Orissa - Projects and Development

[Planned Chaos]

Direct tax mop-up: Metros falter, small cities robust

Kitty from the two metros almost static; collections from smaller ones way above last year’s.

Direct tax realisation across the country shows the major centres of Mumbai and Delhi witnessing flat or negative growth, while smaller ones have shown encouraging trends.

Number one in growth over last year’s net direct tax collection during April 1-December 1 is Bhubaneswar, with a 52.6 per cent increase at Rs 4,187 crore (Rs 2,744 crore in last year’s corresponding period). Of the collection this year, Rs 2,959 crore has come from corporate tax and Rs 1,226 crore from personal income tax.



A senior department official said the better growth in direct tax realisation in smaller regions clearly indicated an increase in business activities in these. And, that this had come despite overall sluggish performance. Jaipur with 43.2 per cent at Rs 3,431 crore (Rs 2,395 earlier) during the period is at the second spot and Bhopal with a 35.5 per cent increase at Rs 5,809 crore (Rs 4,288 crore) is third. Chandigarh, Ahmedabad, Lucknow and Kochi are fourth, fifth, sixth and seventh, with growth of 34 per cent, 29 per cent, 27.3 per cent and 24 per cent, respectively.

The net collection in Chandigarh during April 1-December 1 was Rs 11,594 crore (Rs 8,659 crore last year, same period). It was ~ 10,942 crore (Rs 8,485 crore) in Ahmedabad; Rs 2,821 crore (2,216 crore) in Lucknow and Rs 3,120 (Rs 2,517 crore) in Kochi. Patna, with 20 per cent growth at Rs 2,766 crore (Rs 2,306 crore), is eighth.

In comparison, the two biggest contributors to the tax kitty, Mumbai and Delhi, have recorded a 0.1 per cent growth and a 1.5 per cent fall, respectively, during April 1-December 1. Net direct tax mop-up during this period in Mumbai was Rs 72,516 crore (Rs 72,445 crore last year); in Delhi, Rs 33,246 crore (Rs 32,750 crore).

Bangalore and Chennai centres have seen an increase in net direct tax realisation by 14 per cent and 15 per cent, respectively. The collection in Bangalore was Rs 22,755 crore (Rs 19,950 crore) and Rs 17,382 crore (Rs 15,116 crore) in Chennai. Total net direct tax realisation growth during April 1-December 1 has been 8.8 per cent, as against a 7.1 per cent increase witnessed till October.

While gross direct tax mop-up till December 1 in 2011-12 was Rs 3,03,650 crore, net collections were Rs 2,34,729 crore, after refunds of Rs 68,918 crore. Net direct tax realisation during April-December 1 in 2010-11 was Rs 2,15,659 crore. Of the total net realisation of Rs 2,34,729 crore, about Rs 1,47,225 crore was from corporate tax and Rs 83,535 crore from income tax.

The government’s budget target for direct tax collection is Rs 5.33 lakh crore, with a projected growth of 19 per cent, higher than the 18 per cent in 2010-11.

The Central Board of Direct Taxes is now keenly awaiting the third installment of advance tax payment due on December 15, for an improvement on the growth figure of 8.8 per cent witnessed till December 1.

[Planned Chaos]

Second Infosys campus in city soon

BHUBANESWAR: The second campus of IT bellwether Infosys in the city will be ready soon, said Kris Gopalkrishnan, the executive co-chairman of the company.

The new campus will be bigger and better than the existing campus. "Every new campus is better than the old campus. It will be more efficient, consuming less water and saving more energy," Gopalkrishnan said.

Sources in Infosys said the first phase of the 50-acre second campus near Khurda will be ready in three months.

Gopalkrishnan said the new facility will employ 3,000 to 5,000 people. The existing Infosys campus in Infocity has a headcount of 3,500. Infosys has given offer letters to around 1,500 new recruits in Odisha this year, he said.

The co-chairman said the Bhubaneswar unit of the company was doing very well. "We were the first among the big IT companies to have come to Bhubaneswar. We are doing quite well here," he said, adding employee attrition was also very low here.

Gopalkrishnan said the mushrooming of so many engineering colleges without infrastructure is a worrying trend. "It does worry me. We need numbers, but we must improve quality," he said.

The senior Infosys official said the education sector should be opened up for foreign players. "Such a move will improve quality and competition," he said, adding Indian institutions would not lose out on anything. They are competent and robust enough to compete with global players.

Gopalkrishnan said though devaluation of rupee has been a positive development for the export-driven IT companies, it is a worrying trend because the volatility of the market is too much. Since the country as such is a net importer, devaluation is a big concern, he added.

[SSCaddict]

CM inaugurates Dhamra port

Chief minister Naveen Patnaik on Sunday inaugurated an all-weather deep sea port at Dhamra in Bhadrak district.

A joint venture of Tata Steel and Larsen and Toubro, the Rs-3500-crore port project was built on PPP (public-private-partnership) mode and became commercially operational in May after phase one work was completed - the building of two cargo berths of 350 metres long each. The port is equipped for an achievable discharge rate of 600,000 metric tons per day and loading rate of 100,000 MT per day of dry bulk cargo.

Dhamra Port Company Limited (DPCL) sources said around 50 ships, including capesize vessels of more than a dead weight of one lakh metric tonne, have berthed so far. The port has built an 18 km channel to connect with deep sea and a 62-km fully electrified rail link to connect with the Howrah-Chennai main line for transportation of cargo, company sources said.

Naveen said, "We have added another feather to the glory of our state by establishing the biggest port in eastern India. We have successfully built an infrastructure industry to make multiple use of the abundant natural resources of the state." He added, "The Paradip port was established (in 1962) by former chief minister Biju Pattnaik. We are paying tributes to him today by fulfilling his dream of an industrial Odisha by establishing the Dhamra Port."

CEO of DPCL Santosh Mahapatra said, "We have laid stress on providing as much employment to local people as possible during the phase one of the port project. The port would have 14 berths after phase three work gets over."

A host of dignitaries, including commerce and transport minister Sanjeeb Sahoo, tourism and culture minister Prafulla Samal, Bhadrak MP Arjun Charan Sethy, chief secretary Bijay Pattnaik and Union shipping secretary K Mohandas, were present on the occasion.

[murlee]

Wow.. Is this the biggest port in Eastern coast??

[SSCaddict]

yes

[anidel]

Originally Posted by murlee

Wow.. Is this the biggest port in Eastern coast??

Nothing to fell happy about as its to dig out and sell India in pieces.

Our minerals will be sold at cheap prices (much of it will be illegal mining and export like bellary in karnataka)

When India will need its minerals for growth we have to import them paying higher prices.

[Planned Chaos]

NTPC to invest Rs.25,000 crore in two Odisha projects

NTPC hopes to break the ground for its two proposed super thermal power projects (STPP) with 1,600 MW capacity each at Darlipali in Sundargarh and Gajmara in Dhenkanal district this year.

The company plans to invest more than Rs.25,000 crore in the two projects. “We have already been served demand notice for occupying land at Darlipali. About 1,632 acres is required for the project,” said Jaydeb Nanda, Regional Executive Director of NTPC's (East-II) zone, addressing a press conference here on Saturday. It would be a super critical power plant, the first of its kind to be set up in Odisha, Mr. Nanda said.

“To ensure the upcoming project gets uninterrupted raw material, NTPC will source 7 million tonnes per annum coal from Dulunga and 12.5 million tonnes from Pakri Barwadih blocks allotted to the company,” he said. The project would depend on Hirakud reservoir for sourcing water.

Similarly, according to Mr. Nanda, the proposed Gajmara project would require 1,039 acres in Dhenknal district.

At present, NTPC generates 3,460 MW of power from the State. It hoped to add another 4,500 MW from its three upcoming projects, including Darlipali and Gajamara. It has also proposed to add 1,320 MW capacity at its Talcher facility.

Pointing out that coal supply to its plants generation capacity had largely improved in recent months, Mr. Nanda said its STPP at Kaniha in Angul district was getting 60,000 tonnes of coal per day against the requirement of 52,000 tonnes. He, however, admitted that the facility had faced coal shortage in the past. “The company is all set to resolve the coal shortage for Kaniha facility once it starts operating the very near-by coal mine,” the NTPC top official said.

On the proposed medical college at Sundargarh, Mr. Nanda said, “we may spend around Rs.350 crore on the medical college. A patch of land measuring 25 acres has been identified. However, the medical college project has been linked up with the acquisition of land for Darlipali STPP. “A combined project proposal will be prepared for both the thermal project and the medical college.”

[Planned Chaos]

Rio Tinto to invest in $2 bn Orissa project

Rio Tinto, the world’s third largest mining company, will invest in a $2 billion iron ore project in Orissa to supply clients in India and overseas with the steel making material, Sam Walsh, head of the company’s Australia-based iron ore division, said on Monday.

The project will be the largest investment by an Australian firm in India, Walsh told reporters on the sidelines of the Australia-India Chief Executive Officers’ Forum in New Delhi.

“We expect to ramp up (production) quickly to 15 million tonnes (mt) per year,” said Walsh. “We will bring the technology and environment safety systems and will obviously be using local people in the project.”

Total foreign direct investment (FDI) from Australia from April 2000 till December 2011 stood at $486.5 million, just 0.3% of the country’s total FDI flows, according to trade ministry data.

India’s mining companies have found it difficult to expand to keep pace with the rising demand, hampered by opposition from displaced locals, stringent environmental norms and a slow process for getting approvals.

In response to a question on whether Rio’s plans would be affected by the fact that South Korean steel giant Posco’s plans had run into trouble with locals protesting against plans for a $12 billion captive power-cum-steel plant, Walsh said, “I am a very patient man. We will go through all the processes needed to bring this project on board. We are already working with local communities.”

Rio Tinto owns 51% of the project, according to the website of partner Odisha Mining Corp., which holds 44%. The remaining 5% is owned by NMDC Ltd, India’s biggest iron ore producer.

“Foreign companies are looking ahead to opportunities opening up in the Indian mining sector, especially as there is a new mining policy on the anvil,” said a Delhi-based steel and mining consultant who requested anonymity. “Rio Tinto has been in India for many years and is engaged in exploration and reconnaissance projects and is looking for mining leases. It is not surprising, therefore, that it is seeking to strengthen its position by announcing this investment.”

India’s steel ministry in November estimated local demand may grow at 9% a year over the next five years. While Tata Steel Ltd and Steel Authority of India Ltd own iron ore mines, JSW Steel Ltd buys as much as 80% of its needs from local and overseas suppliers.

With expectations of significant infrastructure and industrial growth in India, Rio Tinto remains keen to contribute to the development of the Indian iron ore sector, Rio Tinto said on its website.

A separate venture between Rio Tinto and NMDC was stalled in 2010 after the companies failed to make headway because of a lack of synergy, Rana Som, the then chairman at the Hyderabad-based company, said on 21 December.

India’s iron ore output may tumble 50% this year from 226mt mined in the year ended 31 March after the government raised levies, R.K. Sharma, secretary general at the Federation of Indian Mineral Industries, said on 2 January. The country’s total recoverable reserves are about 7.06 billion tonnes, according to the Indian Bureau of Mines and Federation of Indian Mineral Industries.

Meanwhile, India is seeking a say in deciding the price it pays for coal imported from Australia, so far decided on the basis of negotiations between that country and Japan, one of the largest importers of Australian coal.

This was among the issues discussed at the CEOs’ forum that also focused on fast-tracking a bilateral trade pact, establishing direct air links between the two countries and even a prime ministerial visit from India to give a boost to commercial links.

“When we buy coal from Australia, we are relying more on how Australians are negotiating with the Japanese,” said Naveen Jindal, member of parliament and chairman and managing director, Jindal Steel and Power Ltd. “Historically Japan was consuming a lot more (coal) than us. But now since our requirements have increased and are going to further increase as we are going to be producing a lot more steel than Japan, we have to take that dominant role in the negotiation for coking coal and even thermal coal for meeting our energy requirements,” Jindal, co-chair of the CEOs’ forum, told reporters.

[SSCaddict]

State emerges the top investment grosser

Orissa has emerged as the numero uno state in attracting investors across sectors, carrying forward its investor friendly momentum.

The state has attracted investments to the tune of Rs 13.66 lakh crore till January 2012, the highest among all states, making it the biggest investment grosser, minister for industries and steel & mines Raghunath Mohanty informed the state assembly.

The investment figure is according to the latest data collated by Department of Industrial Policy and Promotion (DIPP) under Government of India.
The minister said, the state has pulled investments worth Rs 1.67 lakh crore in the power sector from 29 independent power producers for establishment of thermal power stations. The state government had also inked Memorandum of Understanding (MoU) with 50 steel players, attracting investments of over Rs 2 lakh crore of which 30 small and medium steel projects had begun partial production.

In order to create a conducive atmosphere for industrialization, the state government has stepped in with policy interventions like Orissa Industries Facilitation Act-2204, Industrial Policy Resolution-2007 and MSME (Micro, Small and Medium Enterprises) Development Policy-2009.

Besides, the state has taken steps to boost industrial infrastructure by identification of sites for industrial clusters and Special Economic Zones (SEZs) and also industrial parks such as IT park, biotechnology park and ancillary downstream parks, Mohanty said.

A Petroleum, Chemicals and Petrochemicals Investment Region (PCPIR) has also been proposed at Paradip, he added.

The PCPIR project in the state would be set up on 284.15 sq km (70,214 acres) of land spread over Jagatsnghpur and Kendrapara districts. The PCPIR hub is expected to attract investments to the tune of Rs 2.74 lakh crore.

Phase-I work of the project is expected to be completed by 2015 while the entire project is scheduled for commissioning by 2030.

Of the expected overall investment figure of Rs 2.74 lakh crore, the lion's share would come from the petroleum and petrochemicals sectors at Rs 2.3 lakh crore followed by housing and allied infrastructure at Rs 23,500 crore, external infrastructure at Rs 13,634 crore and Rs 3,500 crore each for chemicals & fertilizers and ancillary sectors.

The mega project is set to create employment for 6.48 lakh people which includes direct employment for 2.27 lakh people and indirect employment for 4.41 lakh others.

The Orissa government has committed an expenditure of Rs 1,796 crore on infrastructure development for the PCPIR hub. Out of the envisaged expenditure of Rs 1,796 crore, Rs 754 crore will be spent on development of arterial roads, Rs 465 crore on water supply, Rs 410 crore on power distribution and Rs 136 crore on canal upgradation.

$300 billion!

[senthilkumark]

Bhubaneswar “solar city” to tap solar energy in big way

According to reports, the ‘Solar City’ project, proposed by the Centre in late 2011, will progress to the next step if the master plan is ready by the end of this month.

The project was launched by the Ministry of New and Renewable Energy (MNRE) to enable the cities tap more renewable energy. The purpose of the project is to reduce electricity consumption by 10 per cent by utilising solar energy. The project had 48 cities in its ambit at the start, out of which 37 were sanctioned in the first phase and seven cities were ready with the master plan at the launch of the project.

The Bhubaneswar Municipal Corporation (BMC) had roped in a consultant to help prepare the master plan for the city. Civic officials are hopeful that the consultant will be ready with the plan in time.“Our major focus will be on street-lighting as major part of our funds go into it. We will now try to reduce the funding by using solar energy,” said BMC Environment Officer BK Rout. Government hospitals, office buildings and BMC offices, could be used to set up solar panels for tapping solar power.

The master plan cost of Rs 2 lakh is being provided by Odisha Renewable Energy Development Agency (OREDA). It will take into account the complete power consumption of households and industrial zones in the city. It will also record the city’s petrol consumption and other forms of energy over the years. Based on these reports, they will identify locations for tapping solar energy. Recently a mega project was undertaken in Gujarat by its government in solar energy. In Bhubaneswar the project is in its nascent stage, but the plan will make use of whatever resources the city has to tap solar power.

BMC officials said Bhubaneswar also has land for such a development, but will have to wait till the master plan is ready.

[anidel]

Odisha, Kerala to jointly develop 1,000 MW coal-fired plant


Jayajit Dash / Kolkata/ Bhubaneswar Jul 24, 2012, 00:02 IST


Odisha and Kerala are set to tie up for setting up a 1,000 MW pit-head coal-fired power plant close to the Baitarani west coal block under Talcher coalfields in Angul district. The power project is estimated to cost Rs 4,500 - Rs 5000 crore.

The Baitarani west coal block with reserve of 600 million tonnes has been jointly allocated to Odisha Hydro Power Corporation (OHPC), Gujarat Power Corporation (GPC) and Kerala State Electricity Board (KSEB).

“OHPC and KSEB may forge a joint venture for setting up the power plant but the specifics are yet to be worked out. Site selection for the proposed coal-based plant is also pending but we are interested in putting up a pit-head plant to cut coal transportation cost,” said an official source. Earlier KSEB’s plan to establish a power plant in Odisha had got the cold shoulder from the state government. Odisha chief minister Naveen Patnaik had even written to the Coal ministry in January this year, stating that allocation of the Baitarani west coal block to KSEB was unjustified.

“Use of imported coal from Indonesia will be a more appropriate proposition for Kerala, particularly when the ongoing power projects in Odisha are not able to get their coal requirement. Alternatively, Kerala may avail power through wheeling power from any of the ongoing MoU (memorandum of understanding) signed power plants in Odisha. Hence, allocation of Baitarani west coal block from Talcher coalfields to KSEB should be cancelled,” Patnaik had stated to coal minister Sriprakash Jaiswal.

But of late, the Odisha government has responded positively to KSEB’s proposal to set up a power plant through the joint route.

It may be noted that Chennai-based Neyveli Lignite Corporation Ltd (NLC), a navratna PSU has also evinced interest in setting up a 2,000 MW coal-fired power plant in Odisha through a joint venture with a state government owned PSU. The proposed power plant envisages an investment of around Rs 10,000 crore. Though the exact location for this power plant is yet to be decided, NLC prefers to put up the plant in the vicinity of its allocated coal blocks-Talabira-2 and Talabira-3 situated under the command area of Mahanadi Coalfields Ltd (MCL).

The Odisha government has inked MoUs with 29 independent power producers (IPPs) for setting up coal-based power plants with combined power producing capacity totaling to 37,000 MW.

http://www.business-standard.com/ind...-plant/481207/

[studdmanster]

The Mayfair group of hotels will commercially start operating the Palm Beach Resort at Gopalpur in Orissa from 9 December. After buying the luxury property in September 2011, the group has spent Rs 30 crore on its renovation. The hotel had been shut since 2002 due to structural damage.

“We decided to renovate the hotel as it is a heritage property. I
t has also got good business prospects because people from India and abroad come to Gopalpur for its scenic beauty and peaceful atmosphere,” said Dillip Ray, CMD of Mayfair Hotels and Resorts Group.

The Mayfair Palm Beach Resort is the latest and eighth addition to the hotel chain. Sprawling over eight acres overlooking the sea, this property has 32 rooms besides a marriage hall and tennis court.

The Mayfair group bought it for around Rs 10-crore. “We added another floor to the original structure. Architects of Bhubaneswar-based Creative Design Group have helped us renovate the hotel,” said Ray.

The beach resort was constructed at Gopalpur by Italian Singnor Maglioni in 1914. The Oberoi Group of Hotels had bought it in 1947. Tourists staying on this property can take a trip to Aska to see peacock and blackbuck habitats. Even Rushikulya, the mass nesting site of Olive Ridley turtles and hot spring at Taptapani are not far.

[karkal]

IBM ties-up with Vedanta for power biz resource planning

IBM on Tuesday announced that Vedanta, a globally diversified natural resources group, has tied up with IBM to create an IT infrastructure for the resource planning system of their power business. IBM, leveraging its BladeCenter and System X storage portfolio will help Vedanta to enhance its overall management system and reduce costs.

The IBM implementation has been done at their centre in Jharsuguda in Odisha. The solution stack offered to Vedanta in Odisha includes BladeCenter Chasis, blade server and disk storage. The solution will augment the hardware infrastructure of Vedanta, while also reducing the total cost of ownership, according to IBM officials.

“While we have worked with other vendors, we are seeing strong benefits from working with IBM technology. This has helped us in reducing data centre costs of power and server footprint, while facilitating ease of management,” said Subrata Banerjee, CIO, Vedanta Aluminum Ltd.

Vivek Malhotra, Regional Territory Executive, IBM General Business, India/ South Asia said: “Odisha is an important region for IBM, and the company is focussed on growing its presence in the region to help businesses transform themselves and succeed in a dynamic environment.”

Vedanta is primarily engaged in the copper, zinc, silver, aluminum, iron ore as well as power businesses and works across the economies of India, Zambia, Namibia, Africa, Liberia, Ireland and Australia, among others.

IBM has a major programme of geo expansion in place across India to increase its presence in smaller, rapidly developing cities as these regions play an increasingly important role in the country's economic growth. As part of the outreach strategy, IBM has an office in Bhubaneshwar, Odisha, to reach out to local businesses with advanced technology solutions that will enable their growth.

[diptadeepdas]

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[MNaik]

link

Odisha Government’s State Level Task Force (STF) for steel has recommended a two-year extension of Memorandum of Understanding signed for 11 steel projects and six independent power producers (IPPs) in the state.

The steel units whose MoUs obtained life-extensions were Tata Steel, Action Ispat and Power, BRG Steel Co, Jai Balaji Jyoti Steel, MGM Steels, MSP Metalics, OCL Iron and Steel, Rungta Mines, Shyam DRI Power, SMC Power Generation and Surendra Mining.