Average Power Supply deficit was around 3.5% during the month o Northern Region - 6.2%, o Western Region - 0.7%, S o outhern Region - 4.5%, o Eastern Region - 1.3%, o North Eastern Region - 5.0% Peak Power Supply deficit was at 3% o Northern Region - 6.7%, o Western Region - 0.1%, o Southern Region - 2.2%, o Eastern Region - 1.3%, o North Eastern Region - 4.3% All India Plant Load Factor maintained was around 61.85% o Central Generating Plants - 68.78%, o State Generating Plants - 54.44%, o Private Generating Plants - 63.25%

Detailed report on the same will follow. Source: CEA

Moody's maintains negative outlook on Indian banks

By PTI Nov 18 2013 , Mumbai Tags: News International rating agency Moody's today maintained its negative outlook on the country's banking sector, citing worries over asset quality and overall economic growth prospects. "The negative outlook reflects our views that economic growth will be weak, banks' asset quality will deteriorate, and profitability will decline because banks need to increase loan loss reserves and will not be able to fully pass on rising funding costs or offset these through loan growth," Moody's Investors Service said in a note. Moody's, which cut its FY14 growth estimate to 4.5 per cent recently, said economic growth will be lowest in a decade. The agency has maintained a negative outlook on the Indian banking sector since November 2011. It said the negative outlook pertains "mainly to the public-sector banks," which account for over 70 per cent of the system and experience higher stress in asset quality on nonperforming assets and restructured assets. "While structural issues related to the infrastructure sector are not new, the recent downturn in economic growth has exacerbated these problems and increased their negative effects on asset quality," said Gene Fang, a vice-president and senior analyst at the company. Moody's noted that the picture in the private sector is the opposite, with lenders having stronger margins, reserves and capital levels. State-run lenders will have to depend on injections from the government to maintain capitalisation levels, it added. "Non-performing loans and restructured loans will rise in particular at public-sector banks that lend heavily to infrastructure projects," it said. Moody's noted that recent moves such as Coal India's announcement to increase output and lifting the ban on iron ore mining are positives.

Mukesh Ambanis RIL extends record borrowing spree

RIL got $1.75 billion in loans in November, taking this years overseas borrowings to $3.9 billion
Bhuma Shrivastava | Anto Antony

Reliance is expanding its existing petrochemicals plants and will build new ones to improve margins from its refining business. Photo: Abhijit Bhatlekar/Mint

Mumbai: Reliance Industries Ltd (RIL), controlled by billionaire Mukesh Ambani, is extending a record dollar debt spree to fund a $26 billion investment plan to boost earnings. Indias biggest company got $1.75 billion in loans this month, taking this years overseas borrowings including an $800 million bond sale to $3.9 billion, the most among local firms, data compiled by Bloomberg show. It topped the nations foreign debt rankings last year too, raising $5.38 billion. Ambani is boosting investments to expand businesses ranging from gas and petrochemicals production to telecommunications and meet $7.1 billion in repayments through 2016, after profit grew the least in four quarters in the three months ended 30 September. The extra yield on RILs dollar notes due 2022 over US Treasuries has dropped to 279 basis points from this years peak of 348 in August. The average spread on Asian securities declined 25 basis points to 285, JPMorgan Chase & Co. data show. RIL is a must-own credit for most global or emerging-market bond investors as well as banks, Rajiv Nayar, head of capital markets origination in Mumbai at Citigroup Inc., the No. 2 arranger of international bond offerings from India this year, said in a 13 November e-mail

interview. We have seen global banks as well as asset managers, insurers and sovereign wealth funds participate in size in RILs offerings and usually tend to hold positions for the long term. RIL spokesman Tushar Pania didnt respond to an e-mail seeking comment. Above sovereign
Standard and Poors boosted its rating for RILs debt in May to BBB+, the third-lowest

investment grade and two levels above Indias sovereign ranking, saying the companys investment plan will bolster its profitability. The firms cash reserves, which exceed its liabilities, also have helped increase its creditworthiness, according to SJS Markets Ltd. The owner of the worlds biggest refinery complex had Rs90,540 crore ($14.3 billion) of cash and equivalents deposited in banks and mutual funds and invested in government securities as of 30 September, according to the company. Total debt was at Rs83,980 crore. Companies which we believe can withstand sovereign distress and continue to meet their foreign-currency obligations are rated above the sovereign,Mehul Sukkawala, a Singaporebased credit analyst at S&P, said in an interview on 12 November. RIL is coming from such a strong place that it can withstand the deterioration in its financial ratios as it steps up capital spending over the next three years. Borrowing strategy RILs debt as a proportion of its earnings before interest, taxes, depreciation and amortization, or Ebitda, will stay in line with that of similarly-rated firms even after the Indian company boosts borrowings to complete planned projects, according to Sukkawala. Its net income rose 1.5% from a year earlier to Rs5,490 crore last quarter. Our whole approach to how much debt we will take will totally be a function of how much cheap debt we can get for long maturity, Alok Agarwal, Mumbai-based chief financial officer at RIL, told reporters on 14 October. We have enough cash so that we can make choices all the time as to whether we want to spend our cash or take long-term debt. We are very conscious of not borrowing at anything above 5% in dollars. Expansion plan Ambani is building capacities to counter a three-year decline in gas output from RILs biggest field and shrinking profits from oil refining. Production at RILs KG-D6 block off Indias eastern coast, billed as one of the worlds biggest gas discoveries in 2002, fell 39% to an average 26 million cubic meters a day in the year ended 31 March, the company said in an 16 April report. The company earned $7.70 for every barrel of crude it processed last quarter, compared with $9.50 a barrel a year earlier and $8.40 a barrel in the preceding three months, it said in a statement last month. RIL is expanding its existing petrochemicals plants and will build new ones to improve margins from its refining business, Ambani told shareholders in June. It plans to drill more wells to boost slowing oil and natural gas production, open more retail stores and start a high-speed broadband service, according to him. The company is constructing a plant that will turn petroleum coke into synthetic gas, which will be used at the oil refineries to lower cost. The gas cracker project will give RIL the highest refining margins across the globe, Hemant Dharnidharka, Bangalore-based head of credit research at SJS Markets, said in a 12 November interview. When you are the lowest cost producer, you also tend to become the most profitable.

RIL has a track record of successfully implementing large projects, so the past should be a benchmark for their future projects. Rupee rates The explorer has increased overseas borrowings as local interest rates remained relatively high. The Reserve Bank of Indias repurchase rate of 7.75% is the highest policy rate among major Asian economies after governor Raghuram Rajan boosted it by 50 basis points, or 0.5 percentage point, in the past two months. Yields on rupee-denominated five-year corporate debt rated AAA by Crisil Ltd., the local unit of S&P, jumped 31 basis points in the past month to 9.80%, according to data compiled by Bloomberg. The average rate on Indian companies dollar bonds fell two basis points to 5.85%, according to an index compiled by JPMorgan Chase & Co. The yield on the 7.16% government notes due May 2023 rose 45 basis points in the same period to 9.02%, while the rupee weakened 2.6% to 63.12 per dollar. Bond risk for RIL is falling from this years highs. The cost of credit-default swaps that protect the companys debt against non-payment have slid to 268 basis points from as high as 302 in September, according to data provider CMA. Since the company has been profitable, even with rising absolute levels of debt, its debt-equity ratio has stayed the same, SJSs Dharnidharka said. It is adding cash every quarter, which gives lenders a lot of comfort. If its businesses continue to grow and generate cash, there will be no anxiety triggers. Bloomberg

New plans for power sector

By Chen Yang (Global Times) 08:06, June 20, 2012 The State Electricity Regulatory Commission yesterday published details of its plan toencourage private investment to enter the power sector, an area mainly dominated byStateowned companies. The move is intended to address the slowdown of investment in the country's thermalpower pla nts, experts said. Private investment will be given equal access to the power industry, such as electricitygeneratio n, design and construction businesses, the commission said in a statement onits website yester day. The commission will also ensure that private power plants can enjoy the sameelectricity pricing policy as State-owned ones, the statement said. The statement came after the National Development and Reform Commission, China'stop econ omic planner, warned last week that investment in thermal power plants, amajor source for the c ountry's electricity supply, fell by 29.3 percent year-on-year in thefirst four months of 2012. "The move will encourage more private capital to enter the sector, and increasingcompetition is also beneficial for electricity pricing reform," Cai Wenbin, an industryanalyst at Shanxibased Datong Securities, told the Global Times yesterday. Private investment was allowed to enter China's power generation industry as early as1985, an d many foreign power companies swarmed into the sector during the 1990s.However, foreign in vestment began to fade out of the sector around 2002 due to lowreturns on investment, Lin Boqi ang, director of the China Center for Energy EconomicsResearch at Xiamen University, told the Global Times yesterday. Private capital will still be cautious in entering the power generation sector, mainlybecause retur ns on investment remain low, Lin said. Seven power companies listed on the Shanghai and Shenzhen Ashare markets haveposted warnings of losses for the first half. Guodian Changyuan Electric Po wer Co, forexample, forecast a loss up to 185 million yuan ($29.1 million) in the first half of 2012 ,mainly due to decreasing electricity demand. Despite the opening up of the power generation sector, Cai said power grids are stillmonopolize d by State-owned companies. "Electricity distribution concerns national security, so the government is still cautiousabout openi ng up the sector," Li Ying, chief economist of the State Grid EnergyResearch Institute, told the Global Times yesterday. "Only some parts of the electricity distribution sector can be opened up to privateinvestment, su ch as engineering for power plant interconnections," he said. Li noted that private investment can participate in the electricity distribution sectorthrough other ways, such as buying shares in State-

owned power grid companies whenthey go public, or buying corporate bonds issued by the Stat e-owned companies.

Write Back Time Management

Learning Curve Temporary Staffing

Value Page Good Conduct

Whats Inside !

VALUE PAGE

MY DVC MY VOICE
PERSPECTIVES
Chief Patron Shri R.N.Sen
Chairman DVC

Patron Shri A.Mallik

Director (HR) _________________ Editors Abhijit Sen Assistant Manager HR Ajit Kumar Management Trainee HR

LEARNING CURVE

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June - 2013

Damodar Valley Corporation

Monthly HR Newsletter

PERSPECTIVES

Balanced Scorecard

Every organisation recognises the importance of measuring: as well as providing the means of monitoring the achievement of the organisations strategy, it is a vital means of communication and motivation. That, at least is the theory! In reality many organisations have yet to successfully implement a performance measurement system that adequately fits the bill. They focus on financial performance and pay the price: Most financial indicators are backward looking - it has been likened to steering the ship by watching the wake Financial performance tends to be measured over the short term and induce short term fixes Financial measures alone cannot communicate the organisations strategy and priorities to its managers and staff. What managers increasingly need is a performance measurement capability that supports a long term, forward thinking strategic view across the entire organisation. They need a performance measurement framework that provides a view across a range of measures that encompass all of the key issues for continued financial success. A measure framework that itself helps improve performance by changing what people do, one that: Communicates priorities and direction Focuses on improving processes, not functions Aligns operational activity with strategic goals Provides the necessary leverage for change

The benefits of such an approach can be financially dramatic.

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Financial Perspective The Balanced Scorecard encourages organisations to identify their specific financial objectives and link the corporate strategy to these objectives. The financial objectives serve as the focus for the objectives and measures of the other three perspectives. Every measure should be part of a cause-and-effect relationship that culminates in improving long term sustainable financial performance. The Balanced Scorecard is an illustration of the strategy, starting with the long term financial objectives and then linking them to the customer focused initiatives, internal operational processes and investments in employees and systems that combine to produce the desired economic performance. Clearly it is important to get the right measures. For although it is peoples decisions and actions that change performance, measures set the goal, and the old adage you get what you measure is still true today. Leading organisations are now finding new financial measures, as well as the nonfinancial measures.

Customer Perspective
The driver of financial success, except in a few rare cases, is customer satisfaction. Satisfied customers mean retained customers, and referrals and new business. How an organisation performs from its customers point of view is clearly a top priority for management. It is important however to focus again on the right type of satisfaction, and particularly, whose satisfaction. All businesses have their best customers, the ones that deliver the maximum contribution to the specific type of financial measure which matters most to them. All businesses also have their average customers, and also the customers whose money they just can not turn away, but in reality cost the business too much to service, are perhaps never quite satisfied, and frankly, the business would be better off without. To maximise financial return then it is the customer satisfaction of the target customer profile which should be addressed. Customer satisfaction measures that reflect the issues that really matter to these customers need to be developed. From these, the key objectives, and measures, for what the company does can be established. Internal Operations Perspective Delivering customer satisfaction is achieved through the operational activities of the company. Through the Balanced Scorecard framework customer focused measures can be supported by measures of the internal processes that are most critical in meeting the target customers expectations. The objectives and measures for this perspective thus enable a focus on maintaining and improving performance of those processes that deliver the objectives established as key to satisfying customers, which in turn satisfy shareholders. With this approach, the Balanced Scorecard offers a vehicle to focus on a complete value chain of integrated business processes rather than just measuring performance within departmental structures. It is this that represents one of the major opportunities for benefits that the Balanced Scorecard can provide over traditional departmental performance measurement systems. This top-down value-chain process can reveal entirely new areas within the business processes where an organisation can gain advantage. The effect can be phenomenal; a reduction in process costs of 1% when combined with an identical reduction in wastage can typically deliver an increase in profits of over 15%. Innovation and Learning Perspective The adage our people are our greatest asset has been honoured more in the breach than the observance in all too many organisations. It is an issue that managers cannot afford to ignore, however. The operations of the organisation are undertaken by the people within it. The ability, flexibility and motivation of staff underpins all of the financial results, customer satisfaction and operational activities measured in the other quadrants of the Scorecard. Customer expectations are constantly changing and organisations are, as a consequence, required to make continuous improvement. This relies heavily on an organisations ability to innovate, learn and improve at an individual level, which collectively delivers the result for the whole organisation. That everything else eventually depends upon the staff of an organisation could suggest that the ultimate single indicator of long terms sustainable success, if there were such a thing, would be the speed at which the organisation can learn to do new things successfully. Ref: The Balanced Scorecard (R. Kaplan and D. Norton, Harvard Business Review 1992) MY DVC MY VOICE 3

WRITE BACK
Time Management
The art of managing time is today considered to be of much importance. As all of us are passing through new millenium.We have to be more and more vigilant about the most scarce resource of today, that is time. Importance of Time

Plato called time the image of eternity Imm Kant felt that it had no real existence outside human mind.. Einstein designated it as fourth dimension Arnold Bennet called it the inexplicable raw material of every thing. Napoleon said ask me for anything but time Faith Baldwin called time a dress maker specializing in alterations.

Time management- Samay Sanyam a) Spirituality teaches one how to manage his time. b) Mahakal symbolizes the deity controlling the time. c) In Indian culture it is taught since beginning that each morning is new birth and each night going to bed one has to feel like new death. d) Meditation- Contemplation on how to utilise our each and every moment of twenty four hour time should be an essential practice for all of us. Habits of most effective Group Leaders: 1. Ability to do it now. 2. Ability to delegate to most qualified person. 3. Willingness to take time to support and encourage. 4. Ability to shift out critical issues for decisions. 5. Refusal to waste time on the impossible. 6. Possessing a real sense if timing. 7. Projecting oneself into future.

Yesterday is gone. Tomorrow has not yet come. We have only today. Let us begin. Mother Teresa By RAM ANUJ TIWARI ENGINEER ( E ) C.L.D. ,DVC, MAITHON MY DVC MY VOICE 4

Annual DVC Talent Championships 2013

Themes Unit level: Green Power from Clean Power-A march towards renewable sources of energy. Corporate Level: Business Process Reengineering {BPR) for organizational renewal and growth. Eligibility Rules: 2-4 executives per team including the team leader, participants must belong to same project/unit/office. Any number of teams can enter subject to a maximum of 30 participants in each unit to be decided on a first come first serve basis. Only one winning team from each project/plant shall compete for the corporate level competition. Path to Championship

Formation of teams

Registration & submission of written presentations

Oral presentation

Champion

Oral Presentation at Corporate

Winners at the unit level

Important Dates for unit level competition:

Registration of teams Oral Presentations 17.06.2013 to 28.06.2013 06.08.2013 to 12.08.2013 Submission of presentations written 01.07.2013 to 16.07.2013 22.08.2013 to 30.08.2013

Forwarding the name of winning team to HQs

Important Dates for Corporate level competition: Oral presentation and award ceremony: 10.09.2013 at HQs Awards Corporate level competition Winning team: Shield/Trophy for the team plus Rs 10,000 + certificate for each member. Other participants: Medal and participation certificates. Unit level competition Winning Team: Rs 5,000 for each team member. Other participants: Books and certificates.

For Further illustration please refer to Office Order No: HR/Talent Championships-12/787 dated 10th June, 2012. Input: Shri Ajit Kumar , Management Trainee -HR
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LEARNING

CURVE

Temporary staffing: The fastest growing HR trend

A temp is a temporary worker with an organisation who is on a third-party (staffing company) payroll. A well-accepted norm in global companies, many large Indian organisations are now hiring a part of their workforce from employee leasing firms. The reason is not too difficult to guessas organisations focus on their core business strengths in a highly competitive environment, the non-core functions are outsourced. The manpower for the latter is provided by the employee leasing company. The contracts can range from three to six months, and there are no hassles normally associated with recruiting and retaining people.
It is a known fact that most companies prefer temporary staff to permanent ones, furthermore there is a growing trend of outsourcing non-core functions to outsourced staff. These range from accounts, frontoffice, sales, marketing and back-end operations. Types of services offered Employee leasing companies offer a plethora of staffing solutions to their clients.. It includes: 1. Temporary staffing: Enabling the client to respond to short-term temporary and/or flexible manpower needs with specific skill set requirements or for supplementing the workforce. These services could be of a part-time, full-time or job sharing nature. Temporary-to-permanent services: The client can hire associates as temporary employees for a trial period of employment; after a satisfactory trial period, a company has the opportunity to add a temporary worker to its permanent staff.

2.

3.
4.

Long-term contract: Corporates can opt to enter into assignments for long-term and indefinite periods of time.
Managed services: Outsourcing companies provides the onsite management of the contingent workforce at the client facility. It retains the responsibility for the supervision of the leased employees as well as the accountability for the results of the facility or function that have been leased.

Different from body shopping

Many often confuse employee leasing with body shopping. Temping cannot be compared with body shopping as the former requires a much higher level of involvement by the outsourcing partner with the leased associates in order to manage and retain them. It is also not possible for traditional search firms to offer the specialised services normally provided by an employee leasing company. The temping route requires specialised talent at the senior level. While traditional placement companies approach business in a transaction mode; workforce suppliers need to devote bandwidth through its people and process teams in servicing customers (the client and leased associates) on a recurring basis. The future Temporary staffing is expected to grow exponentially in the country, in the near future. It is the quality and ease of availability of manpower that would define the role employee leasing organisations stand to play, not only in non-core functions but also certain core business areas of organisations.It is imperative for outsourcing partners to move from only employee leasing to complete end-to-end activity management. It is also necessary for outsourcing partners to be equipped with vertical and functional specialisations, with key differentiators customised to the Indian employment scenario.In a recruitment market where the concept of full-time employment is increasingly becoming a thing of the past, temporary staffing is emerging as the viable option. MY DVC MY VOICE 6

Value Page
THE NEIGHBOR
Javed Ameli, a worthy disciple of the great Sufi saint Mulla Nasruddin, was having his dinner when someone knocked at his door. A servant from the saint appeared and said: "Your master has sent for you to come immediately. He has just sat down for his dinner but refuses to eat until he sees you." Javed immediately left his dinner and rushed to Mulla Nasruddins residence. Just as he entered, the master looked disapprovingly at him and said: "Javed Ameli! You have no fear of Allah! Don't you feel ashamed in front of Allah?" Javed racked his brains, but could not remember doing anything to incur the wrath of the saint. He bowed humbly and said: "My master may guide me where I have failed." Mulla Nasruddin replied: "It is now a week that your neighbour and his family are without wheat and rice. He was trying to buy some dates from a shop on credit but the shopkeeper refused to grant him any more credit. He returned home empty-handed and the family is without a morsel of food." Javed Ameli was taken by surprise. "By Allah", he said, "I have no knowledge about this." That is why I am displeased all the more! thundered the Sufi saint, How can you be unaware of your own neighbours plight? Seven days of difficulties have passed and you do not even know about it. Well, if you had known and ignored him despite your knowledge, then you would not even be worthy to be called a human being" the Mulla said. Then he instructed him to take all the dishes of food before him to his neighbor. "Sit with him to eat, so that he does not feel ashamed. And take this sum for his future ration. Place it under his pillow or carpet so that he is not humiliated, and inform me when this work is completed, for not until then shall I eat. REFLECTION The greatest service of all is service to others

GOOD CONDUCT
A story from the time of Lord Buddha: Once the Buddha, while camping near a city, was paid a visit by the local king who brought his young son along to seek the blessings of the Lord. The king was greatly concerned about his son, who was prone to sudden fits of rage. Thinking that Buddhas counsel would help his son, he sat down with the boy among the other devotees and joined in their prayers and listened attentively to the Buddhas sermon. After the discourse, Lord Buddha called the boy and asked him to eat a few leaves from a nearby plant. They were very bitter and the boy grew angry and spat out the leaves. Soon the familiar fit of rage overcame him and he pulled the plant out of the ground and trampled it under his feet. The Buddha asked him, Tell me, son, why you did that. The young prince said, Even now, when it is so young, the plant is filled with so much bitterness. When it grows into a tree, it will become poisonous. Therefore I destroyed it. The Lord smiled at him and replied, You will also grow up and one day become king. You are filled with so much anger at such a tender age; after becoming a ruler what kind of treatment could your subjects expect from you? Will you not become poisonous for them? If they could foresee this, would not they give you the same treatment as you gave the plant? Realization dawned on the prince and he resolved then and there to get rid of his anger. In time he became a just and humane king, who ruled wisely and well.

REFLECTION Anger is the most useless and destructive of all emotions, and should be discarded at any cost.
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Write Back
All employees of DVC can contribute to the HR newsletter by sending articles / news items /photographs in the following format (English & Hindi ) : Articles : Not more than 250 words in word document format. The best articles every month would be featured in the newsletter along with the photograph of the employee.

Photographs in JPEG format having good resolution. The theme of the photographs is New initiatives in DVC. The best photograph every month would be featured in the newsletter along with the photograph of the employee. Please mention designation and place of posting with all entries. Final selection of entries would be solely decided by the editors.
All entries /feedback or suggestions must be sent to the following email i.d by the 22nd of every month:

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Disclaimer: This document is an intellectual property of Damodar Valley Corporation.

Durgapur Barrage Damodar Valley Corporation

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Nitish Kumar promises to provide electricity on demand in Bihar

SUMMARYA

proposal was under consideration to develop a mechanism to ensure uninterrupted power supply
Bihar Chief Minister Nitish Kumar today said his government was working on strengthening power generation, transmission and distribution infrastructure in the state and consumers will soon get electricity on demand and as per their requirement. "There will be improvement in power generation and strengthening of transmission and distribution network to pave way for supply of electricity to consumers on demand and as per their requirement," Kumar said while addressing a public meeting at Muzaffarpur after inaugurating one of the 110 upgraded thermal power units at Kanti. A proposal was under consideration to develop a mechanism to ensure uninterrupted power supply in the districts to increase electricity consumption in a systematic manner, the Chief Minister said. There was difficulty in distribution of 700 MW electricity earlier, but due to improvement in transmission network, 2300 MW electricity was supplied to the consumers during the Chhath festival last week, he said. Describing the improvement in power sector as a priority, Kumar said out of the central assistance of Rs 12,000 crore, Rs 9200 crore was being spent on improving transmission and distribution network in Bihar and if need be, more funds will be arranged to improve the power scenario. Kumar said Bihar will get 330 MW out of the NTPC's 660 MW capacity thermal power plant in Barh, while the Kanti thermal power plants under renovation and modernisation will generate more than 1100 MW electricity with setting up an additional unit of 500 MW. There has been improvement in transmission infrastructure also as electricity lines of 30,000 km have been changed and workshops were being planned for maintenance and availability of transformers, the Chief Minister said, adding that all district magistrates and four senior IAS officers had been asked to work in a coordinated manner to improve the power scenario and have their accountability fixed. Kumar asked consumers to pay electricity bills on time so that the money could be used for expanding growth in the power section. Bihar Electricity minister Bijendra Prasad Yadav also spoke on the occasion and directed the officials to check power theft. Meanwhile, some people in the aegis of an apolitical outfit - Kanti Vikas Sangarsh

No auction of coal blocks for India power sector: source

Agencies | New Delhi | Updated: Apr 23 2012, 21:09 IST

SUMMARYIndian

govt will not auction new coal mining blocks to the power sector and will instead allocate them to companies that offer to sell electricity cheapest, a government source said on Monday.

Related Articles
GAIL plans foray into wind power sectorNHPC to commission 10 new projects by 1235kmw power plants face green lobby ire in MaharashtraScarcities dim power sector's shine

Indian govt will not auction new coal mining blocks to the power sector and will instead allocate them to companies that offer to sell electricity cheapest, a government source said on Monday. The country is introducing a new system that will put an end to allocation of captive blocks to power plants at the government's discretion, as done in most cases in the past, and will help bring transparency at a time when the government is being buffeted by corruption scandals. Power companies will be vying for about 16 of 54 coal blocks that the government has earmarked for allocation through bidding expected to take place by the year-end. Auctioning of blocks will happen for cement and steel companies. But for power it will be through competitive tariff-based bidding, a senior coal ministry source said on condition of anonymity as the matter is still under discussion. By using a method linked to tariffs, the government hopes to keep electricity costs low. Power tariffs are a highly political issue in a country where in some states millions of farmers are offered free electricity as a vote-winner. The call for auctioning of coal blocks has grown following a leaked report by the federal auditor that accused Prime Minister Manmohan Singh's government of giving up $211 billion in potential revenues by giving away coal assets too cheaply. No coal block has been awarded since 2009. In the past, a few captive mines had been allocated to power producers offering the cheapest electricity rates but discretionary allocations have been more prevalent.

The coal ministry is appointing a consulting firm, probably within a month, to help with the auctioning and expects to finalise reserve prices for the blocks in the next four months, the source said. Power companies are likely to be attracted to the bidding as blocks will provide them with an assured supply of a fuel shotages of which have crippled expansion in the sector and forced many power plants to run below capacity. In some cases, power companies with captive coal blocks are also allowed to sell a small portion of electricity in the open market where they

No court relief: Both Goa and Delhi police oppose Tarun Tejpal's bail plea By MAIL TODAY REPORTER PUBLISHED: 21:50 GMT, 26 November 2013 | UPDATED: 21:50 GMT, 26 November 2013 Tehelka founder Tarun Tejpal suffered yet another blow on Tuesday when the Delhi High Court rejected his plea in which he sought interim protection from arrest in the sexual assault case lodged against him by a former colleague. In the court, Tejpal cried foul saying he was being implicated at the behest of BJP. He termed the entire episode a "light hearted banter" that was blown out of proportion. "The lady continued to participate in the (ThinkFest) conference with elan. She took part in every festivity. There will be CCTV footage and photos to substantiate it. The girl stayed out late into the night during ThinkFest. She was friendly and normal," Tejpal's lawyer argued.

Tejpal's Goa villa broke a couple of rules but the editor and his wife's dwelling still got an occupancy certificate Both the Goa police and its Delhi counterpart opposed the plea, which came before the court of Justice Sunita Gupta. The High Court has fixed the hearing of Tejpal's anticipatory bail plea on Wednesday. "I don't have even the copy of the FIR with the petition. Let them file the reply then I will see...," the judge said, refusing to grant till tomorrow any interim relief to Tejpal. The Tehelka founder, in his anticipatory bail petition, has alleged that the BJP has unleashed the wrath of its of the FIR. The Goa Police had registered the FIR against Tejpal on November 22 for sexually assaulting his colleague on November 7 and 8 at a Panaji hotel. Tejpal has been charged under Sections 376 (rape), 376 (2)(k) (rape by a person of a woman in his custody taking advantage of his official position) and 354 (outraging modesty) of IPC. Rules bent for Tejpal's Goa villa Vigilia De Sa, 55, a local activist in North Goa's Moira village has heard of the charges of sexual assault that Tarun Tejpal faces.

She is, however, more concerned with the rules the Tehelka editor-in-chief and his wife Geetan Batra bent while renovating their sprawling six-bedroom mansion 'Birdsong' , two years ago. "I'm baffled how the house got an occupancy certificate," she says. The 200-year-old mansion is located in the idyllic north Goa village which has a population of around 5,000 people. The Tejpals broke a mandatory 3- metre 'setback' or the minimum distance of the house from the building wall, she says. Staff quarters at the rear of the 5,300 square metre property are built very close to the boundary wall. "Fire tenders will not be able to access the property in case of an emergency," says Vigilia, a former sarpanch who filed several Right to Information (RTI) applications to obtain the villa's building plans. She believes at least half-a-dozen mango and jackfruit trees were cut by the couple during the renovation. The Tejpals, she says, also built a 2-metrehigh compound wall, higher than the 1.5 metres prescribed by building rules. The villa is located near Mapusa town, 18 km north of the state capital Panaji. The house originally belonged to the Octavio De Souza family who sold it to a Goa-based developer Saleem Ali Shah around a decade ago. The Tejpals bought the property for over Rs 1 crore from Shah in 2009. They renovated it at substantial cost for over two years. It is now advertised as a Rs 55,000-a-night boutique villa. Locals testify to its enormous popularity during the tourist season. On October 11, 2011, the Moira village panchayat issued a 'stop notice' to the Tejpals for 'illegally constructing a swimming pool'. Hartman de Souza, a theatre person and environmentalist, first flagged the violations in an October 27, 2011 article in a national daily without naming Tejpal. "The levels of corruption in Goa, especially in the Town planning department are astounding," he says. Tejpal has denied violating 'a single rule' in acquiring or renovating the house. In a rebuttal to de Souza's article published in a national daily on October 30, 2011 Tejpal said he and his wife were 'impassioned tree lovers' who had gone to exemplary lengths to save every single firm and infirm tree while renovating.' Oswald Cordeiro, the sarpanch of Moira village said the licenses for Birdsong had been issued by the previous panchayat. "We have not received any complaints of violations," he says.

Tarun Tejpal blaming BJP for his crime' The BJP has come down heavily on Tehelka founder Tarun Tejpal for seeking transfer of his case from Goa to another state. Senior BJP leader M. Venkaiah Naidu said on Tuesday Tejpal is blaming the BJP for his crime. "There is a limit to levelling allegations. The kind of crime he has committed has nothing to do with politics. Did BJP enter Tejpal's soul and make him do what he did in the elevator?" asked Naidu. "We have asked the Goa chief minister to cooperate with the investigating agencies. The law will take its own course. I think this is a very sensitive matter and political parties should not complicate it. The investigating agency is doing its work. It will act on the matter according to proper evidence and proof," Naidu said.

The BJP leader said Tejpal would not mind asking for transfer of his case to the United Nations. "Next a demand will come that the inquiry should be done outside the country. Some people had gone to the UN in one case while some wrote to the US president in another." Congress general secretary Digvijaya Singh, however, said on Tuesday that if Tejpal had done anything wrong, the law would take its own course.

Read more: http://www.dailymail.co.uk/indiahome/indianews/article-2514082/No-courtrelief-Both-Goa-Delhi-police-oppose-Tarun-Tejpals-bail-plea.html#ixzz2lon0snvW Follow us: @MailOnline on Twitter | DailyMail on Facebook

NTPC scraps Rs 700 crore turbine order with Ansaldo

By PTI Nov 18 2013 , New Delhi Tags: Ansaldo, NTPC, turbine, Power State-run NTPC has terminated its Rs 700 crore contract with the Italian company Ansaldo for sourcing turbines for its gas-based plant at Dadri in Uttar Pradesh. "NTPC has eliminated its previous contract with Ansaldo, a group company of Finmeccanica," sources said. Finmeccanica is also the parent company of AgustaWestland, which is facing probe after bribery charges were levelled against it in the Rs 3,600crore helicopter deal with India. According to sources, the company wants to play safe and does not want to get into any controversy and therefore has decided to annul the contract. The tender, which was floated under the company's R&M (renovation and modernisation) programme, was terminated after seeking legal opinion. The bids were invited last year and Ansaldo emerged as the lowest bidder for the contract. NTPC's Dadri plant is a Rs 960.35-crore gas-based power project that supplies electricity to Uttar Pradesh, Uttrakhand, Rajasthan, Delhi, Punjab, Haryana, Himachal Pradesh, Jammu & Kashmir and Chandigarh. The plant also supplies power to railways. The company is also operating a 1,820 MW coal-based plant at the same location. However, whether the company will issue a fresh tender for the same contract could not be ascertained. Shares of NTPC were trading at Rs 155.35, up 1.77 per cent on the BSE.

NTPC tax free bonds issue to open in a fortnight

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NEW DELHI, NOV. 17: The tax-free bonds of NTPC, the countrys largest power producer, will be open for investment in a fortnight. The firm aims to collect Rs 1,750 crore through this issue. For investors, the interest income is not taxable throughout the tenure of the bonds. Although NTPC is yet to announce the interest rates on the bonds, they are likely to be in the 8.4-8.9 per cent range (depending upon the tenure), similar to what public sector undertakings that tapped the market recently offered. The final interest rates offered on the bonds will be disclosed in the prospectus filed by the company with the Registrar of Companies, a company official said.
THREE TENURES

The bonds may be issued in three tenures 10, 15 and 20 years. The interest rates offered to retail individual investors will be 0.25 per cent more than for investors in other categories. The maximum application size for retail individual investors is Rs 10 lakh. Normally, 40 per cent of the total issue size is reserved for retail investors. The tax-free bonds issued by NHPC, PFC, REC and IIFCL got a good response. In fact, some of the issues closed before the scheduled date. The tax authorities have permitted 12 state-owned companies and National Housing Bank (NHB), an RBI subsidiary, to raise Rs 48,000 crore through tax-free bonds. Among these, IIFCL, Indian Railway Finance Corporation, Hudco, REC, PFC, NHAI, NTPC, NHPC and Indian Renewable Energy Development Agency, apart from NHB, have been allowed to raise Rs 1,000 to Rs 10,000 crore. These companies can also tap sovereign wealth funds. Up to 30 per cent of the allocated bond size can be raised through private placement to sovereign wealth, pension and gratuity funds. The money mobilised through such tax-free bonds will be deployed in infrastructure projects. shishir.s@thehindu.co.in
(This article was published on November 17, 2013)

Keywords: NTPC, NTPC tax-free bonds

Our key priority is to nurture & grow existing brands

Chinese turbines will affect power sector
Ajay Sura, TNN Nov 27, 2012, 02.36AM IST

Tags: Yamunanagar unit to China| G Parthasarthy

CHANDIGARH: Dependency on Chinese equipment in power sector may have serious implications on the nation's development, feels distinguished diplomat and former high commissioner to Pakistan G Parthasarthy. Out of estimated 43,000MW power produced in various power plants in the country, around 17,000MW is done by using Chinese equipment, which is a serious matter, he said. "Chinese never believe in transferring technology and due to sudden failure of Chinese turbines, they have to be sent back to China for repairs, thereby causing huge shortage of power," he said. Emphasizing on reliable equipment in power production sector, Parthasarthy observed, "Morality does not matter for China. The time has come to set our own house in order and be firm with China." According to Parthasarthy, such sudden break down of power due to Chinese machines will have a direct impact on the country's development and productivity, as the industries will not be able to survive because of constant power failures. Giving the examples of Haryana andWest Bengal, where power plants were equipped with Chinese machines, he said that due to technical snags in Chinese machines in these plants, both the states witnessed massive power failure in recent times. The former high commissioner was expressing these views on Sunday while speaking at a seminar on "Contemporary challenged posed by China" in Chandigarh. The seminar was organized by Centre for Security and Strategy. Haryana witnessed power outages at Yamunanagar and Khedar (Hisar) units of thermal power plants because of unexpected snags in the Chinese machinery. In May, the apex body of power engineers in the country All India Power Engineers Federation had also shot a letter to the Union power minister

informing that the old units of Bharat Heavy Electrical Limited at Panipat are performing well, while China-made new units are developing technical snags at Khedar and Yamunanagar plants. Both the 300MW units of Yamunanagar plant remained closed for a long time during the last summer, while one 600MW unit of Khedar remained inoperable during summer season, causing a sudden shortfall of 1,200MW in the state. Both these plants were equipped with Chinese turbines. The state government had to send the turbines of Yamunanagar unit to China for repairs. Similarly, Durgapur power station of West Bengal had also remained shut for a long time due to snags in Chinese turbines.

Our key priority is to nurture & grow existing brands

Lalitha Srinivasan | Updated: Nov 14 2013, 05:06 IST SUMMARYWith

an annual turnover of $1.6 billion, Tata Global Beverages (TGBL), makers of Tata Tea, is drawing up strategic plans to sustain its growth momentum

Related Articles
Tata Global Beverages raises Rs 325 cr in debenture issueLIC trims stake in Tata Global Beverages to 5.60 pctTata Global Beverages Q2 net profit up 51.23%Tata Global Beverages shares tank nearly 9 pct on dismal earnings, merger issue

With an annual turnover of $1.6 billion, Tata Global Beverages (TGBL), makers of Tata Tea, is drawing up strategic plans to sustain its growth momentum in the next two quarters. In an interview with Lalitha Srinivasan, TGBL managing director & CEO Harish Bhat says that the company is betting big on innovations and rural initiatives to drive volumes this fiscal. Edited excerpts: After acquiring Mount Everest Mineral Water (MEMW) in 2007, TGBL is now merging its operations with MEMW. Whats the reason behind the delay? We think this is the appropriate time to merge our operations. After acquiring the Himalayan Natural Mineral Water owned by MEMW, our priority was to launch the brand in a new packaging, which incorporated the Tata logo. We then formed a JV with PepsiCo India called NourishCo, which takes care of the distribution, sales and marketing of our water brand. Now that the brand is doing well, we believe that the merger at this point will add value to our shareholders and investors. TGBL had presence in 40 countries. When are you taking the Himalayan Mineral water brand to the overseas market? We have just launched it in select Starbucks stores in Singapore. We want Himalayan to become a global brand. Post this merger, we will decide on other key markets across the globe. How do you plan to retain TGBLs leadership in the branded tea sector in India? TGBL now has value and volume leadership with 22.1 % and 20.1 % market share, respectively. We will sustain this leadership with our consistent investment behind our brands. For instance, we have launched a brand campaign the power of 49 to promote our tea brand Tata Premium a continuation of our Jaago Re theme. TGBLs brand investment helps us to retain our leadership in this sector. In Q2 FY14, our ad spend increased by

R37 crore, against the same quarter previous fiscal. With our strong portfolio of brands, our products are also available at all price points. This is our major strength in competitive markets. Whats going to be TGBLs core focus to accelerate growth? Is TGBL still

Panel report to keep RIL in focus

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November 17, 2013: The stock of Reliance Industries is likely to see higher activity after Parliamentary Standing Committee on Petroleum and Natural Gas has observed that non-adherence by the company to the approved field development plan of KG D6 block be construed as default. The committee, which submitted its recommendations last month, also suggested that the Petroleum and Natural Gas Ministry should explore all possible options and take corrective measures to increase gas production from the KG-D6 block as observed in the study commissioned by the DGH. Meanwhile, Reliance Industries, according to Niko Resources, will repair a third of the wells shut at its main gas field in the eastern offshore KG-D6 block to boost output in the first quarter of 2014.
(This article was published on November 17, 2013)

Keywords: Reliance Industries stock, KG D6 block, panel report on Reliance Industries Post Comment

PMO meet to review coal supply to power units today

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Frustrated with the slow pace of movement on issues pertaining to coal industry, the Prime Ministers Office (PMO) has convened a meeting on Friday to discuss and take a decision on the failure of Coal India Limited (CIL) to sign the fuel supply agreements (FSAs) with power producers, decide the fate of nearly 58 captive coal blocks to various players who have been issued show-cause notices and lack of fuel supply that was hurting power generation. A high-level meeting of Finance, Power, Coal, Mines and Steel Ministry and CIL officials has been convened by Principal Secretary to the Prime Minister, Pulok Chatterjee, to discuss various issues impacting the coal industry. It is learnt that CIL will make a formal presentation on the fuel supply situation for the next few years and projections on production. CIL is understood to have already conveyed to the Coal Ministry that it would not be able to adhere to the Presidential directive on supply of minimum 80 per cent coal to power producers under the new FSAs and that it would only be able to achieve around 66 per cent supplies. Inter-ministerial panel The lack of fuel supply by CIL, despite PMO taking a number of meetings on the issue and issuing of a directive on FSAs, has

badly hurt the power generation. CIL has proposed supply of around 66 per cent for 2012-13 and 55 per cent for the 2013-14 fiscal. CIL, which produces 436 million tonne, plans to enhance the capacity to 464 million tonnes by the end of 2012-13 fiscal. The issue of setting up of an inter-ministerial panel, which will look into the reasons for delay in production from captive coal blocks and suggest measures to fast-track their development amid acute shortage of the fuel , would also be taken up during the meeting. The panel, to be set up under the chairmanship of Joint Secretary, Coal, will comprise officials from Ministries, including Power, Steel, Law and Department of Industrial Policy & Promotion. The PMO will also take a call on the fate of 58 captive coal blocks of firms such as Reliance Power, Tata Power and Hindalco, which were issued show-cause notices for de-allocation for sitting idle on them. The Coal Ministry has received replies from all the allocattees of 58 coal blocks which were recently issued show cause notices for de-allocation. The PMO meeting will take a call on what action has to be initiated against these allocattees, a senior Coal Ministry official said. Fresh FSA propsal Indrani Dutta writes from Kolkata In a bid to break the logjam over the fuel supply agreements (FSAs), Coal India Ltd. (CIL) is likely to present to the Prime Ministers Office on Friday a proposal for a fresh FSA, which will not only do away with the various force majeure clauses that the power sector has found irksome, but will also argue in favour of a staggered trigger level beginning at 65 per cent. Sources said CIL, in a best production scenario, would be comfortable with a trigger level of 65 per cent for the first three years, followed by a trigger of 70 per cent in the fourth year and 80 per cent from fifth year onwards.

There would be no incentive till 80 per cent supply level was reached, but there would be a penalty if supplies dropped below 65 per cent of the annual contracted amount. This was being proposed more as an interim arrangement so that CIL got some breathing time to increase its production, they pointed out. It may be mentioned that, at the behest of the PMO, the CIL board had hammered out in April an FSA in which a trigger level of 0.01 per cent (applicable after three years) was set along with a plethora of force majeure clauses. This made major consumers such as NTPC cry foul. Against the expected 49 FSAs, only about 27 have been signed so far and none with either NTPC or DVC. The PMO meet is being held to break this impasse. Keywords: Coal India Limited, fuel supply agreements, power producers

Politics stays electric, but India reels under 16 hour power cuts
C R Sukumar & Sobia Khan, ET Bureau | Jun 21, 2012, 07.18AM IST

BANGALORE/HYDERABAD: The country is reeling under a severe power shortage that has forced people to suffer 16-hour supply cuts in some regions as fuel scarcity has hit generation and the precarious health of utilities has ravaged the finances and payment schedules in the sector. The situation is particularly bad in north India, which had a deficit of 3,000 megawatts last month, as demand has soared due to the heat wave. But even in the southern states of Karnataka and Tamil Nadu, distribution bottlenecks and scarce supply have hurt domestic and industrial consumers with power deficit rising to 4,350 mw in May, officials said. Residents of Delhi and neighbouring areas are complaining of power cuts, but the Association of Power Producers says the Capital is much better off than most other parts. "The southern region is facing power cuts of 8-16 hours and many rural areas are going without electricity for days together. The way forward is resolving regulatory and policy issues in the sector," said Ashok Khurana, the association's director-general. With coal supply stagnant and gas production sharply down, about 37,000 mw of capacity out of 178,000 mw monitored by the Central Electricity Authority has been shut down. This is primarily because of fuel shortage and partly due to plant maintenance. "A significant amount of capacity is stranded due to non-availability of gas and coal. It is further getting impacted due to regulatory issues. Coal India has decided not to import coal," said Raaj Kumar, CEO, GMR Energy. "The investment climate has suffered significantly, and this will hit growth in the power sector. State electricity boards do not have the ability to pay for power. Huge accumulated losses are leading to frequent load-shedding. The situation is gloomy," he said. Most coal-fired power plants are operating at 60-70 per cent capacity as Coal India is supplying only 65 per cent of the requirement. The balance is met through e-auctions or imports, which are costly. Inefficient state utilities have aggravated the problem, industry officials said. "There is power available in the market, but loss-making state electricity boards have no money to buy it. They do not want to increase their revenue

gap," said K Rajagopal, CEO (energy division), Lanco Infratech. Khurana of the Association of Power Producers said, "About 9,000 mw of gas-based projects have no fuel to be commissioned." Costly imported coal delaying many projects "(The shortage of) coal and delayed environmental and regulatory approvals have held up many other plants," said Khurana of the Association of Power Producers. In Andhra Pradesh, industrial users are under severe strain. "The situation is bad and power shortages are affecting the industry, especially the small and medium enterprises sector," said Y Harish Chandra Prasad, chairman of Malaxmi Group. The high cost of imported coal has delayed thousands of megawatts of capacity being set up by large private producers, including Reliance Power's 4,000-mw ultra mega power project. Chandrasekhar Reddy, member secretary of Andhra Pradesh's energy coordination committee, said the shortage could be as high as 3,900 mw or 93 million units a day during the peak season. But he added that the arrival of monsoon had improved the situation. Reddy said the long-term solution was to build power plants through state-owned entities. "Of course, till then, rural, domestic and overall industry will have to bear the shortages," he said. SL Rao, the first chairman of the CERC, said states such as Karnataka have not managed the power sector well, while Power Grid has not done enough in southern India. "There is callousness in power plant management as these are not maintained on a regular basis ... We need to privatise our distribution system to deal with power shortage," he said.

Poverty Alleviation

Trends in Inequality
The debate on growth and inequality is not about choosing one over the other. Growth is important as it not only provides employment opportunities, but also revenues to finance expenditure on social-welfare schemes. Instead the focus should be on removing the obstacles to social mobility, suggests Rajesh Shukla Across the world, concerns are being voiced about rising inequality and how severely it can damage the social fabric of a nation. Concerns, in the Indian context, that have been eloquently articulated by some of the very well noted economists fear that the governments fixation on growth, prevents it from effectively addressing the problem of rising inequality and its structure. While no one refutes the claim that some benefits accruing from the economic reform growth have trickled down, a consequence of which is the millions who have been lifted above the poverty line, the bone of contention is, that a certain privileged section of society has received a disproportionate share of the benefits accruing from the growth process which has translated to rising vertical as well as horizontal inequalities. Economic growth can translate to either an increase or decrease in inequality; if inequality does rise, it implies that a certain section of society is receiving a disproportionate share of total benefits accruing from growth. On the other hand, if inequality does falls, it implies that the benefits are percolating to the economically deprived sections of society. As with poverty, a number of studies on inequality, based on NSS consumption expenditure data, have been carried out in the post-reform period with mixed results. It is interesting to note that the so called poorest State in the country, Odisha has shown the steepest decline in poverty ratio, 24.6 percentage points between 2004-05 and 2011-12 (Table 1). Other States where the decline in poverty ratio is significant include Andhra Pradesh, Bihar, Maharashtra and Uttarakhand. Interestingly, in all these States, rural poverty declined at a much faster pace than urban poverty. Relatively high economic growth in some of BIMARU States like Bihar, Odisha and Madhya Pradesh was able to be translated into a significant dent on overall poverty. This is much pronounced in rural areas of all major States other than Kerala, where urban areas witnessed a higher reduction in poverty estimates. It is quite plausible that benefits of long term high growth, especially in the low income States where the benefits of growth percolate to the economically backward rural sections, can be easily envisioned. This reveals the dichotomy between Monthly Per Capita Expenditure (MPCE) growth and the corresponding poverty reduction which leads us to the issue of the distribution of households near the poverty line. In other words, if households are heavily distributed near the poverty line, even a small increase in MPCE can lead to a disproportionately large reduction in poverty. For example in the States of Odisha, Bihar and Maharashtra, MPCE in the rural areas grew at 11.5 per cent, 11.8 per cent and 13.5 per cent per annum respectively, the corresponding reduction in poverty in the States stood at 25.1 per cent, 21.6 per centand 23.7 per cent respectively. The difference in the poverty reduction figures is because, in Odisha households are concentrated around the poverty line, unlike in Maharashtra. The other limitations being that a fall in MPCE, which lowers households into abject poverty, has no effect on the index. In an attempt to examine the impact of growth on poverty alone, the reduction in poverty is decomposed into two components: (i) a growth component, and (ii) a distribution component. While the growth component reflects the increase in per capita expenditure, the distribution component captures any change that may have taken place in the distribution of per capita expenditure. While the Gini-coefficient is the most commonly used inequality measure, this article focuses on

the General Entropy (GE) class of inequality measures. The parameter in GE (a) represents the weight given to distances between incomes at different parts of the income distribution...more P.S.: If there is any change in your contact information, kindly update it here. Thanks.

Power conservation begins at home

S. SHANKER
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technology

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For Mumbai alone, the peak demand in summer is over 3200 MW, which is said to be 500-600 MW higher than in winter.
India's installed power generation capacity crossed two lakh MW last week. However, there is little cheer as demand continues to soar. The Central Electricity Authority indicates that against a peak demand of 130,250 MW, the deficit was 11.1 per cent or 14,458 MW for 2011-12. For Mumbai alone, the peak demand in summer is over 3200 MW, which is said to be higher by 500 to 600 MW than in winter. Come summer and the power sector keeps its fingers crossed. The gap between demand and supply continues to widen each year with a steep rise in demand, commensurate with the growing middle class in the country. For consumers, higher consumption means spiralling power bills, especially for the middle-class. We know that energy saved is energy gained. Small amounts of energy saved on the home front add up to a significant amount of energy saved at the national level. Thus, it is very important that everyone shares responsibility in employing energy-efficient measures at the individual level. Tata Power has always been working to spread awareness on energy conservation, especially among children through various school programmes like Tata Power Club Enerji, said Mr Anil Sardana Managing Director, Tata Power. To beat the heat and lighten the burden on the wallet, Tata Power has simple, but effective solutions, to reduce household electricity bills by 30-35 per cent.
HOUSEHOLD TIPS

The peak time for electricity consumption is 8 a.m. to 8 p.m. in major cities. During this time, a residential consumer will be unnecessarily charged higher for every unit of electricity consumed. It is advisable to run electrical appliances such as the washing machine during off-peak times. Summer logs high sales of air-conditioners (ACs) and fans. Opt for Bureau of Energy Efficiency (BEE) star-rated labelled ACs and fans as they

consume 10 -35 per cent less energy. Five-star rated ACs cool and dehumidify a room in 30 minutes, so use a timer and leave the unit off for some time. Clean the air-conditioner filter every month. In general, it may work out cheaper to buy a new energy-efficient AC than using an old inefficient one. Use a ceiling or table fan as the first choice because the air movement will cool the room. AC consumption can be brought down by 35 per cent by shading windows and walls in addition to keeping doors to air-conditioned rooms closed and leak proof. Use blinds and drapes to keep away the sun. It is advisable to have shades for east and west facing windows. Substitute incandescent bulbs with energy efficient tungsten filament tubes (TFL) or compact fluorescent lamps. They are highly energy efficient, long lasting and consume far less energy. Switch to a gas-based geyser by extending the piped natural gas connection from the kitchen. A gas-based geyser is cheaper to buy and run. Star labelled refrigerators have ratings from one to five. Higher the rating, the less energy they consume. Keep the refrigerator compartment between two and five degree C and the freezer at -18C. This is adequate to preserve food and lowering the temperature only wastes power. Freezers should not be more than two-thirds full. It is important that the refrigerator door closes tightly. Place a piece of paper between the door and the gasket and if it can be easily pulled out when the door is closed, the gasket is probably worn out and needs to be replaced. The fridge and the door seal need to be kept clean. Small appliances use less power than large ones. Save money by using a microwave oven rather than a regular electric oven or stove. While building a new house, use white tiles on the roof as it helps reflect heat.

Opt for at least two electricity audits for homes, one during the coldest month and one in the hottest month. It will indicate how much power is being consumed and where one can save.
DEMAND MAY TRIPLE

An International Energy Agency analysis says that the country's electricity demand is to more than triple by 2035, indicating that over 650 GW of new capacity has to come in by then. The Agency estimates India would need an investment of at least $135 billion to provide universal access of electricity to its population. It expects India to add up to 1200 GW of additional power generation capacity by 2050. Importantly, the technologies and fuel sources adopted might make a significant impact on global resource usage as also the environment. On the home front, the realisation for electricity supplies made by the State Electricity Boards is dismal. For 2009-10, the average unit cost of power supplied to consumers was Rs 3.54, while average realisation was Rs 2.68, which includes supply to agriculture. From agriculture alone realisation was Re 0.89.
(This article was published on April 26, 2012)

Keywords: power generation, conservation, electricity demand, Business Line anniversary special,

Power cos may buy coal from sources other than CIL: Govt
FRIDAY, 30 NOVEMBER 2012 06:06 LATHISH PV

Power companies may secure coal from alternative sources in the absence of sufficient supply of the fuel from state-run Coal India, Parliament was informed on 29-11-2012. "As per the new coal distribution policy of Ministry of Coal, in order to meet the domestic requirement of coal, Coal India may have to import coal as may be required from time to time," Power Minister Jyotiraditya Scindia said in a written reply in the Lok Sabha. He added that developers may also obtain fuel from alternative sources in case of any shortage of assured supply of coal from Coal India. Earlier this week Coal Ministry had said that Coal India had written letters to power companies seeking their consent for supply of imported coal on cost plus basis under the modified Fuel Supply Agreement (FSA). Cost-plus basis means cost of importing coal by Coal India plus additional charges. Meanwhile, 30 power plants have entered into pacts with the coal behemoth. The state-owned firm is likely to enter into pacts with 48 power units. Power companies waiting to sign the FSA with CIL would have to arrange for 17 per cent of coal on their own either through import or e-auction to run their plants at 85 per cent plant load factor. CIL proposes to use MMTC or State Trading Company to import coal. The Centre provides 90 per cent of the project cost as capital subsidy for establishing Rural Electricity Distribution Backbone (REDB) and Village Electrification Infrastructure (VEI) and provides free electricity single point connection to BPL households under RGGVY. Scindia said the responsibility of implementing the scheme is with the state governments but several members, including some from the Treasury Benches, objected. He stated that in 70-80 per cent of the cases the state electricity boards are implementing it. "A monitoring matrix is being formed at the district level," Scindia said and accepted suggestion from Opposition benches that the local MP should be involved in this. Source - Indian Express Back to Top

Power distribution in Kanpur to be handed over to private sector: Akhilesh Yadav

Manmohan Rai, ET Bureau Jun 19, 2012, 09.44PM IST

Tags: Torrent Power| Power distribution| mayawati| Kanpur Development Authority| Kanpur| Akhilesh Yadav

LUCKNOW: Chief Minister Akhilesh Yadav in a meeting with a delegation from Kanpur said that the government would consider handing over power distribution in the city to the private sector after suitable changes in the tariff structure. He said this is response to the request of a delegation from Kanpur to improve the power scenario in the city. The previous Mayawati government had handed over the power distribution of Agra and Kanpur to Torrent Power. While the company took over the network for power distribution in Agra the decision on Kanpur was put on hold due to public pressure. Akhilesh Yadav's statement on Tuesday could lead to Torrent Power taking over electricity distribution in Kanpur after some negotiation over the tariff charged from customers. The Chief Minister Akhilesh Yadav held a high powered meeting on Tuesday to address issues related to the industrial city of Kanpur. The meeting focused on improving infrastructure and reviving the local economy in Kanpur which was once a major industrial hub of the country. Akhilesh Yadav said that all projects that are underway in the city should be completed at the earliest and for those projects which require funds from the centre suitable steps be taken immediately. He directed officials to complete the barrage road on left side of river Ganga to connect Kanpur with Saraiyan town in Unnao.

Yadav directed the Kanpur Development Authority to construct the Mandhana-Bhauti by pass road. A decision was also taken to transfer Transport Nagar out of the city limits. The delegation from Kanpur requested the Chief Minister to get work of about Rs 6,000 crores related to infrastructure, roads, multilevel parking and power completed at the earliest. The delegation said that Kanpur contributes nearly Rs 5,000 crores of revenue to the state exchequer and hoped the the government would help restore the importance of the city as an industrial hub.

Power gear companies raise alarm over surging Chinese imports

By Mitul Thakkar, ET Bureau | 19 Nov, 2013, 04.00AM IST Post a Comment

Slowdown in Indian power sector and import of aggressively priced Chinese equipment forced manufacturers to operate at below 70% of capacity utilisation, IEEMA said.

ET SPECIAL:
Save precious time tracking your investments

NEW DELHI: Indian power equipment makers say that the rapidly rising Chinese imports is a big security risk as Beijing can disrupt the Indian economy by withdrawing technical support to plants built with cheap imports. Indian import of power equipment from China climbed to 45% in 2012-13 from 15% in 2005-06, according to the Indian Electrical and Electronics Manufacturers' Association (IEEMA), whose members have a combined annual turnover of over Rs 1,25,000 crore. IEEMA plans to take up the issue with the Central government as it feels that the Indian power sector is leaning too heavily on China. Slowdown in Indian power sector and import of aggressively priced Chinese equipment have compelled Indian manufacturers to operate at well below 70% of capacity utilisation, it estimated.

"We need to be cautious about banking on a single nation to such an extent. Intrusion at border is watched by Indian forces and intelligences, which are well equipped and trained to deal with it. But it has gone unnoticed in Indian power generation, transmission and distribution. Chinese electrical equipment and their service centres may function in fair weather, but we want to draw attention of the policy makers what happens to this critical machinery in turbulent times when they withdraw support of spares and engineers and technology," the association's directorgeneral Sunil Misra told ET. He said Chinese firms are in process of setting up service centres in India after some of the power producers have started experiencing hiccups in functioning of imported equipment. The Central Electricity Authority said in a recent report that operation of Chinese equipment needs more human intervention and is not as efficient as the gear supplied by BHEL. Adani Power, Reliance Power, Lanco and Power Grid Corporation are some of the largest importers of Chinese equipment in India. Misra said he is not against foreign direct investments from China. "But we should not pay high cost for cheap equipment. China won't buy any critical product from India in such a huge quantity," said Misra, who spent three years in China during his stint with the Confederation of Indian Industries. "With the introduction of modern technologies such as smart grid, many things will be controlled by computers. This poses new set of challenges for security of critical systems. So should we not think how much we buy from where," he asked. Misra said that hidden subsidies and cheap inputs have helped Chinese manufacturers dominate markets. "Like many other products, Chinese manufacturers have beaten even advanced countries in power equipment making. They are largely controlled by the government and they have a very different notion of cost and pricing strategies for their products. Indian players would have succeeded if they were given level playing field against the Chinese players, who are backed by hidden subsidies and cheap inputs," said Misra.

Power Sector Under Fuel Security Threat

By Shrikant Akolkar | 6/18/2012 3:52 PM Monday 0

0 0

The Power Index has witnessed a small rally in this month so far. The index rose by 2 per cent as many investors saw some buying opportunity. Despite the fundamentals being the same, what prompted this rally? The question uppermost in the minds of the investors is whether this is the right time to buy the power stocks. In the March quarter the sector widened its losses. The overall profitability has gone for a toss since an increasing number of companies have reported losses. The profit of the sector has declined by 22 per cent (YOY basis) despite a surge of 22 per cent in the topline. Apart from the usual reasons of coal shortages and lower tariffs, there is the added fury of the exchange rate which is still over the Rs 55 per dollar mark, thus making coal imports expensive. Coal India, as per a news report in DNA, has cut its supplies to 62 captive power plants which include big names such as the Tata Power Company. Earlier this month, Coal India discontinued coal supplies to Lanco Infra. Now this looks like a safety measure as the company is under pressure to meet its coal production targets as well as to sign and honour the fuel supply agreements with the power utilities. Lancos coal supply was suspended on the grounds that it has not signed any power purchase agreement. The DNA has said that the 62 coal supply agreements were suspended on the grounds that these companies failed to pay commitment guarantees within the stipulated period. Meanwhile, the issue of coal pricing has emerged again. CIL has said that it will increase the coal prices by 5-15 per cent in a selected few blocks at two of its subsidiaries viz. Eastern Coalfields Ltd (ECL) and Western Coalfields Ltd (WCL). Due to this, the power companies using the coal from these blocks will have to raise power tariffs which will be met with agitation from the government and the public. Also, the much-awaited Fuel Supply Agreement Pact, as directed by the prime minister, is yet to be completed. According to a media report, only 15 out of the 49 eligible power producers have signed this agreement. This rate is very slow and the companies need domestic coal at this time when there is a very high exchange rate. Amidst this chaos, NTPC has cut its capacity addition target to 14,500 MW by 2017 while Tata Power has also said that it will keep on hold its plans to add imported coal-based capacity due to the highly regulatory environment in coal producing counties like India and Indonesia. The recent index of mineral production of mining has indicated a 35 per cent decline in coal production in April 2012. Under such circumstances the worries of the power sector have touched a new peak. The sector wants more coal for incremental capacities which looks impossible. The power equipment companies will also have problems as less supply has forced them to cut down the generation target and there by their order book will further tumble.

This negative picture though has a silver lining as some of the SEBs have allowed the power utilities to hike the power tariffs. However, it should be noted that coal supply is the key input for the thermal power sector, a prime prime source of power generation in India. In these circumstances we advise investors to avoid the power sector except for a few chosen companies like CESC and PowerGrid. Find More Articles on: Markets, DSIJ Mindshare, Stock Recommendations, Fundamental Picks, Market Outlook - See more at: http://www.dsij.in/articledetails/tabid/740/articleid/4619/power-sector-under-fuelsecurity-threat.aspx#sthash.R5zImC7G.dpuf

Power shortages set to ease

(Shanghai Daily) 13:25, June 14, 2012

Workers check power transmission facilities in Gaobeidian, Hebei Province. [Photo/Xinhua]

China's power shortages may ease this summer due to slowing economic growth andgains in h ydropower output, said the top planning agency. There may be a peak supply shortfall of 18 gigawatts, or a gap of less than 3 percentfrom the m aximum load, said Lu Junling, a deputy inspector at the NationalDevelopment and Reform Com mission, at a press conference yesterday. Zhejiang, Guangdong, Jiangsu and Hebei provinces as well as Chongqing are likely tobe the m ain affected regions. But Lu warned that the smaller gap could prompt some companies in energyintensiveindustries to expand quickly and this may overturn the situation, Lu said. He cited 2009 when China's power use fell in the first seven months but the year ended with a supplyshortage of coal, power and oil. China's power use rose 5.8 percent in the first five months, compared with 12 percentin the sam e period in 2011, amid sluggish economic growth. Fitch Ratings said in a report this week the slowdown in power use may signal a furthercooling i n the economy and resulted in policy easing, like last week's interest rate cuts,the first since Dec ember 2008. A rise in hydropower output since April has cut demand for coal, the fuel that fires themajority of China's power plants, Lu said. Hydropower output rose 36 percent in May,slashing thermal coal demand by 8 million tons, he said. Coal supplies at major power plants stood at 93.13 million tons as of Sunday, up 48.3percent fro m a year earlier.

Power tariffs for home users to be extended

By Fu Chenghao (Shanghai Daily) 09:49, March 09, 2012 China will expand a graduated power tariff system for residential users, now being tried out in several selected provinces, nationwide in the first half of this year as the reformof prices for energy products deepens. The new system, under which electricity prices are set at three tiers, aims to chargehigh er rates for heavy users in a shift from the current uniformed rates which varyamong reg ions. Peng Sen, vice chairman of the National Development and Reform Commission, saidon Wednesday the plan has been approved by the State Council and will proceed ineach provincial area in the first half. Though analysts say the graduated tariff is a step forward in reforming the powerindustr y, the impact and significance may be limited as residential users only make upabout 10 percent of China's power use. Although the graduated system has been proposed for years, it will only beimplemented this year because of inflationary concerns. Premier Wen Jiabao has set a4 percent targ et for inflation this year, leaving room for energy and utility prices to beraised. Peng also said the NDRC has submitted a fuel pricing reform plan, which allows formor e frequent adjustments in pump rates, to the State Council for approval. Thecurrent syst em allows a price change when a basket of crude rates moves more than 4percent over 22 working days though the government also looks at other factors whenadjusting price s. "While it is possible for oil products pricing reform to be delayed, we believe it is likely to take place after the March national conferences," Goldman Sachs said in a note,referrin g to the sessions of China's political advisers and lawmakers which end nextWednesda y. Email|Print|Comments Editor

Private investors get greenlight in power sector

Updated: 2012-06-20 10:22 ( Xinhua)

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BEIJING China on Tuesday issued a guideline to greenlight the entry of private capital into theco untry's Statedominated power sector, marking the latest move to increase the economy'sefficiency a nd bolster growth. The 15article guideline, issued by the State Electricity Regulatory Commission, gave specificpo licies regarding the sector's market access, supervision of fair power coordination,renew able energy network access and price reforms. The move came after a number of Staterun sectors, including the railway, transport andfinance sectors, published similar guideli nes to encourage the participation of private capital. The central government in May 2010 published an instruction to allow the presence of p rivateinvestment in monopolized sectors, but the effort has only recently gained traction, as China'sgrowth has slowed significantly over the past 11 quarters, dragged down by weak overseasdemand. The guideline said enterprises under all types of ownership are supported to enter the p owermarket, and the access standard for renewable energies such as wind and solar po wer will beimproved. Fair treatment will be given to all enterprises, it said, stating that power infrastructureco mpanies owned by private investors will be granted operation certificates. It said the government will urge state grid enterprises to strike grid connection contracts andpower transactions with private power firms and step up supervision to ensure trans parencyand fairness. The guideline also stressed supervision over the sector's pricing system, vowing to unify theprice of electricity for all enterprises, both private and State-owned. In addition, the government will work to gradually open the power survey and design,co nstruction, consultation and the material and equipment purchasing markets, it said. According to Lin Boqiang, head of the Energy Economic Research Center of Xiamen Un iversity,private investment currently only takes less than 3 percent in the sector's total in vestment.

PTC India to raise $40 million from IFC

Will use it to fund various wind power projects, which can generate around 75-125 MW of power in the southern states and Maharashtra Upload Your CV For Jobs
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PTC India Financial Services Limited (PFS) will raise around $40 million from International Finance Corporation (IFC) to fund variouswind power projects, which can generate around 75-125 MW of power in the southern states and Maharashtra. PFS has been categorised as an Infrastructure Finance Company by the Reserve Bank of India, and is focused on funding projects across the energy value chain in India. The Project, which includes IFC debt funding to PFS, will allow PFS to utilise funds to increase investments in wind-based power projects in the state of Maharashtra and Tamil Nadu with capacity ranging between 75125 MW. This is in addition to the existing $50 million senior loan facility that has been provided by IFC to the Company in 2011, said IFC. PFS, promoted by PTC India Limited (PTC formerly known as Power Trading Corporation of India Ltd), is the largest power trading company in India, operating since 1999. As on September 30, 2012 PTC holds a 60% equity stake in PFS, with the other key shareholders being GS Strategic Investments Limited (8.7%), GMFA Asia Venture (3.7%), Macquarie India Holdings Limited (3.5%), Emerging Markets Growth Fund (2.8%) and Capital International Emerging Markets Fund (1.8%). IFC's loan, being long term, will help PFS provide funding for long gestation RE projects. The proposed project would also help increase availability of funding to smaller private sector players.

PFS is a developing financial intermediary and its expansion in this space is likely to help attract other financial institutions to increase their risk appetite and invest more in these sectors, said IFC.

Reliance Life to give extra cover to Sachins fan Sudhir Kumar

K. R. SRIVATS
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Sudhir Kumar Chaudhary

Sachin Tendulkar fan Sudhir Kumar Chaudhary, who shows up at every home match that Indian team plays with his entire body painted in the national colours. File Photo: K.R. Deepak

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NEW DELHI, NOV 15: Reliance Life Insurance Company has signed up to support Sudhir Kumar Chaudhary, one of the greatest fans of master blaster Sachin Tendulkar. As part of its corporate social responsibility, Reliance Life will offer financial aid to Sudhir to help him continue his passion of loving the sport. New campaign This private life insurer has also launched a new campaign with Sudhir with a view to supporting this big fan. The campaign is also aimed to give out a larger message that retirement is definitive and needs to be properly planned, Anup Rau, Chief Executive Officer, Reliance Life Insurance, said. Sudhir, who hails from Muzaffarpur in Bihar, continues his passion for the game on public support without any permanent job. He sometimes pedals his way to cricket playing venues, as he did to Bangladesh to witness a cricket match in 2007. He has also cycled to Lahore, Pakistan, in 2006 to watch a match. Sudhir often stays with friends and makes ends meet only to get to the next match. Sudhir is usually seen with his body painted in the tri-colour, waving our national flag and blowing the conch shell during cricket matches as part of his love for cricket and Sachin Tendulkar.

We are really excited to encourage Sudhir to pursue his passion of cheering the cricket team and intend to back him right up to the World Cup and beyond. As a company engaged in planning for people's retirement, we are concerned about this ardent fan who has let his passion take over his life. With this in mind, we decided to secure Sudhirs future financially and help the ultimate devotee ride his passion for cricket, even after his raison d'etre retires, Rau said. Sudhir left his permanent job in a dairy firm at Muzaffarpur in 2006 to pursue his passion for cheering the cricket team on public support. I would continue to cheer for India after my gods retirement for as long as I live. I am thankful to the cricket loving people who have helped me watch almost all matches at home turf and some on foreign soil since the year 2000. I would like to thank Reliance Life for their support towards my love for the game, my passion and future, said Sudhir. Retirement is definitive Reliance Life Insurance, which offers a range of retirement solutions, is also inviting people to show their support towards Sudhir on their Facebook page and through sms. For us, Sudhir is an embodiment of everything that comes in the way of planning for one's future. By showing this concern and actually securing his future with a regular income, we intend to demonstrate to people at large that retirement is definitive and needs planning before it becomes a shock, Rau added. srivats.kr@thehindu.co.in
(This article was published on November 15, 2013)

Keywords: Reliance Life, Sudhir Chaudhary, cricket, corporate social responsibility, marketing campaign View Comments (6)Post Comment

Research and Markets: 2-day Training on Introduction to Risk Management and Business Process Mapping Skills, CA - 2013 Seminar
Research and MarketsNovember 14, 2013 9:51 AM

DUBLIN--(BUSINESS WIRE)-Research and Markets(http://www.researchandmarkets.com/research/j98p 8l/2day_training_on) has announced the addition of the "2day Training on Introduction to Risk Management and Business Process Mapping Skills, CA" conference to their offering. Location: San Francisco, CA Date: 12th & 13th of December 2013 Course Description: A number of different approaches to risk management and assessment have been developed, yet companies face challenges in deciding which approach to take: a method that brings benefits to one may not be good enough for another. This seminar provides companies ways to assess and manage risk, compliance and auditing that can be easily adapted to any kind of business across the globe. Attendees will learn practical approaches and proven tools to implement robust risk management systems within their organizations. This highly interactive 2 day in-person seminar will explain how to use any type of process to enhance risk and control identification and contribute important information to the overall risk management plan. Attendees will gain the skills

for understanding risk management, how to do effective risk assessments, and how to include business process mapping into any enterprise risk management program, risk assessments and audit processes. The seminar will explain how any work function really operates, to identify risks and opportunities for improvement, and to implement changes or new processes that will have an immediate impact on both the participant's own, and the organization's, objectives. Learning Objective: Seminar attendees will learn: - Enterprise Risk Management (ERM) vs. Risk Assessments vs. Risk Self-Assessments: How they all work together for the most efficient and comprehensive coverage. - To use ERM to proactively address opportunities, increase customer and stakeholder value and determine risk threshold. - To use the copyrighted JPA Top Down Risk Analysis Mapping Process to get to the real processes, procedures, risks and controls. - Specific applications to regulatory standards, global and compliance standards, ISO, clinical trials and more. - To take business process mapping and documentation and risk assessments to the highest level of real proactive organizational change. - How to identify significant risks related to any business function through your clients' eyes and assess the existence and strength of controls against the risk exposure.

- The power of risk and fraud self-assessments (RSA), and a highly effective process for facilitating them. - Secrets for turning around resistant noncompliant functions who fight your involvement. - To use natural systems selection tools from organizational psychology to differentiate real risk from trivial risks, and immediately increase client buy-in. This course is designed in such a way so as to provide comprehensive learning for both risk/audit professionals and personnel in non-audit functions (including IT and executive teams) across industries. The following personnel will benefit from attending the course: - Internal and external auditors - Regulatory & compliance personnel - Fraud & risk managers - Company executives For more information visit http://www.researchandmarkets.com/research/j98p8l/2d ay_training_on. About Research and Markets Research and Markets is the world's leading source for international market research reports and market data. We provide you with the latest data on international and regional markets, key industries, the top companies, new products and the latest trends.

Restructuring to anchor ABG Shipyard

K.S. BADRI NARAYANAN
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November 17, 2013: Shares of ABG Shipyard Ltd will remain in focus this week as the initiated corporate debt restructuring exercise. However, a PTI report quoting banking sources, said about 22 lenders have opposed the countrys largest private shipbuilder's proposal to restructure its Rs 11,150-crore loan. The company is facing problems in servicing its loans. The company said that it faced delays in completing and streamlining its ship-lift facility at Dahej and saw a significant pile-up in inventory that lead to a longer operating cycle. ICICI Bank has the largest exposure to the shipbuilder with about Rs 2,600 crore, while State Bank of India has around Rs 1,600 crore and IDBI Bank about Rs 1,400 crore.
(This article was published on November 17, 2013)

Keywords: ABG Shipyard Ltd, ABG Shipyard Ltd stock, corporate debt restructuring

Revolutionizing Indias smart grids with IT

To meet the dramatic rate of increase in electricity deficit, the country requires massive investments in infrastructure Experts | by Mathew Thomas BANGALORE, INDIA: As India aggressively progresses on the road to strengthening its position as an emerging economy, its power demands have been rising phenomenally. While it struggles to make up for the existing deficit of about 10 per cent, India also faces the challenge of providing access to electricity to over 400 million people. Understanding the power situation To meet the dramatic rate of increase in electricity deficit, the country requires massive investments in infrastructure. Simultaneously, we must fix the holes that are responsible for electricity leakages at various levels. The Indian power sector makes technical and commercial losses to the tune of 28 per cent of the total electricity produced.) This is now a social and economic development imperative. The annual report 2009-2010 of the Central Electricity Authority, Ministry of Power, Govt. of India indicates that India has an installed power generation capacity 169,749 mega watts as of December 31, 2010. Additionally, there is a substantial amount of captive production capacity amounting to around 15,000 mega watts in the industrial sector, according to official data The country generated a total of 746 million mega watts in FY 2009-2010 to meet the demand of 831 million mega watts; and this power is distributed across the country through five regional grids, 31 state grids and over 100 area-wise grids. Finding the right' answer Ideally, the first step should be to strengthen and smarten the current electricity system. The best way to do it would be by building new lines, substations and power plants. However, considering the hyper demand for electricity, coupled with the huge technical and commercial loss that the sector makes, superior grid reliability is more than mandatory. To achieve this, the system should be fortified with intelligence by integrating it with information and communication technology solutions (ICT) solutions to plug leakages and improve efficiencies. A smart electricity grid in place will open avenues for new applications that will have far-reaching impact. But what is a smart grid? A smart grid is the

integration of information and communications technology into electric transmission and distribution networks. The smart grid delivers electricity to consumers end usage of electricity. Also, to enable efficient use of the grid by identifying and correcting supply-demand imbalances instantaneously, thereby reducing costs and improving reliability and quality of service .

SAIL seeks change in thermal coal mine allocation rule to PSUs

SUMIT KUMAR

November 19th, 2013

Anticipating its captive power needs to nearly double in 2-3 years, SAIL wants existing rules for thermal coal block allocation to be amended so as to make government firms without power purchase agreements eligible. The countrys largest steel maker now requires around 1,000 MW power to fire its five integrated steel plants. This will go up to 1,850 MW in the next 2-3 years with the ongoing Rs 70,000 crore modernisation and expansion programme. Already saddled with 75 per cent imports of its coking coal needs, SAIL has flagged the issue to Steel Ministry for soliciting Coal Ministry for allotment of thermal coal mine to the state-run steel maker. Intervention of Ministry of Steel is requested for amending in Rule 12 of part-II of Gazette Notification dated December 27, 2012 of Ministry of Coal on auction of coal by competitive bidding, SAIL said. As per the existing policy, there is no provision for thermal coal allocation for government companies for their captive power plants. Read more at: http://economictimes.indiatimes.com/articleshow/26051695.cms?utm_source=contentofi nterest&utm_medium=text&utm_campaign=cppst
Source: ET

Scrap financially unviable Panipat thermal units Haryana Discoms

V K Gupta November 21st, 2013 0 Scrap financially unviable Panipat thermal units Haryana Discoms Thursday November 21 2013 Chandigarh Haryana Discoms have asked the Haryana Power Generation Corporation Limited (HPGCL) to scrap the four units of Panipat thermal plant as these have become financially unviable. Haryana Power Purchase Centre (HPCC) in its letter of October 24 2013 has intimated the HPGCL that as the rates of power supplied from unit I to IV of Panipat thermal station are not viable the HPGCL may consider scrapping of these units. The power generated from these units may be sold in open market by HPGCL on its own so that no fixed charges are paid by Discoms. Discoms are not interested in costly power of these units. Discoms have claimed that the first four units of Panipat thermal plant were commissioned more than 25 years ago and the cost per unit from these units is more than Rs.5. Even the present variable cost varies between Rs. 3.94 to Rs. 4.44 per unit . In contrast to this power is available in the market at cheaper rates. Even in recent tenders power rates have been quoted to different utilities of northern India varies between Rs. 2.95 to

Rs.3.97 per unit. V K Gupta Secretary Finance Northern India Power Engineers Federation said that Haryana is claiming to be power surplus after 1424 MW power started flowing to state from Adanis Mundra thermal station in Gujarat. The 4 to thermal units in state sector are being forced to shut down daily for the last 10 months on the pretext of no demand to pave the way for power purchased from Adani and other private traders. It will be suicidal step for Haryana Discoms to opt for power purchase from private sector power suppliers at the cost of state run units. In case of non availability of power from private players due to any reason the consumers are bound to suffer. DISCOMS must give preference to state run units even if cost of generation is marginally higher. There may be cut and commissions involved in power purchase. R S Dahiya President Haryana Power Engineers association criticized the proposal of Discoms and said that HPGCL is legally bound to sell its total power generated from different power stations to Discoms. It is not the prerogative of Discoms to ask for power from specific units. Haryana Governments notification of August 29 does not mention the units from which HPGCL is allowed to sell surplus power. Discoms cannot ask HPGCL not to supply power of first four units of Panipat thermal station and instead sell it to third party. A senior HPGCL official said that HPGCL has already started the process for setting up of 2 units of 250 /300 MW capacity at Panipat in place of existing four units as per Haryana Chief Minister approval and the reported decision of Discoms is a hasty one.

Singapore's Equis Funds raises investment in Dans Energy to $64 million

BY VCCIRCLE.COM

PICTURE GALLERY

Hydreq Pte Ltd, an arm of Singapore-based energy and infrastructure investor Equis Funds Group (Equis), has invested Rs 120 crore more in Dans Energy Consulting Pvt Ltd. It was the first of its kind PE investment by an overseas fund in the hydro power sector in India. With this, the total investment by Equis in DANS will be Rs 400 crore. Equis earlier invested in two other tranches in Dans in August 2012 and March 2013. HSA Advocates and Rajah and Tann LLP advised Equis on this deal. Founded in 2006 by chairman and managing director T Nagendra Rao, Dans Group provides research and consulting solutions to independent power producers. Rao has over 10 years of his 30 years of professional experience in the power sector. Dans also provides assistance to hydro power project developers in India for activities related to development of hydro electric projects. Its services include technical consultancy, government liaison and statutory approvals, financial advisory, operational assistance, etc. Dans has several projects under construction in Sikkim on a build, own, operate and transfer (BOOT) basis. It holds a large portfolio of hydro projects and is a developing run of river 193 MW hydro power platform in northern India, of which one project of 96 MW is about to complete. Equis has been set up by former Asian Development Bank and Macquarie executives to tap investment opportunities in energy and infrastructure sectors across Asia. The firm closed Equis Asia Fund I at $647 million last year, exceeding the firm's $500 million fundraising target.

Rajpal Chaudhary, former executive director and co-founder of the property management firm Assetz Property Services, is one of the founding partners of Equis and leads its Indian operations. The firm is led by David Russell, a former senior MD at Macquarie Group who led Asian private equity and Greater China. Equis is based in Singapore, with its regional offices located in Delhi, Hong Kong and Chengdu. The overseas fund invests in a variety of sectors, including renewable and conventional power generation, energy transmission and distribution, energy and agricultural storage and handling, waste and water treatment, and energy, agricultural and general transportation and logistics. -- Copyright 2013 VCCircle.com. All rights reserved. This content/article is provided by Mosaic Media Ventures Private Limited and not by Reuters. All rights, including copyright, in this content/article provided by VCCircle.com are owned or controlled by Mosaic Media Ventures Private Limited. The content may not be copied, broadcast, downloaded and stored (in any medium), transmitted, adapted or changed in any way whatsoever without the prior written permission of Mosaic Media Ventures Private Limited.

Slackness in large infra projs pose challenges: Bhel

Reflecting tough conditions, the company saw its net profit in the first 6 months of current financial year decline to Rs 921 crore
State-owned Bhel, which is focusing on a multi-pronged strategy to boost business, has said slackness in large infrastructure projects and stagnation in domestic power sector are posing challenges. Bharat Heavy Electricals Ltd (Bhel), a $9 billion engineering and manufacturing enterprise, is grappling with tough business environment including sluggishness in the power sector. According to a presentation made at a conference this month, Bhel said it is "facing challenges from several fronts" such as slackness in large infrastructure projects, stagnation in domestic power sector, slowing Indian economy and rising competition. Besides, the company listed disturbances in target export markets, uncertainties in global economy and skill deficit, among others, as challenges for its business. Cheaper imports of equipment, especially from China, has been negatively impacting Bhel's business. Reflecting tough conditions, the company saw its net profit in the first six months of current financial year decline to Rs 921 crore. During this period, the firm received orders worth Rs 4,470 crore. The total order book stood at Rs 1,02,380 crore at the end of September 2013. Despite multiple challenges, Bhel said, there are "huge market opportunities" in Indian power sector. Bhel has a manufacturing capacity of about 20,000 MW. The company is focusing on a six-point agenda to realise its strategic targets by 2017. As part of that plan, Bhel will focus on capability, accelerated project execution, product cost competitiveness, diversification, engineering and technology, and people development.

Solar policy space in India becomes of more than 20 kVA and industrial active again consumers with more than 50 kVA on the low tension (LT) transmission network (up In the last two quarters of every to 415 V). Also, SPOs will be applicable to financial year (October March) for the all consumers connected to the high last couple of years, the solar policy tension (HT) transmission network (up to space in India has become alive. This 11 kV) and Extra High Tension (EHT) year is no exception and in the last transmission network (up to 66 kV). couple of weeks we have seen Further analysis of the Kerala solar policy announcements on phase two of the can be accessed here. National Solar Mission (NSM), Keralas Earlier, the state had already initiated a recently finalized solar policy and new project allocations in Haryana. 10,000 rooftop solar power programme (refer). The implementation of this This happens every year because state programme seems to be on track as most and central governments need to of the installations have already taken publish policies now to meet next years place. Reportedly, there has been some capacity addition targets. However, in delay in the release of subsidies to the the past, the implementation of at least empaneled installers. the state policies dragged on and most of the actual capacity addition has spilt The state government of Haryana is also over to the subsequent year. Last year, expected to begin the process of around this time, solar policies in Tamil allocating 10 projects of 5 MW each based Nadu, Andhra Pradesh, Uttar Pradesh on the states draft solar policy (the draft and Punjab were doing the rounds. As policy document can be accessed here). per the original plan, a majority of the These projects are to be allocated using capacity under these policies should the standard tariff based reverse bidding have been commissioned by March process. The power from these projects 2014. However, timely meeting of these would be bought by the state distribution targets seems nowhere in sight. companies. Apart from these utility scale projects, the policy also talks about canal Even though the announcement of solar projects and promotion of rooftop phase two of the NSM has been solar installations for commercial delayed, this being a central buildings. However, no update is available government policy, the allocation on the implementation of these aspects of process will likely be implemented on the policy. schedule. The pre-bid meeting was held on 19th November 2013. Based on As things stand, execution of projects BRIDGE TO INDIAs perception, the under the NSM for the states- Andhra government officials were helpful and Pradesh, Tamil Nadu, Punjab, Uttar most developers satisfied with the Pradesh and now perhaps even Haryana process. The Solar Energy Corporation and Kerala- can be expected around the of India (SECI) is expected to release a second half of 2014. Theoretically, this clarification document soon to address may add up to over 1,800 MW that would specific questions. The key aspects need to be executed in a limited span of discussed in the meeting were related time. However, if the past experience is

to the relevance of the location of a project, the working of the Capacity Utilization Factor (CUF) limits set under the bid document and the possible impact of anti-dumping duties on the allocations. Read our blog for further analysis on these topics and our overall take on the pre-bid meeting. Keralas draft solar policy has also received cabinet approval and has now been finalized (the draft policy document can be downloaded from here, the final document should be uploaded soon). Under the draft policy, Kerala has set itself a target of an installed capacity of 500 MW by 2017 and 1,500 MW by 2030. Like Tamil Nadu, Kerala has also tried to pass on the financial burden of Renewable Purchase Obligations (RPOs) from the state-owned distribution company (DISCOM) to large power consumers. Solar Procurement Obligations (SPOs) will be mandated for commercial consumers with a connected load

any indicator, many of these policies and projects are expected to hit further roadblocks. OUR BLOG Distributed power and the grid- what are the technical challenges This blog piece is based on a recent workshop that was part of a joint project by Bridge to India, Prayas Energy Group and IIT Mumbai (National Center for PV Research and Education, NCPRE). Our research results will be published in March 2014. [Read more] THROUGH OUR LINKEDIN GROUP 'INDIA SOLAR FUTURE' Where will module prices in India go in the next 6 months?

For some sectors, election is party time

ANAND KALYANARAMAN BL RESEARCH BUREAU
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Long cavalcades of muscular vehicles ferrying netas, security men and sidekicks mean strong sales for companies churning out macho sports utility vehicles.
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Trends reveal media firms, SUV makers and power generation companies gain the most
November 17, 2013: It is not just pollsters and political parties who are all geared up for the five State elections and the general elections to be held over the next six months. Companies running print and television media houses, the ones manufacturing utility vehicles and those engaged in power generation and trading are in a tizzy too, for their business gets a direct boost from the Great Indian Elections.
AD REVENUES

Whats a poll campaign without full-page photos and adverts extolling the social schemes of the big leaders? Well, that translates into strong ad revenues for newspaper companies, particularly the language media. Consider what happened during the 2009 parliamentary elections. The global financial crisis had cast a shadow on the Indian economy that year, and for 2008-09, advertising growth for media companies was below 5 per cent. But DB Corp, publisher of Dainik Bhaskar, saw its ad revenue for the year grow nearly 12 per cent. The parliamentary elections were held in April-May 2009, and ad revenues got a boost in the JanuaryMarch quarter.
MACHO VEHICLES

Dont forget the long cavalcades of muscular vehicles ferrying the netas, security men and sidekicks to their speaking venues. That means strong sales for companies churning out macho sports utility vehicles. In the January-March 2009 quarter, sales of utility vehicles by Mahindra & Mahindra Ltd grew 12 per cent to 48,088 units, compared with 42,999 units the previous year. Industry volumes shrank 15 per cent that quarter. But M&M notched up strong sales of Bolero and the then newly introduced Xylo. M&Ms good run continued in the AprilJune 2009 quarter, too, with its utility vehicle sales growing about 30 per cent. New launches helped, but elections provided the additional zing.
POWER PLAY

Come elections and the powers-that-be, anxious not to sour voter sentiment, go the extra mile to ensure better electricity supply. This means more short-term transactions in merchant power. Companies that export excess power to the grid and power exchanges such as the Indian Energy Exchange and Power Exchange India benefit from this. Rahul Prithiani, Director, Crisil Research, confirms that there was an increase in the price and volume of short-term power traded in the months to the 2009 elections. The average tariff on the Indian Energy Exchange went up to as much as Rs 10.1 a unit in April 2009 only to subside once polls were concluded. Again in 2011, prior to State elections, power volumes in the short-term market saw a spike of 25-50 per cent.
BUY RATINGS

With history providing ample evidence of a business boost from elections, brokerages have begun to put out Buy ratings on some of these stocks. A report by brokerage Anand Rathi, expects regional print players DB Corp and Jagran Prakashan will grow 2013-14 advertising revenues by 12-13 per cent, compared to 4-7 per cent in 2012-13. There are already encouraging signs. Nai Duniya, a Hindi daily published by Jagran Prakashan in Madhya Pradesh and Chhattisgarh (States going to polls this month) reported 30 per cent growth in advertising revenue in the September quarter.

The auto sector is in not doing well, but for M&M, things are looking up. From an average of 15,000 units in June-August 2013, the companys utility vehicle sales have risen to 18,000-22,000 units in the last two months, helped mainly by the Scorpio and XUV 500. Short-term power contracts also seem to be on the rise. In September, Chhattisgarh and Rajasthan doubled the power purchased from the market. As we enter the frenetic election months, at least some companies and stocks will be quite busy, no matter if the economy remains in the doldrums. anandk@thehindu.co.in
(This article was published on November 17, 2013)

Keywords: print and television media houses, manufacturing utility vehicles, power generation, trading, business, direct boost, Great Indian Elections. Post Comment

Sri Lanka power sector trade unionists accuse authorities of suppressing workers
Thu, Jun 21, 2012, 09:07 am SL Time, ColomboPage News Desk, Sri Lanka.

Jun 21, Colombo: Trade unions affiliated to Sri Lanka's power monopoly, Ceylon Electricity Board (CEB) allege that authorities were suppressing workers for participating in protests to win their rights. Executive committee member of CEB's joint trade union, Ranjan Jayalal has said the government was suppressing some of the staff at the CEB through the management for participating in protests to win their demands. He has warned that the CEB staff would launch a massive island wide strike action if the workers are continued to be suppressed. According to Jayalal, the CEB workers would continue to protest demanding a resolution to the salary anomalies of the Board's staff. He has threatened that a strike action would be inevitable if the government fails to address the workers' demand.

Sterlite Technologies arm signs financial agreements for power transmission projects The Bhopal-Dhule Transmission Company Limited (BDTCL) and Jabalpur Transmission Company Limited (JTCL), both wholly owned subsidiaries of Sterlite Technologies Limited (Sterlite), have received Rs. 2,200 Crores as Debt Syndication for their power transmission projects. The syndication has State Bank of India as the lead participant. This is a crucial milestone in the development of these projects. Sterlite has already placed most of the project related orders on various local & global vendors for its lines and substations. It plans to close all pending orders shortly. These 765 kV projects are a part of the 'System Strengthening Common for Western & Northern Region'. The JTCL project would connect Dharamjaygarh-Jabalpur-Bina and features India's first private sector developed Double Circuit Line. The BDTCL project includes Single Circuit Lines from Vadodara-Dhule-Aurangabad and Indore-BhopalJabalpur, along with two 765 KV substations at Dhule and Bhopal- another first for a private sector player. Sterlite has a portfolio of three projects estimated at a value of about Rs. 4,000 Crores. These projects would evacuate and transmit power through a network of 2200 km of transmission lines and two substations, across the states of Maharashtra, Gujarat, Madhya Pradesh, Chattisgarh, West Bengal, Bihar and Assam. All of these projects are currently on schedule would be completed as per the development timelines. The projects were awarded on a BOOM basis, to Sterlite on the basis of their technical & financial strength, through a tariff-based competitive bidding process. Speaking on the occasion, Mr. Pravin Agarwal, Whole-time Director, Sterlite Technologies Ltd. said, "The power transmission sector is gearing up for rapid growth in the 12th plan. I'm happy to see that we are playing a leading role, alongside the CTU, in creating much needed transmission lines for growth of the Indian power sector". The Sterlite Technologies Ltd stock was trading at Rs.30.55, up by Rs.0.75 or 2.52%. The stock hit an intraday high of Rs.31.20 and low of Rs.29.35. The total traded quantity was 1.75 lakhs compared to 2 week average of 1.58 lakhs. Source: Equity Bulls Posted On: 2012-06-18 23:42:59 Click here to send ur comments or to feedback@equitybulls.com

Subsidising imports should not be at our cost: Coal India

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PTIA file photo of Coal India Limited chairman S. Narsing Rao.

TOPICS energy and resource coal

Coal India Limited on Wednesday said it has no objection to supply of subsidised imported coal to a certain set of power generators under price pooling proposal, provided it does not involve any revenue loss for the PSU coal miner.

As far as we are concerned, it should be revenue neutral to us. To rob Peter to pay Paul I have no problem if you are paying some subsidy to somebody, you call it subsidy or discount, whatever you call, that money should come from others, not from me. Coal Indias position is clear, CIL chairman S. Narsing Rao told PTI in an interview. The Ministry of Power and the Central Electricity Authority have mooted a proposal under which CIL imports coal to fulfil its fuel supply obligations. According to them, the price of imported fuel under pooling mechanism should be based on heating value of domestic coal. The burden of supplying imported coal to power stations at Gross Calorific Value (heating value) parity price of domestic coal is to be loaded on the price of the domestic coal so that there is no revenue loss for CIL, the government said in the Lok Sabha on Tuesday. Though import of coal was not a solution for Indian power sector and majority of the power plants in the country were designed for indigenous coal, Mr. Rao said CIL has no objection to imports if price pooling mechanism is acceptable to all. As the proposal stands, we have no problem but provided the consumers are comfortable with that... since the imported coal is more expensive, whoever gets the imported coal as part of my FSA obligation or linkage obligation, they should be given some amount of discount so that ...the additional burden we will spread on everybody else, he said. However, the proposal being backed by the Planning Commission deputy chairman Montek Singh Ahluwalia is facing resistance from several state utilities, including that from West Bengal, which have already expressed reservations on it. Mr. Rao said: As a state government, as utilities, as consumers, as a regulator, everybody should be convinced that this is acceptable. Mr. Rao added that CIL supplied about 306 MT (million tonnes) to old consumers, mostly public sector units, which is for about 60,000 MW. Under the latest FSA, the new additions include 50 per cent from private sector and the remaining from public sector.

Explaining why the pooling mechanism was opposed, he said: The issue is with the new people coming in and to reduce their burden, why these old guys should take the additional burden. It is obligatory for CIL under a presidential directive to supply 80 per cent of the committed coal to power producers under new Fuel Supply Agreements (FSAs), which was opposed by some firms. Coal India, which produces about 435 MT of coal and accounts for about 84 per cent of the domestic production, has decided to meet the 65 per cent of the supply under FSA through domestic production and the remaining through imports. Asked why the FSAs could not be signed despite extending several deadlines, Mr. Rao said despite modifications, They (the power producers) have some more reservations. But we have said this far no further. Whatever in the given circumstances, this is the best we can do. So far, only 30 out of 48 power producers have entered into FSA with CIL. Keywords: Coal India Limited, Narsing Rao, CIL chairman, subsidised imported coal, power generators, price pooling proposal, coal heating value, Fuel Supply Agreements, Ministry of Power, Central Electricity Authority

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Turkey: Which Thermal Power Plant To Buy? OpEd

By Haluk Direskeneli November 25, 2012 Our job is energy generation, and it is specifically thermal power plants firing local indigenous coal. In our new legislation, all thermal power plants are in the privatization scheme. There will be no more public power plants operated by the state establishments. First, the 1120 MWe (1154 MW after rehab) output capacity gas-fired Hamitabat will be sold on January 14, 2013. The Ktahya Seyitmer 4150 MWe local coal-fired plant will be privatized on December 20, 2012. The Sivas Kangal coal-fired 3150 MW plant will be sold on January 17, 2013. The next Soma 1034 MWe power plant is expected to be

auctioned shortly. These auctions are not property sales, but a transfer of operating rights for the next 30-49 years. In privatization, new owners are expected to conduct fast and reasonable rehabilitations to upgrade availability, achieve better efficiency, and meet EU environmental emission standards in former public power plants, most of which were neglected for a long time due to a lack of public funds. Most of them have low availabilities, low operation efficiencies, and are without environmental filters to meet the latest EU stack emission norms. Your political opinion may be against any privatization, and you may prefer to operate the plants under the public administration. But local legislation has fully and irreversibly been changed, hence there is almost no possibility of operating them under public ownership due to no funds being available for upgrades. It is a fact that energy investments are to be made via private funds under private ownership investment, and

privatization was inevitable. We do not know in the end if this initiative will create positive outcomes for the best interests of our nation. Anyhow, we are energy professionals and we are to work in our business environment with the newly created financial investment environment. These new investment opportunities should be considered in accordance with the new situation. On the other hand, the Turkish Coal Board (TKI short) has local lignite mine fields but the Board has almost no budget or funds to build new thermal power plants to operate and generate electricity. So the ruling government decided to initiate an auction for royalty transfer leasing tenders to operate the existing coalfields under private management for 30 to 49 years. Earlier, the Adana Tufanbeyli coalfield royalty transfer leasing tender to build a 600 MWe thermal power plant for the long term (30 years) was completed. The winning price was 2.57 Turkish kuru per kw-hr

or 1.42 U.S. cents per kwhr. Then, the Manisa Soma Deni coalfields for a 450 MWe thermal power plant construction was tendered. The final price was 4.69 Turkish kuru per kw-hour or 2.60 U.S. cents per kw-hr. Last but not least, the Bursa Keles coalfield for >270 MWe TPP has been completed. The last price was 5.61 Turkish kuru per kw-hr or 3.11 U.S. cents per kwhr. We expect that new tenders for operating the Konya Karapnar, Eskiehir, and Tekirda Saray coalfields will follow. It is a logical and economical solution to lease the coal basin to an experienced private group under the condition that they build a thermal power plant nearby, operate the coalfields, feed the thermal power plant with the nearby coal, generate electricity, sell the electricity to the local market, earn money and pay rent to the Treasury per kw-hr sold. This is called a long-term royalty transfer leasing tender. It is rational, economical, and feasible, at least on the paper upfront. We do not know the outcome yet

since it has not been enforced or implemented. We shall all see the outcome later in time if all is true. With some of our existing plants, the authorities decided to install the new power plant on the coalfields in order to get close to the existing HV transmission lines and to avoid extra expenses. But they cannot exploit the coalfields underneath the thermal power plant. It is like a joke, but this is a reality in public investments. So try to avoid any location on coalfields, choose a site nearby without coal mines underneath. We expect that the new owners of the existing thermal power plants being privatized will have new rehabilitation programs to upgrade the plant availability, overall plant efficiency and installations of the new and biggest electrostatic precipitators (ESPs) and flue-gas desulphurization (FGD) units to meet EU environmental norms. Currently, Soma-B thermal power plant Units 1-2 have new bigger ESPs, but no FGDs. We expect

that the Seyitmer, Kangal and Soma thermal power plants will have new FGD units. New owners will have reasonable grace periods for investment in the installation of FGD units. Now let us ask our questions. If we were the investors, which thermal power plant should we buy? Which one is the best buy option? How much is each worth? What is the expected payback period for each project? We recall the recent tender for royalty sales of the Formula One racing course. The winning group decided to turn down the order, since they felt that the project was not feasible for reasonable payback and had made their earlier calculations incorrectly. They decided to cancel the tender, and leave the project. This is not acceptable. The investor has no such luxury. Investors are to take their calculations seriously prior to tender participation. This is serious business. We talk about millions. It is incorrect to act on the idea of First let us get the order no matter what the price is, then we shall find

a way to make a profit. In a tender for the privatization of an existing thermal power plant or royalty transfer of a coal basin for new thermal power plant construction, there is no cancelation right for the winning party. There is no such luxury. You cannot say Our estimations for an overburden on the coal stream is more than we expected, so we are loosing money, there is no payback in the short term, so we want to turn over the contract and leave the project. It is too late. However, there are such unacceptable instances in the local environment. We notice the price escalation in tenders for the transfer of royalty in coalfields. Each new tender is higher than before. The last tender price gives us an expected payback period of more than 10 years. That is not feasible. A project with a more than 10-year payback period is not feasible. Simple bank accounts give you the same return. Why are you wasting your time and money? Now let us see the

estimation methodology of the price structure in a new power plant royalty transfer scheme or in the privatization of an existing thermal power plant. How can we figure out the price? What payback is reasonable? Which one to choose? First, there are some essential rules and assumptions prior to estimations. You should prepare due diligence reports. In order to prepare due diligence reports, you should visit the site (the plant site or the coalfields). Tender documents are not enough. Tender documents do not clarify everything. There are many details at the site. The devil is in the details. You should spend time at the site with your project group. Not one day, maybe one week, or even one month would be much better. The investors project development group should spend time at the site and speak with everyone, take notes, check and inspect every item, the equipment and machinery. The investors should hire experienced experts, preferably those who worked at the plant or

coal basin earlier. Then your expected group should prepare a prefeasibility study to match the financial details, availabilities, and assumptions of the decision-makers of the investment group, to finalize the feasibility prior to the declaration of the tender price. In the sale of an existing plant tender, you take the rehab cost first. Your group should calculate the unit coal price per kw-hr, before and after rehabilitation. You should estimate the current and future O&M costs per kwhr. You should calculate the expected personnel cost per kw-hr again. You should conduct restructuring in personnel numbers for a better and more qualified workforce. You should estimate the electricity sales price for the available electricity markets. In a royalty transfer tender, you should consider completely new thermal power plant costs in unit kw-hr in lieu of the rehab cost above. Now you have the best availability and best efficiency, since the plant is new.

Now, we need to have assumptions for the necessary financing. You develop a certain figure for the reasonable payback period of your money invested. Cash flow is important. We should keep in mind that in a coalfield utilization scheme, we have at least a 4-5 year construction period for a new thermal power plant, where we shall have no cash-in. On the other hand, in the privatization of the existing thermal power plant, cash-in starts overnight. You get more since the plant is in operation. However, the plant needs overhaul for higher availability, higher efficiency, and new equipment to meet EU environmental norms. That is rehabilitation. That needs interruptions in the operation. These rehab expenses are to be calculated and taken into account in the price structure. In estimation of the buying price of a thermal power plant, there are many methodologies. I will try to explain a simple, easy method below. When the other assessments are

completed and presented for your final decision, please double check them with this method. In our methodology, we need to calculate the overall unit cost of the kwhr we generate in our plant. First, we need to calculate the share of coal costs in our unit kw-hr electricity generation. That figure could easily be calculated from the MMBTU price of the coal available at the coal basin. Then we should calculate the unit costs of rehab expenses, Operation & maintenance (O&M), and unit personnel cost. Add up all these shares to find the final cost of kw-hr electricity generation. Then, we should assume a reasonable payback period for our investment in our environment. That is normally between 3-10 years. It is preferable for periods to be close to 3 years, but not preferable if more than 10-years. We should also estimate tax and the cost of business on our unit kw-hr. The electricity price prevailing in the national markets for our expected payback period should also be predicted. The difference between the predicted

electricity sale price and our final cost is our net profit per unit kw-hr. Then multiply the net profit by the annual plant availability, normally 6500 to 7500 hours per year, and average the plant output capacity, which is to be calculated from site statistics. Normally you will take over an existing plant at 6500 hours per year availability, then conduct necessary rehab work to upgrade that figure to 7500-800 hours of operation. The final figure is your annual net income. That figure is to be multiplied by your payback period, in order to come to your best tender price to quote. In how many years do you expect to get your investment back? It is between 3-10 years. If you presume 3 years and declare a price based on that short payback period, your price could be too low. You may loose the tender. If you presume a long payback period, you may receive the order but never get your investment back in that long period. That is the investor intuition now to respect.

With that final price, will you be able to receive the order? I do not know. That is why you are the investor. Anyhow, you got the feeling of how much you should be spending for a particular project. During open tendering, do pay close attention to your competitors. This is a real application of the Game Theory of John Nash, in practice. Some companies may increase their final prices for some irrational reasons, some do the same for some other rational reasons. You never know. All you have know is where to stop and execute your game strategy accordingly.

Taking a breather
Suman Layak, Manu Kaushik and K.R. Balasubramanyam TAGS: India economy | slowdown | economic downturn India | fuel Edition: July 8, 2012

| coal | power | SEZ | RIL | Reliance Power |Coal

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RIL may go easy on further investment in KG-D6 and other projects if it fails to get government approvals

Politics and industry - mining or otherwise - often walk hand in hand in Karnataka. In the first week of June, the state government organised a global investor meet in Bangalore to showcase the state's investor friendliness. Veteran industrialist Sitaram Jindal used the opportunity to air his angst. The Chairman and Managing Director of Jindal Aluminium said that when he came to Bangalore 45 years ago, the state machinery was very friendly, whereas today's bureaucrats are hardly courteous. "Now, Karnataka's single-window system for investments has many backdoors and ventilators, and industrialists are made to run from pillar to post," he said. Jindal's outburst was an expression of frustration - the state government has failed to hand over land to his company eight months after acquiring it from its owners. While such public outbursts are rare, it is a fact that Indian industrialists have to jump through hoops to get their projects going. With theslowdown compounding their problems, companies are being forced to come up with alternative strategies.

Take Larsen & Toubro (L&T), for instance. The company has converted its proposed information technology (IT) and information technology enabled services (ITeS) special economic zone (SEZ ) in Malumichampatti, Tamil Nadu, into a non-SEZ project. FROM THE MAGAZINE: Govt inaction behind poor growth indicators Reason: the proposed Goods and Services Tax regime will make SEZs less viable by eliminating all special benefits. In fact, L&T officials indicate that the company is giving the business of building SEZs a relook. Mukesh Ambani, too, is grappling with governmental delays. Reliance Industries has around 12 oil and gas proposals pending approval. Company officials say that if approvals do not come through quickly, the oil and gas business will fail to justify further investment. The power sector, in particular, has been suffering intense distress, forcing some to adopt a wait and watch approach. Around this time last year, uncertainties over supply of natural gas by Reliance Industries put paid to GVK Power & Infrastructure Ltd's (GVKPIL) plans to expand the capacity of its projects in Andhra Pradesh's East Godavari district: Jegurupadu III and Gautami Power II. After placing orders with EPC (engineering, procurement and construction) contractors, commencing civil work and spending Rs 200 crore, the company found that gas supply was falling even for its existing projects, which are today running at 50 per cent capacity. "Where was the question of allocating gas for newer projects? We decided it was too dangerous to continue because then we would be sitting on an asset with an investment of around Rs 6,500 crore. So, we pulled back," says GVKPIL Director and Chief Financial Officer Isaac A. George. The only consolation, he says, is that "tomorrow, if we get gas supply, we will be in a position to continue with the same EPC contractors if their pricing is proper". PERSPECTIVE: Should Coal India rescue power sector at the cost of investors?
We have restructured the company and moved key people to the power business: L. Madhusudhan Rao

Anil Ambani's Reliance Power has stopped work on its 3,960 MW ultra mega power project at Krishnapatnam in Andhra Pradesh. The company cited new regulations introduced in Indonesia forbidding sale of coal below a benchmark price. Reliance Power requested the Government of India to ask states that have agreed to buy power from the project to absorb the additional costs. The Centre lobbed the issue to the states Andhra Pradesh, Tamil Nadu, Maharashtra and Karnataka - but they have refused to budge. Fuel supply is not the only issue in the power sector. There are other issues, such as environment and finance. "Most banks have reached their sectoral cap for power projects and therefore may not be in a position to lend more," notes George. These realities have forced Lanco Infratech, the bulk of whose revenues come from power and EPC, to re-wire its strategy. It has quit some businesses and decided to focus on power and infrastructure. "While we continue to focus on these two sectors, we have dismantled our other businesses

completely. These include roads, power transmission, and oil and gas," says L. Madhusudhan Rao, Executive Chairman of Lanco Infratech. "We have restructured the company and moved all our key people to the existing power business." EDITOR'S TAKE: Why India needs to get its act together, quickly Lanco has 4,400 MW of projects under operation and another 5,000 MW in advanced stages of construction. The company has already invested close to 65 per cent of the total money to be spent. "We will continue to build these projects. But we have decided to put other power projects expansion of the greenfield Anpara and Himavat projects, and the Amarkantak power plant (unit V and VI) - on hold. In Anpara, we have bought the land. We have another 18 months time to achieve financial closure, so for that reason, we will be slowing down," says Rao. The surge in prices of imported material is not helping. Sunil Sikka, President of Noida-based Havells India, says prices of some raw materials and finished goods imported from China, Europe and Thailand, including glass and table fans, have jumped nearly 20 per cent. "Our import bill has gone up by 20 per cent to around Rs 250 crore in the past one year. We are now looking at sourcing some raw materials locally." In the infrastructure sector, where special purpose vehicles (SPV) are finding it difficult to raise equity on their own, IDBI Capital, the merchant banking and securities arm of IDBI, is trying to fund companies by providing debt to their holding company.
We export to 80 countries and we can sense a general slowdown: Anant Goenka

"The RBI allows holding companies to borrow up to 50 per cent of the equity infusion in infrastructure SPVs," says Abhay Bongirwar, MD of IDBI Capital. "We will provide working capital like debt funding to the parent so it can keep its infrastructure SPVs capitalised." The financier is trying this model out with a premier construction company. One of the areas worst affected by the slowdown is real estate. The sector's woes have also hit a number of its ancillary industries. Hindustan Sanitaryware (HSIL) is one of India's largest building products and container glass companies, with revenues of Rs 1,422.15 crore. Last year, the Gurgaon-based HSIL announced plans to invest Rs 650 crore to expand into Andhra Pradesh, Rajasthan and Haryana and build new plants in Gujarat and Rajasthan over the next three years. INTERVIEW: Have to change perception about India: Anand Sharma The company has been growing at a compound rate of over 30 per cent over the past two years. Given this, the management decided to also line up a second round of investment, amounting to Rs 1,200 crore, to set up three more plants by 2015/16. Now, more than a year later, HSIL has spent nearly Rs 420 crore of the planned Rs 650 crore investment. But it has decided to defer its second round of investing. Joint Managing Director Sandip Somany cites

lack of clarity on where the economy is headed as the reason. "There are no visible signs of a slowdown in our business. But if the economic turmoil continues for a few more months, we could see our growth falling by three per cent," says Somany. "It's not sane to make such a big investment now." It's a stark warning of things to come. Take Ceat Ltd, for instance. After a bad year, the company shelved its plan to shift its Mulund plant to a new location in Ambernath, near Mumbai. "The next six to nine months will be slow. We export to around 80 countries and we can sense a general slowdown. The real has depreciated in Brazil andEurope has its own problems ," says MD Anant Goenka. For industrialists, the government may be a part of the problem rather than a part of the solution. But with shareholders to answer to, they have already turned to Plan B - sitting tight on their hands and hoping the winds change. Additional reporting by E. Kumar Sharma

Tariff hike will recharge financial viability

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The Centre should help the States retrieve their electricity boards from the financial mess they are in.
The Budget will be presented amid rather trying circumstances. The economy has slowed to just over 6 per cent from a high of over 8 per cent, the rupee has depreciated sharply, global energy prices are at an all-time high, and the IIP has been stagnant for some time. Under the circumstances, the necessity to increase subsidies, impose import duties to protect domestic manufacturing and postpone much-needed reform would seem urgent. As to the power sector, the Budget should aim to evolve a comprehensive energy policy that would first ensure power to all and then address affordability; find a way to effectively address the challenge of being on the Concurrent List by offering substantial incentives to States to reform and clearly indicate that people will need to pay for the services they receive.
COMMITMENT TO REFORM

It is critical that distribution losses are reduced and tariffs increased to sustain financial viability of the power sector. The States will undoubtedly need the help of the Centre in getting their Electricity Boards out of the deep financial crisis that they are in. The Centre could provide this financial assistance in return for commitment to reform of the distribution sector.

The move to increase duties and taxes on manufacture/import of power generation equipment is completely contrary to the fundamental need to able to provide quality infrastructure at affordable prices. With primary energy prices already looming so high and with no sign of abatement in the near future, there is no case for further increasing power tariffs on account of additional duties and taxes. The Government would do well to continue with policies such as extending benefits under Section 80IA of the Income Tax Act for at least another five years. This will further encourage infrastructure to be built, and that too at an affordable price point. (The author is President & CEO, GE Energy, India.)
(This article was published on March 13, 2012)

Keywords: Union Budget

Tata Power inks MoU to build power plant in Vietnam

IndianPowerSector.com November 23rd, 2013 0 Tata Power, Indias largest private power producer, has signed an MoU with the government of Vietnam for developing a thermal power plant that will run on imported coal in the Soc Trang Province of the Southeast Asian country. The company was awarded the project by the government of Vietnam based on pre-feasibility studies conducted earlier this year, Tata Power said in a media statement. It did not, however, disclose the financial terms of the deal. In accordance with the MoU, Tata Power will carry out feasibility studies for developing this power project on a build, own and transfer basis. The Long Phu 2 Power Project is Tata Powers first coal-based project outside India. The company, part of the salt-to-steel Tata Group, has been looking to expand its operations overseas with projects in South Africa, Georgia and Southeast Asia as it tries to combat coal shortages and populist tariff regimes eating into its margins amid stuttering economic growth at home. Other international projects under implementation include the companys recently signed an agreement with Clean Energy Invest AS (Clean Energy) and IFC InfraVentures(IFC) for developing a 400 MW hydro project in Georgia for sale of power primarily to Turkey. Tata Power is also currently implementing a 126 MW Dagachhu Hydro Project in Bhutan. Source:http://www.financialexpress.com/news/Tata-Power-inks-MoU-tobuild-power-plant-in-Vietnam/1198422

The power of ideas: Service providers eye middle-class Indians; offer convenient, specialised options
Radhika P Nair & Peerzada Abrar, ET Bureau Jun 21, 2012, 07.07AM IST

BANGALORE: Rising consumption by middle-class Indians has spurred the launch of scores of startups that retail food, apparel and travel products. Now, a new breed of entrepreneurs is hawking specialist services to this affluent set of consumers in the country.

These services can range from repair and maintenance of personal gadgets to providing family physicians - the common focus in all cases being the convenience offered.
"There is a big opportunity in bringing order to unorganised services. Startups that can do this will find a market," said Bharati Jacob, partner and co-founder of early stage venture firm Seedfund. Last week, her firm provided first round of funding for Jeeves, a startup that offers repair and maintenance for all personal and household gadgets. Jacob said her fund has acquired a significant minority stake in the company.

Founded by RN Balasubramanya, Alokeshwar Sen and SL Padmanabhan, all former employees of consumer products company BPL, Jeeves has a network of over 200 technicians across the country. "We focused on creating the network, tying up with brands and gaining expertise before launching our direct-to-customer service," said Sen. The startup is part of a growing list of such ventures looking to cash in on growing consumer spending in India.

According to a report by The Boston Consulting Group and the Confederation of Indian Industry, consumer expenditure in the country will rise from $991 billion (about Rs 55 lakh crore) in 2010 to $3.6 trillion (Rs 199 lakh crore) by 2020. Paucity of time primary driver "Double-income couples are our primary customer base. They have no time for finding repair shops," said Prerna Bhutani, founder and CEO of home appliance repair and maintenance startup One Call India. "We fill this gap." The company, which was launched in June 2010, has over 1,200 customers in Chennai, Gurgaon and Bangalore. Easyfix, launched in June 2011 by Shaifali Agarwal, goes beyond just appliance repair. The company, which has operations in the Delhi-National Capital Region, employs plumbers, electricians and carpenters. The startup is launching operations in Mumbai in a couple of months. eTechies, on the other hand, provides repair services for computers, printers, routers and iPads. It raised $2 million from Inventus Capital Partners in January this year. "Rising incomes are just part of the story. Paucity of time is a primary driver for the growth of such services," said Arvind Singhal, chairman of Technopak Advisors. He added that such services are not restricted to any single sector. "There is scope for companies across sectors that are able to provide consumers convenience in a time-efficient manner." Healthcare is another area where startups are finding opportunities for providing specialised services. Reviving the concept and practice of the family doctor is becoming an area of focus for a handful of entrepreneurs. One such startup, Modern Family Doctor, is attempting to address primary healthcare needs by re-establishing the bond between patients and the family doctor. Launched a year ago, it operates 11 clinics in Bangalore. "More than 70 per cent of all medical cases can be initially addressed by a primary care physician," said Naresh Malhotra, director of Modern Family Doctor. "I experienced it myself. For every little ailment, my mother had to go to the hospital," said Malhotra, a former chief executive officer of Cafe Coffee Day. It is setting up new clinics in Pune, Chennai and Delhi, and aims to have 300 outlets in three years. Ventures such as Modern Family Doctor are also receiving investor support. The Silicon Valley Bank has injected Rs 10 crore into the company. Infosys founder NR Narayana Murthy's venture capital firm Catamaran, Anil Ambani Group's Reliance Venture Asset Management and USbased BlueCross BlueShield Venture Partners have invested.Rs 20.5 crore in three-year-old Mumbai-based healthcare services

provider Wellspring Healthcare. Wellspring's CEO Kaushik Sen is also attempting to bring back the family doctor and is creating a chain of clinics, Healthspring Community Medical Centres, in Mumbai and plans to roll it out nationally later. Bangalore-based startup NationWide Primary Healthcare Services is also following a similar model. The chain's primary care clinics focus on bridging the gap between fragmented general practitioner services and highly expensive superspecialist hospital care. It is creating a single point of medical care for patients' everyday healthcare needs. The two-year-old company operates in 14 locations in Bangalore, which includes its own clinics and centres in corporate offices. It plans to open 250 clinics across India in the next few years. "People are becoming more conscious about preventive healthcare. There is a huge demand of bridging the gap of family doctor ecosystem, which you can tap from any part of the country," said Ashwin Naik, chief executive and co-founder of Vaatsalya, a chain of affordable healthcare facilities in semi-urban and rural areas.

Tourism deptt doing disservice to Kashmir hospitality sector

Stakeholders ridicule `4 cr figure MUKEET AKMALI
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Srinagar, Dec 1: The Valley-based tourism traders today came down heavily on the authorities in the tourism department accusing them of handling this vital sector unprofessionally and doing a disservice to Kashmir hospitability sector. Taking strong exception to a statement by Director Tourism, Talat Pervaiz in which he had claimed that the department had realized Rs 4 crore on account of fine from tourism traders in the Valley found involved in cheating and malpractice, they ridiculed the figure terming it figment of imagination. Several tourism bodies unanimously denounced the statement calling it uncalled for and derogatory. The traders said the department by issuing such baseless statements was doing a disservice to the tourism sector. It is very unfortunate that tourism department instead of encouraging the tourism players is discouraging us by issuing such statements which portray all tourism traders as cheaters, said Rauf Tramboo, President Travel Agents Association of Kashmir (TAAK). We the travel agents and other tourism traders work day in and day out to promote brand Kashmir, but such statements are pouring water on our efforts, he said. Echoing similar views, Nasir Shah, chairman, JK Tourism Alliance told Greater Kashmir that the statement from tourism department is shocking and unwarranted. It portrays Kashmir in bad taste. News and reportage by media is read by people across the globe and when they will read a report like this, what impression will they get about Kashmir? Shah asked. The tourism traders alleged that the statement has been issued deliberately to tarnish the image of Kashmir tourism trade. Experts said the figure of Rs 4 crore dished out by the department shows that there is total non-professionalism breeding in the department. As per the Tourism Trade Act, the department can impose a maximum fine of Rs 10,000 on a trader. If the Rs 4 crore figure is taken authentic that means the fine must have been realized at least from 4000 traders which then would signify that all the

tourism traders are cheaters! The tourism traders also lambasted the department for installing large hoardings at several places in Srinagar which according to them were doing a disservice to the tourism trade. The messages written on the hoardings suggest that the Kashmir tourism traders are a bunch of thugs and rogues, they said. Pertinently, the hoardings at several places read: Avoid misbehavior with tourists. Treat them as their family members. Avoid harassing and touting tourists, etc. The other day a tourist asked me if the department really means what the hoardings are communicating. I could not answer and felt embarrassed, said a handicraft dealer here.

Toyota, Hitachi weigh Abe proposal to raise wage levels

Previous ArticleChina's economic growth rebounds to 7.8 percent October 18, 2013 THE ASAHI SHIMBUN

Toyota Motor Corp. and Hitachi Ltd. said they will strongly consider raising basic wage levels during their spring labor negotiations next year, moves that could help take the sting off a planned hike in the nation's consumption tax in April. "I will give some thought to it if the labor union demands it," Akio Toyoda, Toyota president, told reporters on Oct. 17 after attending a meeting of government, labor and industry representatives at the prime minister's office in central Tokyo. "I will think of (wage level increases) as an option," added Takashi Kawamura, Hitachi chairman. The last time the two firms revised their basic wages upward was in 2008, before the collapse of U.S. investment bank Lehman Brothers, which led to a global financial crisis. Unlike bonuses, which can vary with corporate performance, raises in basic wage levels involve the revision of overall corporate wage systems, and cannot be easily reversed once they are implemented. Many companies that favor wage increases in general therefore take a more cautious stance when it comes to raising their basic wage levels. Prime Minister Shinzo Abe has called on industry to raise worker wages. But it remains to be seen if the request will be heeded across the entire business spectrum. Abe concluded the Oct. 17 meeting with praise for Toyoda, Kawamura and Hiromasa Yonekura, chairman of Keidanren (Japan Business Federation), for their favorable remarks for possible wage increases. "Their words are very reassuring," the prime minister said. Abe had long sought to secure a pledge from business leaders about prospective wage increases. The prime minister envisions a scenario in which corporate tax cuts and other incentives will boost company earnings, prompting them to raise wages and create a circle of economic growth that is strong enough to continue even after the consumption tax rate is raised from the current 5 percent to 8 percent in April. Success of that strategy hinges on companies hiking wage levels. But companies differ in their earnings outlook, as some firms are feeling the burden of a weaker yen and soaring fuel costs. Smaller enterprises are less positive about current business conditions than their larger counterparts.

"I doubt the effectiveness of Keidanren's call for wage hikes," said a Rengo (Japanese Trade Union Confederation) official.

Trai for fresh process for CDMA spectrum

By PTI Nov 18 2013 , New Delhi Tags: Telecommunication Telecom regulator TRAI has told the government that it cannot suggest a price for auction of spectrum in CDMA-band in the stipulated 15 days and the process needs to be started afresh if reserve price for such airwaves is to be set. The Telecom Regulatory Authority of India (TRAI) had in September proposed a cut of up to 60 per cent in the minimum auction prices for mobile phone spectrum used by GSM technology players like Airtel and Vodafone, but recommended no auction of 800 MHz spectrum used by CDMA players. The regulator was criticised for allegedly favouring GSM service providers and last week the Telecom Commission asked TRAI to recommend the reserve price for 800 MHz band within 15 days. Sources said TRAI replied back saying its has responded in full on the original reference made to it and if the government wants it to suggest a price for 800 MHz spectrum, it should come as a fresh reference so that process can be started afresh. TRAI in its reply to the Department of Telecommunications (DoT) said: "The Authority is of the opinion that the action on original reference is over and done with. There can be no continuing reference to that earlier reference. It is now for the central government to take a final decision." Last week, DoT explained TRAI that E-GSM band required vacation of spectrum by the Defence Ministry which is likely to take time and keeping unsold spectrum in the 800 Mhz band would result in forgone revenues for government. TRAI, however, has said that the last week communication cannot be in continuation with earlier reference on which it has already given its recommendation and government needs to clari iy if it is is a fresh reference. "The reference dated November 12, 2013 is a new reference and TRAI will be able to proceed with the matter if it is clarified and confirmed that this is fresh statutory reference seeking recommendation of the Authority," TRAI said. The regulator further slammed DoT for asking to send recommendation preferably within 15 days. "There is no provision in the TRAI Act which enables the stipulation of time limits. There is also no provision which allows for a preference on time limits to be indicated by the DoT...Hence, it is clearly not appropriate for the DoT to presume that it can suggest a time limit, even as a preference" TRAI said.

Two Indian companies in fray for over Rs 10,000 crore Army deal
PTI Jun 20, 2012, 07.48PM IST

NEW DELHI: In a major boost to the private sector, Defence Ministry has shortlisted two indigenous agencies including Larsen and Toubro, Tata Power and HCL and the state-owned Bharat Electronics Limited (BEL) for the over Rs 10,000 crore tactical communication project of the Army. Two companies, including a private sector consortium for the Tactical Communication System (TCS) project of the Army, have been down-selected, Defence Ministry sources said here. They will now submit a Detailed Project Report (DPR) on whose basis further steps will be taken to select the final winner, they said. It was a significant step towards fulfilling army's requirement to replace its older radio network system to handle communication requirements in battle zone, they said. TCS is a wide network deployed to provide secure communications infrastructure and network enabled operating environment to tactical forces in a battle zone. Commenting on the Defence Ministry decision to select the two companies, the Confederation of Indian Industries (CII) said, "Army has selected a private sector Special Purpose Company consisting of Larsen & Toubro, Tata Power SED and M/s HCL Infosys Ltd as a designated agency (DA) for the prestigious TCS project. Both DAs are supposed to make the prototype and out of two the lowest bidder will be given the final project." "This selection is an outcome of rigorous rounds of scrutiny and years of concerted efforts put in by the Corps of Signals, army, Defence Ministry and Indian Industry together," it added. The TCS project would be the first programme under the 'Make' clause in the Defence Procurement procedure (DPP). Under 'Make' programmes, Government provides 80 per cent funding for the development phase and rest comes from the industry.

Uncertainties take spark out of power sector

M.V.S. SANTOSH KUMAR

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The key triggers for improvement of the sector would be renegotiation of power purchase agreements with the State Electricity Boards and making the fuel supply agreements more balanced.
Power stocks have seen a bounce-back from their lows. The gains have been powered by two factors. One, the government instructed Coal India to sign fuel supply agreements (FSA) with projects that had signed long-term power purchase agreements (PPAs) with electricity boards. This was expected to address the issue of fuel shortage faced by these companies. Two, many state electricity boards began to revise the consumer tariffs. This led to optimism that they would now purchase power at a higher price and would repay their past dues. This was conducive to power generation companies.

Additionally, Budget announcements such as extension of 80IA (10-year tax-holiday) for projects implemented before March 2013, duty cut on coal imports, and access to overseas borrowing were viewed as other positives by the market.
BULLISH START TO 2012

Stocks such as Lanco Infratech, KSK Energy Ventures, GVK Power, Indiabulls Power and Reliance Power have gained more than 48 per cent in the last four months. But these were the stocks that were hit hard in the correction from the November 2010 peak, losing between 60 per cent and 85 per cent. Despite the rally, these stocks are still trading well below their 2010 highs. The reasons behind the sector's underperformance include lower domestic fuel availability, changes in regulations abroad making imported coal expensive, subdued merchant power realisations, fixed tariffs with insignificant fuel cost pass-through component and frail financial health of their main clients, state electricity boards (SEBs).
GAINS CAPPED

Recent optimism about power stocks, however, may not be entirely justified. Fuel availability continues to be a concern even as CIL is ready to sign FSAs. But according to news reports, Coal India may be required to shell out a penalty of only 0.01 per cent of the value of coal, in case of missed targets. This penalty may be too low to ensure that Coal India ramps up supply. This compares unfavourably with penalty of 10 to 40 per cent of the contract value in the case of FSAs signed prior to March 2009. This is a clear negative for the expected beneficiaries of FSAs such as NTPC, Adani Power, Lanco Infratech and Sterlite Energy who are locked into fixed tariffs and rely on Coal India supplies. A Planning Commission report states that the production of Coal India, in the base case scenario, will only support an additional 7,500 MW in the Twelfth Plan. This may lead to scaling down of capacity addition targets by as much as 30,000 MW.
IMPORTING COAL

Power generation projects may import as much as 213 million tonnes per annum or 25 per cent of the overall coal requirement by 2016-17. According to a Planning Commission report, blending imported coal with domestic

coal (50 per cent supply from Coal India) pushes the cost higher by as much as Rs 0.60-0.7 per unit for power plants. In this context, introduction of a mineral resource rent tax on coal mined in Australia and a minimum' notified price for coal exported from Indonesia, will further push up the costs. Indonesia is also planning to hike export tax on thermal coal which would further aggravate the situation. This is likely to lead to the costs of imported coal shooting up from the expected price of $30-36/tonne to over $70. Companies such as Adani Power, Tata Power, Reliance Power and JSW Energy may be affected because they have projects that rely solely on imported coal. The past competitive bids for power purchase agreements are designed in such a way that there is no fuel pass-through component. Alternatively price revision is indexed to inflation which is far lower than the actual rise in imported coal prices. Tata Power in fact had to impair' the value of its Mundra Power project due to the spike in coal costs this project is completely dependent on imported coal. Adani Power has incurred losses in the December quarter due to higher coal costs.
FUNDING

Weak equity markets and the poor performance from the power sector have closed the route of easy fund-raising for power generating companies. Additionally, lesser cash flows generated internally given the falling load factors and execution delays have reduced funds available for ploughing into new projects. Private generation projects have operated at 68 per cent plant load factor for the year ended March 2012. While the low load factor may be due to very high capacity addition, this factor has to improve for these projects to recover costs and improve profitability. Given this backdrop, the sector may remain unattractive in the near-term. The key triggers for improvement of the sector would be any re-negotiation of power purchase agreements with the SEBs and fuel supply agreements. mvssantosh@thehindu.co.in

(This article was published on April 28, 2012)

Keywords: fuel supply agreements, power purchase agreements, Coal India, State Electricity Boards, power generation, overseas borrowing, coal imports, Private generation projects

Urban Governance

Have States And Cities Improved After JNNURM

After years of limited interest in the urban agenda, the JNNURM reflects a significant shift in public policy towards delivery of urban services. It is now increasingly being emphasised that just funding asset creation is not enough, it has to go hand-in-hand with improved management of assets by accountable service provider agencies, says M Ramachandran The Jawaharlal Nehru National Urban Renewal Mission (JNNURM) was launched by the Central Government in 2005, as a much-needed response to the mounting problems of urban India. Though the subject of urban development is essentially a State subject, the Centre deemed it necessary to come up with a flagship programme to cope with the massive problems that emerged as a result of rapid urban growth. It recognised the fact that cities and towns of India constitute the worlds second-largest urban system, contributing over 50 per cent of the countrys GDP. Studies have shown that impact of growth of population on urban infrastructure and services has been adverse. Physical infrastructure created in urban areas has generally been languishing due to inadequate attention and lack of proper operation and maintenance. It has been emphasised that for these cities to realise their full potential and to become true engines of growth, focused attention on improving infrastructure is urgently required. Thus a Mission Mode approach for implementation of urban infrastructure improvement programme in a time-bound manner, with focus on select cities which needed higher investment, was announced. One unique feature of this mission was that it did not mean giving Central funds as grants to States, it also required the States and Urban Local Bodies (ULBs) on agreeing to implement an agenda of reforms during the seven-year mission period (20052012), to bring about the much-needed improvements in governance as well. The mission statement refers to all these when it says it is a reforms driven, fast track, planned development of identified cities with focus on efficiency in urban infrastructure/service delivery mechanism, community participation and accountability of ULBs/para statals towards citizens. The mission has two sub-missions, one for Urban Infrastructure and Governance (UIG) and the other for Basic Services for the Urban Poor (BSUP). The two Central ministries of Urban Development (MoUD) and Housing & Urban Poverty Alleviation (HUPA) manage the two sub-missions, respectively. With the main focus on the listed 63 mission cities (subsequently increased to 65 cities), a major chunk of the total Central resources of about 660 billion (enhanced

from the original mission allocation of 500 billion) was earmarked for the mission cities. At the same time, projects were taken up in small towns under two schemes, Urban Infrastructure Development Scheme for Small and Medium Towns (UIDSSMT) and Integrated Housing and Slum Development Programme (IHSDP). A list of 23 reforms, broadly categorised into governance, financial and

legislative, was dawn up, and all the States and local bodies had to sign a Memorandum of Agreement (MoA) committing to a seven-year time schedule of reform implementation, before Central funds could be accessed for specific projects. The much-needed critical urban reforms was an area no State government was willing to touch and this provided then a mechanism which prompted them to take up a set of changes, which would evolve into a total regime change for urban dwellers. Reforms like repeal of urban land ceiling legislation, reform of rent control laws, rationalisation of stamp duty across the country, enactment of public disclosure law and community participation law, reform of property tax regime, introduction of system of e-governance with IT applications like GIS and MIS, were earlier only part of discussions. But now the States and ULBs were mandated to take these up for implementation. The urban poor could hope for better living conditions, through reforms like internal earmarking in municipal budgets for basic services, provision of basic services including security of tenure, improved housing/ water supply, sanitation, introduction of property title certification, etc. Levy of reasonable user charges was emphasised so that there was a proper quid pro quo with regard to improvement in basic services and that the projects taken up remained sustainable. read more P.S.: If there is any change in your contact information, kindly update it here. Thanks.

Which Thermal Power Plant to Buy?

Haluk Direskeneli Haluk Direskeneli printable version 23 November 2012 Dear energy professionals and colleagues, Our job is "energy generation," and it is specifically "thermal power plants" firing local indigenous coal. In our new legislation, all thermal power plants are in the privatization scheme. There will be no more public power plants operated by the state establishments. First, the 1120 MWe (1154 MW after rehab) output capacity gas-fired Hamitabat will be sold on January 14, 2013. The Ktahya Seyitmer 4x150 MWe local coal-fired plant will be privatized on December 20, 2012. The Sivas Kangal coal-fired 3x150 MW plant will be sold on January 17, 2013. The next Soma 1034 MWe power plant is expected to be auctioned shortly. These auctions are not property sales, but a transfer of operating rights for the next 30-49 years. In privatization, new owners are expected to conduct fast and reasonable rehabilitations to upgrade availability, achieve better efficiency, and meet EU environmental emission standards in former public power plants, most of which were neglected for a long time due to a lack of public funds. Most of them have low availabilities, low operation efficiencies, and are without environmental filters to meet the latest EU stack emission norms. Your political opinion may be against any privatization, and you may prefer to operate the plants under the public administration. But local legislation has fully and irreversibly been changed, hence there is almost no possibility of operating them under public ownership due to no funds being available for upgrades. It is a fact that energy investments are to be made via private funds under private ownership investment, and privatization was inevitable. We do not know in the end if this initiative will create positive outcomes for the best interests of our nation. Anyhow, we are energy professionals and we are to work in our business environment with the newly created financial investment environment. These new investment opportunities should be considered in accordance with the new situation. On the other hand, the Turkish Coal Board (TKI short) has local lignite mine fields but the Board has almost no budget or funds to build new thermal power plants to operate and generate electricity. So the ruling government decided to initiate an auction for royalty transfer leasing tenders to operate the existing coalfields under private

management for 30 to 49 years. Earlier, the Adana Tufanbeyli coalfield royalty transfer leasing tender to build a 600 MWe thermal power plant for the long term (30 years) was completed. The winning price was 2.57 Turkish kuru per kw-hr or 1.42 U.S. cents per kw-hr. Then, the Manisa Soma Deni coalfields for a 450 MWe thermal power plant construction was tendered. The final price was 4.69 Turkish kuru per kw-hour or 2.60 U.S. cents per kw-hr. Last but not least, the Bursa Keles coalfield for >270 MWe TPP has been completed. The last price was 5.61 Turkish kuru per kw-hr or 3.11 U.S. cents per kw-hr. We expect that new tenders for operating the Konya Karapnar, Eskiehir, and Tekirda Saray coalfields will follow. It is a logical and economical solution to lease the coal basin to an experienced private group under the condition that they build a thermal power plant nearby, operate the coalfields, feed the thermal power plant with the nearby coal, generate electricity, sell the electricity to the local market, earn money and pay rent to the Treasury per kw-hr sold. This is called a "long-term royalty transfer leasing" tender. It is rational, economical, and feasible, at least on the paper upfront. We do not know the outcome yet since it has not been enforced or implemented. We shall all see the outcome later in time if all is true. With some of our existing plants, the authorities decided to install the new power plant on the coalfields in order to get close to the existing HV transmission lines and to avoid extra expenses. But they cannot exploit the coalfields underneath the thermal power plant. It is like a joke, but this is a reality in public investments. So try to avoid any location on coalfields, choose a site nearby without coal mines underneath. We expect that the new owners of the existing thermal power plants being privatized will have new rehabilitation programs to upgrade the plant availability, overall plant efficiency and installations of the new and biggest electrostatic precipitators (ESPs) and flue-gas desulphurization (FGD) units to meet EU environmental norms. Currently, Soma-B thermal power plant Units 1-2 have new bigger ESPs, but no FGDs. We expect that the Seyitmer, Kangal and Soma thermal power plants will have new FGD units. New owners will have reasonable grace periods for investment in the installation of FGD units. Now let us ask our questions. If we were the investors, which thermal power plant should we buy? Which one is the best buy option? How much is each worth? What is the expected payback period for each project? We recall the recent tender for royalty sales of the Formula One racing course. The winning group decided to turn down the order, since they felt that the project was not feasible for reasonable payback and had made their earlier calculations incorrectly. They decided to cancel the tender, and leave the project. This is not acceptable. The

investor has no such luxury. Investors are to take their calculations seriously prior to tender participation. This is serious business. We talk about millions. It is incorrect to act on the idea of "First let us get the order no matter what the price is, then we shall find a way to make a profit." In a tender for the privatization of an existing thermal power plant or royalty transfer of a coal basin for new thermal power plant construction, there is no cancelation right for the winning party. There is no such luxury. You cannot say "Our estimations for an overburden on the coal stream is more than we expected, so we are loosing money, there is no payback in the short term, so we want to turn over the contract and leave the project." It is too late. However, there are such unacceptable instances in the local environment. We notice the price escalation in tenders for the transfer of royalty in coalfields. Each new tender is higher than before. The last tender price gives us an expected payback period of more than 10 years. That is not feasible. A project with a more than 10-year payback period is not feasible. Simple bank accounts give you the same return. Why are you wasting your time and money? Now let us see the estimation methodology of the price structure in a new power plant royalty transfer scheme or in the privatization of an existing thermal power plant. How can we figure out the price? What payback is reasonable? Which one to choose? First, there are some essential rules and assumptions prior to estimations. You should prepare "due diligence" reports. In order to prepare "due diligence" reports, you should visit the site (the plant site or the coalfields). Tender documents are not enough. Tender documents do not clarify everything. There are many details at the site. The devil is in the details. You should spend time at the site with your project group. Not one day, maybe one week, or even one month would be much better. The investors' project development group should spend time at the site and speak with everyone, take notes, check and inspect every item, the equipment and machinery. The investors should hire experienced experts, preferably those who worked at the plant or coal basin earlier. Then your expected group should prepare a pre-feasibility study to match the financial details, availabilities, and assumptions of the decision-makers of the investment group, to finalize the feasibility prior to the declaration of the tender price. In the sale of an existing plant tender, you take the rehab cost first. Your group should calculate the unit coal price per kw-hr, before and after rehabilitation. You should estimate the current and future O&M costs per kw-hr. You should calculate the expected personnel cost per kw-hr again. You should conduct restructuring in personnel numbers for a better and more qualified workforce. You should estimate the electricity sales price for the available electricity markets. In a royalty transfer tender, you should consider completely new thermal power plant

costs in unit kw-hr in lieu of the rehab cost above. Now you have the best availability and best efficiency, since the plant is new. Now, we need to have assumptions for the necessary financing. You develop a certain figure for the reasonable payback period of your money invested. Cash flow is important. We should keep in mind that in a coalfield utilization scheme, we have at least a 4-5 year construction period for a new thermal power plant, where we shall have no cash-in. On the other hand, in the privatization of the existing thermal power plant, cash-in starts overnight. You get more since the plant is in operation. However, the plant needs overhaul for higher availability, higher efficiency, and new equipment to meet EU environmental norms. That is rehabilitation. That needs interruptions in the operation. These rehab expenses are to be calculated and taken into account in the price structure. In estimation of the buying price of a thermal power plant, there are many methodologies. I will try to explain a simple, easy method below. When the other assessments are completed and presented for your final decision, please double check them with this method. In our methodology, we need to calculate the overall unit cost of the kw-hr we generate in our plant. First, we need to calculate the share of coal costs in our unit kw-hr electricity generation. That figure could easily be calculated from the MMBTU price of the coal available at the coal basin. Then we should calculate the unit costs of rehab expenses, Operation & maintenance (O&M), and unit personnel cost. Add up all these shares to find the final cost of kw-hr electricity generation. Then, we should assume a reasonable payback period for our investment in our environment. That is normally between 3-10 years. It is preferable for periods to be close to 3 years, but not preferable if more than 10-years. We should also estimate tax and the cost of business on our unit kw-hr. The electricity price prevailing in the national markets for our expected payback period should also be predicted. The difference between the predicted electricity sale price and our final cost is our net profit per unit kw-hr. Then multiply the net profit by the annual plant availability, normally 6500 to 7500 hours per year, and average the plant output capacity, which is to be calculated from site statistics. Normally you will take over an existing plant at 6500 hours per year availability, then conduct necessary rehab work to upgrade that figure to 7500-800 hours of operation. The final figure is your annual net income. That figure is to be multiplied by your payback period, in order to come to your best tender price to quote. In how many years do you expect to get your investment back? It is between 3-10 years. If you presume 3 years and declare a price based on that short payback period, your price could be too low. You may loose the tender. If you presume a long payback period,

you may receive the order but never get your investment back in that long period. That is the investor intuition now to respect. With that final price, will you be able to receive the order? I do not know. That is why you are the investor. Anyhow, you got the feeling of how much you should be spending for a particular project. During open tendering, do pay close attention to your competitors. This is a real application of the "Game Theory" of John Nash, in practice. Some companies may increase their final prices for some irrational reasons, some do the same for some other rational reasons. You never know. All you have know is where to stop and execute your game strategy accordingly. With best regards, *Haluk Direskeneli is a graduate of the METU Mechanical Engineering department (1973). He worked in public, private enterprises, U.S. and Turkish JV companies (B&W, CSWI, AEP), in the fabrication, basic and detail design, marketing, sales and project management of thermal power plants. He is currently working as freelance consultant and energy analyst with thermal power plant basic and detail design software expertise for private engineering companies, investors, universities and research institutions. He is a member of the Chamber of Turkish Mechanical Engineers Energy Working Group.

"Statements of facts or opinions appearing in the pages of Journal of Turkish Weekly (JTW) are not necessarily by the editors of JTW nor do they necessarily reflect the opinions of JTW or ISRO. The opinions published here are held by the authors themselves and not necessarily those of JTW or ISRO. Materials may not be copied, reproduced, republished, posted without mentioning the mark of JTW or ISRO in any way except for your own personal non-commercial home use. For the news and other materials republished by the JTW you must apply the original publishers. JTW cannot give permission to republish this kind of materials."

Why no Bharat Ratna for Atal Bihari Vajpayee, asks BJP

Ravishankar Prasad calls Vajpayee the most popular PM, who also contributed to formation of Chhattisgarh

Former NDA allies, Farooq Abdullah and Nitish Kumar, supported BJP in according Bharat Ratna to A. B. Vajpayee.

Raipur: Bharatiya Janata Party (BJP) on Monday asked why Indias highest civilian honour, Bharat Ratna, has not been conferred on former prime minister Atal Bihari Vajpayee. Bharat Ratna awarded to Sachin Tendulkar and scientist C. N. R. Rao. I congratulate them. But today I am raising a question here that why Atal Bihari Vajpayee has not been awarded Bharat Ratna? He contributed in the formation of Chhattisgarh and he was the most popular prime minister..., deputy leader of Opposition in Rajya Sabha, Ravi Shankar Prasad, told reporters in Raipur. He also expressed anger over the Iron Man of India Sardar Vallabhbhai Patel been awarded the Bharat Ratna posthumously. Sardar Patel was a ratna (gem) of the country. He died in 1950 while Bharat Ratna was conferred on him in 1991. Why 41 years of delay in giving the award? Between that period Jawahar Lal Nehru was (PM) for 17 years, Indira

Gandhi for 16 years and Rajiv Gandhi for 5 years, and Bharat Ratna was given to several people, then why Patel was given after 41 years, Prasad asked. I am saying all this today because the perspective of Congress towards political leaders for awarding Bharat Ratna does not go beyond the dynasty, he said. Prasad, however, said after the next general elections if BJP comes to power, it will felicitate Vajpayee with the highest civilian honour, which he deserves. Reacting to Congress vice-president Rahul Gandhis statement calling BJP a party of thieves, he said such kind of unparliamentary words were not even used by his great-grandfather, grandmother or father. Rahul Gandhi is the great grandson of Nehru ji, grandson of Indira ji and son of Rajiv Gandhi...they have not used such unparliamentary word for any opposition parties... what Rahul has learned from his ancestors, he asked. Citing a newspaper report in which the Centres labour department ranked Chhattisgarh lowest in rate of unemployment, he said Rahul should do his homework when he claims that people are unemployed in Chhattisgarh. Bestow Bharat Ratna on Vajpayee: Farooq Union minister Farooq Abdullah backed BJPs demand saying he is bigger that the award itself. The new and renewable energy minister said he would make a personal request for bestowing the honour on Vajpayee. I am not a BJP man but Im an Indian and I think no one can forget that he is a fine leader, Abdullah said on the sidelines of a blood donation camp organised by paramilitary CRPF in New Delhi. I must tell you that the first time he talked in Lok Sabha, Jawaharlal (Nehru) jee went to him (Vajpayee) and said one day you will be the prime minister of this country. Nehru said this when no one could think that he would be PM one day, he said. I would personally request that a such a big personality (Vajpayee), who is bigger than the Bharat Ratna, should be given the due honour and it should be given now itself. Abdullahs National Conference (NC) was a part of BJP-led National Democratic Alliance (NDA) but it left the fold after the Gujarat riots. Nitish backs BJPs demand

Leaving aside acrimony with his former NDA ally BJP, Bihar chief ministerNitish Kumar on Monday backed its demand to bestow the Bharat Ratna on the former prime minister. He deserves it. Why should not it be given to him, Kumar, who served as railway minister in the Vajpayee cabinet, said when asked if he supported Bharat Ratna for the former prime minister. Kumar, who is the driving force of Janata Dal-United (JD-U), also made a strong case for giving the award to Rammanohar Lohia, his ideological guru, and Karpoori Thakur, who was chief minister of the state in 1977.