Iran Begins Shipping Euro 4 Compliant Oil
The National Iranian Oil Products Distribution Company (NIOPDC) has announced that the country has deployed its first Euro 4-compliant gas oil shipment to global markets. Mahmoud Taherizadeh, Director of the Mahshahr region for NIOPDC stated: “In the first four months of the current Iranian calendar year, about 184 million liters of diesel fuel with Euro 4 standards have been exported from Mahshahr oil terminal… In addition to diesel oil, approximately 960 million liters of mazut were also deployed to world markets over the span of four months.” He said that for the same period last year, mazut shipments totaled 472 million leaders. Taherizadeh said that since no oil gas cargo had been shipped from Mahshahr terminal in the prior year, this is the first time in the current year that exports of Euro 4-compliant diesel oil have been shipped from the terminal. Taherizadeh said that the Mahshahr terminal has become a “major corridor” for petroleum exports, and that diesel and mazut exports are expected to continue to grow. In the current Iranian year, which begins on 20 March, the country has exported an average of 9 to 9.5 million liters of gas oil per day. Those numbers show an increase of two times the amount from the same period in the previous year. India is one of Iran’s oil customers. Last month, the country imported 461,000 barrels of oil per day from Iran, which was up 110 percent from July of last year, and 21 percent increase from June. Vehicle sales in India remain on the rise, increasing the country’s demand for oil. Iran continues to strive to recover from losses incurred during the nuclear sanctions. While the sanctions were in place, India paid for Iranian imports in rupees, which Iran then used in turn to make purchases from India. Jordan Martinook Womens Jersey
Passenger footfalls surge in Andhra Pradesh airports
All four airports of Andhra Pradesh located in Vizag, Vijayawada, Tirupati and Rajahmundry have registered a surge in passenger footfalls during the first quarter of 2016-17. Visakhapatnam Airport continues to be the leader among the four airports in terms of passenger traffic in the state, while Rajahmundry Airport registered the highest growth rate of 73.7 per cent in the first quarter of the current fiscal. As many as 5.48 lakh passengers used the Visakhapatnam Airport during the first quarter of this fiscal as against 3.9 lakh during the same period last year, thus recording an increase of 40.3%. With a spurt in air traffic, Visakhapatnam Airport has outscored Bhubaneswar Airport in terms of passenger footfalls during the first quarter. Bhubaneswar handled 5.01 lakh passengers as against the 5.48 lakh of Visakhapatnam Airport in the current fiscal, whereas in the previous fiscal, Bhubaneswar had handled 4.45 lakh passengers as against 3.90 lakh at Visakhapatnam Airport. Bryan Anger Jersey
Writ will not lie against foreign airlines: HC
Travel agents cannot file writ petitions against airline companies, especially if they happen to be foreign airlines, seeking a direction to issue air tickets without demanding additional charges, the Madras High Court Bench here has held. Justice M. Venugopal passed the order while dismissing a writ petition filed by Ameer Travels of Tiruchi seeking a direction to Sri Lankan Airlines to confirm tickets for 249 Haj pilgrims from Tiruchi to Saudi Arabia between August 16 and September 5. The judge agreed with the airlines that the writ petition was not maintainable since a writ could be issued only against a State within the ambit of Article 12 of the Constitution and the airlines, incorporated under the laws of Sri Lanka, would not fall under the definition of State. The counsel for the airlines pointed out that 99.11 per cent of its shares were held by the Government of Sri Lanka and it was not a statutory body in India or an instrumentality of the government or an agency of the State to be compelled to perform a statutory duty. Vance McDonald Womens Jersey
AAI simplifies NOC norms for buildings
The city Corporation has been authorised to issue building permits for constructions in 20-km radius of the Thiruvananthapuram international airport for the ‘approved levels’ that figure in the Colour Coded Zoning Map (CCZM) of the city rolled out by the Airports Authority of India (AAI). Henceforth, No Objection Certificate (NOC) from the AAI is not needed for constructions in the approved levels of CCZM. The AAI has also eased the procedures for getting NOC for undertaking constructions in the 20 km radius. At present, for any construction within the 20 km radius of the airport, NOC is to be obtained from the AAI to assess whether the construction affects aircraft operation in Thiruvananthapuram airport as well as the overflying aircrafts. The CCZM, through different colour-coded grids, indicates the permissible top elevation in the areas around the airport. The officials of the civic body can verify the status of the building site in the CCZM and can issue the building permit. John Hannah Womens Jersey
Fuel price rise to impact industry profitability: ICRA
‘As per ICRA estimates, ATF price increase has resulted in the fuel cost per ASKM (CASK) of the domestic aviation industry increasing to Rs. 1.05 in June 2016 from a low of Rs. 0.82 in February 2016. This is expected to dent profitability of the airlines in Q1FY2017’, says Subrata Ray, Sr Group VP, ICRA Limited. Domestic passenger traffic in June 2016 reported a robust YoY growth of 20.8%, primarily backed by low airfares on account of intense competition. Considerable decline in domestic aviation turbine fuel (ATF) prices over the last fiscal had provided buffer to the airlines to reduce airfares; however, the recent increase in ATF prices has partially curtailed the benefit. ‘As per ICRA estimates, ATF price increase has resulted in the fuel cost per ASKM (CASK) of the domestic aviation industry increasing to Rs. 1.05 in June 2016 from a low of Rs. 0.82 in February 2016. This is expected to dent profitability of the airlines in Q1FY2017’, says Subrata Ray, Sr Group VP, ICRA Limited. The industry continued to add capacity on domestic routes during the month, which reported a growth of 22.4% YoY backed by fleet expansion and scale-up by the airlines. The capacity addition is likely to grow at a healthy rate going forward as indicated by pending aircraft orders of various airlines. Despite the capacity addition and impact of off-peak season, the domestic industry reported adequate PLF of 81.0% in June 2016. Joe Thuney Jersey
Four years after AAI study on 2nd airport, TN yet to lay a brick
The Tamil Nadu government is yet to take any steps to build the second airport at Sriperumbudur even though Airports Authority of India (AAI) has submitted a pre-feasibility report almost four years ago. Union minister of state for civil aviation Jayant Sinha has said the ministry has not received any proposal from the state government for the construction of the airport in Sriperumbudur, 40km from Chennai. AAI handed over the report prepared by International Civil Aviation Organisation (ICAO) to the state government four years ago saying the facility can be constructed.The authority hinted that they were ready to build the airport if the state government gave them the green signal and acquired land. Bud Dupree Authentic Jersey
Highway construction: Narendra Modi govt looks to mobilise Rs 50,000 cr in unique way; find out how
The government, which has taken highway construction upon itself given the paucity of private equity capital, has aimed to mobilise upwards of Rs 50,000 crore over the next few months through a unique asset monetisation exercise. It will lease out 75 operational projects — with combined length of 3,000 km — in the state sector to private players including global funds with patient capital through the toll-operate-transfer (TOT) route. After the expiry of the 30-year lease period, these projects, which have been operational and generating toll revenues for at least the last couple of years, would return into the government’s fold. Bidders will recoup their investments – and returns – by collecting toll over the lease tenure. According to official sources, the ministry of road transport and highways (MoRTH) would use the upfront receivables exclusively for funding construction of highways. For the current year, the highway construction target has been set at 15,000-km (41 km a day), more than two and a half times achieved last year. The Cabinet’s approval for the innovative asset monetization model came last week. The sources said around 20 global funds with long-term capital including Nomura, Macquarie and Abu Dhabi Investment Authority are expected to participate in the bidding for the TOT projects. “We have made around 20 presentations to patient capital players such as Nomura, Goldman Sachs, Macquarie, Abu Dhabi Investment Bank, Canadian Pension Fund and American Pension Fund. All of them have shown interest. However, since they are unlikely to invest in a single project, we propose to bunch 5-6 projects, together valued at around $200 million,” an official said. Asset recycling of this kind is going to be tested for the first time in India, although internationally, there have been many precedents for this. The US, for example, did it during the subprime crisis of 2008 to bolster the cash flows to the exchequer; the practice is also prevalent in Australia. The monetization of assets, according to analysts, is a win-win for both the investors and the government. While it would help the government to spend the upfront money to build more highways, investors could benefit with low-risk steady returns. Investors will also have the opportunity to borrow funds for the upfront payment by securitising the toll. The government has held several roads shows in India and abroad to sell the model to the global investor community, including a few of them held in the US by a team led by joint secretary in the ministry, during transport minister Nitin Gadkari’s recent visit to the US. These projects have been built by the government under the conventional engineering, procurement and construction (EPC) model. Tolls are currently being collected by the government. graph5 Highway construction this fiscal is proposed to be funded by borrowings by the NHAI to the tune of Rs 50,000-55,000 crore, budgetary outlay of Rs 54,000 crore and the proceeds of road cesses and toll revenues. Rasul Douglas Womens Jersey
‘Logistics sector could save USD 200 bn annually post GST’
Logistics sector, which accounts for nearly 14 per cent of the GDP, could see savings to the tune of USD 200 billion annually on implementation of GST, which will ensure faster movement of goods and less idle hours, say experts. With the introduction of Goods and Services Tax, many taxation procedures will come down, nearly halving the cost of inventory as customers will not need to pile up stocks in different warehouses, say experts. “For a USD 2-3 trillion dollar economy, this could mean a potential of USD 200 billion wasteful inventory spent being available to deploy in productive value creation and further propelling the economy’s growth,” said Deepak Garg, founder of logistics firm Rivigo. Describing the passage of the GST bill in Rajya Sabha as a “positive reform”, apex transporters body All India Motor Transport Congress (AIMTC), which represents 80 lakh truckers, said the new regime would create efficient ecosystem and bring down the cost. “The new regime must usher in border-less, barrier-less, seamless movement of goods and passenger so that efficiency is engendered in road transport ecosystem and transportation and logistics cost is brought down to internationally competitive level,” said AIMTC former president Bal Malkit Singh. According to a transport sector expert, delays at toll plazas and extra fuel consumption result in annual loss of over Rs 1 lakh crore. IIM-Calcutta in a study earlier estimated an annual loss of Rs 87,000 crore because of delays and extra fuel consumption at toll plazas. According to Singh, while trucks in the US cover a distance of 800 km in a day, in India it is barely 280 km. The government intends to roll out the GST, which will subsume central excise, services tax and various local levies from April 1, 2017. Implementation of GST will enable creation of a common market, thereby allowing free movement of goods and services across the country. Simpler documentation, Garg said, will allow faster movement of cargo, less stoppages and minimal damages. Moreover, he added, the GST will allow companies to operate one large central warehouse, rather than having multiple warehouses. GST will also give a boost to organised service providers leading to greater efficiencies, better use of technology and cost advantages, he said, adding these could result in savings to the tune of 30 to 50 per cent. According to Garg, “GST reform, along with innovation in logistics sector can be a game changer for Indian economy. It will be a constitutive shift which will propel our economic growth and benefit not only businesses, but also the Indian society in entirety.” Terry Sawchuk Womens Jersey
Multimodal logistics park will improve the infrastructure in the State, says Cochin Chamber
The trade and industry has hailed the decision of the Centre to set up a multimodal logistics park in Kochi, saying that it will improve, streamline and centralise the multimodal infrastructure in the State. The proposed park at an investment of ?32,853 crore will be a highly positive initiative as it is bound to improve logistics efficiency, reduce costs, create job opportunities, promote ancillary industries/investments in the long run, C.S. Kartha, president of Cochin Chamber of Commerce and Industry said. Kochi has been selected along with 14 other cities based on the highest freight movement in the country. It is one of the 15 cities which together account for 40 per cent of the freight movement. “We need to capitalise on this”, he said adding that this mega project will act as a catalyst for other such projects in the State to enhance their efficiency and effectiveness in promoting Kerala’s logistics sector. Connor Brown Authentic Jersey
Britain launches fraud probe into Airbus
Britain’s Serious Fraud Office has said on it had opened a criminal probe into Airbus Group, investigating allegations of fraud, bribery and corruption. “These allegations relate to irregularities concerning third party consultants,” the SFO said in a statement yesterday. The authority said it opened the investigation in July and asked anyone with relevant information to come forward. A spokesperson for the SFO said additional details of the probe would not be made public until charges were brought or the investigation is dropped. European planemaker Airbus said it was aware of the probe and the aviation firm was working with investigators. “Airbus Group has been informed by the SFO that it has opened a criminal investigation into allegations of fraud, bribery and corruption in the civil aviation business of Airbus Group relating to irregularities concerning third party consultants,” the company said in a statement. “Airbus Group continues to cooperate with the SFO,” the statement concluded. The company was informed on Friday that the authority had launched an investigation, an Airbus spokesman told AFP. “We ourselves detected this issue and self-disclosed it to the authorities. “This is as an effort of our enhanced anti-corruption (policy). Management has taken robust action and is determined to resolve this issue in cooperation with the authorities,” spokesman Jeremy Greaves said. Airbus informed authorities of the irregularities in April. The same month the UK Export Finance decided to suspend export credits to the firm, a move followed by France and Germany. The aviation firm said at the time it hoped to resolve the financing problem as soon as possible. The current SFO investigation is expected to take years. The probe was described by the Financial Times newspaper as a “severe blow to the European aircraft maker” which would be exploited by its US rival Boeing. Airbus is the largest commercial aerospace company in Britain and last month said its net profit rose 15 per cent in the first half of the year. Profits were up 1.76 billion euros (USD 1.94 billion), but the gain was due to exceptional items that masked a slide in operating earnings. The company was hit by charges of just over 1 billion euros related to its troubled A400M military cargo transporter programme, while adverse currency movements and charges on its widebody A350 aircraft totalled nearly 900 million. However, these were compensated for by the sale of shares in Dassault Aviation and the creation of a rocket launcher joint venture with Safran that generated a net gain of nearly 1.9 billion euros. Alex Biega Jersey