___________

The following highlights are from http://www.orissa.gov.in/finance/Budgets/2012-13/BUDGET%20SPEECH%20ENGLISH.pdf. (This year’s and several previous year’s budgets since 2004-05 are linked from http://www.orissa.gov.in/finance/Budgets/default.html.)

• Rs. 5.00 Cr has been provided for management and development of Elephant Corridor in the State during the year 2012-13.
• Allocation for purchase of medicines for Government run hospitals has been increased from Rs.50.00 crore to Rs.104.56 crore.
• … decided to enhance the intake capacity of all the three Medical Colleges from 150 to 250 within a period of four years. This project will require investment of Rs.400.00 crore for development of necessary infrastructure and other facilities. Rs.32.30 crore has been allocated for this project under State Plan.
• Launching of “Emergency Medical Ambulance Services” in the State would be another major intervention for strengthening health security. In the first phase 15 districts will be covered under this new scheme. Rs.10.00 crore from Odisha Health System Project Fund has been allocated during current financial year for purchase of Ambulances. In the present allocation operational cost of Rs.6.22 crore has been provided.
• Total allocation in School and Mass Education Department is enhanced from Rs.5307.44 crore to Rs.6525.40 crore this year.
• Rs. 18.60 crore has been provided towards state share for opening of Govt. Colleges in the districts with low Gross Enrolment Ratio.
• Rs.5.00 crore is allocated under ‘Aam Admi Bima Yojana’ to provide life insurance cover for the landless agricultural labourers.
• Rs. 4.00 crore has been provided in the budget under State Plan towards establishment of Xavier’s Institute of Management (XIMB) at Sambalpur and Bolangir. This will go a long way in providing quality management education to the students of the State.
• Rs. 14.00 crore has been provided for infrastructure development of constituent colleges of BPUT. Besides, Rs. 12.56 crore has also been provided for infrastructure and civil works of IGIT, Sarang, Government Engineering Colleges at Berhampur and Bhawanipatna etc.
• For up-gradation of industrial infrastructure of Plastic, Polymer and Allied Cluster at Balasore under IIUS, a provision of Rs.1.13 crore has been provided.
• a new Planetarium will be established at Sambalpur for which allocation of Rs.5.00 crore has been provided.
• Rs.12.00 crore has been provided in the budget for infrastructure development of IIIT, Bhubaneswar, which includes creation of Training Centre, Guest House, Research Laboratories & Staff Qrs.
• Rs.80.00 crore has been provided for Western Odisha Development Council.
• Rs.120.00 crore has been provided in the budget for continuance of Biju KBK Yojana for the development of most backward regions like KBK.
• Rs.28.50 crore has been made for implementation of Biju Kandhamala O Gajapati Yojana.
• Rs.540.00 crore has been provided in the budget for implementation of Integrated Action Plan in Tribal & Backward Districts.
• Rs.5.00 crore has been provided for setting of Driving Training Institute at Berhampur, Barbil, Bhubaneswar, Keonjhar & Angul, which will train un-employed youth to earn their livelihood.
• Rs.6.00 crore out of State Plan has been earmarked for development of air-strips and construction of a new Air- Strip at Malkangiri during the financial year 2012-13.
• Rs.4.99 crore has been provide in the budget for completion of Hockey complex at Kalinga Stadium.
• To cater to the training needs of the inmates of Sports Hostel at Panposh, Rourkela a second Synthetic Hockey Turf will be laid. Accordingly, a sum of Rs.6.00 crore has been provided in the Budget for 2012-13
• Rs.16.25 crore has been provided in the budget for Preservation of Monuments and Buddhist Heritage as per the recommendation of 13th Finance Commission.
• Rs.1.00 crore has been made for construction of Odishi Dance Museum in Guru Kelu Charan Mohapatra Odishi Research Centre, Bhubaneswar
• Rs.1.00 crore has been provided in the budget for construction of Modern Art Gallery in Bhubaneswar.
• Rs.2.00 crore has been provided in the budget for construction of Boys & Girls Hostels for Utkal Sangeeta Mahavidyala and B.K. College of Art and Crafts, Bhubaneswar.
• Rs.9.00 crore has been provided in the budget for acquisition of private land for development of tourist projects like Peace Park at Dhauli and Peripheral Development of Lingaraj Temple.
• Rs.13.50 crore has been provided in the budget in order to provide adequate basic amenities and other infrastructure in indentified tourist destinations.
• Rs. 17.00 crore has been provided in the budget for organisation of International Events & Road shows/organisation of State and National Level Fairs and for publicity campaigns.

Following is from Samaja:

(Thanks to Devasis Sarangi for the pointer to this in facebook.)

Following is from a report in Business Standard.

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.

I am tempted to draw more conclusions but am not sure of jurisdictions of each of the locations in the left. For example, for the number corresponding to Bhubaneswar, is the data just about collection from Bhubaneswar city (as defined by what?) or about the collection from Bhubaneswar tax circle (what are the areas it covers?). Although not knowing this makes it difficult to draw more conclusions, one thing is for sure; Bhubaneswar tops in the growth of direct tax collections.

Update on July 12 2011: As per a report in Business Standard:

The financial ministry approves the four laning of Angul-Sambalpur section of NH 42 in Orissa for Rs 1,220.32 crore and two/four laning of Birmitrapur to Barkote section in Orissa (Rs 778.15 crore). These are to be done via PPP.

Original part published on: June 19th. 2008, 11:55pm

Following is an excerpt from a report in New Indian Express.

The Lok Sabha petitions committee rapped the National Highway Authority of India (NHAI) for the inordinate delay in four-laning of the National Highway No 42 from Angul to Sambalpur. As a number of steel industries and thermal power plants are coming up in Jharsuguda, Sambalpur, Angul and Dhenkanal districts, traffic on this route has increased manifold. The State Government has been demanding the NHAI for further widening of this route in view of movement of large number of heavy vehicles. The petitions committee chaired by Pabhunath Singh met at Delhi recently and sought to know from the Ministry of Shipping, Road Transport and Highways about the delay in four-laning the road. The NHAI officials reportedly told the committee that the proposal of the State had been approved. After survey on traffic intensity on the route, the 107-km stretch between Manguli and Angul has been been identified for four-laning. The Ministry has made a budgetary provision of Rs 2.3 crore in the current year�s budget for feasibility study and preparation of detailed project report (DPR). Steps have been taken to engage a consultant for DPR preparation. … Dharmendra Pradhan, a member of the committee, reportedly suggested that the four-laning should be done up to Jarpada in view of the steel project coming up there. However, the Ministry officials said that there is no proposal for four-laning beyond Angul. On the development of 209-km-long NH-23 from Banarpal to Birmitrapur, the Ministry said that widening of 9- km road to two lane is in progress and the four-laning of Birmitrapur to Rajamunda depends of the traffic intensity. A consultant has been appointed for feasibility study.

(Thanks to Devasis Sarangi for the pointers.)

The following is extracted from http://dailypioneer.com/333439/State-posts-record-revenue-collection-of-Rs-15931-cr.html.

• Total revenue collection:  In 2010-11 amounted to Rs 15,931 crore against Rs 12,194 crore in 2009-10, a growth of 31 per cent.
• Tax revenue collection was fixed at Rs 11,000 crore in 2010-11, the achievement was Rs 11,206.44 crore recording a growth of 25 per cent.
• Non-tax revenue collection, the growth rate was 47.83 per cent with an amount of Rs 4,748.46 crore against a target of Rs 3,500 crore.
• The target of revenue collection for 2011-12 was fixed at Rs 19,000 crore with Rs 13,800 crore as tax and Rs 5,200 crore as non-tax revenue.
• The Governmental dues under professional tax, land revenue, stamps and registration, excise, sales tax, vehicle tax, entry tax and electricity duties have been included under the tax revenue category while the dues under mining royalty, forest and wildlife, major, medium and minor irrigation, water supply& sanitation, interest, dividend and other departmental receipts have been included under the non-tax revenue category.

Following is from Dharitri:

Following is from a report in Business Standard.

The Orissa government has decided to undertake 14 projects on the Public Private Partnership (PPP) mode involving an expenditure of Rs 6,218.02 crore.

A total of 46 projects, to be taken up on the PPP mode, are under the consideration of the state government, A U Singhdeo, minister for Planning & Coordination said in the state assembly.

… The Infocity-II project, one of the major PPP projects, being planned over 600 acres of land at Janla on the outskirts of the city, has gathered some steam after being marred by inordinate delay.

As part of its commitment to expedite this project, the state government has set in motion the process to prepare Request for Qualification (RFQ) for this project.

"An empowered committee of the state industries department has been asked to oversee the bidding process of the Infocity-II project. The RFQ is currently being prepared. The land acquisition for the project has been already completed and environment clearance has been obtained. The state government has also submitted an application to the Government of India for Special Economic zone (SEZ) notification for the project,” the minister said.

The other notable projects in the information technology sector taken up on the PPP mode are Mindspace IT Park involving a cost of Rs 480 crore, the DLF Infopark project entailing an investment of around Rs 1,000 crore and an IT & Corporate Tower being taken up at Chandrasekharpur at a cost of Rs 140 crore.

In the tourism sector, the Empowered Committee on Infrastructure (ECI) has approved the revised Request for Proposal (RFP) for selecting the master developer for the Shmauka beach tourism project being taken up at a cost of Rs 3,500 crore on around 3,000 acres of land at Sipasarubali near Puri.

In the road transport sector, the High Level Clearance Authority of the state government has approved a proposal to seek Viability Gap Fund (VGF) assistance for the four-laning of the Sambalpur-Rourkela road involving a cost of Rs 1,483 crore.

For the Koira-Tensa-Lahunipara road in Keonjhar district, involving an implementation cost of Rs 392.2 crore, PricewaterhouseCoopers (PwC) has submitted a draft preliminary report. This project needs 38 per cent VGF as per the toll rates of National Highways Authority of India Ltd (NHAI).

Meanwhile, feasibility study is underway for three other road projects- Shaukati-Dubuna road in Keonjhar district, Tensa-Barsuan-Lahunipara road in Sundergarh district and Chorada-Duburi road in Dhenkanal  Jajpur.

Following is an excerpt from a Business Standard report in sify.com.

Construction work on the Rs 100-crore Konark Knowledge Park, a biotech-pharma-IT hub, being developed by Hyderabad-based Bharat Biotech International Limited on around 65 acres of land at Andharua on the outskirts of the city, is set to take off by March 2011.

"The biotech park would have all statutory clearances within four months and construction work will begin soon after that", an official source told Business Standard.

… The land leveling for this project is already over and efforts are underway to provide piped water and power supply to the park.

The park is set to be completely operational within eight years of the commencement of construction work.The park would have a Biotechnology Incubation Centre spread over 10 acres. The incubation centre to be developed within the park would cater to the needs of the researchers, entrepreneurs and students.

The Centre would provide equipment called the biotech incubator worth Rs 25 crore for the incubation centre.The biotech industry in the country is growing at a very good pace and this incubation centre is set to emerge as a Centre of Excellence.

The Konark Kowledge Park is the first of its kind venture to be developed on the public private partnership (PPP) mode in the state in the field of science and technology.

… The Industrial Infrastructure Corporation of Orissa (Idco) has been appointed as the nodal agency for the development of this integrated park would provide all external infrastructure facilities like roads, water supply and electricity for this complex.

Following is an excerpt from a report in Telegraph.

… According to the draft bill, a mining company has to “allot free shares equal to twenty six per cent in the company… in case the holder of the lease (the land being taken over) is a company”. If the holder of the lease is a person, “an annuity equal to 26% of the profit after tax” has to be given as “annual compensation”.

The draft Mines and Minerals (Development & Regulation) Act, 2010, also proposes that the mining company has to provide employment and/or other assistance in accordance with the rehabilitation and resettlement policy of the state government concerned.

Government sources said they hoped the draft bill would address these issues through the “partnership” plan. “Their (tribals’) home is being taken away so how will they feel. The point is being driven home,” said an official with the mines ministry.

… The sources said the bill could come up before the cabinet for clearance in a few weeks.

The bill envisages the involvement of gram sabhas or district councils or panchayats — as the case may be — who would identify the families to be affected by mining projects, directly or indirectly, before the commencement of operations to “ensure appropriate benefits”.

“A mining welfare fund will be set up, funds from which will be only for tribal land,” sources in the government said. The plan is to create “model villages”, added an official.

The bill also proposes a mandatory Corporate Social Responsibility document to be attached to the mining plan. The document envisages a scheme for annual expenditure by the mining company on socio-economic activities in and around the mine area to facilitate self-employment opportunities.

P. Chidambaram’s home ministry, too, has come up with a plan to assuage tribal sentiments. It has proposed free power for villages within a certain radius of power plants. “People should not feel that the power generated from their land is benefiting only the rich in cities,” said a home ministry official.

…  Home ministry officials said the focus was now on “micro-management” to understand the problems of tribals. On April 30, MPs from 34 districts most affected by Maoist violence will be briefed by home ministry officials. “We can put things right in the bureaucracy, but it is the duty of MPs to go and talk to affected people,” said a source.

On policing, the ministry wants to deploy police personnel “sympathetic” to tribals.  …

1. Economic Times on 3 more terminal markets in Odisha:

Orissa government will provide four terminal market yards to enable the farmers to sell their produce at market prices…. One of the terminal has already been constructed at Sambalpur with an investment

of Rs 86 crore and three others are coming up at Cuttack, Berhampur and Rourkela,…

2. Business Standrad on MOU with five IPPs for 4800 MW power:

The cumulative capacity of these projects would be 4800 Mw and the total investment is envisaged to be Rs 23203.52 crore.

With this, the total power generation projected in the state would increase to 31100 Mw from 26300 Mw earlier.The Orissa government has already inked MoUs with 21 IPPs with an aggregate generation capacity of 26,300 Mw earlier.

… Five companies who signed the MoU included BGR Energy System, JR Powergen Private Ltd, Adhunik Power and Natural Resources Ltd, Maa Durga Thermal Power Company Ltd and Vijaya Ferro and Power Private Ltd.

JR Powergen Private Ltd would set up a 1980 Mw thermal power plant at Kishorenagar near Angul at an investment of Rs 7988 crore. BGR Energy Systems Ltd also plans to set up a 1320 Mw power plant at Bhapur in Nayagarh district at an investment of Rs 6287 crore.

Similarly, Adhunik Power and Natural Resources Ltd would set up a 1320 Mw power plant at Birmaharajpur in Sonepur district entailing an investment of Rs 8079.74 crore. All these proposals were cleared by the High Level Clearance Authority (HLCA) chaired by the chief minister Naveen Patnaik.

On the other hand, Maa Durga Thermal Power would set up a 60 Mw ((2x30Mw) power plant at Tangi in Cuttack district, involving an investment of Rs 296.95 crore. Besides, Vijaya Ferro and Power Private Ltd, planning to set up a 120 Mw power plant (IPP) at an investment of Rs 550 crore at Kesinga (Turla Khamar) in Kalahandi district.

The total land requirement for these projects have been assessed at 4360 acres and about 22,325 direct and indirect employment opportunities are expected to be created when these projects would be fully commissioned. Three projects namely BGR Energy System, JR Powergen Private Ltd, Adhunik Power and Natural Resources Ltd would source water from the Mahanadi river system, Maa Durga Thermal Power would draw water from Birupa river.Vijaya Ferro and Power plans to source water from Tel river.

3. Hindu on preliminary bids for UMPP at Bedabahal:

the government was likely to invite preliminary bids for the 4,000-MW Ultra Mega Power Project (UMPP) at Bedabahal in Orissa by April 30.

The request for qualification (RSQ) for the project may be issued by April 30.

This Bedabahal project would be the sixth UMPP project. The government has already awarded four UMPPs, of which three — Sasan in Madhya Pradesh, Krishnapatnam in Andhra Pradesh and Tilaiya in Jharkhand — have been bagged by Reliance Power.

4. Sify on 595 crores for waterbody upgrade:

As many as 1817 water bodies, mostly the minor irrigation projects (MIPs) in 20 districts of Orissa, would be revitalized under the Centrally sponsored scheme of Repair, Renovation and Restoration (RRR) of Water Bodies.

These water bodies would be revitalized within a period of three years at an estimated cost of Rs 595.14 crore.

The funding for these projects would be shared between the Government of India and the Orissa government in the ratio of 90:10 for the Maoist infested, drought prone and backward districts of Kalahandi, Bolangir and Koraput (KBK).

For the other districts, the share between the Centre and the state government will be 25 per cent and 75 per cent respectively.

While the design ayacut of all 1817 projects was 2, 48,545.86 hectares, the irrigation potential of an additional 89,110.02 hectares of land would be revived through these projects, sources said.

Most of these projects under the RRR scheme are being taken up in south Orissa’s Ganjam district. About 800 projects under the scheme are to be taken up in the district at a cost of Rs 250.87 crore.

… Apart from Ganjam and KBK, the other districts where the scheme will be implemented are Bargarh, Bolangir, Gajapati, Jajpur, Kalahandi, Kandhamal, Koraput, Mayurbhanaj, Nabarangapur, Nayagarh, Nuapada, Rayagada, Sambalpur, Sundargarh, Balasore, Malkanagiri, Subarnapur, Deogarh and Dhenkanal.

The pilot project for this scheme was implemented for 137 projects in Ganjam and Gajapati districts at a cost of Rs 18.84 crore during 2005-06 to 2008-09.

5. Hindu on Japan giving 150 crores for an irrigation project:

Japan will also give … over Rs 150 crore for Rengali irrigation project in Orissa.

6. Hospitalitbizindia on a mega food park at Malipada, Khurda:

Government of India is likely to set up a mega food park and a marine food park at Malipara near Khurda in Orissa with an area of 282 acres. This information was given by Subodh Kant Sahai, Union Minister for Food Processing while responding to a demand raised by Naveen Patnaik, Chief Minister, Orissa at the Orissa Investors meet 2010.

Following is from http://pib.nic.in/release/release.asp?relid=59882. The Odisha part and some other important parts are highlighted in red by me.

CCEA Decision

            The CCEA today approved a Rs.1156 crore World Bank assisted Integrated Coastal Zone Management (ICZM) Project.  This project is to be implemented over the next five years by the Ministry of Environment and Forests. The World Bank’s contribution as soft loan/IDA credit is around         Rs. 897 crore (78%).  This ICZM project assumes special significance in the context of climate change since one of the definitive findings of the IPCC relates to the increase in mean sea levels as a result of global warming.

            The ICZM project has four main components:

1.       National ICZM capacity-building at a total investment of about Rs.356 crore which will cover (i) mapping, delineation and demarcation of the hazard lines and delineation of the coastal sediment cells along the mainland coast of India; (ii) mapping, delineation and demarcation of environmentally-sensitive areas that require protection; (iii) establishment of a National Centre for Sustainable Coastal Management at Anna University, Chennai; and (iv) a nation-wide training programme for coastal zone management.

2.       ICZM activities along the Gulf of Kachchh and in Jamnagar District in Gujarat at a total investment of around Rs.298 crore.

3.       ICZM and wetland conservation activities in two stretches of the Orissa coast (i) Gopalpur-Chilika; and (ii) Paradip-Dhamra at a total investment of Rs.201 crore.

4.       ICZM activities in Sunderban, Haldia and Digha-Shankarpur regions of West Bengal at a total investment of Rs.300 crore.

The project would develop capacity and institutions to effectively implement the CRZ Notification 1991, to control pollution of coastal waters and to expand livelihood options for coastal communities. The elaborate and extensive exercise in hazard mapping along the 7500-km coastline, which is being done for the first time, by the Survey of India at cost of Rs.125 crore will greatly assist in protecting coastal communities and infrastructure located in coastal areas.

The total number of direct beneficiaries of the project is close to 15 lakhs, while the number of indirect but identifiable beneficiaries will be close to 6 crore. The initial set of three states have been selected on various grounds including pressure on coast, presence of critical ecosystems, risks of natural hazards, etc. The Asian Development Bank is supporting a less comprehensive shoreline management project in Karnataka, Maharashtra and Goa. It is envisaged that the second phase of ICZM would take up the other coastal states with project preparation in all remaining coastal states commencing immediately.

Of special focus in the project will be identification and demarcation of coastal fragile areas like mangroves, brackish water wetlands, coral reefs, etc based on which a new category of “Critically Vulnerable Coastal Areas”(CVCAs) would be designated and appropriate management plans implemented for their preservation and regeneration. These would include areas around Lakshadweep, Andaman and Nicobar Islands, Gulf of Khambat in Gujarat, Malvan, Vasasi-Manori,Achra-Ratnagiri in Maharashtra, Karwar and Coondapur in Karnataka, Vembanad in Kerala, Bhaitarkanika and Chilika in Orissa, Coringa, East Godavari and Krishna in Andhra Pradesh,Sunderban in West Bengal, Pichawaram and Gulf of Mannar in Tamil Nadu etc.

This is the second World Bank assisted project of the Ministry of Environment and Forests to be approved by the CCEA in the past two weeks. The first was a Rs. 350 crore project for initiating the process of remediation, rehabilitation and restoration of contaminated hazardous waste/municipal solid waste dumpsites in the country. There are over 120 such sites in different states and this project would be launched to clean-up 2 sites in Andhra Pradesh and 8 in West Bengal to begin with, apart from to prepare a national plan for remediation and restoration of all legacy contaminated sites which have become public health hazards.

*********

AD/LV

Following is an excerpt from a report in sify.in.

The state owned Orissa Mining Corporation (OMC) today paid a dividend of Rs 250 crore to the Orissa government for the year 2008-09. …

OMC has been paying dividend continuously for last five years with the dividend increasing from Rs 60 crore in 2004-05 to Rs 200 crore in 2007-08.

…  OMC was able to prove its resilience with the highest turnover of Rs 2085 crore during the year.

The profit before tax (PBT) of OMC increased from Rs 528.04 crore to Rs 1890.22 crore in 2008-09.

The Orissa State Road Project web site is at http://osrp.gov.in/index.htm. It has a nice detailed map of roads in Orissa. The following details is from its "About Us" page.

The State Govt. during January 2005 had proposed to avail loan from World Bank and JBIC (Japan Bank for International Co-operation) for improvement of the state roads. The proposals were sent to the World Bank and JBIC through the Ministry of Road Transport and Highways and Department of Economic Affairs, Govt. of India.

The proposals were approved by the SLPMC on EAP (State Level Project Monitoring Committee on External Aided Project), chaired by the Chief Secretary, Orissa, on 20.01.05. The preliminary proposals included 27 nos. of road project under World Bank Scheme and 14 road projects under JBIC scheme. The project cost proposed under JBIC was Rs. 715.34 Crores for 805 Km of state road and that under World Bank Rs. 1642.44 Crores for 2197 Km of state road.

The Department of Expenditure, Ministry of Finance, Govt. of India gave clearance to the proposed World Bank project in their letter dated 07.04.2005 addressed to the State Govt. (Finance Department). However, the proposed JBIC road project has not yet been approved / cleared by the Govt. of India.

After clearance from Govt. of India, a full identification mission from the World Bank comprising Dr.Binyam Reja (Task Team Leader), A.K. Swaminathan (Sr. Transport Specialist), Mohammad Hassan (Sr. Social Development Specialist), and Ernst Hunning (Institutional Development Consultant) visited the State from April 14-22, 2005 to initiate the preparation of the proposed Orissa State Roads Project (OSRP). The mission met with concerned officials of the Government of Orissa (GOO) and senior management of the Orissa Works Department (OWD), and carried out field visits to some of the proposed roads.

During the April 2005 World Bank Identification Mission, it was agreed that, detailed project preparation for the proposed road network shall commence in a phased manner in three phases i.e Phase-I, Phase-II & Phase-III ( Para -11 & Para-27 (b) , (e) : April 2005 Aide Memoir of World Bank).

The World Bank team had discussed with the Finance Department for Plan provisions and necessary counterpart funding. After a detail discussion, the World Bank had agreed to:

                a.         Fund a Project for improvement Road infrastructure amounting to Rs. 1200 Cr. Out of which state has to bear Rs. 200 Cr as counterpart funding. Total World Bank loan ceiling shall be US$ 225 Million.

                b.         High density road corridors having sufficient economic viability of about 1200  1400 Kms shall be included in the project.

                c.         Balance roads shall be identified after carrying out a network analysis and economic viability from the balance 3700 Kms of State Highways in other phases subsequently.

–     At the preliminary stage, identified about 825 Km of Road Stretches to be included in the

Phase-I of the Project. These roads were selected from the earlier dropped project for

which a full-scale techno-economic feasibility study was carried out.

1              Jagatpur  Salepur  Kendrapara  Chandbali  Bhadrak (SH9 & SH 9A) -152 Km

2              Bhadrak  Anandpur  Karanjia  Tongabilla (Jashipur) (SH 53 & SH 49) -142 Km

3              Khariar  Bhawanipatna  Muniguda  Rayagada  Kereda (SH 16, SH 6 & MDR 48b) -213 Km

4              Berhampur  Rayagada (SH 17 & SH 4)          -201 Km

5              Banarpal  Daspalla (MDR 18, MDR 18A & MDR 64)    -89 Km

6              Bhanjanagar -Aska (SH  7)               -38Km

–The World Bank however desired to check the viability of these roads by carrying out an updated techno-economic feasibility study.

–The project also includes identification of road stretches to be taken up in Phase  II of the project after carrying out network analysis for all State roads.

–Accordingly a domestic Consultant has been engaged from Govt of Orissa s own resources to carryout:

1              the Economic viability of Phase  I Roads;

2              the feasibility study & DPR of Phase  I Roads and

3              the network analysis of all State Highways of the State and identification of phase II roads.

   The World Bank Mission had:

–     Agreed for a Project for improvement of about 1200  1400 Km State Roads with a

Project size of Rs. 1480 Cr. (US$ 315 Million) with loan component of Rs. 1175 Cr. (US$

250 Million) and counterpart funding of Rs. 305 Cr. (US$ 65 Million);

The World Bank team again visited the state during September 2005 and inspected the roads proposed by the State Government to finalise roads for inclusion in Phase-I of the project (Para -12 & Para-14 : September 2005 Aide Memoir of World Bank) . During the said visit, some of the important roads proposed under JBIC assistance (Japan Bank for International Co-operation ) was included in the Phase-I list of World Bank roads after discussion with the World Bank, since the proposal submitted to JBIC was not cleared by the Dept. of Economic Affairs, Govt. of India.

1              Jagatpur  Salepur  Kendrapara  Chandbali  Bhadrak (SH9 & SH 9A) -152 Km

2              Bhadrak  Anandpur  Karanjia  Tongabilla (Jashipur) (SH 53 & SH 49) -138Km

3              Khariar  Bhawanipatna  Muniguda  Rayagada  Kereda (SH 16, SH 6 & MDR 48b) -223 Km

4              Berhampur  JK Pur _ Rayagada (SH 17 & SH 4)          -202 Km

5              Banarpal  Daspalla -Bhanjanagar -Aska (MDR 18, MDR 18A & MDR 64,SH  7)) -201Km

Approval from Hon ble Chief Minster to the roads proposed under Phase-I of World Bank scheme, covering a total length of 835 Km was obtained during October 2005, so as to proceed for detailed feasibility, economic analysis and other associated studies for Detailed Project Preparation and bidding. The major criteria used for selection of these roads were traffic volume, carriageway width, pavement conditions, economic activity in the influence area of the road, and connectivity of the roads.

Subsequently, after consideration of the Feasibility Study prepared by the DPR Consultant, the World

Bank Mission during their visit to the State in November 6-10, 2006 have decided to improve the

following roads in the Year  I of the Project.

1              Chandabali  Bhadrak  Anandapur

2              Khariar  Bhawanipatana

3              Berhampur  Taptapani

The World Bank had suggested to carryout detail economic viability and feasibility study for the 835 Km roads proposed under Phase-1 and Network Analysis of the entire State Highway Network ( covering about 3955 Km, leaving 835 Km Phase-1 roads ) for identification / prioritization of 1600 Km roads for improvement in Phase-II & Phase-III ( Para -11 & Para-27 (a), (e) : April 2005 Aide Memoir of World Bank). They had suggested to use the latest traffic and road condition survey data so as to assess which roads should fall under rehabilitation, and which roads should fall under upgrading in the detailed economic analysis.

Accordingly, economic viability and detailed feasibility study for the 835 Km roads proposed under Phase-1 and Network Analysis of the entire State Highway Network ( covering about 3955 Km, leaving 835 Km Phase-1 roads ) for identification / prioritization of 1600 Km roads for Phase-II & Phase-III were carriedout with help of a domestic consultants. M/S CEG Ltd from Rajasthan. The economic justifications of proposed road improvements under Phase-1 have been analyzed by using the life cycle costing economic tool ! Highway Development and Management Model (HDM-4) version 1.3" of World Bank. The economic evaluation has been carried out on the basis of incremental costs and benefits comparing the total net benefits with various alternatives. The economic indicators like NPV (Net Present Value) and EIRR ( Economic Internal Rate of Return) are then calculated. The final list of roads included in Phase-I alongwith summary of their techno-economic analysis with NPV, EIRR and ratio of NPV and cost etc. is shown at Annexure-I: The EIRR of each of the five corridors under Phase-1 varies from 30.53% to 17.28% with NPV of Rs 13172.8 million. It may be noted that the roads with EIRR more than 12% are considered financially viable under the World Bank loan.

 The World Bank had further intimated that the Project shall include

Following is an excerpt from a report in Expressbuzz.com.

The State Government has decided to extend the targeted rural initiative for poverty termination and infrastructure (TRIPTI) scheme to all the 314 blocks.

… TRIPTI is being implemented under the Mission Shakti through the self-help groups (SHGs).

The Chief Minister directed the officials to create the required infrastructure for implementation of the scheme across the State. The scheme is being implemented in 8,369 villages of 38 blocks of the State covering 12,54,607 rural families.

The World Bank-assisted scheme aims at capacity building and employment generation for the women with the help of women SHGs.

It has agreed to provide a loan assistance for the implementation of the scheme for five years.

Naveen also reviewed the progress of Mission Shakti. So far, 46.5 lakh women have become members of 3.87 lakh SHGs. According to a release from the Chief Minister’s Office, so far a loan assistance of Rs 1,367 crore has been provided to the SHGs in the State.

Official sources maintained that during 2008-09, one lakh SHGs from all the 30 districts were provided assistance of Rs 50 crore for creation of livelihood. Similarly, 1,614 SHGs in the KBK region (undivided Kalahandi, Balangir and Koraput districts) were provided Rs 80.7 lakh for creation of job opportunities. SHGs in the urban areas were provided a loan assistance of Rs 2 crore during the year.

Besides, the SHGs have also dug 7,000 water bodies under the livelihood support programme for pisci-culture. The release claimed that 63 SHGs distributed LPGs under the Shakti Gaon Programme. The SHGs also implemented mid-day meal scheme in 34,000 schools and members of 7,000 SHGs worked as public distribution system (PDS) agents.

The State Government has signed an agreement with Reliance Fresh and ITC for marketing products from the SHGs. …

Following is an excerpt from a report in Times of India.

The road, transport and highways ministry (MoRTH), which has sought a $3 billion loan from the World Bank for this project, has already finalized 3,769 km to be taken up for double laning. The ministry has also identified another 2,600 km for this purpose.

Seven stretches covering 807 km of single-lane highways would be doubled in Bihar while nearly 638 km of single-lane NH falling in Himachal Pradesh would be upgraded. Orissa and Uttarakhand will see 558 km and 448 km of similar stretches being upgraded.

Sources said the preliminary report prepared by the ministry for other stretches shows that HP would get a good share in the list of states to be covered under the plan. Similarly, Uttarakhand, Bihar and Orissa will see large stretches being double-laned.

I could not find out which highways in Orissa are part of this. Some of the sites to watch for are:

• What’s New
• World bank funded highways

Following is a map of the National Highways in Orissa obtained from the Ministry of Road and Transport’s website.

Following is from Samaja. Its unacceptable that Orissa only spent 650 crores out of the allocated 1100 crores for NREGS during 2008-2009. The unspent money could have built half of Khurda-Balangir line. The Orissa government needs to do a better job at spending this money.

Tathya.in has some interesting tidbits on this. Following is an excerpt.

Minister was speaking in the High Level Clearance Authority (HLCA) on 17 November.

HLCA Chaired by Naveen Patnaik cleared the proposal of 4-laning of Sambalpur-Rourkela Highway on PPP Mode with an investment of Rs.1270 crore.

He said by slapping tool tax on the commuters and funding the project is passé.

Now while roads are coming up in a big way, lands are identified at some vantage points by the side of the roads.

These places can be handed over to the developers so that they can develop shopping malls, housing projects and this should be included in the package.

And this initiative will lessen the burden of tax payers, who are forced to pay huge toll tax for years to come.

Secondly Minister said that while we are going for expansion of the Highways, encroachment of land is posing a big problem.

… It would be a better proposition to acquire land and lay the road in such a way that more space is left inwards.

So that later that space can be used for expansion of roads and no body will be able to encroach upon and inside the highway, said the Minister.

The above is from Samaja. Following is an excerpt from a report in Economics Times by Nageshwar Patnaik.

A knowledge park is coming up here at an estimated cost of Rs 100 crore. This is the first public private partnership integrated industrial park by Government of Orissa and Bharat Biotech International [BBI].

Work at the 100 crore ‘Konark Knowledge Park’ at Mouza-Andharua near the state capital here began today with the ground breaking ceremony held here on Sunday. …

The project aims to boost investments in the areas of biotechnology and pharmaceuticals in the state of Orissa. When completed, this infrastructure will create world-class, state-of-the-art research and development enterprises in an exceptional environment designed to foster novel approaches to healthcare and its delivery.

The state government has allocated 64.86 acres of land (30 acres in Phase I and 24.86 acres in phase II) including 10 acres of land for development of Biotech Incubation Centre through a Special Purpose Vehicle [SPV] for development of an integrated industrial park to attract and promote biotechnology, pharmaceutical and information technology industries here. The land for park has been allocated in the form of a long term lease to the SPV named Konark Knowledge Park Pvt. Ltd.

The SPV will execute the Lease cum Development Agreement with Orissa Industrial Infrastructure Development Corporation (IDCO). The project is expected to be completed over a period of 8 years.

… Orissa Industrial Infrastructure Development Corporation (IDCO) will provide all external infrastructure facilities, such as four-way lane roads to the gate, uninterrupted water supply, uninterrupted power with 33KVA sub-station, sewage etc to facilitate rapid development of internal infrastructure.

BBI has successfully developed an integrated Agri-Biotech Park in Bangalore and establishment of Genome Valley BioPharmaceutical cluster located in the outskirts of Hyderabad.

(Thanks to Umashankar babu for the tip.)

Following is an excerpt from a report in the Wall Street Journal.

India’s federal government has approved an increase in mining royalties for various minerals including iron ore, copper, zinc and lead, government officials said Wednesday.

Two mining ministry officials, who didn’t want to be named, told Dow Jones Newswires that India’s cabinet committee on economic affairs has approved the proposal for changes in royalties on minerals other than coal, and a formal notification with immediate effect is expected this week.

…  The change in rates will increase states’ annual revenue from royalties to 46.3 billion rupees ($968.6 million) from 22.88 billion rupees.

… The officials said the government will levy a 10% value-added or ad valorem royalty on iron ore mining.

For iron ore miners, the new royalty will mean switching to a tax regime under which they will be charged based on the market value of the minerals compared with the existing system of flat rates based on weight, the officials said.

At present, the government charges a fixed royalty of up to 27 rupees a metric ton on different grades of iron ore.

Iron ore spot prices in the local market may rise by about 10% in the near future, … said Rahul Baldota, …  But he added that iron ore producers in India, the world’s third-largest supplier of the commodity, will absorb the cost for exports in order to remain competitive.

…  India already charges value-added royalty rates for zinc, copper and lead, but the rates charged will now increase.

The government will charge an 8% royalty on zinc ore, up from 6.6% earlier, while the rate on copper will rise to 4.2% from 3.2%. The royalty on lead ore will go up to 7% from 5%.

On bauxite used for other than alumina and aluminum extraction and exports, a royalty of 25% will be charged. For use in alumina and aluminum extraction, the rate will be 0.5%. Previously, no royalties were charged.

Following is from a web site of world bank about doing business in various cities of India. This site has the main findings. The full report is at http://www.doingbusiness.org/Documents/Subnational/DB09_Subnational_Report_India.pdf.

The overall ranking of the 17 cities are:

1. Ludhiana
2. Hyderabad
3. Bhubaneswar
4. Gurgaon
5. Ahmedabad
6. New Delhi
7. Jaipur
8. Guwahati
9. Ranchi
10. Mumbai
11. Indore
12. Noida
13. Bangalore
14. Patna
15. Chennai
16. Kochi
17. Kolkata

Why is Pune not in the list?