ICE Connect March 2014

iceconnect.eletsonline.com VOLUME 01 n ISSUE 01 n MARCH 2014

inside Smart Construction

PEBs - Setting New Benchmarks

Pipes & Pumps

Battling Hurdles Through a Green Mantra

Mining

Odisha – A Goldmine of Minerals

Realty Focus

Outlook 2014 Industry reacts on LARR Act

Alok Ranjan Infrastructure & Industrial Development Commissioner, Government of Uttar Pradesh

Devender Singh Principal Secretary, Power Department, Government of Haryana; Chairman, Haryana Tower Utilities

Pratyaya Amrit Secretary, Road Construction Department and Information & Public Relation Department, Government of Bihar

Chanchal Kumar Secretary, Building Construction Department, Government

AN Sahay Chairman-cumManaging Director, Mahanadi Coalfields

Gopal Singh Chairman-cumManaging Director, Central Coalfields

AK Debnath Chairman-cumManaging Director, Central Mine Planning and Design Institute (CMPDI)

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I C E CO ECT

March 2014

Connecting Technologies,Trends & Business

issue 1 n  volume 01

Contents Infrastructure Construction Engineering

Cover story Outlook 2014 - Treading Cautiously

47 In Person

Pratyaya Amrit Secretary, Road Construction Department and Information & Public Relation Department, Government of Bihar

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18 Smart Construction PEBs - Setting New Benchmarks

20

Tata BlueScope - Exceptional PEB Solutions

26 Special Focus - Pipes & Pumps

Battling Hurdles Through a Green Mantra

37 News Report

Dow Corning Launches Centre for Construction Expertise in India

12 Realty Focus

Sunil Mantri President, National Real Estate Development Council (NAREDCO) & Chairman, Mantri Realty

29 Expert Speak

Raghav Jindal MD, Jindal Pipes

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ICE Connect / iceconnect.eletsonline.com / March 2014

in person

39 Zoom In

Poised for Global Growth

32

Animesh Nandan Sahay CMD, Mahanadi Coalfields Limited

43 Power Sector

Devender Singh Principal Secretary, Power Department, Government of Haryana; Chairman, Haryana Tower Utilities

further reading Editorial 5 Ventures & Business 49 Realty Updates 50 Steel & Cement 51 Rail Updates 52 Road Updates 53 Energy Updates 54 Power Updates 55 Port Updates 56 Airport Updates 57 Products Line 58

editorial

Evolving Innovative Pathways

A

fter the success of its flagship & Asia’s first-of-its-kind magazines titled eGov, eHealth and Digital Learning; Elets Technomedia brings to you a specialized focus magazine on infrastructure and construction industry through Infrastructure, Construction & Engineering (ICE) CONNECT that offers new technology & industry trends to stay ahead of times.

Infra-construction segments involve a mixed bag of vital economy drivers like ports, mining, airports, power, energy, real estate, roads, railways and many more. These segments have been witnessing a healthy inflow of participation from international as well as national players and are on a constant technological evolution. The magazine aims to provide a platform and connect the key stakeholders of ICE with a holistic approach to share their views, initiatives, challenges and new ideas. Our vision to create a communication channel wherein industry, government, academia and organisations share their thoughts on emerging technology, market trends and business opportunities and explore the vibrancy of the many sectors that encompass Infrastructure, construction & engineering fields.

The fiscal 2012-13 posed numerous hurdles before the growth pace of the infra-construction segment, wherein prospective growth drivers like roads and railways had a major hit. The current edition reflects on the industry reactions on a major policy implementation witnessed during the year, which is the Land Acquisition Rehabilitation and Resettlement (LARR) Act. While the realty industry raised concerns about acceleration in the opportunity cost of land, the impact of the stand taken by government in ensuring the effectiveness of Act among the ‘affected sections – especially farmers’ is yet to be seen.

Mining was another segment which remained as a spotlight debate topic due to a slew of scams and policy uncertainties. However, in our edition we explore that despite all these hurdles, the country’s mining majors adopted a techno-path in implementing efficiency in their operations. e-Auctioning of coal blocks and e-procurement were some such vital initiatives upheld by the mining majors in bringing a technical reformation in the process of bidding tenders.

Pacing on a similar technical mode, a sector which has been marking constant progress is that of pre-engineered buildings. Addressing the demands for fast, cost-effective and easy-to-install structures the pre-engineered building construction has today emerged as a most preferred option, not just in the commercial and warehousing segment, but in the residential sector as well.

Considering all these evolutional pathways being witnessed in the infrastructure and construction sectors, we as a fourth eye of our economy, find it essential to regularly update our readers about the sector’s growth pace. As a prime approach, we have attempted in serving our best to address the current and vital topics impacting the infra-construction segments. We will ensure and look forth to serve our readers and clientele further on a monthly basis as a one-stop-information hub to seek all the latest updates about the evolving technologies, trends and business of the infra-construction and engineering segments.

I extend a warm welcome to our readers of ICE CONNECT and hope for their best wishes and goodwill to be with us as we traverse a new journey at Elets Technomedia.

ravi guptA Editor-in-Chief Ravi.Gupta@elets.in

March 2014 / iceconnect.eletsonline.com / ICE Connect

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I C E CO ECT Connecting Technologies,Trends & Business

march 2014 volume 01 | issue 01

Infrastructure Construction Engineering

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COVER STORY

Outlook 2014 Treading Cautiously The year began with the Land Acquisition Bill coming into force that, while promising a fair play to farmers, leaves the real estate industry amidst uncertainty in the already sluggish market. Veena Kurup sketches the mood of the industry for 2014‌

L

ast year was full of challenges for the real estate and construction sector, wherein the market saw fall across all its verticals – residential, commercial or retail and more so in all infrastructure construction segments.

There were many reasons including the fall in GDP to as low as 4 percent in 2013. The other challenge was the constantly rising interest rates and inflation over the years. As inflation has a direct impact on the overall construction, overall cost escalations spiralled off and were ultimately passed on to the consumer.

Also, there were issues of taxation, political instability, lack of clarity and frequent changes

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ICE Connect / iceconnect.eletsonline.com / March 2014

in policies that affected the pace of growth of the construction industry. In addition, substantial delays in approvals from central, state and local agencies had a dampening effect.

However, the industry is optimistic this year, and is looking at the post-elections mid-year timelines when the market scenario could brighten up.

The outlook seems particularly positive for the affordable housing segment and core infrastructure construction, as many projects have been cleared very recently. The low cost and affordable housing sector is the key growth segment that many players are eyeing

on, as even during last year when other sectors were slow, the low cost segment worked well in response to the constant demand for housing. Reserve Bank of India’s decision to reduce the interest rates helped in encouraging home buyers in the low cost housing and acted as a catalyst for the industry.

Land Acquisition Act Land is considered as a major resource and prime determinant factor for the growth and development of any economic activity. The rapid pace of urbanization, supplemented with the increasing population in the country

COVER STORY

has accelerated the demand for infrastructure and construction facilities, particularly within the affordable brackets. The Right to Fair Compensation and Transparency in the Land Acquisition, Rehabilitation and Resettlement Bill, 2012, formerly known as the Land Acquisition, Rehabilitation and Resettlement (LARR) Bill, 2011 was passed last year to be a joint legislation for land acquisition and rehabilitation for all affected persons especially farmers compensation for their agricultural land. However, legislation outlines many procedures that now call for action from the state government to support and implement the bill. Prior to the LARR Act, all the land transactions within the country where monitored and processed through a 120 year old British law – The Land Acquisition Act of 1894. The 1894 Act was largely criticized for being loosely defined and uncertain interpretation of clauses.

According to the industry majors, the 1894 Act failed to address the issue of fair compensation and rehabilitation when private land was acquired for public use.

The LARR Act which came into force on January 1, 2014 has aroused contradictory responses from the real estate sector. Though the Act aims to bring clarity in the land transfer process, realty builders view the laws as an additional burden on the cost of the construction. A major concern being uniformly raised by the industry is over an escalation in the cost of construction by 15-45 percent, especially in large infrastructure and residential projects.

“Whether it is the setting up of greenfield projects or development of infrastructure or an attempt to meet the demand for housing and commercial spaces, the first step is land acquisition,” views Sunil Mantri, President of National Real Estate Development Council (NAREDCO) and Chairman and Managing Director of Mantri Realty.

For the real estate industry, the new Bill,

Industry Reactions on Policy Action • “Inclusion of private land and certain conditions of rehabilitation and resettlement in the land acquisition bill are the major hurdles for the real estate industry. As per the Act, a developer will now have to take the responsibility of rehabilitation of the owner while acquiring large parcel of land. The clause ultimately results towards a cost escalation in land acquisition and will discourage developers from acquiring large land parcels” Mayur Shah, Managing Director, Marathon Group.

• “In a general scenario the time taken to get project approval is around two to three years. With the land acquisition act, the time for gaining approvals is going to increase, and will raise the project cost. I foresee this delay in gaining project approvals to ultimately affect the customer’s purchasing behaviour as the projects will become more expensive.” M Arun Kumar, Founder and Managing Director of CasaGrande • “The implementation of LARR Act is a positive measure from the government and a beneficial attempt for the masses to address the concerns of resettlement and rehabilitation issues. The concern over cost escalation due to the Act’s implementation will not affect real estate players who have their own healthy land asset.” Pankaj Srivastava, COO of Maitreya Realtors • “We follow a practice on acquiring land as per its asset value or potential for sustaining the concerns of market pressure and opportunity cost of land. We always buy land if we see immediate potential, i.e. if we can visualize a development which makes commercial and demand sense, this is primarily because we don’t believe in creation of land banks.” Chandrakant Kankaria, Director, Olympia Group.

• “The Act will be favorable to the farmers, who were deprived so far from getting the right price for their land.” As per Bharat, the developers who are genuine and has the money bank to directly purchase land from the farmers at the right price won’t face any constraints.” Kumar Bharat, Director, BCC Infrastructures, Bharat City

with its incomplete framework for implementation, will increase delays in acquiring land and thus, overall costs of housing and infrastructure projects. “In the housing segment, around 20-30 percent of the total cost of house could be for the assembled land cost. In the main core of mega and metro cities, the contribution of the land cost as a part of the total cost of house becomes as high as 80-90 percent and the actual construction costs comes to only 10-20 percent,” informs V Suresh, Director, HIRCO Project Companies. Opportunity cost of land thus has evolved as a crucial aspect and influences the pace of construction sector.

Inclusion of private land, rehabilitation and resettlement (R & R) in land acquisition bill are major hurdles for the real estate industry Mayur Shah Managing Director, Marathon Group

Impact on Affordable Housing The LARR Act, which has now completed one month in practice though, gains a mixed bag of reaction from the real estate industry; a major concern over the Act’s implementation is being felt by the budget housing segment. The long time involved in getting all the approvals, supplemented with volatility in the raw material prices further escalates the availability of land within the affordable price brackets. “This will effectively defeat the government’s intention to provide affordable housing to the masses,” opines Mantri. Apart from the prolonged approval process and time involved in attaining clearances, other major concern being uniformly upheld by the real estate players is the impact over the purchasing capacity of the end user. According to NAREDCO’s analysis the rehabilitation and resettlement costs, mentioned in the Act, are excessive and will lead to higher project costs, which will in turn pass to the end users. “With rising land cost across all locations, creating

March 2014 / iceconnect.eletsonline.com / ICE Connect

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COVER STORY

Affordable Housing Sector will be Hampered Implementation of the Land Acquisition, Rehabilitation and Resettlement (LARR) Act creates a direct impact upon the affordability of the project and cost of construction. V Suresh, Director, HIRCO Project Companies elaborates…

The much discussed Land Acquisition, Rehabilitation and Resettlement (LARR) Act came into force on January 1, 2014.

How will this implementation affect the realty industry and can this lead to a cost escalation in the construction of residential projects?

Yes, the implementation of new Land Acquisition, Rehabilitation and Resettlement (LARR) Act will impact the realty industry negatively and also on the sector’s growth pace. The enforcement of this Act will escalate the cost of land acquisition to four times more than the present

affordable housing stock is becoming increasingly difficult. Without the government’s active participation in the affordable housing scheme by way of offering land at a nominal cost, it would not be possible to pursue affordable housing for any individual developer in the current circumstances,” says Mayur Shah, Managing Director, Marathon Group. The industry forecasts the proactive approach undertaken by the government as a deciding factor on the success of budget housing segment takes a beating after this Act. “It will be only possible if government starts providing the developers with land at subsidized rates, without compromising on the returns to the farmers,” suggests Kumar Bharat, Director, BCC Infrastructures, Bharat City. To sustain these cost hurdles, a dynamically shifting focus approach is being witnessed among the realty builders as well as the end-users towards affordable land parcels. The scenario

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value in rural areas, and double in urban areas. Additionally, the prolonged time required for getting all the clearances for land acquisition will further escalate the costs. According to a recent study conducted by CII-Western Region, it would range from a minimum of about 48 months to maximum time duration of 60 months to get all the clearances as per the processes identified under the Act. This can be considered as one of the prime hurdles that real estate builders will have to face in the coming years for new projects where large land assembly process is on now. Only after land assembly is done can the builder apply for various statutory

Due to the Act, time for gaining approvals is going to increase, and will raise the project cost M Arun Kumar Founder and Managing Director, CasaGrande

approvals and No-Objection Certificate (NOC) – amounting to 50 to 70 clearance points, before commencing the project construction.

What impact will the Act have on affordable housing segments?

Any process for large land assembly under the new Land Acquisition Act and prolonged period of getting approvals prior to construction, will always have a negative impact on the affordable housing segment.

The prime reason behind its negative impact is that the issue directly impacts the affordability of the cost of construction

has today led to an increasing demand inflow towards Central Business Districts (CBD), suburban and even outer-suburban regions as prospective land parcels for developing housing and township initiatives. “Any day, land will continue to be scarce. In such conditions, premium properties at any CBD location will always have its demand and with several projects being launched it widens the choice brackets for customers,” says Vummidi Ananth,Managing Director, Barath Building Construction (I).

New Growth Corridors The sunrise areas of tier II and tier III regions have been increasingly gaining popularity and many real estate players have been exploring this potential to an optimum level.

“Infrastructure development has been taking place at a rapid pace in the tier II and tier III regions. This infrastructure development

COVER STORY

mately can lead to on-time completion of projects and resolution of all the major obstacles faced at the time of construction.

We have been constantly suggesting to the governing and regulatory bodies to utilize the e-Governance technologies for implementing the single-window clearance system into practice. This will bring in transparency and efficiency of clearances from multiple agencies. This is one plus point witnessed in most of the developed countries, and the one where India lacks behind badly. However, Rajkot has given a good beginning in utilization of electronic project proposal filing systems and obtaining speedier approvals.

and affordability of the project.

The impact is like a chain reaction, i.e. more the project is delayed the higher will be the cost of construction and financing costs. This will ultimately affect the delivery of ‘affordable’ or ‘budget’ housing. Hence, reducing the time period would need the clearance and approval process to be compressed. A proactive approach needs to be adopted by the governments (centre, state and local) and regulatory agencies, in tackling these grave concerns.

has resulted in increased in cost of land. As a result, projects with new infrastructure have been commanding higher prices. In the last couple of years there has been revolutionary development in the Mumbai Metropolitan Region. Cities such as Thane, Navi Mumbai and Pune have developed as growth corridors.

Towns such as Panvel, Badlapur, Dombivli, and Kalyan have been developing at a rapid pace in terms of infrastructure development and as a residential town,” avers Mayur Shah, Managing Director, Marathon Group. This trend is similar for smaller cities and suburbs across most parts of the country. A glimpse of the potential of South Indian market is evident as M Arun Kumar, Founder and Managing Director, CasaGrande says, “Last year we launched a villa project in Coimbatore, and the responses were good – with the tune of 80 percent getting sold during launch itself.

We have plans to launch more projects in

Do you suggest a need for transformation or any improvement in the governing patterns to tackle such growth obstacles?

There is obviously a crying need for effective good urban governance mechanism.

A single-window clearance system and monitoring process can evidently speed up the clearances and approvals involved in the construction process. This ulti-

Cost escalation will not affect real estate players who have their own healthy land asset Pankaj Srivastava COO, Maitreya Realtors & Constructions

How do you see the year 2014 for realty sector?

Some signs of optimism are expected by mid-2014 and the scenario could brighten up. The outlook particularly seems positive for the affordable housing segments and core infrastructure construction sectors, as many projects have been cleared very recently. The southward shift in inflation trends could auger well. Also it is hoped that the interest rates will be favorably factored.

Coimbatore as we see a great potential in the region.” Lack of availability in affordable land parcels, prolonged approval period, rising opportunity cost of land and rapid demand for urbanization is gradually shifting the pace of the realty industry from metros to tier-II and tier-III regions. The prospects of LARR Act to emerge as a game changer in realty thus remains clouded in uncertainties. However, the realty industry uniformly awaits a proactive approach from government to make the LARR Act a true equalizer for assisting the sector’s economic growth pace.

Thus, although last year was a slow year for the real estate and infrastructure industry, there are new sunshine markets that have emerged that hold potential growth to drive the sector back into business. Yet, due the current policy and political ambiguity is keeping the industry in an uncertain mood on the future outlook in the near future.

March 2014 / iceconnect.eletsonline.com / ICE Connect

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cover story

LARR Act Will Have Retarding Effect on Realty Sector The segment of ‘affordable housing’ will remain a cherished dream and the trend of joint development may pick up among the realty players, views Sunil Mantri, President, National Real Estate Development Council (NAREDCO) and Chairman, Mantri Realty

A

vailability of land has been a crucial concern mounting over the construction and realty spectrums.

What will be the impact of Land Acquisition, Rehabilitation and Resettlement (LARR) Act? Facilitating the acquisition of land is literally a prerequisite to economic growth and development. Be it for the development of infrastructure, greenfield projects or for meeting the demand for housing and commercial spaces, the first vital step is the acquisition of land.

Accordingly, in what seems like an effort to give a fillip to economic growth and development while being fair and equitable, the Government has now enacted the LARR Act. Prior to the recently passed Act, a 120 year old British law, The Land Acquisition Act, 1894, prevailed. The terms of the 1894 Act were loosely defined and widely open for interpretations. It was largely silent on resettlement and rehabilitation and out-rightly banned the acquisition of multi-crop irrigated land. This situation led towards the need for an Act to set standard norms for the transfer of land. However, after reviewing the clauses included in the Act, the terms laid out appears rather impractical and are bound to result in avoidable delays and exponential cost increases, defeating the very purpose of the Act. What according to you are the major loopholes in the Act? While the LARR Act is an attempt by the Government to introduce more clarity and fairness in land acquisition, especially for the private sector, its major clauses run contrary to the intentions. Moreover the Act’s applicability is mostly focused upon the large scale acquisi-

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According to National Real Estate Development Council (NAREDCO) what will be the Act’s impact on the country’s real estate sector?

As a whole, the LARR Act will have a retarding effect on the real estate sector. The Act’s implementation will result in higher development costs, increase in housing prices and delays in project execution. The segment of affordable housing on the other hand will remain a cherished dream and the trend of joint development may pick up among the realty players.

Further, in order to contain real estate prices, the government may have to offer higher FSIs to developers and undertake distinct measures to correct the Act’s ill-effects.

tions of land, viz. 50 acres in urban areas and 100 acres in rural areas. The Act specifies that the acquiring company or agency must get the consent of 80 percent of the land owners who will be displaced if it is a private company and 70 percent if it is a public-private partnership (PPP). The clause, however, creates an uncertainty in the requirement for consent of the landowners.

As a Punjab state government panel had pointed out, when private companies purchase land, the rehabilitation package is already included in the market price of the land, so there is no need to give this package to landowners. Besides, the Rehabilitation and Resettlement costs, which are excessive will lead to higher project costs and in turn will have to be passed on to end users. This will effectively defeat the government’s intension to provide affordable housing to the masses.

Being the President of NAREDCO do you suggest any policy modifications in the LARR Act? Farmers should be empowered as stakeholders in what comes up on their land and should not be alienated. Moreover, a special purpose vehicle (SPV) could own the land, wherein the farmers could own half of the SPV and the other half by project developer. The project could lease the land from the SPV and the rental income would flow to SPV shareholders.

As the project matures, the SPV would go up in value and farmers could, after a lockin period, sell their shares to encash the appreciation.

Besides, the principles of Land Pooling need to be applied, which was initiated by Delhi division of the Ministry of Urban Development in September 2013. Such a scheme will meet the criterion of ensuring that sellers receive a fair deal and at the same time it will not hike project costs or result in delays.

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Realty Focus

IT Parks and SEZ – Upbeat on Growth With growth in IT/ITES industry to newer towns and cities, Uttar Pradesh aims to tap the sector by supporting infrastructure of IT Parks and SEZ in the state

I

ndia is popular for being an IT/ITES destination and according to estimates, is poised to increase its worth to $ 220 billion by 2020. The industry has been a major contributor in buying up commercial office space in the real estate sector. According to Cushman & Wakefield, India is likely to witness the second highest demand for office space in 2014 among the top 30 cities in the Asia-Pacific region, and IT-ITES sector will drive most of this office space growth in India.

Today, IT/ITES industry contributes to nearly 70 percent of the total office space occupancy in the country.

Growth Pockets The trends indicate that there is a growing demand for commercial space from IT/ ITES industry in newer cities and towns, mainly due to cost the advantage in terms of land and operations, including availability of human resources. With most IT Parks and SEZ located in the southern and western

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““Tier –II cities are an attractive destination for IT/ITES industry and Uttar Pradesh can tap the potential of its cities especially Lucknow as the proximity to Delhi, NOIDA and NCR is there” C Velan, CEO – Info, Tata Reality Infrastructure Limited parts of the country, northern states have also begun to attract companies from IT/ITES sector to benefit from the direct economic and employability benefits that comes with it. In terms of office space supply, National Capital Region (NCR) saw new supply of 9.1 million sq ft during 2013, which is 37 percent higher than the previous year. The sectors that contributed to the rise primarily constituted in commercial office projects with 63 percent followed by 25 percent in IT Parks and 12 percent in IT SEZs. “Tier –II cities are an attractive destination for IT/ITES industry

and Uttar Pradesh can tap the potential of its cities, especially Lucknow, as the proximity to Delhi, NOIDA and NCR is there. With educated and skilled manpower readily available, Lucknow can be a viable destination for IT companies,” says C Velan, CEO – Info, Tata Reality Infrastructure Limited. The availability of reliable power and security is equally important for success of IT Parks. Due to the landmark initiatives taken by the Government of Uttar Pradesh, the state is now being widely regarded as an attractive destination for IT and ITES industry.

Realty Focus

Lucknow SEZ – Vision for IT City Alok Ranjan, Infrastructure & Industrial Development Commissioner, Government of Uttar Pradesh Please share the focus areas to attract IT/ITES industry in the state?

The Government of Uttar Pradesh is focused on developing the necessary infrastructure and human capital that can lead to rapid growth of the IT industry in the state. The process of proactive engagement with investors and the effective policy implementation is leading to the creation of an environment in which IT industry can take root and flourish.

With the idea of facilitating export of electronic software, the state has set up Lucknow SEZ. The state government is taking many proactive steps to encourage global IT companies to set up their base here. The availability of major centres of excellence, such as IIT, IIIT, and IIM, is also contributing a lot in making Uttar Pradesh an ideal destination for IT companies. The Government of Uttar Pradesh has already started the process for developing and setting standards for the creation of smart, vibrant and sustainable IT cities in the state. Such cities will serve as a highly attractive proposition for global enterprises, skilled manpower and major investors. This will facilitate economic growth and lead to the generation of many new IT related jobs.

Please share your vision for IT City.

The IT City that is being planned by the state government will enjoy world class ICT infrastructure to provide seamless connectivity for businesses and users. There will be an array of public and private services in a vibrant ecosystem consisting of ICT operators, service providers and end users. The state government has transferred 100 acres of land to the IT Department for setting up IT City Lucknow on the Sultanpur road. The Land Use Plan

is has been developed with the intention of ensuring that there is efficiency and economy in the management of every aspect of life and business in the IT City. World class systems and technologies will be used to ensure the best possible management of traffic, promotion of safety from fire, flood waters, and other dangers, adequate provision for light and air, optimal distribution of population in affordable housing units, promotion of good civic design and arrangement, efficient expenditure of public funds, energy conservation and public utilities for meeting public requirements.

Kindly share the layout details of IT City.

The Government of Uttar Pradesh is keen to develop Lucknow and Agra as IT hubs and boost the IT/ITES and electronics sector in the state. The new IT policy announced by the state government also enables the private partners to acquire land and develop IT Cities of their own. The private players have the freedom to develop their own infrastructure.

The state government, on the other hand, will give its private partners an assurance of uninterrupted power supply, security, access to airport and will set up a police station and other public utilities like post offices, for which the state government will lease land to the private partners through a transparent bidding process. For the first IT City project to come up at Lucknow, the bidding process is on. This IT City will have two zones – the first zone will have the core IT/ITES activities and the other zone shall be for non-core activities. In this self contained satellite township, the land usage pattern will be in the ratio of 60:40 approximately for processing and non processing area. It is a self-contained satellite township. The processing area will consist only of IT companies, BPOs, KPOs etc. The non processing area will include the whole range of residential facilities, public utility offices and other support centres. In order to enable the IT City to have seamless world class connectivity, it has been proposed that these areas should be equipped with sophisticated telephone exchanges and optical fibre connectivity. For enterprise communication, there will dedicated earth stations that offer satellite and terrestrial links for voice-data, videoconferencing and connectivity with worldwide customer workstations. Apart from being directly connected with the Shaheed Path and the airport, the IT City will also enjoy a dedicated power supply system to enable the major companies to work without disruption. The estimated cost of the IT City project at Gajaria Farms on Sultanpur road will be around Rs. 1500 crore. Once, the state was among the nation’s top three IT exporters. Things have again started moving very fast and we envision the project will lead to rapid growth of the IT sector in the state.

March 2014 / iceconnect.eletsonline.com / ICE Connect

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Smart City

Solid Waste Management A Life Cycle Approach Municipal Corporation of Greater Mumbai has always emphasized on the importance and contribution of Solid Waste Management for a qualitative civic life

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he rapid dynamic population growth and immigration for new economic opportunities is expected to congest the urbanized areas, resulting to various civic issues like tremendous pressure on basic amenities, urban infrastructure, sanitation, waste management and ultimately, degradation of quality life. This congestion in a qualitative lifestyle is expected to result in the generation of unwanted or useless solid materials from residential, industrial and commercial activities. Hence, implementing an effective waste management for solid waste for reducing or eliminating adverse environmental impacts and human health becomes important in order to support the socio-economic quality of life.

Mumbai, India’s financial capital and one of its prominent cities, faces the problem of high population density and a continuous inflow of

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immigrants seeking a better life. An effective solid waste management for Mumbai thus becomes important and the Municipal Corporation of Greater Mumbai plays a pivotal role in executing and monitoring it.

Exploring the Concept Solid waste management is a four-tier process – street sweeping, waste collection, waste transportation and waste disposal. All the four

steps are considered as the core or prime pillars of an effective solid waste management process.

Initially, a detailed analysis of the area where solid waste management is to be set up is done. The population density, demographics, the socio-economic and political activities in the area and its current waste disposal management system are studied. Each of these steps is important for the effective implementation and execution of solid waste management system.

Creation of ‘Smart Cities’ A smart city is developed on many distinct elements, and solid waste management is one of these elements. For instance, to address the rising concern of carbon emissions in construction process, contractors nowadays are mandatorily asked to use equipments as per Euro-IV standards.

Hence, for enforcing such operational standards, we need to have active participation and acceptance from the contractors to use equipments as per the prescribed norms. Similarly, the effectiveness of solid waste management system depends upon the active participation of all the stakeholders. Solid waste management is of utmost importance to urbanized regions, which face constant pressure from increasing population, rising infrastructural demands and changing social habits.

Hence, the need for creating a stronger civic sense among the citizens is important for successful implementation and functioning of solid waste management system.

Understanding the concept and context of waste segregation is vital to an effective solid waste management process. For example, Finland recycles 93 percent of the waste that it produces, with only 7 percent of its waste making its way to the dumping yard. This level

Smart City

of effectiveness in implementing solid waste management system is only possible due to the prevalence of civic sense, as well as a clear understanding and acceptance of the concept of waste segregation.

Obstacles in Implementation One of the major hurdles for implementing solid waste management process is the civic awareness among the masses. The current scenario indicates that the core concepts of solid waste management need to be established among the people. The concept is still new and hence creating effective awareness among the citizens is of vital importance. The other major hindrance is the monitoring of land by disparate authorities. There needs to be uniformity among the authorities monitoring and controlling waste disposal systems according to common standards or rules. Governing bodies like municipal corporations, municipalities or gram panchayats can only assist the monitoring bodies in collecting, disposing or recycling the

“A construction process generates about 1500 - 2000 tons of waste per day�

waste. The decision to adopt and implement standardized waste disposal systems delves in the hand of such land monitoring authorities.

Construction Waste Disposal Ever expanding urban infrastructure demands is another major challenge for the smooth functioning of solid waste management system. The rising population demands newer roads, housing and other civic structures raises new challenge in tackling the waste generated from the construction processes. The waste created during a construction process

generates about 1500 – 2000 tons of waste per day. Disposing or recycling this waste is a herculean challenge. India needs to upgrade and adopt advanced waste recycling technologies.

We need to think and effectively focus towards utilizing globalized advance technologies for recycling such waste generated during our progressive process. Municipal corporations should assist the builders and contractors in adopting the latest waste management technologies in their processes. With the concern over carbon emissions gaining momentum, the adoption of such technologies should see a gradual rise in India.

March 2014 / iceconnect.eletsonline.com / ICE Connect

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Smart Construction

PEBs - Setting New Benchmarks On a race to deliver quick, economic, sustainable and on-time execution of projects, PEB manufacturers focus on upholding architectural values as the new feature to achieve a larger market share. Veena Kurup reports‌

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onstruction has been a crucial facet of urbanization and evolved as amongst the prime needs for development. However, the wheel of transformation has been constantly reforming the pace of modernisation, and technology has been contributing in this revolutionary pace. Moreover, the rapid advancements witnessed in this techno epoch have raised the values of time, manpower, efficiency, sustainability and cost involved in the construction process.

The rising need to meet the infrastructural demands of an exploding population with stress on carbon emissions led to the emergence of a sector that promised faster, easy-to-build, cost efficient and eco-friendly structures known as ‘Pre-Engineered Buildings’ (PEB). Though the PEB segment kick started its pace worldwide in the 1960s, Indian markets opened up to this quick structural solution only during the 1990s.

The benefits of PEB structures in offering quick and cost effective constructions opened the Indian market for international and national players. Since then, the sector has seen a consistent upward trend, piggybacking on technology as a prime too to sustain its growth.

Exploring Architecture 1990 opened the economy and globalized the avenues for international and national PEB manufacturers. The sector also witnessed the introduction of computerization in the construction process. The increasing technopenetration led to computerization of design and development processes in the technology, which are commonly used today by the indus-

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Smart Construction

try as the two prime pillars of constructional reformation.

The roots of PEB structures though, can be traced back to the bamboo supported constructions; the technical transformation witnessed in the building construction industry has today moulded this basic structural concept into a refined model of metal buildings. The flexibility offered in the design layouts of PEB structure along with other benefits like ease in installation and reduced manpower further increased the scope of PEB structures in India. Known as ‘Pre-Engineered Buildings’ the sector offers diverse benefits like faster realization of project, large clear spans, superior quality, conformity to international standards, low maintenance, resistance to earthquake and cyclone and eco-friendliness in the construction process.

The wider adoption and implementation of latest technologies also helped in increasing market penetration. The emergence of a competitive market sphere enforced the PEB manufacturers to seek new modules of developing PEB structures. One such emerging trend is of adding an architectural touch by raising the aesthetic bars of PEB constructions. Few of the in-demand architectural versatilities being offered with buildings are the special fascias, canopies, curved eaves etc.

The other noteworthy aesthetic feature widely implemented by the PEB manufacturers is offering multi-layered roofing and cladding sections, mostly manufactured using zinc alloys. “Tapping these potentials, we have incorporated curved roof panels, wall claddings, flashings and aluco-bond panels to improve the aesthetic essence of the buildings.

These improvements add a pleasing aesthetic touch to the pre-engineered steel buildings,” opines D Raju, Vice President- India & South East Asia, Kirby Building Systems India Ltd. While emphasizing on the aesthetic sense, many market leaders now also focus on ability of a product utilized in PEB structure to sustain and suit distinct weather conditions.

“Our pre-painted galvalume (Alu-Zinc) cladding is one such product which upholds the aesthetic sense along with total lifecycle sustainability of a structure. The multi-layer coated profiles can be used either for roofs or as walls of PEB structures,” says Malav Patel, MD, Phenix Construction Technologies.

Glazed windows, fixed ventilators, roll-up doors, roof jacks, ridge vents, roof curbs, sliding doors, turbo vents etc are the products offered as aesthetic accessories for PEB structures. “We at LOYA PEB offer pre-painted galvanized iron roofing sheets, which are made available in a range of distinct colors.

The roofing solutions manufactured utilizes high tensile steel as a base material and equips coating of high quality alloy of zinc,” says Sanjay Loya, Director, Loya Pre Engineered Buildings.

of steel, and especially PEB has been rapidly expanding, wherein the industry is presently growing at an average of 15-20 percent per annum over the last decade.

The increased emphasis on green buildings and stress on carbon emission is expected to give an additional push to the market expansion of PEB sector. Opportunities from the renewable power segment, particularly the solar projects and increasing implementation of solar rooftop installations, opens more prospective avenues for PEB sector. Besides,

PEB industry is growing at an average rate of 15 - 20 percent per annum over the last decade Design Software A common and most widely accepted trend adopted amongst the PEB manufacturers is the adoption of building construction software.

STAADPro, CAD, STRUTS Design, Autocad, MBS, Visomax software etc are few of the most commonly used tech-solutions adopted by PEB manufacturers in adding a extra-dimensional approach to the PEB structures. The utilization of Building Information Modeling (BIM) system in the construction process has further enhanced the scope of adding an easy and multidimensional outlook for the PEB structures. The architectural versatility thus offered through the ready-to-build structures has made PEBs a preferred option not just in warehousing and industrial segment, but has also opened prospective avenues in other sectors like power, airports, hospitals, retail malls, housing, resorts, etc.

Tracking Opportunities Ahead PEB in the developed markets has already made inroads not just in the industrial and warehousing segment but has also established its popularity for low rise structures (G + 5).

However, in the Indian scenario, PEB is considered a growing construction segment, currently at its nascent stage. However, the usage

Indian government’s much discussed infra investment plan of US$1 trillion for the 12th Five Year Plan also assures a positive growth for the PEB sector.

Opportunities prevalent in the commercial building segment, though is presently at a nascent stage. The anticipation of a two-fold urban footprint increase and demand for increased infra facilities opens more business scope for the sector. “Building sector in India is estimated to reach a target of 20.44 billion square feet by 2030 from 7 billion square feet in 2010. Of the said indices, nearly 34 percent of the target for 2030 is already constructed and the remaining 66 percent is yet to be developed,” shares Raju.

Edge Over Conventional The segment however, within a short span of time, has succeeded in gaining an edge over the conventional and RCC structures, particularly in the low rise industrial buildings in the last decade. Cost competitiveness prevails as one of the prime reasons behind gaining a cost advantage over RCC structures over the PEB segment. As per the industry experts’ expenses towards operations within a PEB as well as their maintenance will be lower across the life cycle of the building.

March 2014 / iceconnect.eletsonline.com / ICE Connect

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Smart Construction

Tata BlueScope Exceptional PEB Solutions

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se of steel in construction is no longer limited to reinforcement for concrete.

Steel construction is evolving from boxlike steel structures to aesthetically pleasing designs. As more and more people are experiencing the advantages of metal buildings, and skill sets across the value chain are improving, this shift is increasingly gaining momentum.

Innovation & Excellence Tata BlueScope Steel was established to offer value added steel products and solutions to its customers across South Asia. The Building Solutions Business division brings the desired focus to delivering the best-in-class metal building solutions. It currently offers design, manufacture, supply and erection of complete metal building solutions under its premium BUTLER® Building Systems and contemporary ECOBUILD™ Building Systems brands.

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The ‘FM Approved’ MR-24® Standing Seam Roof System, offered exclusively with BUTLER® buildings, has a one-of-a-kind 360-degree Pittsburg Double Lock Seam.

This seaming process is similar to what is adopted for beverage cans. We offer a 10 year leak proof warranty on MR-24®.

Another key solution is the factory punched BR-II™ Roof System. With ECOBUILD™ buildings, roof options include TRIMDEK® and CUSTOM ORB® profiles. Liner panels, Decking options, and several optional accessories are also offered.

Primary structural frames are manufactured with careful consideration to material and workmanship. Secondary and cladding elements are roll-formed with strict compliance to process and quality. For optimum performance across the life of the building, all accessories and components are sourced from the best.

Key Customer Benefits For an industry where the potential to supply exceeds market demand, capacity is a bit of a misnomer. It is ‘capability’ that has a far more significant role to play. Our capability to meet customer expectations of On-time, Leak-proof and Safe erection of their metal buildings is what sets us apart from the competition.

On-Time Delivery The most important need of a project perhaps is: to be completed on-time. Over the last few years, Tata BlueScope Building Solutions has adopted ‘Critical Chain Project Management’ approaches to facilitate on-time completion of projects. We follow full kit rules, avoid frequent shifting of priorities, maintain waiting buckets and constantly monitor project progress across all stages of project execution. Our delivery performance has improved significantly, and we are able to provide accurate updates on project status.

Smart Construction

MR-24® Roof System: Truly Floating Roof System MR-24® is probably the only ‘truly’ floating roof system currently available in the market! MR24® roof sheets are seamed continuously, along the entire length of the sheet, using a Roof Runner®. The 180deg field formed seam of MR-24® is least susceptible to malfunction.

Purlins and sheets for MR-24® installation are supplied pre-punched. MR-24® sheets are fixed to the purlins below using a specially designed clip assembly. High strength SCRUBOLT™ fasteners are used to secure the clips to the purlins. The clips are then seamed along with the MR-24® roof sheets. The clips are installed such that they allow smooth movement along both directions.

All accessories for the MR-24® Roof System are fixed to the roof sheets, and not the purlins below. The roof sheets are fixed at the eaves only. The gable trims and ridge are designed to allow for free movement. As a result, when thermal expansion and contraction takes place, the entire roof moves, alongwith the roof vents and skylights.

MR-24® end laps are always staggered, and the splices are always placed just above a purlin.

This prevents potential leakages due to foot traffic on the roof and wind uplift phenomenon.

Specially developed sealants of MR-24® have a high butyl content, for better leak-proof performance and longevity.

Another advantage of MR-24® roof sheets is that they are easily stacked. This makes bundles of sheets suitable for handling and transportation, unlike long lengths of field roll-formed sheets which are susceptible to handling damages. Since MR-24® roof panels are roll formed in the factory, our clients are assured of the best quality of materials and workmanship.

Leak-Proof Roof The next priority for metal buildings is leakproof performance. Typical sources for leakages in metal buildings are laps, ends, piercings and roof openings. Early leakages can be attributed to a combination of poor workmanship, tools and even materials. However, leakages can develop over a period of time, due to thermal expansion and contraction caused by changes in ambient temperature.

A dedicated group within Tata BlueScope Building Solutions has extensively analysed reasons for leakages, and has developed check lists & methods, acquired special tools and conducted extensive training of personnel, at our in-house training center. We monitor leakage instances in our buildings, and have seen significant reductions since.

Fully Engineered Solutions Each metal building is unique, like a signature

or a thumb impression! Our teams get involved early, with project architects, consultants and owners, to understand the specific requirements of each building and then suggest optimised solutions. The objective is to create aesthetically pleasing buildings that match the functional, as well as aspirational requirements.

Tata BlueScope Building Solutions gets access to the latest developments in technology through our principals, Butler Manufacturing USA. Several listening posts have been established to gain an understanding of emerging customer needs. We have even created one for addressing customer complaints in a formal and structured manner.

Latest Safety Techniques Tata BlueScope Building Solutions is continuously investing in building internal capabilities, as well as developing logistics and builder partners. This is critical for meeting another

key customer requirement, safe and incident free project completion.

Our erection practices today leverage the most modern equipment and practices. For example, we have made use of boom-lifts, instead of scaffolding, mandatory for all our projects. This not only prevents accidents, but also helps in faster erection.

In Conclusion Tata BlueScope Building Solutions has already completed in excess of 1,000 projects for industrial, warehousing, commercial and infrastructure applications, across various locations in India. Our list of clients includes several prominent Indian and Overseas organisations.

Our operating philosophy is strongly anchored to serving markets which are looking for the highest standards of engineering excellence, superior quality of products and workmanship, and timely completion of buildings.

March 2014 / iceconnect.eletsonline.com / ICE Connect

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Industry Speak

Confident to Mark a Strong Growth This Year Customer service was upheld as our prime motto to excel and differentiate ourselves from the competitors, shares D Raju, Managing Director, Kirby Building Systems India in a conversation with Veena Kurup

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hat was the impact of the economic volatility which clouded the pace of construction industry last year? Did this scenario have an impact on your company?

We achieved our annual targets despite a slow pace in the economy and the hurdles in construction sector. The company adopted new aggressive sales and marketing strategies to counter the market, where very few projects were being finalized. Moreover, the competition to grab order even at very low prices became intense. All the enquiries were dealt with utmost importance and effective communication activities were implemented to deal with the customers. Customer service was upheld as our prime motto to excel and differentiate ourselves from the competitors, which assisted us in maintaining the dominance over Indian market.

Tell us more on the unique technologies equipped by Kirby India in ensuring efficiency during the set-up, installation and maintenance of your preengineered buildings (PEB)?

Kirby India has always been in the forefront of innovations by investing in new production technologies, and evaluating the performance through continuous product development.

The heightened emphasis on green building construction is also poised to push the market expansion. For instance, to increase energy-efficiency, Kirby has developed high efficiency windows and insulation for roofs, walls, ceilings and floors. The use of sky lights and solar panels on rooftops, while meeting the daylight and captive power requirements,

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part of the eco-friendly products and ongoing green revolution in the construction industry.

“The heightened emphasis on green building construction is also poised to push the market expansion�

also reduces emissions and helps in gaining carbon credits under the clean development mechanism (CDM). Effective usage of insulation materials, louvers etc also help in making Kirby Buildings into green structures. All the materials used in making of Kirby buildings are recyclable and are not harmful to the environment. Kirby always looks forward to be a

How do you address demands for architectural and aesthetic values in the PEB segment?

In a B2B model, the major considerations are on-time supply, quality and price. All these aspects are very much valid for a B2C model as well, but aesthetics or architectural appeal and customization play a major role. In the developed markets, PEB is already being used for low rise structures (G+5) such as offices, hospitals, retail malls, housing and resorts etc. However in India, PEB is yet to venture into these areas. I am confident that the PEB industry would meet the required levels of aesthetics and customization in the near future. For instance, over the past five years, we have made technical improvements in product cost, construction time and aesthetic efficiency. The company has incorporated curved roof panels, wall claddings, flashings, aluco-bond panels or other such features to improve the aesthetics of the building. These improvements allow much more pleasing aesthetics to be added to the pre-engineered steel buildings.

Take us through your growth in the market share.

Kirby Building Systems India Ltd has a capacity of 200,000 million tonnes per annum. This makes the company a leading player in the Indian PEB market, with a market share of over 31 percent. The company has evolved from a mere PEB manufacturer to a total solution provider for customer needs. We are optimistic about the growth of PEB industry in 2014 and confident that Kirby India will also achieve a strong growth compared to last year.

Industry Speak

PEBs – Time & Cost Efficient Solution for Aesthetic Structures Witnessing a growth rate of 15-20 percent, aesthetics evolve as an apt USP trend for sustaining competitive market sphere, shares Sanjay Loya, Director, Loya Pre Engineered Buildings

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lease review last year growth trends for preengineered building (PEB) segments?

Last year posed numerous hurdles before the infrastructure and construction industry, wherein numerous infrastructure projects were held-up or delayed in execution process.

The construction sector as a whole witnessed a downtrend in the last fiscal. Yes, the impact of this overall slowdown was witnessed in the market pace of PEB segments as well. However, the rapid pace of technology and demand for on-time delivery of project has scaled up the importance of PEB structures, particularly the metal. The increasing utilization of steel has further escalated the prominence and market prospects of the steel buildings. The industry is currently progressing at an average growth rate of 15-20 percent per annum as against the last decade.

Has the demand for on-time, affordable and sustainable structures raised the market scope for PEBs today?

Yes definitely. Cost and time are the two prime factors in a construction process.

These elements along with the technology utilized can be considered as core determinants in delivery of sustainable structures and on-time completion of projects. The technical progress witnessed in the PEB sector has evolved this segment as an apt solution than the conventional buildings.

framed building construction. Normally, for large scale projects, LGS construction can reduce the project time by 50 percent and the overall material cost by 30 percent.

How has the technical advancements witnessed in the construction industry raised the aesthetic bars in PEB construction? The scope enjoyed by PEBs in the Indian construction market is enormous and growing at a constant rapid pace. This enormous scope has opened the market for international players in expanding their presence in India, leading to an acute competitive market sphere. Sustaining this

“Light Gauge Steel (LGS) framed building construction for large scale projects can reduce the project time by 50 percent and the overall material cost by 30 percent.�

Besides, the ease in installation saves time and cost of construction and opens more positive prospects for the sector in the Indian market. Today, PEBs enjoy scope not only in the industrial and warehousing segment but in numerous infrastructure sectors like power, and even in small residential segments as well. PEBs though internationally are already accepted as a preferred solution in the residential realty segment, the scope in Indian mainland is still at a nascent stage.

Upholding the values of time and cost involved in the construction process, we now offer products on Light Gauge Steel (LGS)

competitive market environment, involving both the national and international players, is a crucial operational aspect. The rising opportunities in the realty and infra-construction segments have boosted the importance of aesthetic essence today in the PEB structures.

The concept is increasingly being outlined as an emerging trend, particularly among the smaller to medium level players involved in the PEB business. While adding an aesthetic galore to the PEB structures, the concept also opens more creative opportunities for the players involved in PEB business in expanding their operational expertise.

March 2014 / iceconnect.eletsonline.com / ICE Connect

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On-site

PEBs - Creation Simplified Emphasizing a futuristic and innovative techno-approach, Phenix offers expertise to develop unique structural steel components for a first-of-its-kind use of factory - made structural steel components for a power plant in India

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henix Construction Technologies, known as a future-ready steel construction solution provider, specializes in designing, manufacturing and installation of complex steel structures & Pre-Engineered Buildings (PEB) globally. A division of M&B Engineering Ltd, Phenix focuses on driving the PEB industry towards an innovative future by carving a unique identity through designing and manufacturing prowess. Upholding these operational values, Phenix delivered its expertise to create a Steam Turbine Generation (STG) facility for a 330 MW power plant at Nellore in Andhra Pradesh over a project area of 2,300 sq m.

Innovation in Steel The 330 MW power plant, weighing 3000 metric tons, is known to be the first-of-itskind in the nation. A prime reason behind this first-of-its-kind project is the first-time use of factory-made structural steel components.

Snapshot Client: Thermax Instrumentation Ltd Location: Nellore, Andhra Pradesh Project Area: 2,300 sq m

“Believing in nothing but the best, Phenix was established with a vision to provide innovative structural steel solutions to its customers. Working on this, the company has carved a dominant position and strives to lead the steel construction industry across nations.”

Malav Patel, Managing Director, Phenix Construction Technologies These components were utilized for columns, rafters, crane beams and mezzanine floors to create the STG facility. Additionally, the facility demanded one of the most complex engineering techniques, attributing few of the most critical functional requirements.

For meeting the demands of this complex structure, Phenix was involved in the designing, manufacturing and installation

processes. The 32-meters tall structure was designed to withstand 220 km/hour winds, as the project was located in the cyclone prone coastal regions of the country. The structure also involved overhead cranes, each having capacity of 75 metric tons, operating in tandem. The structure also had four levels of mezzanine that served as platforms for large vibrating equipment. Each of these levels was designed to carry a load of 75 kn / sq m For meeting the precise requirements of this critical facility, the structural steel utilized in the project were manufactured at Phenix’s plant. The steel was manufactured with adherence to the most stringent manufacturing to satisfy the facility’s crucial demands. Under the process, 80 percent of the butt welds were to be tested through radiography and 100 percent of them were to be ultrasonically tested.

Excellence Delivered Through techno-superior and innovative approach backed by talented human capital, Phenix delivered and installed these structural steel components in eight months. The company upholds its innovative approach towards adopting and implementing new technologies and skilled talent pool as prime aspects which have contributed in raising the company as one among the top three PEB and steel structure companies in India.

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Special Focus Pipes & Pumps

Battling Hurdles Through a Green Mantra India’s pipe & pump manufacturing industry is on a constant growth transformation, yet the sectors’ growth pace still remains clouded due to the lack of qualitative and effective installations. Elets News Network finds out…

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he construction industry, despite a volatile economy, is on a constant pace of technical and structural transformation.

The rising adoption and implementation of globalized techno-approach has today transformed India’s structural outlook to high-rise constructions. Whether it is a high-rise, multistoried or single-storied structure, delivering a prolonged total lifecycle of the construction is a vital facet. Quality in construction can be achieved only with the utilization and implementation of standardized materials.

However, a common element, often shadowed within the construction process, is the pipes and pumps section. The result of this shadowed or secondary approach towards the importance attached with these segments, often results in weak structures, resulting into collapse of construction structures and loss of life for inhabitants. Meeting the carbon emission standards is the other major factor that needs to be tackled by a builder or a contractor.

All these factors have today urged the manufacturers involved in the pipes and pump segment to deliver quality, energy efficient and effective products. Owing to the demand towards affordable and energy efficient structures, the pipes and pump manufacturing industry as a whole is witnessing a Green momentum.

The growth pace of the pipes and pumps manufacturing industry is directly related to the construction industry, wherein a slowdown in the latter will visibly affect the pipe manufacturing sector. The constant acceleration in the demand for LEED certified structures has boosted the wave of ‘Green Plumbing’ in

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India. Apart from being the active contributors towards developing energy efficient buildings, Green Plumbing also prevails as an apt solution for water conservation and effective water management. “Green Plumbing is an excellent way to support reduction of water consumption. In this system already used water can be recycled and used again both by the customers and developers in work like flushing, washing, gardening, maintenance and construction,” opines Kumar Bharat, Director, BCC Infrastructures, Bharat City. Upholding the concept of Green Plumbing, Bharat City has installed a Sewerage Treatment Plant which will save around 10 lakh liter everyday, of which 5 lakh liter can be used by the customers in flushing and car washing and the remaining for maintenance functions.

Shifting Demand Approach A major market trend eloped due to the green plumbing momentum is the shifting demand approach by the construction industry as well as the end customers towards polyvinyl chloride(PVC), chlorinated polyvinyl chloride (cPVC) and unplasticized polyvinylchloride (uPVC) pipes as against the traditional metal pipes. Apart from its characteristics of being energy efficient components, the PVC, cPVC and uPVC pipes also prevails as apt solutions for ensuring high stiffness and cost effectiveness for the end-user. Apart from being effective plumbing solutions to the residential and commercial structures, these pipe sub-segments has also emerged as a preferred option for the industrial and agricultural purposes. The uPVC pipes, for instance, is approximately half

“Plumbing should not be treated as just another building service” Sudhakaran Nair President, IPA & Chairman, WPC

Pipes & Pumps Special Focus

weight of the copper pipe, one-fifth of steel pipe and one-tenth of cast lion pipe. In addition, these types of pipe sections also offer excellent chemical resistance to acids, alkalis, oxidizing and reducing agents, making it particularly suitable for a wide range of industrial applications. Further, the ability of these pipe sections to remain stable under load to a temperature of about 75°C makes its satisfactory for use in industrial and waste-treatment plants.Despite, these benefits, market leaders still stand firm on the opportunities withheld by metal pipes, particularly in the unexplored sectors like oil and gas. India however still lags behind as against the market penetration being witnessed among the international pipe manufacturers towards the energy sector. “We are seeing robust prospects for India’s electric resistance welded

(ERW) pipes. We see robust prospects for the pipe manufacturing industry in the oil and gas segment,” views Raghav Jindal, MD, Jindal Pipes (Branded as ‘Jindal Star’). He further foresees the development of cross-country pipelines by major oil and gas, power and fertilizer companies to emerge as a growth drive for the metallic pipe manufacturers.

However, despite these enumerable qualities the pipe manufacturing section as a whole faces the rising concern of implementing standardized and qualitative installations.

“Effective installations and green plumbing can phenomenally increase the total lifecycle of a structure from 40 to 70 years. Whereas, neglecting effective pipe installations can result in the reduction of a structure’s total lifespan by about 1-2 percent per year, avers V Suresh,

Chairman of Policy and Advocacy Committee, Indian Green Building Council. More importantly if done rightly it will impact in integrated water management, waste management and energy management leading to savings in water and energy use and related costs.

Pumping Ahead on a Green Wave The story of India’s pump manufacturing industry is paced with a constant technological evolution. The sector’s growth pace has further widened with the prospects of urbanized sphere and high-rise structures. Trailing through the green momentum, the constant and rising technical trend witnessed in the sector is the demand prominence over energy efficient pumps. The rising scope of urbanization in India while has

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27

Special Focus Pipes & Pumps

increased the scope for international participation, has also created a more competitive sphere for the pump manufacturers. In addition, the increasing concentration towards maintaining the total cost of construction and on-time delivery of project escalates the demand for faster and high-powered pumps. The growing pressure on enhanced production, operational hours, cost-effectiveness and scarce energy resource has thus drawn a new generation of green pumps in the market.

Adopting this green wave and addressing the demand for energy efficient pumps, one amongst the industry leaders, Grundfos Pumps delivers an innovative technical approach by delivering solar pump solutions. “The focus on renewable energy is also fuelling our sale of solar pump solutions. We also plan to address the mass market with the help of our Italian brand – DAB,” discloses Grundfos spokesperson.

The dynamic and rising customer demand towards the availability of globalized technologies at competitive rates has raised a hurdle before the pump manufacturers on offer-

technology. The utilization of this technology today has evolved as an industry mandate rather than an innovative technical approach. Another promising approach being widely adopted by India’s pump manufacturers is the increasing focus towards international or export markets.

The industry today has many of its national organized players, who have established their entrepreneurship in the global market and has established their individual brand names.

Urge for Effective Installations The pipe and pump manufacturing industry in India though is constantly on a growth evolution, the segment is still mounted with the prolonged presence of unorganized sections. Moreover, the secondary approach being attached towards the importance of effective installations and qualitative workforce in these sections has raised growth barriers before the industry.

According to Sudhakaran Nair, President of Indian Plumbing Association (IPA) and Chairman of World Plumbing Council

“Qualitative and effective installations are always a boon to the structure’s total lifecycle” Neeta Sharma Managing Director IAPMO India ing innovative and sustainable solutions. In addition, the rising knowledge over carbon emissions and such environmental norms has transformed the market more demanding towards pumps which can not only save money but also assist in reducing the carbon and water footprint. “The key to maximum efficiency is widely recognised as optimising the whole pump system and not only the pumps,” echoes the Grundfos spokesperson.

For 80 percent of all pump installations, an intelligent pump system can earn large savings and curb the business energy consumption by as much as half the operational ratio.

The pump manufacturing industry also witnesses rapid evolution in the implementation of globalized technologies like Computational Fluid Dynamics (CFD). Though the adoption of this technology was at its pedestal stage few years back, the increasing market competitiveness and need to sustain the pressure from international suppliers has led to a wider adoption of this

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(WPC), “Plumbing should not be treated as just another building service. Incorrect plumbing installations can have serious implications on the health and safety of occupants of a building, apart from the building structure itself.” According to Nair, the industry needs to improve on three important components – modern codes, trained workforce and technically sound materials and equipments. The government, however, alone cannot achieve the desired results. The building community needs to realize that incorrect plumbing installations can be un-forgiving, for which nationwide awareness campaign as required.

“The plumbing industry in India consists of organized and un-organized sectors with the former handling no more than 25 percent volume of total plumbing works. Since every building structure meant for human habitation requires plumbing and as the organized sector consisting of qualified and experienced consultants and contractors is relatively small

across the country, this group generally has remained busy,” outlines Nair. The industry presently faces two prime issues – whether the Indian plumbing industry is capable of offering modern world class plumbing installations. The answer is that the organized sector is capable. To address the second issue, i.e. whether the pipe and pump manufacturing industry enjoys the freedom to provide installations of global standards, the building owners, architects and civil engineers have to come on board.

Qualitative and effective installations are always a boon to the structure’s total lifecycle, shares Neeta Sharma, MD, International Association of Plumbing and Mechanical Officials (IAPMO) India. Reviewing the prevalent scenario she outlines lack of qualitative education and skilled workforce as the major hurdles affecting effective pipes and plumbing installations in India. “The situation witnessed in the Indian context is that the plumber won’t be often a trained person or will be hired on a labour contract basis. Hence, the person with little or no qualitative experience when designed to deliver his duty will be able to give an output which is below the standardized mark,” echoes Sharma.

Aiming to address and resolve these concerns, associations like IPA and IAPMO has been actively participating in the work of Bureau of Indian Standards in creation of the chapter related to plumbing in the National Building Code. Since 2008, IPA and IAPMO have published five Plumbing Codes-Uniform Plumbing Code- India, Uniform Green Plumbing Code Supplement – India, Uniform Swimming pool Code- India, Uniform Solar Energy code- India, and Water Efficient Products- India. Adoption of these codes only by the organized segment and neglect by unorganized sector has hindered the sector’s growth pace.

“Of late, there are welcome initiatives from the government to create awareness. However, it will require concerted efforts over a sustained period of time to repair the damages caused by decades of neglect,” opines Nair. In addition, there is certainly an increased awareness now as the importance of technically correct plumbing installations is slowly being realized.

Also, the size and sophistication of buildings now being built are much larger and complex than in the past. These structures, today, call for technically safe and modern plumbing systems which only qualified and experienced plumbing professionals can provide..

EXPERT SPEAK

Robust Prospects for Pipe Manufacturers in Oil & Gas Sector Development of cross-country pipelines by major oil & gas, power and fertilizer companies will create substantial demand for electric resistance welded line pipes in the near future, foresees Raghav Jindal, MD, Jindal Pipes (ERW Pipes branded as “Jindal Star”)

B

eing a major player in pipe manufacturing industry can you track us the sector’s present scenario?

We are seeing robust prospects for India’s electric resistance welded (ERW) pipes. The segment, with constant entry of newer players, has become increasingly competitive. However, with increased investments and focus on distinct segments like oil and gas, infrastructure, introduction of rural and urban water supply schemes, we see ample growth scope for the existing as well as new entrants. The current market condition definitely projects a positive outlook for the sector’s growth pace.

Can you review us the opportunities prevalent in the oil & gas segment for pipe manufacturers?

We see robust prospects for the pipe manufacturing industry in the oil and gas segment.

Considering the opportunities ahead, we see substantial demands for ERW line pipes in

the near future as major oil and gas, power and fertilizer companies are planning to develop numerous cross-country pipelines.

With the increasing global demand for critical oil and gas pipelines, DP Jindal Group has chalked out massive expansion plans. Jindal Pipes has developed API 5L pipes upto X 70 from its existing manufacturing line pipe grade X 56.

How has your company planned to explore the opportunity in gaining prominence of affordable constructions?

Our pan-India dealer network is our strength.

We already have a strong dealership presence in the tier-II and tier-III regions; they cater to the rising housing and construction demands at the most competitive prices. Besides, with the concept of affordability coming into focus, we are seeing potential demand and market opportunities for the PVC, uPVC and cPVC pipes, which have entered the plumbing segment. However, the metallic pipes still enjoyable its unbeatable advantages, which is

We are seeing potential demand and market opportunities for PVC,uPVC and cPVC pipes

being accepted and experienced for so many decades by the masses.

Has the accelerating cost of raw materials affected the pipe manufacturing industry?

The cost escalation in raw materials availability, freight, power and fuel has generated a direct impact on the industry’s business prospects. The direct impact on the business is being witnessed in terms of allotting a firm price on long-term basis to the end user. Besides, impact is also seen on the tender business, wherein typical validates ranges from 120-180 days. To sustain this competitive scenario we have adopted a sales mix involving actual users and dealers.

However, our emphasis is more on dealer’s network since it caters to the major customer segment.

How do you analyze the export potential of the pipe manufacturing industry?

Incentives schemes by the government for the exporters are inadequate to compete with the international prices. The Chinese government on the other hand has given more benefits to the exporters, due to which in the near future they will be emerging with a maximum share of GI pipe manufacturers globally. The issue prevalent in India can be tackled by enhancing the export incentives and on a domestic front by simplification of the tax structure. .

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Mining

Odisha – A Goldmine of Minerals The future growth momentum of mining industry heavily depends on the adoption of modernisation and automation in overall mining operations ity gas water supply as also evident to most large scale industries in the state are mineral-based.

To unlock the potential of the Indian mineral sector, it is suggested that mineral being a major resource for development, the extraction and management of minerals has to be integrated into the overall strategy of the country’s economic development. It identified that the mining sector has the potential to contribute around Rs. 945 to Rs. 1,125 thousand crore to the GDP and create 13 to 15 million jobs through direct and indirect contribution by 2025. Considering that Odisha has 10 percent

A

ccording to FICCI estimates, at present, nearly half of India’s total mineral production including oil and gas in value terms is contributed by seven key mining states, namely Odisha - 9.6 percent, Andhra Pradesh 9 percent, Rajasthan - 7.9 percent, Chhattisgarh - 7.8 percent, Jharkhand - 6.5 percent, Madhya Pradesh - 4.8 percent and Karnataka - 3.6 percent. These seven big mining states also account for one third of India’s population but are relatively backward in terms of economic growth as compared to other states. To push the growth agenda in these states it is evident that the future development index of these states should be contributed significantly by supporting growth of mining sector by modernisation and improving the efficiency and performance of mines.

Odisha has the highest stake in mineral produc-

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tion in the country, and and though it stands challenged by various social and environmental issues - it is geared up to begin early on the road to automation and mechanization in mining.

Resource Rich The state is bestowed with a rich resource of mineral varieties both in terms of deposit and production, unmatched to many states; these include that of chromite, bauxite, graphite, iron ore, manganese ore, limestone, clay, quartzite, nickel, copper, lead, coal and many precious stones. In terms of value of output of minerals, the state ranks the highest in India in recent years and its share has been increasing. It is this no surprise that, 25 percent of the state Gross State Domestic Product (GSDP) comes from manufacturing, mining, quarrying and electric-

“We have adopted computer-aided mine planning and design to ensure qualitative mining, ERP software and computer-aided blast design, accurate mine survey, slope stability monitoring among others” N. R. Mohanty Director (Project & Technical), National Aluminum Company Limited (NALCO)

Mining

of the total capacity of the country in steel production, 25 percent of the total iron ore reserves and is a leader in Aluminium production capacity and output, the sector still remains untapped to reap the true potential of economic development being a mineral-rich state.

6000

In million Ton

Technology and Modernisation The key priorities areas of attention to optimize production and output includes enhancing resource and reserve base through scientific exploration, reducing permit delays, putting in place core enablers such as infrastructure, human capital, technology and ensuring sustainable mining and sustainable development around mining. “The mandate is there to adopt automation and modernistion as a major initiative in the mining sector.

The recent challenges of environmental and social impact of mining have slowed down the industry, going forward there is no other way but to adopt latest technology to make mining industry valuable again,” says NR Mohanty, Director-Project & Technical, National Aluminum Company Limited (NALCO).

According to the latest report on the trends in mining sector in India, it suggests that genuine performance improvement comes only when companies revise their underlying systems. As mining industry continues to face challenging market conditions including high costs, there is a need to embrace new forms of innovation can lay the foundation for long-term business growth and be best positioned for future success. Miners should innovate by adopting technologies to enable mine design and planning, energy supply, as well as adoption of emerging technologies. “We were the first to use double roll crusher for primary crushing to increase the productivity, and also have one of the largest single flight long distance conveyor for transportation of bauxite. We

4967

5000 4000 3000

1796

2000 1000 0

162 Chromite

Nickle Ore

Figure 2: Major Mineral Deposits in Odisha

IT in Mining Technology is an enabler of information collation, business analytics, and optimization of operations thus bringing overall productivity in mining for the company. Today although the country has a rich mineral resource, there are many gaps in the overall management in mining operations. These include lack of technological and geo-scientific inputs for implementing an accelerated mineral exploration such as absence of detailed structural, geophysical, exploration, 28287

30000

30204

25000 20000 15000 10000 5000 0

7630

6604

15123

15317

2008-09

2009-10

10627

2776 2000-01

2005-06

2006-07

Figure 1: Value of Mineral Production in Odisha

2007-08

2010-11

Bauxite

Iron Ore

Source: Economic Survey 2012-13, Government of Odisha

now have computerized reserve estimation, and have also introduced the trench mining method in bauxite mining in India, this helps in resource conservation and productivity is higher. These are some of the modern techniques that employed by NALCO,” informs Mohanty. To drive performance improvement, mining companies need to stay abreast with technologies that allow them to operate their mines remotely, automate core mining processes, and use techniques like remote sensing to localize ore deposits.

35000

In Crore (Rs.)

174

2011-12

Source: Economic Survey 2012-13, Government of Odisha

resource management among others. However, many are investing in IT with the aim to gain operational intelligence and productivity.

“Vehicle tracking systems and GPS system has been installed in our mines. And these have contributed to our productivity of the operator, vehicles and emergency situations that are available in our control rooms. These helps to plan optimum route and planning of vehicles and operators management can be easily done.

We have also introduced a software that helps to draw the boundary of the mines by which we can map the mine area including mapping of forest area, private land, settlements etc.

Other IT applications include computer-aided mine planning and design to ensure qualitative mining, ERP software and computer-aided blast design, accurate mine survey, slope stability monitoring among others”, says Mohanty.

Another major movement in bringing-in transparency has come from e-auction and e- procurement that have made bidding and selection process streamlined and transparent.

Future Outlook The need of the hour is an urgent attention to fast track modernisation and upgradation of mining operations to ride over the recent slump in activity. The automation and modernization sector will augment mining of various minerals most scientifically in order to extract the minerals using the state of art technology to ensure safety, economy, efficiency and conservation with due regard to environment. Safe and optimum operations result in high production.

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IN PERSON

We will Foray into Power Generation Says Animesh Nandan Sahay, CMD, Mahanadi Coalfields

P

lease tell us about Mahanadi Coalfields Ltd (MCL).

How did the company come into being?

Mahanadi Coalfields Limited was carved out of South Eastern Coalfields Limited in 1992 with its headquarter at Sambalpur. It has its coal mines spread across Odisha, including seven open cast mines and three underground mines under its fold. In 1992 we started our operations, so now the company is about 21 years old. When we started, our

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coal production was 23 million tonnes and last year we produced 108 million tonnes. So there has been consistent growth in last 21 years. In fact, we have been producing more than 100 million tonnes, since 2009-10. This year we hope to do better. We have two coal fields- Talcher and IB valley coal fields. Our future programme is ambitious and we will triple our production to 350 million tonnes the next 15-20 years. I don’t see any technical problem, except for the clearance problems.

If the clearances are available in time and

land issues are sorted out amicably, than I don’t see any problem in achieving 350 million tonnes coal production. Infrastructure, that is to say evacuation part, is also very important. We are opening new coal fields in different areas of the state.

In your opinion what are the key initiatives that have allowed MCL to grow consistently over the years?

MCL’s main operations are open cast, so

IN PERSON

having our own berth in a port.

mechanisation is possible. For that reason, growth is faster. While the quality of the coal may not be that good, we are making it up with quantity. We are in fact constrained by infrastructure; getting land is a big problem, especially forest land. Most of the land that we have is either coal bearing, which means that we can’t have infrastructure on that land, or it is the forest land. Another problem is that there are more than 400 villages around the coal mines. Shifting the village population is a major problem. Where do we shift them?

We can easily triple our production in next 10 years if infrastructure and land related issues are resolved, but that is difficult; so we will take around 15-20 years for achieving this goal. I would also like to tell you that in Odhisa, we are the only company to have opened new mines consistently and to have expanded effectively. When I came here in 2011, there was a mine called Bhubuneswari, which used to produce only 3 million tonnes of coal. But this year, if we get environmental clearance, this mine will produce 25 million tonnes.

Elaborate us about your eoperational initiatives?

Use of ICT in governance is increasing. We at Mahanadi Coalfields have successfully implemented the e-auctioning and e-procurement processes. Our e-procurement service was started in 2009 on an e-portal designed by National Informatics Centre, Chennai. The system has achieved positive operational results.

The tenders submitted through the e-auctioning process are auto-evaluated. This

has eased the application, submission and updating information about tender status.

The system allows a person Andaman and Nicobar to apply and submit bids. We further implemented the auto-refunding system to address the refunding issues of bidders. This has eased the refunding of Earnest Money Deposit (EMD), which is executed within 24 hours. It was implemented in October 2013 as a pilot-project is now fully operational.

Till 15th January this year, we have refunded Rs18.8 lakhs and 164 unsuccessful bidders were registered.

“We aim to enter into a joint venture with the Odisha government in power transmission. We already have some assets earmarked for us�

Where do you expect to see the company in future? Tell us about your vision for MCL and the coal industry in India.

Our core business will be coal mining, but we also want to be energy providers. We want to go for power generation. We also want to enter into a joint venture with the Odisha government in power transmission. We already have some assets earmarked for it. So, we will be in power generation and transmission. Apart from these, we are in talks with Paradip Port authority to take over some of their berths.

They have already agreed to give us these facilities on a nominal basis. In railways, we own a 52 km line in Jhasuguda. We are investing Rs 1000 crore for developing it. Once developed, it will be completely our own and will increase coal production in Vasundhara. We also want to develop another line from Vasundhara to Nagpur. Meanwhile, we are also looking to change the internal transportation of coal through silos. In a nutshell, our future priority is power generation, transmission and also

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IN PERSON

How have these e-initiatives benefited Mahanadi Coalfields?

Tenders worth Rs 2 lakh and above come under the e-tendering process. The e-tendering system has reduced the cost of bidding; it now the costs Rs30/bidder compared to the earlier cost of Rs 2,000 or more. Along with reduction in bidding and transaction costs, the process allows complete transparency in the process. As all tenders and their respective details are available online, a bidder can track the status of his submitted tender. The system also makes the bidding process flexible, wherein the bidder can make changes in the tender till the last minute. However, no changes are acceptable once the tenders are closed. E-procurement has brought down the validity of global tenders from 180 days to 90 days and of domestic tenders from 120 days to 75 days. It also helped reduce unethical practices by bidders during the tender process. The security of these portals are strictly regulated and monitored by three security agencies.

We have also utilized ICT technologies for coal weighing. We currently have 40 inmotion road weighbridges equipped with Road Frequency Identification (RFID). The system allows to acquire accurate on-line production data.

Have you incorporated such technology driven facilities for fleet management?

Our Operator Independent Truck Dispatch System (OITDS) has brought in transparency in our three mining areas, especially in Over Burden (OB) removal process. The process has brought in a positive benefit in reducing the overtime hours by 5-10 percent. We have installed GPS-enabled vehicle tracking systems in our trucks, particularly those handling transportation of drinking water to remote villages during summers. We will be soon deploying such GPS and GPRS trackers even in our coal tippers carrying coal, wherein the system can monitor and control coal thefts.

The coal sector is generally considered a very hard area for employees. What facilities are available to MCL employees?

We believe in providing the best possible care to our employees. Once they join MCL, their lives are completely taken care of. Even the

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lowest employee earns more than Rs 20,000 per month. We also provide complete medical coverage to all employees’ family members, including parents, if they are dependent on them. We didn’t even blink while giving Rs 10 lakh for hip replacement for the father of our employee. We have access to good hospitals, dispensaries and trained doctors. We also provide living quarters to our employees.

Currently, we are building new living quarters.

We have a liberal policy for giving jobs to land giver. Odisha government’s R&R policy says that as lands are fragmented and there are

“The tenders submitted through the e-auctioning process are auto-evaluated.

The process has brought in ease in applying, submission and knowing updated information about the status of the tenders”

many owners for a patch of land, jobs must be given to all. So, people in the state know that if MCL takes their land, their interests will always be safeguarded. We give around 70-80 crores for a village. This is very liberal and lucrative. Like once I got a letter, written by 2 villagers, demanding that if we don’t start measurement of their houses and pay them compensation, they will sit in hunger strike.

Problem is, there are many in a village who do not own lands. We cannot not give them a job, as the policy says job for land.

How does MCL get the funding for providing these benefits to the employees?

We generate funds through our own means.

We are the highest tax payer in Odisha. Last year we paid around Rs 2,000 crore as tax out of our Rs 6,400 crores profit. We paid around Rs 1,200 crores as royalties, apart from entry tax and other taxes. It all goes to the state.

We also spend Rs 100 crores on CSR related activities. We spend on sports as well ; we often organise hockey tournaments. Last year, we supported a girl who plays chess. We gave her one lakh and she is now a world under-10 champion.

Odisha still has lot of scope in human development, citizencentric service delivery areas. How can MCL contribute here?

It is all about to change. All over Odisha and in India, you have the dengue scare. But you will not find it in our areas. To improve the quality of education, we fund nine DAV schools. We also give aid to other schools. Last year, one of our DAV schools was judged to second position in India in CBSE. We are doing wonderful job in education, and it is showing results.

Since coal is located here, many industries are setting up their facilities here. This leads to more employment generation and more prosperity.

How important is IT integration for MCL to be working in transparent and effective manner?

It is extremely important. Actually, we have been slow in using the best IT systems. About 15 years back, we did not recruit in this field.

Then we picked up. IT brings in transparency; you cannot fudge numbers. In last 3-4 years, this trend has changed. Now you know exactly what is happening. We are trying to curb thefts with the help of IT - Geo-fencing, GPS based trucks, etc. . E-procurement is also important.

In the beginning, we had glitches, but those are sorted now. Things are picking pace. Now we work through out website instead of spending crores on advertisements.

MINING

We Are Exploring Underground Coal Gasification Says AK Debnath, Chairman-cum-Managing Director, Central Mine Planning and Design Institute (CMPDI)

I

t is understandable that CMPDI’s core competency is technology. Please share with us your achievements over the years in this regard.

In 1975, CIL’s production was very less. This year, CIL will be producing around 482 MT and next year 507 MT coal. So, whatever additional projects have come we are doing it, in terms of drilling to preparation of project report to environmental report, and the kind of technology investment is required which will be done by CMPDI. Apart from this, we are also into unconventional projects like CBM and CMM (Coal Mine Methane). Recently, we have floated tender for Underground Coal Gasification (UCG). It is a new technology. Two blocks have been identified for this and investor will come for investment in these blocks on profit sharing basis. This technology has been tried in many parts of the world. It has been successful in some places and not that successful in other places. So, we are going for turnkey projects.

It means it will be entirely financed by the bidder who can share maximum revenue.

There are lots of environmental concerns regarding the coal industry in the country.

What is your view on that?

I think, Coal India is actually creating additional environmental resource-forest and water. I will explain this. When the land is used and we do mining, after that we do plantation of trees and as on today, we have planted about 76 million trees. It means if we have damaged 1 hectare of forest, we have created 2.5 hectares. This is what we have got through satellite

images, and even the environment ministry also knows this.

It is there in public domain, but yes we have to publicize it more.

On the other hand, we are using mining water. Apart from that, we pay Rs8 to Rs9 lakh per hectare against the forest land acquisition, and till date Coal India has paid around Rs1,600 crores.

We also pay double for aforestation cost. These are all statutory provisions.

I agree that dust is a problem and we are taking care of dust problem to avoid environmental hazards. You have to understand that there are no chemical activities in the coal mines. So there is no problem of poisonous gas or chemicals coming out these mines. Problem is of land. If we want to do mining, we have to do it in land as there is no other option. Our coal industry is scattered, population density is very high, and I think for that there is big hue and cry about land. I told in number of occasions in various workshops or seminars that if you think we are damaging environment, then just stop mining. On the one hand, government is always talking about increase in coal production and on the other hand, there are environmental issues.

These two cannot go together. Another thing that I would like to mention is that we have already started discussions with various agencies on how that reclaimed land can be converted as a source of income for the local people.

What kind of technology is used by the coal industry in India compared to the technologies used in other parts of the world?

We have tried all kinds of technologies practiced or deployed all over the world. Technologies used in countries like Russia, Poland, France, Canada, UK, Australia and China are also being used in India’s coal industry. But we have to keep in mind that geo-mining conditions are not the same everywhere.

As far as open-cast mining is concerned, we are using highly mechanized equipments. In the area of application of technology concern, we have tried all kinds of technologies.

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MINING

We Have Sufficient Coal Reserves To Last For More Than 100 Years Says Gopal Singh, Chairman-cum-Managing Director, Central Coalfields Ltd

P

lease give us an overview of Central Coalfields Limited (CCL) operations?

For development of any society, state and country or any sector of the GDP, electricity is the basic ingredient, which must be available at an affordable cost. Our basic thrust is providing electricity at an affordable cost.

Fortunately, we have sufficient reserves of coal in our country. It is necessary as more than 54% of electricity is based on coal. We have other sources for generation of electricity like natural gas and oil, but the reserve we have today may last for another 25-30 years. Even uranium reserve is less. Especially after Japan debacle, even countries like France planning

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to switch over to some other modes. Also, solar energy is very costly and is around Rs 10 per unit. Whereas, coal based electricity costs around Rs2 to Rs3 per unit and is the cheapest source of electricity.

However, do you still see a demand-supply mismatch in India’s coal sector?

We have sufficient coal reserves to last for more than 100 years to meet the entire electricity demand of the country. We are quite fortunate due to this. In addition, we have the world’s largest miner - Coal India Ltd. We have the technology. We have everything. In spite of that we are not able to produce the desired quantity of coal. As a result there is a huge gap between demand and supply. For example, last year there was a gap of 168 million tons of coal to meet the demand and supply. Now, if we calculate 168 million tons of coal in terms of forex, it amounts to 21 billion dollars.

This is huge and it disturbs country’s Current Account Deficit (CAD) and balance of payments. We have to keep in mind that petroleum, gold and coal actually affects CAD of the country as whole. Now we don’t have that much petroleum or gold reserves. And there we have an edge with coal resource.

However, in spite of having so much of reserve, technology and the world’s largest miner in our country, we are not able to meet the country’s demand. It is really disturbing.

CCL’s priority is to maximize the production to the extent possible. Fortunately, Coal India has eight subsidiaries, including CMPDI. But it is basically a planning and design organization and other are seven coal producing subsidiaries. Out of these seven co-producing subsidiaries, three subsidiaries— South Eastern Coal Fields Ltd in Chhattisgarh, Maha-

nadi in Odisha and CCL in Jharkhand are important and these three coal companies had equal potential to produce in terms of reserve. If you consider quality then CCL has A-grade material also. So CCL is not inferior to those two companies. But those two companies have already crossed the mark of 100 million ton per year production while this company’s production has been stagnating around 48 million ton for last so many years.

I joined this company in 2012. I spent my initial 21 years in the company, so I know the strengths and weakness of the company. I ask myself, why cannot CCL produce at least at par with those two companies if not more?

What according to you are the main hurdles and measures that need to be adopted?

The challenge before us is that either we live with problems that we have and surrender before them that by saying we cannot do anything. According to me for every problem there is a solution. Keeping in mind all these, we have introduced Kaya Kalp model. This model is essentially based on three values: Philanthropy, Ethics and Transparency. In a state like Jharkhand, this model is working well.

We have ultimate objective to achieve inclusive growth so that sustainable development can be achieved as unless stakeholders are being taken care of, we cannot achieve that goal. Land acquisition was our biggest challenge. We are the only company, may be in India, which is providing employment for every two acres of land. This ultimately helps us in getting new land and open new projects, and in meeting the gap between demand and supply of the coal production for the country as a whole. I must mention that this year we have been able to open 4 green field projects.

News Report

Dow Corning Launches Centre for Construction Expertise in India

D

ow Corning, the global leader in silicone technology, has announced to launch a dedicated training institution to bridge the skills gap and deliver tailor made modules customized to the needs of India’s construction industry. The proposed centre will conduct a range of construction-focused workshops across India. Taught by construction industry professionals, these workshops are suitable for skilled and unskilled construction workers, contractors, fabricators, builders, apprentices and other contributors to the industry.

Bridging the Skill Gap Designed to deliver a better understanding of the best practices in the industry, acquiring of new skills, learning about new technologies and applications under a certificate programme, the centre aims to improve the skill sets of the construction industry workforce in India. Speaking at the launch, Jean Paul Hautekeer, Global Marketing Director – High Performance Building Solutions, Dow Corning said, “Given the increased usage of high performance silicone materials in the construction industry, there is an increasing demand for workers who are knowledgeable about these materials and skilled in their application. Through the Centre for Construction Expertise, our company is working to help meet the demand.”

The centre has developed workshops on the topics that include an overview of adhesives and sealants, weatherproofing joints, sealant application in structural glazing and building expansion joints. “We believe that the centre will greatly benefit the construction industry of India in a holistic way as these training programs will improve the skill set of India’s workforce and enhance the quality of performance of construction projects,” added Hautekeer. The workshops include classroom

(R to L) Jean-Paul Hautekeer, Global Marketing Director-High Performance Building, Dow Corning; Lawrence D. Carbary, Industry Scientist, High Performance Building Solutions, Dow Corning; and, Nitin Kamat, Commercial Manager, Specialty Chemicals, Dow Corning

lectures, practical demonstration and hands on learning opportunities.

India – A Growth Market The launch comes after the recent announcement of the fourth quarter results of the company, which showed the sales were $1.59 billion, up by 7 percent compared to same time last year. The company is facing pricing challenges to limit the margins in the Dow Corning’s silicones segment; this was fallout of the dip in the solar industry market especially in the matured economies, as high percentage of the silicones are consumed by PV manufacturers globally. Commenting on the results, J Donald Sheets said, “In our polysilicon segment, Hemlock Semiconductor group delivered positive performance despite unprecedented pricing and volume pressure as the solar industry deals with excess capacity and awaits resolution of the global trade disputes.” The only way to excel in product performance is to skill the hands that deliver the product at the last mile i.e the skilled and

unskilled workers. The company views India as an important market, elaborates Hautekeer, “There is a huge potential of expanding the base of silicon based products especially in the emerging markets, more so, in developing countries. Globally the usage of silicon per capita is much in developed economies and still low in Asia, India and Africa. So we see immense potential of growth in these markets.

Therefore we are investing in India and Africa to enter these geographies.” He adds, “Globally we had very good results in the buildings and construction segment. This was because of two reasons, there is need in the mature economies to invest in more energy efficient buildings and in the developing world there is a need to build to cope with urbanization. These are the two trends that are emerging today globally, and are equally important to us.” Although an initiative of Dow Corning, the company is open to collaboration and partnership with other who can expand on the expertise and domains that the centre will teach related to building and construction skill sets in future..

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In Person

Effective Technologies Ensure Good Quality Sharing insights over the prevalent scenario of pump manufacturing sector, Kamalesh Choudhury, Vice President - Operations, Mody Industries (F.C.) opines the need for customers to understand the long-term capital values in purchasing quality products

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onsidering the volatility in the prevalent in the infra-construction sector’s market scenario, which segments act as the major demand drivers for the products from Mody Industries?

Our business is mainly focused around the infrastructure projects. Hence, the core infrastructure projects along with steel and power are the major sectors catered through our pumps. However, the infrastructure industry has witnessed numerous downturns in the recent past, primarily due to the unstable financial scenario. Last year, for instance, witnessed cancellation and delay in numerous infrastructure projects which added pressure on the market volatility. In addition, land acquisition has evolved as major roadblock in the execution process of infrastructure projects. The uncertainty in the political scenario has further clouded growth prospects.

ment international standards in our products and this has evidently helped in delivering advanced operational abilities.

Yet, we have succeeded in sustaining the market pressure. The effective strategic planning approach maintained in our operations and the standard ensured through our products and technologies has assisted us in sustaining our market position as a quality provider. The other aspect includes expansion of our product range, thereby enabling us to cater diverse sectors. We will be expanding our product range, catering specially to the utility sector. We are optimistic on delivering a balanced growth performance through our initiative to cater to varied business verticals. We are hopeful on implementing these operational plans by March 2014.

How do you review the role of technology in ensuring quality service?

Adoption and implementation of effective technologies always guarantees good quality operations and the same applies to the pumps industry. Fortunately, Mody Industries is always successful in meeting the quality demands of our customers. Our quality focused approach has enabled us to establish as a guaranteed and trustworthy product manufacturer in the market base. We imple-

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Financial support or lack of awareness – which is a major hurdle influencing the customer’s preference towards quality products?

Finance is a major influencing factor on the customer’s purchasing behavior. Due to the financial constraints, it is often observed that a customer settles for short-term benefits and ignores the long-term capital value of the products. At such a financially-tied situation, their choice is often inclined towards products available at cheaper price and cheap quality, mostly offered by the unorganized sector. The presence of such unorganized sectors providing an option to deliver low quality products has definitely impacted the pumps manufacturing segment’s growth prospects.

Another major hindrance is the lack of awareness among the customers towards the utilization of quality technologies and products.

The customers need to understand the benefits and long-term capital value in purchasing a quality product. A quality and standard pump can deliver minimum energy consumption, offer increased operational hours, low breakdowns and minimal or zero maintenance. All these factors need to be clearly understood and adopted by the customers. The government and regulatory bodies can play a major role in enhancing the awareness among customers towards qualitative products. For instance, an implementation of penalty over high energy consuming pumps can enforce the customers to switch towards high quality products rather than the alternative low-standard ones.

zoom in

Poised for Global Growth Universal Construction Machinery & Equipment forges ahead with a range of new initiatives and products for domestic and international markets

U

niversal Construction Machineries and Equipments has grown on the strength of its top quality products like on-wheel batching plant, transit mixer, and self loading mixer. To augment its leadership position in concreting equipments, the company has expanded its product portfolio with the recent launch of self loading concrete mixers & entire range of vertical man & material handling equipments like passenger and material handling lift.

The company is stepping up its growth with the opening of its research and development center - one of the firsts by an Indian company and recognized by Government of India. The purpose behind setting up an R&D center is to develop new products, upgrade the existing ones, develop import substitutes suited to Indian conditions, localize products for International markets, and constantly improve the manufacturing process. A team of 22 engineers and 8 technicians will be working at this center with a target of making at least five products annually and intensifying the competition in international markets.

The self loading mixer (SLM) is developed in-house by the R&D team, which saves foreign currency and heavy technology transfer fees. The SLM is available in capacities of 2 and 4 CU m/hr capacities. The product is ideal for projects which require constant shifting of machines like canal lining, road dividers, and windmill and irrigation projects. The machine can self load the aggregate, batch mix, transport and discharge the concrete at specific locations. Only one operator is sufficient to operate the machine. The machine is fully hydraulic, with all wheels steerable, which enables machine to move at sites at 30degree inclinations and also turn very short radii of approximately 3m. It mixes concrete which is in transit at 2-6rpm and discharges it into a high speed of 18rpm. Universal SLM offers maximum comfort level with rotating seat, open cabin and clear visibility with adequate safety measures. The product is designed spe-

cifically keeping in mind the needs of Indian consumer, at a time when there is acute shortage of manpower. This product has a huge potential in areas where irrigation projects are on the verge of completion and canal projects are being started.

A startup which started as a small shed in

1980s making block-making machines by Rohidas More has in three decades emerged as the biggest construction equipment company in the business in which it operates. Universal has bloomed into an Indian multinational with a reach in more than 40 countries.

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POWER

Solar Power Gains Projects Push The recent interim budget announced by the government spreads optimism for power sector especially solar industry with new projects to boost power generation across the country

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ong pending projects in power, coal and petroleum have found a new found thrust from government as many have got clearances and approvals sanctioned. In 2012-13, the country has added 29,350 MW of power capacity. In addition, about 50,000 MW of thermal and hydel power capacity is under construction after receiving all clearances and approvals. However, even as we struggle to reach our production targets using conventional energy resources, the pace of renewable energy adoption across states has witnessed a steady growth. After exceeding the target and achieving 1,684 MW of grid connected solar power, the National Solar Mission has entered the second phase and as announced in the interim budget early this month, the government has proposed four ultra mega solar power projects each of over 500 MW in 2014-15. This year, the bidding process saw an encouraging response from the industry as the first batch of solar projects auctioned under the second phase with close to 68 companies bidding for 120 projects.

State Focus Indian solar installations are forecast to be approximately 1,000 MW in 2014, according to Mercom Capital Group, a global clean energy communications and consulting firm. In addition the report suggests that most of new solar capacity will be added in the states and supported by state solar policies. It predicts 1,551.4 MW from state contribution compared to 633.1 MW from Jawaharlal Nehru National Solar Mission. In perspective, the central government has an innovative programme for the state under the Ministry of New and Renewable Energy (MNRE), called Mera Gaon Microgrid Power System sanctioned to State Renewable Energy Development Agencies (SREDA)

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and other implementing agencies for solar PV mini/micro grid projects in 176 villages in six States during last two years.

Table: Details of states and villages under Mera Gaon Microgrid Power System S.No

Name of State

No. of Villages

1

Bihar

12

2

Haryana

1

3 4 5

Jharkhand Madhya Pradesh Rajasthan

9 29 24

6

Uttar Pradesh

101

Under the Off-grid and Decentralized Solar Applications Scheme of Jawaharlal Nehru National Solar Mission, the Ministry provides capital subsidy of 30 percent of the cost for installation of solar micro and mini grid systems limited to Rs. 105/- per Wp upto 10 kWp micro grid (DC) and Rs. 90/- per Wp for the systems having module capacity in the range of 10 kWp up to 250 kWp with a minimum warranty of 5 year for the complete system, in the rural and remote areas of the country. Many states have taken a lead by adoption of progressive solar power policy and guidelines to drive the renewable energy push and support the power demand-supply gap.

Power

Solar Energy - A Tax Saving Tool Solar power spectrum can emerge as the real game changer. Willingness and a positive approach from the governing body is an essential for all renewable power resources to flourish effectively and in establishing its presence across distinct regions in India.

Installation of solar plants under Renewable Energy Certificate (REC) mechanism is other latest development being witnessed in India’s solar spectrum. If solar REC sale picks up pace in the coming three months, the market will move very fast.

Benefits of Solar Plants

Vikalp Mundra, Joint Managing Director, Ujaas Energy

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he potential of solar energy has been a The potential of solar energy has been a hot topic for discussion in India, a country which is racing to meet the power requirements of an exploding population.

Just like after a dark night the sunlight starts radiating light at dawn, the entire solar spectrum in India is on a constant evolution.

Trailing Growth Considering the present scenario, demand for renewable power, particularly from the solar sector, will increase. Besides, the utilization of solar energy is prospective alternate to conventional energy for both the rural and urban regions. In remote rural regions, solar

is best suited for distributed power supply.

Additionally, with the solar energy nearly approaching grid parity, it provides a suitable option for meeting the power requirements in the urban areas.

The sector is also on a constant evolutionary growth with the fast paced technical progress. The latest innovation is the installation of rooftop solar panels. The concept of rooftop solar panels is increasingly gaining momentum in the Indian market, particularly in the tier-I and urban metro regions; the technology has to yet establish its firm presence in the tier-II and tier-III areas. Reviewing the growth pace witnessed in this segment, the industry is optimistic that the technology will soon succeed in convincing the masses

Solar power will become one of the biggest contributors to India’s huge appetite for power, as the country and its economy grow steadily to become a developed nation. The benefits of using solar plants can be summarized as: • Scalable: No other form of power generation technology is as scalable as solar power. While the other forms of power generation technologies often have a fixed capacity potential where variation is not possible, solar power offers this advantage; the smallest plant can be as small as 0.5 KW and largest plant can be 500 MW(+).

• Modular: Solar power plants can be designed in such a way that they can be upscaled of downscaled depending on the energy needs.

• Replacement: Being modular, the cost of faulty parts is very low as compared to other power generating plants.

• Ease in shifting: A solar power plant can be easily shifted from one place to another and thus ensures ease in the installation process. When compared to other forms of renewable segments this is an added benefit, as shifting a wind or hydel power plant is almost impossible.

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41

Power

Boon for Investors There are two types of investors in solar power plants: corporate who have a big tax liability, and high net income (HNI) individual or groups as an energy asset class. Owning a solar power plant is beneficial for corporates having a high tax liability as, it allows 100 percent depreciation, which is a very good option for tax planning. Besides, solar power plants prevail as an boon for HNI, as income from solar plants are eligible for tax free income under section 80(I)A. This ensures a positive return which is almost fixed in nature. Till date, Ujaas Energy Ltd has commissioned more than 60 MW in four solar parks, all based in state of Madhya Pradesh. Almost 30 companies have already gained benefits and we are gaining more positive inflow with the growing reach of awareness about the utilization of this model. The model also persists as an economic beneficiary, wherein 65-70 percent of funding is easily available for solar projects from banks and financial institutions.

Cost Effectiveness & Land Procurement The concept of installing solar panels is often misunderstood and a myth of high cost involvement is often associated with it. How-

Installation of solar plants under Renewable Energy Certificate (REC) mechanism is a new development being witnessed in India’s solar spectrum ever, with the solar power almost achieving grid parity, a little push from the government for a couple of years can make this sector effectively self-sustainable. Ujaas is constantly involved in spreading awareness at all possible forms. The issue of land procurement is often a topic of grave importance, not just for the solar sector but for any business activity. Ujaas takes this in a very holistic way and compensates land owners by giving a fair price.

Need for Effective Policy Frameworks Though India has implemented a compre-

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hensive policy framework for solar energy, a need to execute these policies and plans into practice for reaping the benefits still remains unmet. Power being a state subject; it is now the responsibility of the states to take the initiative. While some states are aggressively in line with central policy, few are catching up and some are yet to start.

Power is a crucial element and is an essential aspect in meeting the infra-construction demands of any economic activity. Hence, an active approach from the government becomes of core importance for the growth of this sector.

2013 saw a sluggish growth for the solar sector, a major reason being the lack of effective push from the government, particularly in the implementation of renewable purchase obligation (RPO). Willingness and positive approach from the governing body is an essential for all renewable power resources to flourish effectively. This is applicable not just for developing countries like India but for any country in this globe. For instance, solar power segment in Germany enjoys a prospective presence, due to the government’s aggressive participation and policies like the feed in tariffs.

The other need of the hour is implementation of net-metering policy and regulation policies. Being a tropical country, India is blessed with good sunlight in most part of its topography; hence a need prevails to effectively tap in the potentials of this renewable resource. However, the need of the hour is net-metering policy and regulation policies. Reviewing the prevalent potentials, we anticipate solar power segment to be the real game changer.

power

Haryana Creating Systems for Affordable Electricity Devender Singh, Principal Secretary, Power Department, Government of Haryana; Chairman, Haryana Tower Utilities

P

lease tell us about the initiatives that are being undertaken to ensure that people in Haryana have access to round the clock electricity?

The department’s work is to create the necessary infrastructure for providing reliable and uninterrupted power to all categories of consumers at optimum price. We are working to improve our infrastructure to cater to the load growth that is taking place in rural, urban and Industrial-commercial segments.

The focus has to be not only on arranging the much needed supply of electricity, but also to

provide adequate infrastructure for generating the power. We have prepared an integrated plan for next three years where, depending on the load growth projections for various categories of consumers, we have planned the infrastructure augmentation that needs to be done. We have tied up with various resources of funding ranging from international funding and domestic financial institutions. Close to Rs 8000 crore will be invested in Haryana’s electricity sector in the next three years. This investment will help us in developing infrastructure for ensuring that there is an effective system in place for evacuating the power that

is generated. Our ultimate aim is to give consumers high quality round the clock power.

What are the sources from which you are procuring the electricity for supply in Haryana?

The state has its own power generation company - the Haryana Power Generation Corporation Ltd (HPGCL). HPGCL came into existence on August 14, 1998 for bringing excellence in power generation in the state‘s own generating stations. In addition, it has been entrusted with the responsibility of setting up of new generating stations in order to

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43

power

Future Electricity Projects in Haryana • 1500 MW Gas based project at Faridabad • 660 MW capacity additional super critical thermal unit at Yamuna Nagar as an extension of 2×300 MW DCRTPP, Yamuna Nagar • 2800 MW (4×700 MW) nuclear power plant in district Fatehabad near Village Gorakhpur – site stands identified by Nuclear Power Corporation of India. Government of India has approved the setting of this Nuclear Power Project in Haryana during October 2009 • Setting up of 6.5 MW Grid Interactive Solar Power Project on its own land adjacent to Power House-D at WYC Hydel Electric Project at Yamuna Nagar, as a pilot project • Coal block at Marato-Mahan in MP with estimated coal reserves of 956 million tonnes allocated jointly to HPGCL and Delhi Government

keep pace with the ever-increasing demand of power. HPGCL has an ambitious plan to add sufficient generating capacity in the state in order to bridge the gap between demand and supply. Two units of 300MW each were commissioned during FY 2008-09 at Deenbandhu Chhotu Ram Thermal Power Plant at Yamuna Nagar. Two more units of 600MW capacity each at Rajiv Gandhi Thermal Power Plant, Khedar, Hisar, were commissioned in a record period of 43 and 49 months respectively. The Haryana Power Generation Corporation Ltd. (HPGCL) has embarked on a mission to establish itself as a modern, growth oriented organization and to make its presence felt in the country’s dynamic power sector. We also source power from other companies to take care of the state’s power needs.

Please tell us about the status of some of the major power plants in your state?

The power stations at Panipat, Yamuna Nagar and Hisar are giving excellent performance and have broken all previous records of efficient generation. We have an ambitious plan to add sufficient generating capacity in the state in order to bridge the gap between demand and supply. Two units of 600 MW capacity each were commissioned by HPGCL in a record time at Rajiv Gandhi Thermal Power Plant, Khedar, Hisar. An additional 660MW unit with supercritical technology is being set up at Yamuna Nagar, as an expansion of the existing coal based 2×300 MW DCRTPP Yamuna Nagar. HPGCL is also coordinating the activities of a 1500MW project at Jhajjar,

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ICE Connect / iceconnect.eletsonline.com / March 2014

which is being developed as a joint venture between NTPC, Government of Haryana and Government of Delhi. Then, there is the 1320 MW coal-based thermal power plant at Jhajjar which is being developed by CLP Power India Limited. Also I would like to point out that today, the discoms have been told that they have to procure power through a competitive bidding process. So, the state can also procure power from outside, if it is at optimal cost. Transmission losses are quite high in the country. The R-APDRP scheme has also been launched to curb such losses.

to completely eliminate manual intervention in meter reading in case of high-consumers of electricity. The system for automatic meter reading (AMR), billing and regular data analysis is being introduced in phases. In case of AMR, there is no human intervention, and it is possible to have a close watch on the electricity consumption. It also ensures accurate billing.

For consumers above 10-KW of connected load, automatic meter reading (AMR) has been initiated. For the other consumers below 10-KW load, meters with optical port, facilitating reading through CMRI, are being procured so as to eliminate manual meter reading and plug revenue leakage. Remote reading through data concentrator units is also being planned.

Rajiv Gandhi Grameen Vidyutikaran Yojana (RGGVY) has been launched for enabling the remote villages to have access to electricity. What is the state of implementation of this project in Haryana?

RGGVY is basically meant for the electrification of the un-electrified villages. It is also meant to enable intensive electrification in states where some amount of electrification has already been undertaken. Under RGGVY, electricity distribution infrastructure is envisaged to establish Rural Electricity Distribution Backbone (REDB) with at least one 33/11KV sub-station

We have an ambitious plan to add sufficient generating capacity in the state Your department has been taking measures to install smart meters for accurately measuring the electricity consumption of consumers.

Please tell us about this project.

I strongly believe that the use of Information and Communication Technology is very crucial in the electricity sector, especially in the distribution sector. A total of only 3 percent of our consumers consume 65 percent of the total energy in the state, so any measure to check electricity losses will have to concentrate on this category of high-consumers. Manual meter reading and billing are the major sources of revenue leakage. Measures are being taken

in a block, Village Electrification Infrastructure (VEI) with at least a distribution transformer in a village or hamlet, and standalone grids with generation where grid supply is not feasible.

Subsidy towards capital expenditure to the tune of 90 percent is being provided, through Rural Electrification Corporation Limited (REC), which is the nodal agency for implementation of the scheme. Electrification of un-electrified Below Poverty Line (BPL) households is being financed with 100 percent capital subsidy. More than 90 percent of the money which we got under Rajiv Gandhi in the 10th and 11th Five Year Plan has been utilized and the BPL connections have already been provided.

INFRA Connect

Bihar – On the Road to Modernisation Building of road infrastructure is on the priority agenda for the state government as it aims to connect the capital to the remotest areas to strengthen the state economy and inclusive growth agenda

T

he state has been exposed to political apathy for long and was growing at a slower rate than the country for decades till around 2001-02. However, the state picked up the pace of growth in the recent past and has been doing very well in terms of growth performance in the last few years. With focus on infrastructure especially roads, the state government has taken up the construction of roads and bridges on a large scale in keeping with its resolution of connecting the state capital with the remotest area so as to cover the distance within a maximum time of 6 hours.

are the backbone of any state economy. Many projects are announced on National Highways (NH), State Highways (SH), Major District Roads (MDR) and rural roads.

NH-82 project The recent approval for upgradation of NH-82 in Bihar promises to usher overall economic growth of the region with better connectivity and improved physical infrastructure. The Cabinet Committee on Economic Affairs (CCEA) has recently approved the project for the four laning

of the 93 km long Gaya-Hisua-Rajgir-NalandaBihar Sharif section on National Highway-82 in Bihar. The project connects Nalanda, where the ancient set of learning popularly called as Nalanda University. The place is visited conjointly by the tourists who visit Bodh Gaya. The road shall also connect Rajgir, where Vishwa Shanti Stupa or Japanese Pagoda is a major tourist attraction. Rajgir is also a popular pilgrim destination for Buddhists. The project shall also facilitate Gaya to develop as a regional service centres with quality physical and social infra-

Table: Main Component of the project

Strengthening Economy

Original Length

95.000 Km

The per capita Net State Domestic Product (NSDP) increased by 84.13 % from Rs. 7,749 in 2005-06 to Rs. 14,268 in 2012-13 compared to an increase of 50.5% in per capita NSDP at the national level during the same period. This was due to the implementation of large social and infrastructure projects to set the pace of growth engine of the state. This is supported by statistics that during the period 2006-13, the sectors recording a growth rate of more than 15 percent were registered manufacturing - 18.2 percent, construction - 21.9 percent, communication - 38.4 percent, trade, hotels and restaurants - 15.1 percent, and banking and insurance 23.5 percent. Communication, banking and construction were the key performing sectors for the state. To ensure the momentum is not lost, the state government has put infrastructure development especially in road, electricity and irrigation would get top priority. There is extensive work being carried out in roads across the state to strengthen the network of connectivity of rural to urban areas and vice-versa, as they

Re-aligned Length

92.935 Km

Existing ROW

30-36 Meter

Lane Standard

Four lane with paved shoulder (Existing two lane)

No. & Length of Bypass

3 Nos. of Bypasses

Manpur Bypass

3.950 Km

Wazirganj Bypass

4.575 Km

Tungi Bypass

1.900 Km

Total length of Bypass

10.425 Km

No. & Length of Major Bridges

6 Nos. of Major Bridges, Aggregate Length 1347.8 Meter

Phalgu River Bridge

1.74

Paimer River Bridge

90.00 M

Tungi River Bridge

233.26 M

Tilaiya River Bridge

1.64

Panchane River Bridge

233.00 M

Panchane River Bridge

1.16

Phalgu River Bridge

546.74 M

No. & Length of Minor Bridges

33 Nos., Length: 421.47 Meter

No of Toll Plaza

2

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INFRA Connect

Building New Infrastructure In Bihar “The improved road connectivity to remotest villages in Bihar has enabled the rural population to access government benefits more easily,” says Chanchal Kumar, Secretary, Building Construction Department, Government of Bihar in conversation with Mohd Ujaley

You have been in Chief Minister’s office from 2005 to August 2012. What kind of transformation has Bihar seen during the last few years?

The state government has taken many new initiatives for improving law and order. The improvement in law and order has given confidence to the common man; it has also enabled a series of new investments to come in the IT sector and other sectors. There has been substantial improvement in education and healthcare. The infrastructure sector, like roads and electricity, there has been significant advances. The vision was to connect all the villages with population of up to one thousand, but now the state government has gone a step ahead and is now connecting habitations of

Please tell us about the work that you are doing in the Building Department?

Before the year 1982, Road Construction, Building Construction and Rural Engineering Organisation were all under the Public Works Department (PWD). In the administrative view, Public Works Department was split into three different departments named: Road Construction Department, Building Construction Department and Rural Engineering Organisation Department by the Cabinet Secretariat and Co-ordination Department’s. Our main objective is to plan and design building network to provide optimised connectivity to residential and non-residential government buildings of different departments.

We also take care of construction, renovation, upgradation and maintenance of residential and nonresidential government buildings of different departments. We try our best to complete every construction project on time. Many new projects have been started, like construction and expansion of legislative assembly and secretariat building. These projects are progressing as per the schedule. The work for creating the Bihar Museum has already been started and the project is expected to be completed in near future. Please provide us an overview of the e-Niwas Yojana.

The e-Niwas yojana was started with the objective of bringing transparency in the allotment of houses government employees and ministers.

We are getting reports that many of the places are under illegal occupation by people. So we thought that we should have a computer based system that can keep track of all the vacant lodging places, and people will be allowed to make bookings online.

Through this process we have already allocated new houses to many deserving citizens. Frequent inspection, training, proper utilization of human resources, and inspire the officials with great sense of enthusiasm, connecting and visualizing for multiple latest techniques are the basic instinct for development of our organization. Problems and grievances of staff are being addressed through efficient and scientific manner.

structure for its citizen and as a pilgrimage and leisure destination for visiting tourists with thriving sustained economy.

Undertaken by Bihar State Road Development Corporation Ltd, total project cost is estimated at Rs 1408.85 crore including Rs 1216.16 crore as civil construction and supervision works and Rs 192.69 crore as the cost of land acquisition, rehabilitation and pre construction

activities. The project will be completed within three years of signing of the contract agreement.

The project is being funded by Japan International Cooperation Agency. With upgradation to four lane by improvement of geometrics and strengthening overlays in addition to providing bypasses to the built up areas, smooth and safe traffic flow and substantial economic gain in terms of reduced Vehicle Operating Costs

(VOC) and reduced travel time - these would be achieved. The project road thus provides a smooth connectivity to Gaya/Bodhgaya, Rajgir and Nalanda both from Patna in turn connecting East-West corridor and GQ at Dobhi on NH-2.

Gaya has also an international airport and serves as gateway to religious tourism. Improved road connectivity is also expected to bring in overall economic growth of the region it serves.

up to 250 to 500 also. The improved road connectivity to remotest villages in Bihar has enabled the rural population to access government benefits more easily. The agriculture produce can be brought to the market efficiently because the transaction cost is decreased. More than 2.11 lakh teachers have been appointed to improve the quality of education in rural areas. Many new hospitals have been built to provide free and subsidized room to the citizens. The quality of life in all parts of Bihar has become much better as a result of these initiatives.

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In Person

Better Roadways for Improved Quality of Life Says Pratyaya Amrit, Secretary, Road Construction Department and Information & Public Relation Department, Government of Bihar

T

oday there seems to be an enabling and conducive environment for development in Bihar.

In your opinion, how have things have improved over the years?

There are two ways to look at this. If you ask me as an officer, I personally believe that irrespective of the time and the government that is in power, if an officer wants to work and

deliver, there is nothing that can stop him.

Earlier also there were officers who were keen on doing good work in the state. The only difference is that the atmosphere is conducive in a sense that receptivity and acceptability of ideas are better and high. Therefore, things are happening in the state if you see post 2006 especially in the field of roads, health, law and order and education. Although the officers

were also working earlier, but the enabling environment post 2006 has been conducive for development.

You have been responsible for turning around the Bihar State Bridge Construction Corporation. In 2011, Government of India awarded you with Prime Minis-

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47

In Person

ter’s Excellence award in Public Administration. Please tell us about the work that you did in the Bihar State Bridge Construction Corporation?

When I joined Bihar State Bridge Construction Corporation I had not imagined that this would be the turnaround story. I had been given a clear mandate to reform this is a defunct and sick organisation. Can we do something to make it like Uttar Pradesh Bridge Construction Corporation? And I am a student of arts, not science. So for me it was a very interesting experience. This is the beauty of the IAS that there is lot of variety in work that you do. We followed a two pronged strategy. First of all we completed all the pending bridge projects. Secondly we tried to bag many new orders to ensure that the organisation’s long term future was secured. We ensured that there was the right person at right position in the company. There was decentralisation of power so that decisions could be taken quickly. We started mobile inspector software. We enabled our engineers with GPS enabled phones and vehicles were outsourced. The entire design part was outsourced. We also introduced the concept of supervision consultants. Lot of thrust was given to quality, monitoring and field visit. I must have travelled more than 40,000 km in three-and-a-half years. Between April 2006 and June 2008 all the pending bridge projects were completed. We also bagged projects of almost Rs 6000 crore and started working on that. From 2006 to till date, we have constructed more than 1500 bridges.

You are using technologies like mobile inspector or android applications for monitoring various road construction projects across the state. Please tell us about that.

This idea of mobile inspector software is very unique and new. We were the first ones to try it in the country. It so happened that I realised that the number of bridges being executed was more than 200 and we were working at one fourth of our strength. In any infrastructure project, it’s very important that quality check must be conducted through a field visit. One of the complaints in initial days I used to get was that many of the engineers were mostly stationed at headquarter and never used to go out. So we implemented the idea that any engineer on field visit must click photos with

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GPRS camera and send it to the central server.

To click the photograph, they had to reach the spot. This made field visits important. Once they used to click the photograph and send me in a customised format, we started getting the real time report sitting in Patna or anywhere else. This initiative also led to vast decrease in complaints from the MLAs. You have also created a lab in Patna. What is the role being played by this lab?

For any engineering organisation, it’s very important to have thrust on capacity building. This is one area where things are changing on a day-to-day basis. So, we got a state-of-the-art lab and computerised everything. We sent lot of our engineers abroad and in other parts of India a part of incentive package. I still remember when this Mumbai bridge-Worli Sea Link was inaugurated, I sent 12 of my engineers for three days. They were taken around and a presentation was given by Mumbai State Road Development Corporation. We have grabbed these oppor-

improvement in the road density of the state?

We have worked consciously on this issue and have seen improvement from 2006 to till date, but this is one thing which needs lot of funds and thanks to the ADB funding and some support from World Bank for making lot of bridges. It’s a conscious effort of the government that for last five years or more, we have consistently got almost 20 percent budget of the state government. And more money means more and better roads and definite improvement in this figure.

Very recently the chief minister said “Our next target will be to make travel time from any village in the state to the capital Patna by roads within 6 hours,” How you are going to do it. Isn’t it huge task?

We must understand the background of this.

I am looking after the road construction department; there is another department that looks after rural works department. What CM

“For any engineering organisation, it’s very important to have thrust on capacity building in modern technologies” tunities. We have in-house training system.

And I think in Road Construction department, more than 100 engineers have been to US, Canada, Singapore, Australia and other places. This has hugely impacted their style of working. I can proudly say that many of my engineers are quite well conversant with the latest techniques and thoughts. For instance, we are executing public private partnership (PPP) projects. In Bihar in 2004, people could not distinguish between pothole and road, but today we are taking about PPP and have more than 3000 crore projects underway.

The road density in Bihar has gone up to 126.13 km from the 111-km mark of 2008, but it is still below the national average of 322.77 km. What are you doing to bring

meant was now there is lot of thrust on rural roads and he has sanctioned lot of money.

So, what he is telling is that once these roads are constructed, then it would take less time to reach from one block to another block or Patna. With the number of many bridges which we have constructed or are in the pipeline, things will definitely improve. We are going for Rs 500 crore work from Gopalganj to Sahibhganj in Muzaffarpur. Now, it takes four hours to reach Gopalganj from Patna, once this bridge is constructed, it will take you twoand-a-half hours. Similarly in Aurangabad, we are making an Rs 500 crore bridge. People use to take 9-10 hours to go to Saharsa. Now, it’s taking four-and-ahalf hours. So, it’s absolutely achievable. And I think five hours target is very reasonable. And I think in maximum two years, it should be achieved.

Ventures Realty & Business Focus

Alstom to deliver FGD system for NTPC’s Vindyachal plant Power conglomerate Alstom has won a contract worth Rs 2.03 billion from NTPC for the supply of Flue Gas Desulphurisation (FDG) system for NTPC’s 500 MW Vindyachal super thermal power plant in Madhya Pradesh.

The contract involves delivery of wet limestone based FGD system and pulverized coal-fired boiler unit on full turnkey basis including designing, engineering, manufacturing, testing, civil works, erection and commissioning.

On completion, the project will be the first full scope limestone based FGD for a 500 MW plant in India and fourth FGD project installation for Alstom in the country.

NABARD forays into warehousing finance

DDIL wins Paradip Port’s dredging contract

NABARD has forayed into the agri-warehousing sector by sanctioning 1,336 projects worth Rs1,112 crore to six state governments. The projects, sanctioned under the NABARD Warehousnig Scheme (NWS), are expected to create an additional storage space of 7.49 lakh metric tonne (MT) for agricultural commodities.

Under the NWS scheme a cumulative sanction of Rs2,158 crore has been made till date, creating a much required additional storage space 18.79 lakh MT. NABARD sees the opportunity as a prospective platform, wherein the total agri-warehousing capacity in India is about 109 million tonnes against a total demand of about 180 million tonnes.

Also, with the agricultural production having reached 255 MT last year and target for the current fiscal at 259 MT, creating a scientific storage space to match the demand has been high on the agenda of Government of India and NABARD. Besides, under the Rural Infrastructure Development Fund (RIDF), NABARD has sanctioned Rs6064 crore for projects from the agriculture and allied sector, rural connectivity and social sectors.

Of the total outlay, 40% goes into the agriculture and allied sector, 44% into rural connectivity initiatives and 16% is to the social sector. Through a Projects Sanctioning Committee meeting, NABARD approved 33 projects under the agriculture and allied sectors, 250 projects under rural connectivity and 804 projects under the social sectors. With the present sanctioning of Rs6064 crore, the total sanctioning under RIDF has increased to Rs19129 crore under the RIDF XIX.

Dharti Dredging and Infrastructure (DDIL) bagged a contract for executing capital dredging works at the New South Oil Jetty dock basin of Paradip Port. The dock basin will be dredged up to -17.10 metre below CD and to accommodate vessels up to 1,25,000 DWT. The project will take eight months, wherein the dredging will be carried out from +2.0 metre CD to -17.1 metre CD in the outlined Oil Jetty dock basin. DDIL will deploying its cutter suction dredger, DHARTI-XII, the largest in DDIL’s product-line, for executing the activity.

The initiative is a part of Paradip Port’s objective on enhancing its port’s infrastructure to handle the future projected traffic and congestion problems. The South Oil Jetty project is implemented within the existing harbor area.

Lanco wins EPC contract worth Rs3,930 cr Lanco Infratech has emerged as the successful bidder for the prestigious 1 X 660 MW Supercritical Ennore Thermal Power Station Expansion Project.

The integrated infrastructure major bagged the EPC contract worth Rs3,960 crore from Tamil Nadu Generation and Distribution Corporation.

As per the officially disclosed statement, the conformation letter was handed over to Lanco Infratech’s Executive Chairman L Madhusudhan Rao by the Tamil Nadu Chief Minister Jayalalithaa. Through recent acquisition, the group’s present order book status stands at Rs27,005 crore.

March 2014 / ICE.eletsonline.com / ICE Connect

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Realty RealtyUpdates Focus

Single Window Clearance to fast-track realty projects

Haryana Government plans Global City

The Ministry of Housing & Urban Poverty Alleviation has introduced a slew of reforms in the State Affordable Housing Policy with the aim of streamlining the process of seeking clearances for the real estate projects. A major initiative being suggested is the establishment of Single Window Clearance Cell for easing the building approval process. In addition, the ministry has also established a nodal agency for smooth implementation of the system and has set up an Empowered Committee to monitor the progress of the approvals.

Commenting on the recent initiatives, Dr Girija Vyas, Union Minister of Housing & Urban Poverty Alleviation (HUPA) said that land and colonisation are state subjects, the Ministry had decided to assist the state governments in introducing the Single Window Clearance mechanism for housing projects.

The ministry had earlier constituted a committee on Streamlining Approval Procedure for Real Estate Projects (SAREP). The committee recently submitted its report incorporating various recommendations for streamlining plan approval process for realty projects. One such recommendation for ensuring time bound approval has been included in the guidelines presently for Affordable Housing in Partnership scheme under Rajiv Awas Yojana (RAY).

The Haryana government plans to develop a Global City on the 1,383 acre land in Garhi Harsaru area in Gurgaon, which was earlier allotted for a special economic zone (SEZ) project. The state government undertook its recent decision after the cancellation of the SEZ project that was earlier allotted to the Mukesh Ambani-led Reliance Industries.

The proposed project will be an eco-smart city and will be jointly developed through the expertise of the Delhi-Mumbai Industrial Corridor and Haryana government, disclosed the state’s Additional Chief Secretary (Industries) YS Malik. Detailing further he added, “While the land for developing the project will be supplied by the state government, the funds for raising infrastructure would be sourced from DMIC.” The Global City will be built as a high-technology infused area, housing high innovation and knowledge industries. Malik said the idea turning the area into a high-tech region to bring high-value technology and industries together. The authorities have not disclosed a fixed time period for fully executing the project.

Hinduja Group to invest in realty sector Viewing India as a potential market, Hinduja Group plans to extend its presence in the real estate sector. Hinduja Group Chairman AP Hinduja said the company has chalked investment plan worth nearly a billion dollars (about Rs6,200 crore) across sectors like real estate, health sector, power etc. The company did not disclose any timeframe for these investments.

AP Hinduja also emphasized on the company’s focused approach in tapping India as a potential market despite the volatile economy, inflation and dynamic demand-supply indices. He said the Hindujas were long term players and did not consider the current depression in the markets as permanent. The group aims to explore this opportunity in expanding their business prospects and strengthen their operational presence across distinct verticals.

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CREDAI disappointed over RBI’s rate hike The Confederation of Real Estate Developers Association of India (CREDAI) has expressed dissatisfaction over Reserve Bank of India’s move to hike key policy rates by 0.25 percent to 8 percent.

While RBI had adopted this move to curb the inflation rate, the initiative has raised concerns over cost-tightening in the realty sector.

Lalit Kumar Jain, Chairman, Real Estate Developers Association of India (Credai) commented on the move, saying that the market would bottom out in terms of sales and liquidity and bring more suffering to the developers’ community. He added that while currently, efforts will be made to revive the economy and market; developers would now look for the March review.

Sharing similar views on the CREDAI sentiment, Shailesh Puranik, Managing Director of Puranik Builders Pvt Ltd said he believed that RBI’s hike in lending rates had come at a time when real estate industry was passing through a challenging phase and it would dampen market sentiments. He also added that the hike in interest rates would increase the burden on home buyers and there was a need to initiate a few positive steps towards improving the market liquidity.

Steel & Cement

Cement manufacturers identify Myanmar as new export hub Identifying the growing export potentials, cement manufacturers, particularly from the country’s southern region have started exporting their products to Myanmar. Chettinad Cements, Dalmia Cements, India Cements and Ramco Cements are the few majors who have adopted this new export path owing to the dwindling domestic market scenario.

According to a senior official source from Dalmia Cements, the producers are currently targeting such export markets to earn ‘token’ profits and expect the prospects to be more profitable in future. Ramco Cements, another major involved in the industry, as per the company sources, has shipped about 40,000 tonne as export material to Myanmar. Considering the latest market focused approach adopted by the industry majors, Myanmar has evolved as the second most preferred export destination for Indian cement makers after Sri Lanka.

Government asks steel manufacturers to invest 1% of turnover in R&D To meet the country’s growing steel demand, the government will ask the steel manufacturers in investing a minimum of 1% of their total turnover in Research and Development (R & D) activities. The suggestion is to invest a minimum of 1% of investment into R&D for the next two years, thereby helping the nation to increase the steel output to 300 million tonnes.

Confirming the information, Steel Minister Beni Prasad Verma said that directives would be issued to major steel players for investing more in R&D and to increase the investment in R&D to at least 1% of the total turnover by 2015-16 and 2 % by 2020.

The minster also added that the present investment sourced towards the R&D activities by the steelmakers falls in the range of 0.15-0.25% of the total turnover, which is very low as per the requirement.

In addition, the government also plans to provide incentives to steelmakers for increasing investment in R&D.

ACC unveils blended cement unit in Karnataka Private-run cement major, ACC inaugurated its blended cement plant at Padubidri in Udupi district at Karnataka. The unit will utilize fly ash from Udupi Power Corporation’s thermal power plant, revealed PN Iyer, Chief Executive (South) of ACC. The unit has a capacity of 30,000 tonne per month and aims to cater the cement requirements in coastal regions of Karnataka as well as Kerala. In addition, the clinker generated from the ACC’s plant at Wadi in Gulbarga district will be utilized for the production of blended cement at the facility.

SAIL sketches positive outlook for steel sector Amid the growing concerns of inflation, volatile price markets and economy, country’s state-run steel major SAIL (Steel Authority of India) has outlined a positive outlook for the sector in the coming years. SAIL Chairman CS VErma said the steel sector’s worst phase had passed and growth opportunities were visible, particularly in areas like prices and inventories.

He further said that the demand for steel sector was on a constant growth and in the last 2-3 months, a rising price index was seen. Tapping this growing demand for steel, the domestic producers had adopted a price hike of Rs2000 per tonne in the last few months. Despite the dwindling performance by the country’s domestic steel industry, the country’s largest state-run steel producer registered a 7% rise in its sales index during the third quarter of the current fiscal.

March 2014 / iceconnect.eletsonline.com / ICE Connect

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Rail Realty Updates Focus

Monorail opens in Mumbai The much awaited monorail transportation in Mumbai, which became operational from February 2, has become an instant hit among the commuters. As per official numbers, February 2 to February 8, a total of passengers 1,36,865 used the service and this generated a total revenue of Rs14,24,810. A total of 1,33,932 tokens and Smart Cards have already been sold. The Maharashtra Chief Minister Prithviraj Chavan flagged off India’s first monorail at Wadala monorail station. The monorail will run from 7 in the morning till 3 in the afternoon and have a frequency of one every 15 minutes.

Metropolitan Commissioner UPS Madan commented on the monorail, saying that the monorail was environment-friendly, airconditioned, safe and economically cheap transport for Mumbaikars.

In addition, the city’s development authority has decided to extend its operating hours from eight to twelve, install benches and drinking water facility on all seven stations, and soon introduce return journey tickets.

TCAS to support railways in avoiding mishaps Exploring the potentials of utilizing technology in easing the operational facilities and for preventing mishaps, Indian Railways said it planned to install Train Collision Avoidance System (TCAS). It is expected to be more effective than the Train Protection Warning System (TPWS) and anti-collision device (ACD) systems already installed.

According to the officials, TCAS can read signal up to a distance of three km and intimate the driver about the status through a monitor in his cabin. The information to the engine is sent via radio communication system, linking the train to the station master and other trains in close radius.

The system also advises the loco pilot on adjusting the train speed. The technology is said to be economic and involves an implementation cost of about Rs10-12 lakh per km.

“TCAS has already shown positive results during its pilot project in the South Central Zone,” added the official source. However, no accurate information is yet disclosed over the final commissioning of the system, which was put to test as a pilot project on the 250-km long Lingampalli-Vikarabad-Wadi-Bidar section of the South Central Railways.

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Sreedharan appointed as Lucknow Metro’s Chief Advisor The Uttar Pradesh government has appointed E Sreedharan, popularly known as the Metro Man, as the Chief Advisor for its Lucknow metro rail project, Minister for State Madhukar Jetley said.

He said the Uttar Pradesh government hoped to complete the Lucknow metro rail project in a short time-span, and plans to utilize services of Sreedharan, who has the experience of giving shape to the Konkan Railway and Delhi Metro projects.

India’s highest rail tunnel to be constructed at Manipur Aiming to resolve the distance issues between Jiribam sub-division with Tupul area in the Tamenglong district near Imphal, the Manipur government has finalized its plan for constructing the highest rail tunnel.

The State Works and Transport Minister Ratankumar Singh said the railway bridge is being constructed at Khumji village of Noney in Tamenglong district and would be the highest railway bridge once it is completed.

He said of the total length of 39 kms, 14 kms of tunneling had been completed. He further added that the project is expected to be completed by 2016. After making spot assessment of the undergoing work of the tunnel, Singh stated that the 141 metres high and 703 metres long bridge is one of the four major rail bridges and would be the world’s highest railway bridge.

road Updates

Centre nods for 483 new road projects in Jharkhand

The Committee of Union Rural Development Ministry has approved Rs1323.40 crore for the construction of 483 new roads in Jharkhand. The projects will cover a total area of 1562.8 km and will include upgradation of 227 roads (954.36 km) and 91 long spanning bridges (5479 m) in addition to the building of new roads. The projects are being executed under the Phase-XII of Pradhan Mantri Gram Sadak Yojana (PMGSY).

The Union Rural Development Ministry has said that the Jharkhand state government will monitor and recheck all the proposals and provide detailed project reports as per the National Rural Road Development Authority guidelines and revise the bill of qualities for tenders as per respective requirements. The ministry has also asked the state government to clear the implementation of the held-up projects

Goa gets Centre nod for projects worth over Rs1,100 cr The Union Road Transport and Highways Ministry has approved road projects amounting more than Rs1,100 crores in Goa. The projects are Canacona national highway bypass project involving Galjibag and Talpon bridges, western bypasses in Salcete, Dhavli, Ribandar and missing link on NH 17B at Loutolim.

The Ministry took this decision after a meeting between the Members of Parliament (MP) Shantaram Naik and Francisco Sardinha, Goa PWD Minister Ramkirshna Dhavalikar and Union Minister Oscar Fernandes.

Nirbhaya Fund to ensure women safety in public road transport The Union government will implement the Rs 1404.68 crore Nirbhaya Fund scheme towards ensuring women’s safety in light of repeated incidents of attacks on women. It will be funded by the Ministry of Finance. The scheme will focus towards the security of women and girl child in public transport across the country.

The Union Cabinet had approved the proposal for implementing the scheme in January. It includes development of National Vehicle Security and Tracking System at the national level and City Command and Control Centre at the state level. All public transport vehicles will be fitted with GPS tracking be under constant video surveillance and have emergency buttons. Phase-I of the project will cover 32 cities in 13 states with a population of 1 million or more.

The entire project will be implemented in two years.

Space availability a major concern for mass road transport services

The Chairman and Managing Director of Mumbai Railway Vikas Corporation Rakesh Saksena spoke of the need for implementation of an effective and viable mass transport system at a NASSCOM Leadership Forum. He said urbanization was evolving rapidly with the growing population. Speaking about the situation in Mumbai, he said that of the total commutation space available, only 5 percent of mass base was available for 90 percent of public transport, with train networks occupying 56 percent and public transport buses occupying another 26 percent.

BC Khatua, Director, All India Institute of Local Self-Government, added that effective mass transport systems needed to be implemented with a futuristic planning and should complement the other commutation modes without being competitive.

March 2014 / iceconnect.eletsonline.com / ICE Connect

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Energy Updates

Oil Ministry asks Rs 26,000 cr as fuel subsidy in Q3 Targeting to cover the under-recoveries on diesel and cooking fuel in the third quarter of the current fiscal, the Petroleum Ministry is seeking Rs26,000 crore as a fuel subsidy from the Finance Ministry.

According Petroleum Ministry estimates, state-run fuel retailers Indian Oil Corporation, Hindustan Petroleum and Bharat Petroleum will face operational losses unless subsidy is provided for the third quarter.

However, according to sources, Finance Ministry may allot only

Rs10,000 crore as subsidy support to the state-owned fuel companies in the third quarter.

During the October-December 2013 period, the country’s fuel retailers registered a loss of Rs39,725 crore on the sale of diesel, kerosene and domestic cooking gas (LPG) at government controlled rates.

The government has already provided Rs 17,772 crore of cash subsidy in the first half of the current fiscal.

Rosneft offers stake sale of 10 offshore blocks to OVL Rosneft, a Russia based oil major, has offered ONGC Videsh Limited (OVL) stakes in nine of its offshore oil and gas blocks in Barents Sea and one in Black Sea. OVL is the overseas arm of the stateowned Oil and Natural Gas Corporation (ONGC).

The Minister of State for Petroleum and Natural Gas Panabaaka Lakshmi, while confirming the offer said that no final decision has taken over the offer. He added that OVL had undertaken a preliminary data study provided by Rosneft, for identifying the preferred blocks for exploring the opportunity.

OVL had earlier expressed its interest over strengthening its foothold in

the Arctic projects and expanding its presence in Siberia and East-Russia. In December, Rosneft had made a similar stake offer to OVL in the Magadan 2 and Magadan 3 exploration blocks situated in the northern part of the Sea of Okhotsk in eastern Russia.

Regulator’s consent a must for CNG stations The Ministry of Petroleum and Natural Gas has reversed its earlier decision and said the oil regulator’s authorization is needed by firms to set up outlets to retail compressed natural gas (CNG) to automobiles. A release from the Oil Ministry said it was in the process of formulating guidelines for granting rights to entities to sell CNG as transportation fuel through CNG stations.

The ministry’s recent decision is seen by industry majors as a u-turn from its earlier decision. The ministry in September last year had said that the Petroleum and Natural Gas Regulatory Board (PNGRB) approval is not needed for setting up CNG selling stations and companies were free to set up CNG pumps across cities.

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SEIL to receive additional gas from ONGC Steel Exchange India (SEIL) will be soon receiving aid from state-run Oil and Natural Gas Corporation (ONGC) to meet its gas requirements for its captive power plant at Kothepeta, Andhra Pradesh. ONGC will sell an additional 15,000 cubic meters per day gas to SEIL from its Kammapalem field in Rajahmundry, Andhra Pradesh.

The plant’s gas engines have been recently upgraded for efficient operations and to meet the full power generation potentials at Kothapeta, for equipping with the additional allocation, confirmed B Satish Kumar, Managing Director of Steel Exchange India.

According to SEIL’s official disclosure, the total gas allocation index presently stands at 75,000 cubic meters per day and enjoys the facility to generate up to 12 MW of power at its Kothapeta plant.

Power Updates

C-WET to assess India’s solar energy The government has initiated a slew of comprehensive programmes to augment the solar radiation assessment in the country and tap into the potential for renewable energy resource. Under Phase-I of this initiative, Solar Radiation Monitoring Stations have been set up in various part of the country through Centre Wind Energy Technology (C-WET) Chennai. The data sourced from the Solar Radiation Monitoring Stations is transmitted to a central server maintained at C-WET and after executing quality checks, is made available.

Several states like Gujarat, Rajasthan and Maharashtra and Andhra Pradesh, some parts of Tamil Nadu, Karnataka, and Madhya Pradesh are the prospective potential areas for setting up grid connected solar projects in the country.

Tata Power commissions 10 kW Bhira project Tata Power has commissioned the 10 kW micro hyrdo project located in the Bhira village in Maharashtra. The low-head micro hydro turbine utilizes the existing flow rate available to generate supplementary clean energy to manage its auxiliary loads and is synchronized with the power grid. The micro turbine generator was customized and indigenously manufactured in Mumbai by Casmir Group based on the patented technology exclusively licensed from the University of Southampton. The successful installation and commissioning of the micro hydro turbine was a significant milestone for the company, and a clear breakthrough for the project, opined Mahesh Paranjpe, Head Hydros, Tata Power.

According to the company’s official statement, the low-head micro hydro turbine utilizes the existing flow rate available to generate supplementary clean energy to manage its auxiliary loads and is now synchronized with the power grid. The turbine is connected to the 415 kW auxiliary network. Tata Power Engineers and Clean Technology Group has jointly developed the invertors and other required equipments for synchronizing the unit to the auxiliary grid.

The official said the company hopes to expand such operations to the other regions in the state as well as across India.

Centre approves 34 RAPDRP project reports Central government sanctioned 34 Detailed Project Reports amounting to Rs1,320 crore for Haryana as a part of its Restructured Accelerated Power Development and Reforms Programme (RAPDRP). Under the projects sanctioned, Rs931 crore is dedicated towards the development of towns in UHBVN (Uttar Haryana Bijli Vitran Nigam) area and Rs 389 crore for the towns in DHBVN (Dakshin Haryana Bijli Vitran Nigam).

The projects will be executed in two stage process, wherein power distribution system under Part A will be implemented by utilizing information technology (IT) and Part B involves strengthening and renovating the power distribution systems in the outlined towns.

The towns outlined under the UHBVN area involve Ambala Cantt, Ambala City, Panchkula, Kalka, Jhajjar, Bahadurgarh, Kaithal, Jind, Rohtak, Panipat and Karnal. The towns categorized under the DHBVN area are Hisar, Dabwali, Narnaul, Bhiwani, Charkhi Dadri, Hansi, Hodal, Palwal, Barwala, Rewari, Ellenabad, Sirsa, Tohana, Fatehabad, Faridabad and Gurgaon.

According to official sources, few towns in the DHBVN area are covered under a World Bank Programme for enhancing the potentials of power distribution system.

UP receives highest capital subsidy under RGGVY Uttar Pradesh has received the highest capital subsidy during the current year under the Rajiv Gandhi Grameen Vidyutikaran Yojana (RGGVY) scheme.

The Central government has disbursed a total capital subsidy of Rs2068.24 crore to states this year. Uttar Pradesh was followed by Bihar in the league of top states receiving highest capital subsidies in the current year.

A total of 171 projects have been also sanctioned under RGGVY for the electrification of 10574 unelectrified villages and 161367 partially electrified villages in the 12th Plan. Additionally, electricity connections have been given to 214.82 lakh households below poverty line during the 10th and 12th Plan period. Odisha leads the list of states who received the highest number of free electricity connections. It is followed by Andhra Pradesh, Bihar and West Bengal.

Under RGGVY, electricity distribution infrastructure is envisaged to establish rural electrification distribution backbone with at least one 33/11 kV sub-station in a block; village electrification infrastructure with at least a distribution transformer in each respective village or hamlet. Rural Electrification Corporation is the nodal agency for implementing the scheme.

March 2014 / iceconnect.eletsonline.com / ICE Connect

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Port Realty Updates Focus

Green flag for port projects worth Rs17,630 cr

Two new ports to be developed by 2020 The Central government will develop two new ports in West Bengal and Andhra Pradesh to ease the rising port-traffic congestion at the existing ports. The ports are expected to be commissioned by 2020.

Shipping Minister GK Vasan said the ports would be developed at Sagar in West Bengal and Dugarajpatnam in Nellore district of Andhra Pradesh. Rail India Technical and Economic Service (RITES) has prepared a feasibility report for these projects. Phase-I of the project is expected to be complete at Dugarajapatnam by 2018 and Sagar at 2019-20.

In addition, an Empowered Committee of Secretaries has been set up to resolve the implementation related matters and port limits for the Dugarajapatnam is already notified. The government has also appointed a Transaction advisor for the Sagar Port and for Dugarajapatnam has been identified.

ABG Shipyard delivers India’s first indigenously built Oceanographic Research Vessel Aiming to augment the capacity of major ports, the Central government has sanctioned five new projects worth Rs17,630 crores. Of the approved five projects, four are for development of container terminals and one is a multipurpose cargo berth project in Mumbai Port. The projects approved by Cabinet Committee on Economic Affairs aims to enhance the capacity of major ports by 150.74 million tonnes per annum (MTPA).

The four container terminals will be developed at Kandla (4.2 MTEU), Jawaharlal Nehru Port Trust (JNPT) (4.8 MTEU), Navi Mumbai, Kolkata(1.2 MTEU) and Ennore (1.4 MTEU), while the capacity at multi-purpose cargo berth will be developed at the Mumbai Port and will have a capacity of 4.5 MTPA. The multi-purpose cargo berth will handle a distinct range of cargos involving automobiles, iron and steel etc.

All the approved projects will be also equipped with state-of-the-art technology and is to be developed as per the global operational standards. The government also estimates the projects to improve efficiency in handling operations and to act as a major promoter for EXIM (Export-Import) trade in the country.

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ABG Shipyard has delivered India’s first indigenously built Oceanographic Research Vessel, the RV Sindhu Sadhana to CSIR – National Institute of Oceanography (NIO). The vessel is designed for sub-sea operations, and is one of the most sophisticated and advanced research vessels in the world.

The acquisition of RV Sindhu Sadhana is expected to provide NIO with new capabilities in the field of Oceanographic research.

“With the induction of RV Sindhu Sadhana, NIO will enhance its sub-sea research in oceans around the world, bringing in rich experience for Indian oceanographers and enable the development of multi-disciplinary research in the country,” opined Rishi Agarwal, Chairman ABG Shipyard.

Measuring 80 meters in length and having a GRT of 4,154T, RV Sindhu Sadhana enjoys the capabilities to operate in extreme environmental conditions and undertake complex research activities at water depths of up to 6,000 meters. The vessel has a crew of 28 persons and can accommodate a team of 29 scientists, in modern modular accommodation.

Review committee submits report on Karnataka’s greenfield sea port A committee has been constituted by the Union government to fast track the development of a Greenfield sea port at Tadadi in Uttara Kannada district of Karnataka. The newly formed committee will be reviewing the proposal put forth over the development of a Greenfield sea port at Karnataka. Reviewing the prevalent potentials and the initial study outlined, the Committee has also revealed some of its suggestions over the developmental plans.

One amongst the suggestions outlined by the Committee involves the development of Tadadi initially as a Barge Port for 4 meter draft vessels and subsequently as a Major Port. The Committee has justified the suggestion by reviewing the prevalent traffic available in the area. The study along with the review report and suggestions has been placed before the Government of Karnataka.

Airport Updates

There are no unsafe airports in India, says Venugopal

Speaking in the Lok Sabha, Minister of State for Civil Aviation KC Venugopal dismissed reports about Indian airports being unsafe and said that no airport in the country could be termed unsafe. He further added that airlines operators undertook operations in the country only after inspecting the facilities available for their aircrafts. He however said certain operational mitigation measures were needed for airports that were surrounded by terrain and has

physical constraints.

He added that the government had introduced a slew of favorable measures for encouraging operation of flights at airports located in low-density areas. According to the new measures, no landing charges will be levied on domestic aircrafts of less than 80 seats and helicopters of all types. In addition, he said, landing and parking charges for domestic airlines at North-East, Jammu & Kashmir, Andaman & Nicobar Islands and Lakshadweep airports will be reduced by 25%.

Information on facilities available at aerodromes is published through Aeronautical Information Publication, which also includes information over non-compliance on applicable standards.

14 domestic airports to be developed via PPP mode

The government will hand over the development and operation of 14 airports to private developers under the Public-Private Partnership (PPP) mode. This will be done in the Twelfth Plan period. It had earlier developed airports under the PPP mode in Kolkatta, Chennai Lucknow, Guwahati, Jaipur and Ahmedabad.

The airports to be developed in the Twelfth Plan are Bhubaneswar, Coimbatore, Trichy, Varanasi, Indore, Amritsar, Udaipur, Gaya, Raipur, Bhopal, Agartala, Imphal, Mangalore and Vadodara airports.

Speaking on the Government decision, Minister of State for Civil Aviation KC Venugopal said that the challenge after the modernization of these airports would be ensuring that their management and upkeep remained consistent. He said the potential for non-aeronautical revenues like car-parking, cargo facilities, hotels, passenger amenities, shopping etc could not be harnessed by AAI due to it being a public sector entity. He further said that the PPP route could prove beneficial in eliminating the problems arising from monitoring and supervising large number of service contracts.

March 2014 / iceconnect.eletsonline.com / ICE Connect

57

Products Line

Grundfos India unveils MAGNA3 Circulator Pump

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rundfos Pumps India (Grundfos India) introduced the new energy-optimized and flexible MAGNA3 circulator pumps. The new range pumps ensuring no maintenance requirements are designed for circulating liquids in heating systems, domestic hot-water systems, air-conditioning and cooling systems.

The pump which has already bagged several awards on a global level for its design, innovative technology, sustainable features and overall efficiency; is at the forefront of smart pump technology, opined Gangaprasad G, Head - Commercial Building Services, Grundfos India.

Designed for commercial hydronic applications, MAGNA3’s variable-speed wet rotor circulation features a permanent magnet motor design. The AUTOADAPT function further enables to curb the power consumption up to 85% and can automatically analyze the heating systems, opt to optimum setting and continuously adjusts its operation as per fluctuating demands. This also features an inbuilt energy / heat meter that not only avoids the need for a separate energy meter but also monitors the system heat energy distribution and consumption. The result is optimum

comfort and minimum energy consumption.

MAGNA3 is also equipped with the new FLOWADAPT control mode that reduces the need for pump throttling valves.

Additionally, wireless connectivity enables handheld pump control and monitoring capabilities by Grundfos GO, a mobile toolbox available on Apple and Android devices. The MAGNA3 range of pumps can also be used for solar-heating systems.

Dr Fixit introduces New Coat Ezee

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r. Fixit, the construction and waterproofing expert, from the house of Pidilite Ind Ltd, has launched Dr. Fixit New Coat Ezee, a two coat waterproof coating for bungalow terraces, without breaking the old waterproofing system of brickbat coba and mud fuska; making it a hassle-free, economical and reliable waterproofing system.

“The best practice used internationally is to coat the terrace with elastomeric coatings and we at Pidilite have worked towards the same,” opined Sanjay Bahadur Global CEOConstruction Chemicals Division, Pidilite Industries. He further highlighted Dr. Fixit New Coat Ezee as a revolutionary product for terrace coating and waterproofing which can provide the end consumer with a comprehensive solution for tackling the concerns related with roofs and terraces.

Dr Fixit Newcoat Ezee is an elastomeric waterproof coating that provides a seamless and tough waterproof barrier. The product also offers excellent crack bridging ability that can accommodate movements due to thermal

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ICE Connect / iceconnect.eletsonline.com / March 2014

variations in the waterproofing system. Dr Fixit Newcoat Ezee is a two coat system- UV resistant and needs no protective screed. With New Coat Ezee there is no need to dismantle or remove the existing old system which may damage the mother slab, thus making it user friendly and easy to apply.

In addition, the product adds no extra load on the roof slab, tough and withstands normal foot traffic. The product ensures the potential to be perfect solution for bungalow terraces.

Pidilite Industries can be considered as

Key Features • User Friendly • UV resistant • Two coat System • Requires no protective screed.

• Tough and withstands normal foot traffic • Light weight • No extra load on the roof slab

one amongst the pioneers in consumer and specialties chemicals in India. Over two-third of the company’s sale come from products and segments it has pioneered in India. The company upholds its planned and strategic market approach as prime pillars that has supported to evolve as a dominant player in the construction chemical industry and a market leader in the retail segment.

While the competitiors were only focusing upon the projects, Pidilite underwent a change in its industry paradigm and forayed into the retail segment. Pidilite through its move ensures to offer the latest available technologies in construction chemicals. The company has now further enhancd its customer centric policies by being the first in the industry to start an in-house Technical Services Cell, which assists customers in diagnosing the problem and selecting the right product.

Today, Dr. Fixit is exported in 20 countries and has been launched in Thailand, UAE and Singapore through Pidilite’s wholly owned subsidiaries.

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