Stop charging power users for transport losses, SC tells BEST
In a respite to more than 10 lakh south Mumbai electricity consumers of BEST, the Supreme Court on Tuesday asked BEST to stop collecting transport division loss revenue (TDLR) from power consumers through its monthly power bills. After giving the interim order, the court transferred the case to three-judge bench to decide whether the TDLR collected by BEST over the last four years should be returned to consumers. According to Ahar, an association of Indian hotels and restaurants, BEST has collected around Rs 900 crore per year as TDLR – about Rs 3,600 crore over the last four years – from its electricity consumers to make up for the losses in bus transport business. “According to the Supreme Court, BEST shall not recover transport loss from electricity consumers after one month,” said Ahar president Adarsh Shetty. Ahar’s Guruprasad Shetty and Kamalakar Shenoy have been fighting this battle against BEST in the Supreme Court for four years. Shetty and BEST Officials said they would receive a detailed copy of the order only on Wednesday. BEST general manager Jagdish Patil said he would be able to comment only after he receives the judgment copy. State industries minister Subhash Desai along with other members of the BEST committee had also met chief minister Devendra Fadnavis seeking his intervention to get TDLR surcharge scrapped. A BEST committee member, who was part of the delegation, said the TDLR accounted for nearly 15-16% of the power bills. According to Shetty, the Appellate authorities opposed the move to impose TDLR. “BEST apparently took advantage of the SC endorsement that it was a local body and can run transport and electricity businesses. It misinterpreted the SC’s remarks to earn TDLR from consumers. Recently BEST was supposed to revise tariff and decide on ending TDLR but it is still recovering it,” he said. Patrick Onwuasor Jersey
UDAY effect likely to improve thermal PLFs, though better efficiency levels for discoms critical for turnaround: ICRA
Power distribution companies are likely to benefit substantially from Ujwal Discom Assurance Yojana (UDAY) related measures but improvement in efficiency levels by discoms remains critical for their sustained financial turnaround and for the viability of the thermal generation sector, research firm ICRA said in a statement. Average capacity utilisation for thermal power stations on an all-India basis has remained subdued at 59.3 per cent during the five months between April and August 2016 as against 62.3 per cent in FY2016, due to factors like paying capacity constraints of state-owned distribution utilities, higher generation from the hydro and renewable segment and a sizeable increase in thermal power generation capacity over the last 16 months. Sabyasachi Majumdar, Senior Vice President, ICRA Ratings, said: “We expect average all-India thermal PLF levels to show some improvement from 59% in 5M FY2017 to a range of 61-63% in the near term; although still at subdued levels. This will be driven by off-take from the discoms, which are likely to benefit with de-leveraging and refinancing of debt on their books under UDAY, policy measures such as flexible utilisation of coal linkages and the e-auction framework for short-term power procurement and improved domestic coal availability.” Slow progress in signing of long-term power purchase agreements by utilities has led to sizeable thermal capacity (estimated at ~25 GW) remaining exposed to price and volume risks in the short-term power market. In turn, utilities are increasingly showing a preference for tie-up of short to medium term power purchase agreements. This is an area of concern for independent power producers’ capacity which is waiting for long term PPA tie-up, especially given the subdued level of short-term traded price level that vary between Rs. 2.5 per and Rs 3.5 per unit, both on the reverse auction platform and the power exchanges. On the regulatory front, State Electricity Regulatory Commissions (SERCs) in 20 out of 29 states have issued tariff orders for state-owned discoms so far for FY2017, which implies some progress in terms of issuance of tariff orders for the year. However, it is a matter of concern that tariff orders are pending in large states such as Rajasthan, Tamil Nadu, and West Bengal for FY2017. “Greater focus by utilities on improving their efficiency levels in line with targets coupled with timeliness and adequacy of tariff hike in relation to cost of power supply, including periodic pass-through of fuel and power purchase cost remains critical in the long run for sustained improvement in the financial position of the discoms,” Majumdar said. Bob Griese Jersey
Ultimate aim is to strengthen Indian manufacturing: Piyush Goyal
Declaring that Indian entrepreneurship needs to be promoted in global electrical industry, Power Minister Piyush Goyal on Wednesday said though foreign technology is welcome in India, the overall aim is to strengthen Indian manufacturing. “We welcome technology from all around the world but at the end of the day, we would like to strengthen our Indian hands,” Goyal said at the launch of the Light India Exhibition 2016 here. “I am happy to have imports come in, if we are at level playing field. But if we find that other countries are dumping goods into India, certainly that is not welcome in the country,” the Minister said. He lauded the innovative concepts like solar street lights on display at the exhibition. “I can actually imagine putting up not less than 10 or 15 million solar street lights, particularly in rural areas,” Goyal said. “The industry is reinventing itself and I saw some very new products here and would like to initiative talks for bulk orders,” he added. Over 275 companies are showcasing intelligent technologies at this electrical building technology exposition. Organised by Germany’s Messe Frankfurt Trade Fairs and the Electric Lamp & Component Manufacturers’ Association (ELCOMA), the event brings together companies from India, China, Hong Kong, Japan, Switzerland and Taiwan to display the latest in lighting and building technologies, the organisers said. Tyreek Hill Jersey
Hardly any demand for power in country: Coal secretary Anil Swarup
Expressing concerns over lack of demand for power in the country, Coal Secretary Anil Swarup today wondered as to what would the government do with its ambitious 1 billion tonnes of production target for fossil fuel by 2020. “For me the serious concerns are: Number one, there is hardly any demand for power. What we will do? We are planning to produce one billion tonnes of coal by 2020. What will I do with that coal,” he said. “Someone has to look into these issues. How to increase this demand of power. It is very important because today per capita consumption of energy in India is equal to per capita consumption of the US in the late 90’s. If that is the pace than the demand has to go up,” the Secretary said. He further stated that the government is on a sticky- wicket where it doesn’t know what to do with the surplus coal. In fact, in the current financial year, there was cut down in coal production so the fossil fuel does not catch fire at the pit heads. “On 31st of March this year we had a balance of 56 million tonnes (MT) as inventory at pitheads and around 32 MT at the power plants. People ask me how do you manage this situation of surplus,” Swarup said. He, however, added: “I say I would rather be in this situation then what I was a couple of years ago when everyone was running around …to reach out coal to these power plants. I am glad we are where we are.” Government’s focus has now shifted to the quality of coal, he said. He also stated that the Coal Ministry was focusing on the use of technology to ensure that the pilferages declines phenomenally. “Today after initial experimentation every truck of coal India is GPS tracked. There is virtual mapping on the web and you know where the truck is. Each mine is videographed,” he said. State-owned Coal India (CIL) which amounts for over 80 per cent of domestic coal production is eyeing one billion tonnes of coal production by 2020. Tomas Tatar Authentic Jersey
Sri Lanka to get UNDP support for project to generate energy from solid waste
The United Nation Development Programme (UNDP) in Sri Lanka has entered into its first government co-financed project with the Kaduwela Municipal Council to generate bio gas energy by effectively managing the solid waste in the area. UNDP under the ‘Every Drop Matters’ project, provided technical support to Kaduwela Municipal Council (KMC) in 2015 to pilot the Solid Waste Management Project, reports the Colombo Page. According to the UNDP statement, during this phase, the innovative treatment technology, Janathakshan was tested together with a local partner and used to acclimatize to the locally designed bio gas technology for waste management. Currently the waste management unit in Kaduwela holds 1 MT of degradable solid waste per day and the gas produced by the system is supplied in to a 5 kW generator. The electricity generated by this unit is then used to supplement the electricity requirement of the Waste Collection Center by the Municipal Council. UNDP and the Kaduwela Municipal Council had signed a Rs. 20 million agreement that will increase this project to accommodate 10 MT of Solid Waste per day and the electricity generated by the Bio Gas Unit will finally contribute to the national grid. The agreement was signed by Country Director of UNDP in Sri Lanka, Jorn Sorensen and the Municipal Commissioner of the Kaduwela Municipal Council, Lekha Geethanjali Perera had signed this agreement. The standard of living will also improve of the communities living around the landfills at the same time serving as a model for Waste Management in other Municipal Council areas. “With a contribution of Rs. 9 million, UNDP, as the development arm of the UN working in Sri Lanka for five decades, is pleased to be working with the Kaduwela Municipal Council to provide technical assistance to address Waste Management challenges in Sri Lanka,” the UNDP said. Sergei Boikov Jersey
Himachal cabinet nod to cancel four hydro projects, fill 600 posts
Himachal Pradesh cabinet in its meeting held on Wednesday approved to fill up over 600 posts in various departments. Around 154 posts of kanungos would be created, as a decision has been taken to amend the ‘Land Record Manual’ by creating a kanungo circle over every six patwar circles. In addition to this, the state cabinet has also decided to strengthen the ‘Revenue Records Rooms’, for which 148 posts were sanctioned. In another decision taken in the cabinet meeting, chaired by chief minister Virbhadra Singh, it was decided that charge fee at the rate of Rs 25,000 per MW would be taken at the time of signing of tripartite agreement for transfer of hydro project in lieu of allowing selling or transfer of equity share above 26% to 49% of projects up to 2MW capacity from Himachali promoters to non-Himachali and to sell or transfer equity shares above 49% to 51% of projects above 2MW to 5MW capacity from Himachali to non-Himachali. The cabinet also approved to cancel four small hydro electric projects, including Seri Nala (2.50MW) in Shimla district, Malin-II (0.50MW) in Kangra district, Tikar (1.00 MW) and Kandi (0.90MW) both in Mandi district recommended by Himurja for failing to adhere to the guidelines as agreed upon. It approved filling up of 175 posts of various categories in the health society on contract basis through NHM, 57 posts in State Narcotics Drugs Psychotropic Substance Crime Control Unit (SNCC) and its field units for prevention and effective law enforcement response to combat drug trafficking and drug abuse in the State. The cabinet also approved creation and filling up 21 posts of teaching faculty in Rajiv Gandhi Government Engineering College Kangra at Nagrota Bagwan while 12 vacant posts of steno typists on contract basis would be filled in the forest department. It also gave nod for filling up 21 posts of various categories to strengthen Atal Bihari Vajpayee Mountaineering Institute, Manali. It also decided to upgrade four posts of faculty in Indira Gandhi Medical College and Hospital Shimla to overcome the shortage of senior faculty member in Dr Y S Parmar Government Medical College, Nahan. Wes Schweitzer Authentic Jersey
More cover for Indira Gandhi canal, oil wells
Considering the escalating tension between India and Pakistan, wide action plan is being made to beef up security of Indira Gandhi canal, the lifeline of western Rajasthan. In similar ways, arrangements are being made for the additional security to oil wells, gas pipelines in Jaisalmer and Barmer. The water points of PHED have also been secured. Additional chief engineer of the India Gandhi canal project, K L Jakhar said that looking to the present scenario, district administration has asked for complete details of the project as how much water is flowing at which places along with other information. He further said that based on the report, the district administration will deploy necessary security forces at important bridges and heads. On the other hand, security has been beefed up at leading oil areas in J0aisalmer and Barmer and a meeting was organized at Ramgarh to review the security arrangements in this regard. According to sources, in this meeting, Oil India, Focus Energy and ONGC have been directed to tighten their security. Similarly, GAIL has been directed to increase the security of gas thermal power project as well as its gas pipeline. Directions have been given to take necessary steps so that no unknown and suspicious persons enter the oil gas wells, thermal projects or near the water source. It is to be mentioned that during the Indo-Pak war in 1971, Pakistani soldiers had poisoned the only well at Longewala and no one can fetch water from the well, 45 years post poisoning. District collector Sudhir Sharma said that PHED officers have been asked to deploy more guards near the water sources. He said that Cairn Energy has been directed to tighten the security of its oil wells so that no outsider can enter. Sharma further informed that he along with SP took a stock of the villages near the fencing and asked the villagers to inform on seeing any suspicious person and to be ready to face any situation. Damien Wilson Womens Jersey
India, Bangladesh discuss cooperation in hydrocarbons
With Bangladesh recently allowing passage of Indian trucks carrying petroleum products to the Indian state of Tripura through the former’s territory, India and the neighbouring nation on Wednesday discussed other areas of bilateral cooperation in hydrocarbons. According to an Indian Petroleum Ministry release, Union Petroleum Minister Dharmendra Pradhan met here with Bangladeshi Minister of State for Energy and Mineral Resources Nasrul Hamid and thanked him for permitting Indian trucks to pass through Bangladesh. “Pradhan discussed with his Bangladesh counterpart the issue of supply of high speed diesel (HSD) from the Siliguri terminal of Numaligarh Refineries Ltd to Parbatipur depot of Bangladesh Petroleum Corporation,” the statement said. “Both sides are working on details of the proposed pipeline project — the Indo-Bangla Friendship Pipeline — between Siliguri and Parbatipur,” it said. Indian Oil Corp (IOC) had last month transported petroleum products from the northeastern state of Assam to Tripura through Bangladesh. The arrangement was due to the difficulties faced in carrying petrol and diesel through the Indian roads of the region. The new route via Bangladesh saves time and costs in carrying petroleum products from Assam to Tripura as the existing over 400 km mountainous route requires more than ten hours to traverse. The short-term India-Bangladesh deal on shipping petroleum products was valid till September 30. “Both Ministers also discussed the status of various Indian proposals that have been shared with the Bangladeshi side, including the setting up of LPG import terminal at Chittagong by IOC and its onward transportation by road to the Tripura bottling plant,” the statement said. “Petronet LNG Ltd (PLL) in Kutubdia Island near Chittagong is finalising an MoU with Petrobangla on setting up of the LNG terminal.” The two ministers also reviewed the progress on work being done by Engineers India Ltd on the expansion of Eastern Refineries Ltd, Chittagong, it added. Tom Kuhnhackl Jersey
Cabinet clears ONGC Videsh’s extra 11 per cent stake buy in Russia’s Vankor fields
The cabinet has approved ONGC Videsh’s purchase of an additional 11 percent stake in Russia’s Vankor oil fields from Rosneft for $930 million, raising the Indian firm’s stake in the project to 26 percent, a government statement said. The latest move brings the investment by Indian companies in Russia’s east Siberian fields to $5.5 billion, aiding the country’s sanctions-hit economy. “This would go a long way to create a new energy bridge between the two strategic partners,” Oil Minister Dharmendra Pradhan tweeted on Wednesday. Russia is keen to develop and deepen economic ties with India and sell oil to one of the world’s fastest-growing economies at a time when revenues have been hit by a plunge in global oil prices. Prime Minister Narendra Modi, who wants to cut the country’s oil imports by 10 percent in six years, is steering efforts to buy. foreign energy assets, taking advantage of low global oil prices and a slowdown in China’s overseas purchases. In May, ONGC Videsh, the overseas investment arm of explorer Oil and Natural Gas Corp, paid $1.284 billion for a 15 percent stake in Vankorneft, which owns the Vankor fields. With the latest move, Indian companies together own 49.9 percent of Vankorneft. Brandon Davidson Womens Jersey
No change in gas pricing formula, says Petroleum Minister
The Government today ruled out changes in formula for pricing of domestic natural gas even though the formulation has driven down rates below the production cost. The NDA-government had in October 2014 fixed a formula based on rates prevalent in gas-surplus economies of US/ Mexico, Canada and Russia to price gas produced in a import dependent economy. As rates slumped in the near stagnant gas-surplus economies, rates were cut for four consecutive times, the last being on October 1 to $2.5 per million British thermal unit. “The formula approved in October 2014 stands… There will be no changes in that,” Petroleum Minister Dharmendra Pradhan told reporters here. He was asked if the government was looking at changes in the formula by looking at demands for a floor or minimum price for producers like ONGC and OIL who are making losses at current rates. “That formula stands,” he said categorically. While originally the formula was to apply to all the existing as well as future production, the government earlier this year made some course correction to allow limited pricing freedom to yet-to-be-produced gas from difficult areas like deepsea or high-pressure-high-temperature fields. Gas produced from difficult fields was allowed a rate capped to maximum price of alternate fuel. This rate for six month beginning October 1 was fixed at $5.3 per mmBtu. Rating agency Fitch in a note today said while the lower gas prices will not significantly hurt the borrowing capacity of Oil India Ltd, it will be selling natural gas at a loss. Price of natural gas produced by Oil and Natural Gas Corp (ONGC), OIL and Reliance Industries locally was cut by 18 per cent to $2.5 per million British thermal unit (mmBtu) based on its gross heat value for 6—month period from October On net heat value basis, the price will be $2.78. The rate compares to average cost of production of about $3.59 per mmBtu for ONGC and $3.06 for OIL, without taking into account return on capital. As per a new mechanism approved by the government in October 2014, the price of domestically produced natural gas is to be revised every six months —— April 1 and October 1 —— using weighted average or rates prevalent in gas—surplus economies of US/Mexico, Canada and Russia. For October 1, 2016 to March 31, 2017, the rate has been fixed at $2.5 per mmBtu compared to $3.06 per mmBtu previously. The price of gas between October 1, 2015 and March 31, 2016 was $3.81 per mmBtu and $4.66 in the prior six month period. Next change is due on April 1. Archie Manning Jersey