Zero tolerance for height norm violations near airports: Bombay High Court
The Bombay High Court today said zero tolerance will be adopted for any kind of construction that comes up in violation of height regulations near both domestic and international airports in the city. A division bench headed by Justice V M Kanade made the observation while hearing an application filed by the developer of a residential building near the international airport. In the application, the developer has sought a stay on an order passed by the HC directing the Brihanmumbai Municipal Corporation (BMC) to demolish the top three floors of the building built in violation of height regulation norms. The HC, on August 10, asked the civic body to demolish three floors of the building, developed by SAILEE Developers Pvt Ltd, as it is very close to the runway and overshoots the permissible height limit. The DGCA allowed construction up to 13.9 metres, but the building is 24.7 metres high. The developers today filed an application seeking a stay on the demolition order and argued they were not aware if the height was to be calculated from the main sea level or the runway level. The HC, however, refused to accept the argument and said the developers have earlier also misrepresented facts before the authorities and constructed buildings. David West Womens Jersey
Road ministry, NHAI to take up 82 highway projects for better port connectivity
The road transport ministry and National Highways Authority of India (NHAI) will together take up 82 projects under the ambitious Bharatmala project, to improve port connectivity. These are part of the broader highway expansion plan the government plans in the coming years for connecting economic hubs to major and minor ports, via road and rail. At present, this connectivity is an issue. As many as 44 routes, of at least 100,000 km of roads, would be connected. A source said the proposal by the ministry of shipping had been accepted by the roads ministry. The proposal would go to the Cabinet after discussion. Under the Bharatmala project, the ministry is to review the national highway network, to improve connectivity to coastal and border areas, religious and tourist places. Around 1,500 major bridges and 200 rail bridges are part of this, as is connectivity to district headquarters and the Char Dham places (Kedarnath, Badrinath, Yamunotri & Gangotri in Uttarakhand). Road transport, highways and shipping minister Nitin Gadkari has said improving of port connectivity is a focus area, requiring investment of Rs 4 lakh crore. There are 12 major ports — Kandla, Mumbai, Navi Mumbai, Marmugao, New Mangalore, Cochin, Chennai, Ennore, VO Chidambaranar, Visakhapatnam, Paradip and Kolkata (including Haldia) — which handle a little over 60 per cent of India’s total cargo traffic. There are 200 non-major or minor ports — in Maharashtra (48), Gujarat (42), Tamil Nadu (15), Karnataka (10), Kerala (17), Andhra Pradesh (12), Odisha (13), Goa (5), West Bengal (1), Daman and Diu (2), Lakshadweep (10), Puducherry (2) and Andaman & Nicobar (23). The central government is also developing three new ports at Wadhwan (near Dahanu in Maharashtra), Sagar in West Bengal and Colachel in Tamil Nadu. According to 2015-16 Economic Survey, cargo traffic at all ports increased by 1.1 per cent during the first six months of the financial year (April-September). It increased by 4.1 per cent at major ports but declined 1 per cent at the non-major ports, as compared with the same period in 2014-15. Gerald Everett Womens Jersey
Increased efficiency and timely tariffs revision critical for UDAY’s success: ICRA
State-owned distribution utilities will benefit from the Ujwal Discom Assurance Yojana (UDAY) scheme in FY2017 but stricter focus on efficiency and timely tariff revisions is critical for their sustained financial turnaround said ICRA in a recent study. UDAY was launched by the centre to improve performances of the state power distribution companies. Sabyasachi Majumdar, senior vice president, ICRA said: “Discoms will benefit significantly in the near to medium term from measures taken under UDAY. These include lower interest costs arising out of de-leveraging, and reduction in power procurement cost arising out of improved domestic coal availability along with recent policy measures by Government such as flexible utilisation of domestic coal linkage and e-auction process for short term power.” “However, serious focus of utilities on improving their efficiencies, mainly aggregate technical & commercial loss levels, is necessary. This has to be in line with targets set by UDAY. Timeliness and adequacy of tariff hike in relation to the cost of power supply is also necessary. It has to necessarily include periodic rise in fuel and power purchase costs. These factors remain critical in the long run for sustained improvement in the financial position of the discoms,” he said. Till now 16 states and union territories have signed memorandum of understanding for participating in UDAY. De-leveraging and refinancing under the scheme is expected to improve liquidity and profitability profile of Discom’s in the near term. Improved domestic coal availability along with recent policy measures by the government including flexible utilisation of domestic coal linkage and e-auction for short term power remain favourable for discoms. These would reduce cost of power purchase. However, ICRA notes that state electricity regulatory commissions (SERCs) in only 20 out of 29 states have issued tariff orders for FY2017 so far, indicating moderate progress in terms of issuance of tariff orders for the year. Tariff hikes allowed in most states have been modest, ranging between, 0.6% and 8.8%. SERCs in three states have not approved any tariff hike. In two states SERCs have reduced tariff for some categories of consumers. SERCs from Uttar Pradesh and Punjab have issued tariff orders recently however the tariff determination process has witnessed delays. Tariff revisions allowed for FY2017 by SERCs in both the states were lower at 3.18% (for Uttar Pradesh) and a negative 0.98% (for Punjab) for the year, against the stipulated level of 5%-6% under MoUs signed for implementation of UDAY. The respective SERCs in Uttar Pradesh and Punjab cited avoidance of a tariff shock to the consumers as primary reason for the modest tariff hikes. Besides, a limited tariff hike is also on account of stricter norms for efficiency improvement as well as certain other cost items by SERCs, which led to significant disallowance of power purchase cost and other cost overheads. Given that the fuel and power purchase costs cannot be controlled and accounts for 80% of the cost of supply for any Discom, a timely pass-through of variations in power purchase costs to consumers is also critical for the financial health of discoms. Majumdar said: “Fuel and power purchase cost adjustment framework for such a pass-through is yet to be implemented in Uttar Pradesh, despite a large unrecovered revenue gap – a matter of concern. Tariff hike has been limited, unrecovered revenue gap remains quite large particularly for distribution utilities in Uttar Pradesh, also with no clarity on amortization of the same by SERC.” Jake Muzzin Jersey
Power department contract workers seek regularisation
Around 250 contract workers of the electricity department from all over the state on Tuesday demanded regularisation of their services with the Power Minister Milind Naik. The affected workers met Naik at his official residence at Headland Sada, and apprised him about their grievances and demanded regularisation of their services as they are working with the electricity department for the past several years. A worker said that the electricity department has recruited several people in various jobs including linemen, assistant linemen, line helper and others adding, “Our sincere request to the Power Minister Naik is to consider our demand sympathetically and give us preference in jobs.” Meanwhile, when contacted Naik disclosed that he had never made any commitment to contract workers on regularisation of service. He said that he will take up the issue with Chief Minister Laxmikant Parsekar. Naik also said that the issue of appointments and regularisation of services is the prerogative of the electricity department and he cannot interfere in it. Jason Pierre-Paul Womens Jersey
Discoms looking for new revenue streams in Delhi
As Delhi Electricity Regulatory Commission (DERC) goes through a complicated phase with delayed orders of tariff revision and the appointment of chairman in jeopardy, discoms are looking at other avenues to increase their revenue. The capital’s power regulatory body has proposed changes in its regulations to allow the discoms and Delhi Transco Ltd (DTL), which claim to be under financial stress, to retain a larger share of their non-tariff income. As per the draft regulations floated by DERC, the power utilities may be allowed to retain up to 60% of the revenue earned from other businesses such as consultancy. Discom BSES has repeatedly asked the DERC to liquidate their regulatory assets which they claim have touched Rs 16,000 crore, pending dues that can be recovered by way of increased tariffs. This move by DERC is seen as an attempt to encourage non-tariff income. The proposed amendment in the DERC (Treatment of Income from Other Business of Transmission Licensee and Distribution Licensee) Regulations, 2005, also states that the utilities will be able to retain 40% of the revenue in case capital assets. Philip Rivers Authentic Jersey
Higher power purchase cost eats into profits at CESC
CESC registered a marginal 1.6 per cent growth in total comprehensive income under the new accounting standards – IndAs, for the first quarter of the current financial year against the previous corresponding period. Comprehensive income is the sum of net income (net profit) and other items that must bypass the income statement because they have not been realized. According to the new accounting standard – IndAs, total comprehensive income is a better indication of the company’s profits rather than net profit. Nevertheless, CESC’s net profit for the quarter under review was Rs 174 crore, against Rs 173 crore in the previous corresponding period. Profit growth was marginal despite a 11% growth in total income from operations at Rs 1,912 crore due to increased outgo on account of a 25 per cent rise in power purchase cost as well as rise in employee costs. The company sold 2,700 million units of power during the quarter against 2,550 million units in the previous corresponding period – a near 6 per cent growth in energy sales. Jack Crawford Womens Jersey
IOC announces Rs 1.80-trn investment plan in next 6 years
Announcing its plan of investing Rs up to 1.80 trillion across verticals in next six years, state-run Indian Oil Corporation today said it also is talks with foreign entities to co-invest in the investment that includes setting up a mega refinery in coastal Maharashtra. “In next six years, we need to spend Rs 1.70-1.80 trillion on refinery expansions, new petrochemical projects which are coming up and expenditure being incurred on natural gas, besides some exploration blocks that we are actively looking at,” IOC Chairman B Ashok told reporters here. He further said about Rs 50,000 crore will be invested in setting up refining capacity where it plans to add at least 24 million tonnes per annum over the next five years, followed closely by marketing infrastructure including new plants, new terminals, LPG import infrastructure and pipelines. Besides this, it has also earmarked sums for investments in petrochemicals and natural gas, he said. The state-run company will be investing Rs 15,000 crore in the current fiscal and will accelerate to over Rs 25,000 crore each over the next two fiscals, Ashok said, adding it has budgeted for a Rs 72,000 crore investment over the next three years. Meanwhile, Ashok said the ambitious project to set up the largest refinery project in the country in coastal Maharashtra is on and the state government has shown six potential sites where it can come up. IOC, which is taking leadership in the project that is estimated to cost Rs 1.76 trillion, will be holding a 50 per cent stake in the refinery while the remaining will be split evenly between its sister companies HPCL and BPCL. The company is also in talks with international investors for participating in the ambitious project, Ashok said, adding that the three domestic partners will dilute their stake equally as and when such an investor comes in. Ashok declined to name the foreign investors with whom talks are on and also refrained from giving a time-line for the project, saying it should come to life as soon as possible given the demand projections on the back of economic growth. It is looking for a 15,000-acre land parcel to set up the refinery, he said, adding that a third of it will be reserved for green zone. The technical specifics of the project, including the fuel to be refined and which products to be done has already been prepared in consultation with EIL (Engineers India). Asked about getting required clearances, given the heightened ecological sensitivities, Ashok exuded confidence of getting all the nods. Peter Holland Jersey
RIL biggest defaulter of MMRDA: RTI
Mukesh Ambani-owned Reliance Industries Limited is the biggest defaulter of Mumbai Metropolitan Region Development Authority (MMRDA), with dues of over Rs 15.76 billion against it, shows an right to information (RTI) response. A total of about Rs 16.41 billion of premium is pending against five lease holders of MMRDA, who were given extensions to complete construction of projects on the plots allotted to them, the MMRDA said in a reply to an RTI application filed by Mumbai-based activist Anil Galgali. The RIL reacted saying that court stay and regulatory clearances had delayed the construction. “The matter is before an MMRDA committee from which a final decision is awaited,” an RIL spokesperson said. The dues towards first plot, G/C-64, which is yet to be completed with six-year extension already given, amounts to about Rs 11.87 billion while a sum of about Rs 3.89 billion is pending for G/C-66 plot for a four-year extension on which the construction has been completed recently. The RIL has paid about Rs 0.4 million as premium against another plot G/RG -1A. The response says about Rs 24.37 billion got accrued as premium against 29 lease holders for extensions of which Rs 7.96 billion has been realised so far. While the dues against government organisations are over Rs 125 million, private sector owes over Rs 16.286 billion and public sector organisations have a negative balance of Rs 8.5 million (MMRDA has to return). Avonte Maddox Authentic Jersey
Indian Oil Petronas Gets Greenlight for Haldia LPG Terminal Expansion
Indian Oil Petronas has obtained environmental approval to expand the capacity of its LPG import/export terminal at Haldia, West Bengal state, to 36,500 mt from 31,500 mt, in a bid to increase LPG supply in the state, a company source said Tuesday. The expansion will cost Rupee 750 million ($11.2 million), according to a report by The Economic Times late last week. The report quoted a senior government official saying that the environment ministry has given clearance to the terminal expansion project at Haldia, subject to certain conditions. Among the conditions, IPPL is required to give adequate buffer zone around the storage tanks and construct a garland drain around the project site to prevent a spillage of oil into the nearby water. IPPL, a 50:50 joint venture between Indian Oil Corporation and Malaysia’s Petronas, has another LPG terminal at Ennore, Tamil Nadu state, with a capacity of 31,000 mt, according to the source. There are currently no plans to expand the Ennore terminal at this point. IPPL is however, looking at building a third LPG import/export terminal in the west coast of India, the source said, but added it is too premature to give details. India’s LPG imports have been growing steadily amid rising demand for the cooking gas. Imports grew from 6.567 million mt in fiscal year 2013-2014 (April-March) to 8.313 million mt in FY 2014-2015 and 8.885 million mt in FY 2015-2016, data from the Petroleum Planning and Analysis Cell showed. John Carlson Womens Jersey
ONGC starts selling gas at ‘premium’
State-run ONGC has started selling natural gas from its East Coast field at a premium price of $6.61/mBtu, to be the first to benefit from the government’s policy to reward production from difficult fields, reports Siddhartha P Saikia in New Delhi. In March, the government had allowed higher price for new gas production from deep, ultra deepwater and high pressure, high temperature areas. The current gas price for regular fields is $3.06/mBtu on a gross calorific value basis. “Happy that ONGC started sale of gas from its deepwater field for first time at market price taking benefit of March 10 Cabinet decision,” petroleum minister Dharmendra Pradhan tweeted. ONGC has started selling natural gas from the first development well at the S1-Vashishta gas fields located in the Krishna-Godavari (KG) offshore basin. This is a deep water field and current production is hovering 0.6 mmscmd. The output from the field is likely to go up to 3-4 mmscmd after complete development work. The gas is being sold to GAIL (India). Considering an output of 4 mmscmd for a full year at a price of $6.61/mBtu, ONGC would earn revenues to the tune of Rs 23 billion against Rs 11 billion at a normal gas price of $3.06/mBtu. In FY16, ONGC approved projects worth Rs 479.06 billion to develop 33.662 million tons of crude oil and 63.956 bcm of reserves. The chunk of it would go towards development of cluster 2 of its KG-basin deep water block — KG-DWN-98/2, which would cost Rs 340.12 billion. The price of domestic natural gas is currently decided based on a formula approved by the Modi government in October 2014, which is linked to select global indices. However, the government in March 2016 approved a mechanism that allows pricing freedom to gas production from high pressure, high temperature, deep and ultra deep water blocks. The only caveat is the ‘market price’ is subject to a ceiling to be derived from landed cost of alternate fuels such as fuel oil, naphtha, LNG and coal. The new pricing formula will apply to gas projects already discovered but are yet to commence production because of un-remunerative pricing of the commodity Laquon Treadwell Jersey