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Getting public transport right p.

32

Lacking skill p.40

FEBRUARY 2016 VOL. - 02 ISSUE - 05 `60


RNI NO: UPENG/2014/62662 ISSN 2455-0426
PR NO: UP/GBD-212/2015-17
Date of Publishing 04-02-2016 Date of Posting 07-02-2016

Rebuild Indian
Urban Transport

Editor-in-Chief
Ajit Sinha
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4 I February 2016

14
Bihar: A decade
of progress

THE RECENT electoral victory


of Nitish Kumar, third in a row,
has underscored the growth and
governance style pursued by him
over last decade. When he assumed
office in 2005, the state was suffering
from a negative image, low growth
and broad despondency. However,
over the last decade, the tide has
changed and the most important
indication of this growth has been the
high economic growth rate clocked by
the state during this period. The state
recorded a growth rate of nearly 18
per cent at current price during 201414. In 2004-05, the Gross State
Domestic Product (GSDP) was Rs
77,781.16 crore, which increased in
2014-15 to Rs 402,282 crore. The
image of the state has also undergone
a tremendous uplift.
Bihars economic growth has
been strong under Nitish Kumars
tenure as Chief Minister. Further,
its performance in agriculture was
second only to Madhya Pradesh. Also,
on most socio-economic indicators,
post 2005, the performance of the
state is not only better than its own
performance in the previous decade,
but also than that of comparable
states or the national average. And
in this developmental paradigm, as
an ASSOCHAM study released in
2013 showed, public investment has
played the most important role, acting
as stimulus to growth.
www.governancetoday.co.in

22

TO ENSURE COMPETITION ULBS


WILL BE RANKED ON DIFFERENT
ASPECTS OF URBAN GOVERNANCE
Amrit Lal Meena
Principal Secretary, Urban Development
and Housing Department, Government
of Bihar

15
19
24
32
35

31

PROMOTING CYCLING NEXT


ON OUR AGENDA TO ENSURE
LESSER POLLUTION
Gopal Rai
Transport Minister, Delhi

THE CHALLENGE OF URBANIZING BIHAR


INCENTIVIZING INDUSTRIAL INVESTMENT
REBUILDING INDIAN URBAN TRANSPORT
GETTING PUBLIC TRANSPORT RIGHT
KINETIC INTRODUCES ELECTRIC AUTO,
KINETIC SAFAR

36

WHAT WOULD IT TAKE TO HOP ON


ALTERNATIVE FUELS BANDWAGON?

40

LACKING SKILL

44 GETTING PRIVATE SECTOR TO DEVELOP

SKILL
50
58
47

TECH COLLABORATIONS WILL


CONTINUE TO BE A DRIVING FORCE IN
INDO-US RELATIONSHIP
Richard Rossow
Senior Fellow, CSIS

60

62

68

www.governancetoday.co.in

A NEGLECTED CASE
LOST CHILDHOOD
LUNG CANCER INCREASING ALARMINGLY
IN INDIA
JUSTICE LODHAS REPORT: CRICKET IS THE
ULTIMATE WINNER
IS FREE ALWAYS DESIRABLE?

February 2016 I 5

Getting public transport right p.32

Lacking skill p.40

Pragmatic and futuristic p.46

Bihar: At critical juncture p.52

FEBRUARY 2016 VOL. - 02 ISSUE - 05 `60


RNI NO: UPENG/2014/62662 ISSN 2455-0426
PR NO: UP/GBD-212/2015-17
Date of Publishing 04-02-2016 Date of Posting 07-02-2016
JANUARY 2016 VOL. - 02 ISSUE - 04 `60
RNI NO: UPENG/2014/62662 ISSN 2455-0426
PR NO: UP/GBD-212/2015-17
Date of Publishing 04-01-2016 Date of Posting 07-01-2016

Giriraj Singh
MoS, MSMEs

Our basic motto is


to make India more
competitive P. 17

MSMEs:

PUSHING THE AGENDA


Bihar:
A decade of progress

Editorial

Bihar shows the way


THE STATE of Bihar has made tremendous progress over
last decade. The state which was known mostly for wrong
reasons, has started to make positive buzz at all economic
conferences. The growth rate of the state since 2005 has been
very strong, which has made Bihar among the fastest growing
states in the country. Last fiscal the state grew at a scorching
17 per cent at current price.
Two main aspects of the states progress over last ten
years have been the primacy of public investment and the
improvement of governance. First, when many other states
are making great efforts to push private investment, Bihar has
made public investment primary growth vehicles. Second, the
improvement in governance is displayed in improving social
indicators, including reducing poverty rate. But the state still
has a lot to do to alleviate widespread poverty. The urbanization
is also a challenge for the state. Further, urban transportation
needs to be improved.
Those who live in Delhi NCR very often spend two hours
getting to work in morning and returning home again in evening.
That means they roughly spend a half of their office hours just to get to the place of work. Funny as
it may sound, it has multiple implications for commuters and for country. People not only waste their
precious hours on road, they inhale poisonous air all this while, lose on time what could have been put
to productive work and finally, lose on the productivity at office and home. For country, it all translates
into lost working hours, unhealthy society and billions of rupees in wasted oil in traffic jams. Urban
India cuts a sorry figure when it comes to mobility.
Indian cities are also burgeoning. More cities are coming into existence and existing ones are
bursting at seams as people are migrating from rural areas to urban centers to search for jobs. That
obviously puts enormous burden on the transportation infrastructure. As pressure on public transport
increases, increasing number of people switch to personalized modes most notably two wheelers and
cars. This in turn is congests roads. Needless to say, Indian cities need huge increase in transport
infrastructure in terms of road, bus fleets and suburban rails etc.
But that in itself is not enough. Transport systems need to get more sophisticated. Higher end
technologies need to be adopted to increase the efficiency of transport modes. Further, technology
can allow higher predictability and better integration between different modes. Reforms are also need
at institutional level, so that a single body managed all modes of transport in a city. Most important
aspect of having a better managed urban transport is to have an intelligent urban planning that reduces
mobility needs. Finally, transport planning needs to put non motorized transportation, i.e. walking and
cycling public on top and provide them with facilities that could encourage motorcycle and cars users
to switch to walking or cycling for short travels. Unless the state can fix city planning and transport
planning, it cannot offer a good quality of life to its urban citizens, which is their due right.
Best regards

Ajit Sinha
Editor-in-Chief

www.governancetoday.co.in

February 2016 I 7

THUS THEY SPOKE


I am for stable governance and predictable taxation system. The government
is taking various steps to ensure this stability. This government is known
for stable and predictable tax regime.

Narendra Modi
Prime Minister

I have not kept any portfolios with myself. I am standing like a wall
between my ministers and the central government. And, I wont let my
ministers be troubled by the Centre. Ill take care of it all by myself.

Arvind Kejriwal
Chief Minister, Delhi

Modi governments decision to impose Presidents rule in Arunachal


Pradesh reflects travesty of Constitutional mandate, subjugation of
federalism and trampling of democracy.

Randeep Singh Surjewala


Congress leader

When you sing the Jana Gana Mana, your head is always held high,
but when you sing it (standing) in the centre of the ground, then...
seena chauda ho jata hai (chest swells with pride).

Sachin Tendulkar
Former cricketer

Pakistan has an opportunity to show that it is serious about delegitimising,


disrupting and dismantling terrorist networks. In the region and around
the world, there must be zero tolerance for safe havens and terrorists
must be brought to justice.

Barack Obama
President, US

I dont know how to thank you all for every ounce of all your love and
support for #Airlift, feeling extremely humbled.

8 I February 2016

Akshay Kumar
Actor, Bollywood

www.governancetoday.co.in

GOVERNANCE WATCH

PM unveils Start-up India plan


PRIME MINISTER Narendra Modi unveiled a series of
initiatives recently to support the countrys start-ups,
including three years of tax and compliance breaks
aimed at cutting onerous government regulations and
red tape. The PM also reiterated plans to set up a Rs
10,000 crore start-up fund, which was first announced
by finance minister Arun Jaitley in the interim budget of
2014-15. Modi also said start-ups would benefit from
cheaper and faster patent applications, a capital gains
waiver if the money is reinvested in a similar venture,
as well as easier exit for failed projects. While the
announcements will likely help improve the environment
for start-ups in India, it wasnt immediately clear how
measures such as three-year tax breaks could help
small-bore, innovative ventures that struggle for years
to break even.

Kerala first state to achieve 100% primary education


KERALA HAS become the first state in the country
to attain 100 per cent primary education. To this
effect, a declaration was made by Vice President
Hamid Ansari at a special ceremony organised at
Thiruvananthapuram in Kerala recently. The success
of Kerala in achieving total primary education can
be attributed to various initiatives undertaken by
the Kerala Literacy Mission in the last two decades.
Especially, the Athulyam Scheme, which was
implemented in two stages, played a significant
role in addressing the educational needs of illiterate
adults. The second stage of the scheme, namely
Mission 676, targeted those between ages 15 and
50 who, for one reason or the other, dropped out of
the formal education process. Prior to the Athulyam
Scheme, the fourth standard equivalency programme
was started in 2000 in association with local bodies.

Bad bank likely in India to engross NPAs


THE FINANCE ministry is mulling setting up of a bad
bank one that will absorb non-performing assets
(NPAs) of public sector lenders. The issue was
discussed at a pre-budget meeting between finance
minister Arun Jaitley and top economists recently.
The NPA level, currently over 6% of banks total
advances, has become a cause for concern. Prime
Minister Narendra Modi is said to be closely monitoring
the situation himself. Once NPAs loans that do not
yield returns are segregated and transferred into
a new bank, lenders can resume normal business
functioning and start lending again instead of focussing
on management of bad assets. The bad bank can
either hold the bad assets until borrowers start repaying
or look at selling those stressed assets to investors.
www.governancetoday.co.in

February 2016 I 9

GOVERNANCE WATCH

Sikkim first organic state in the country


PRIME MINISTER Modi recently declared Sikkim as
the first organic state in the country, saying it will soon
become the forerunner of organic farming not only
in India but around the world. The PM also handed
over the Organic Certificate to Chief Minister Pawan
Chamling in Gangtok. Sikkim has paved its way into
history and has set an example to the entire world
that nature needs care and protection, he told the
National Conference on Sustainable Agriculture &
Farmers Welfare at Chintan Bhawan in Gangtok. With
a population of around six lakhs, Sikkim is also known
as the land of flowers. Sikkim is a landlocked state
nestled in Himalayas with no train or commercial flight
connectivity till date. But Sikkim managed to succeed in
its mission overcoming all the obstacles.

Andhra retail policy to create 20,000 jobs by 2020


THE ANDHRA Pradesh government has introduced
Retail Trade Policy 2016, with the aim to invite
Rs 5000 crore investments in the sector and create
20,000 job opportunities by 2020. Chief Minister
N Chandrababu Naidu said, Andhra Pradesh has
a huge potential to become one of the leading
destinations for retail trade. The retail trade is a key
driver for socio-economic development in the state
and will continue to be a significant employment
generator. The state contributes about eight per
cent Indias total retail market of 13 million stores.
There are 1.04 million retail stores which include
organized and unorganized retail. The organized
sector comprises 83,000 stores in the state and by
2017 1,66,000 retail stores are expected to open in
the state.

Postal department to install 1,000 ATMs by March this year


THE DEPARTMENT of Posts (DoP) has planned to open
1,000 ATMs by March this year, with the aim to bring all
25,000 departmental post offices under CBS (core banking
system). The CBS will enable customers to operate their
accounts, and avail banking services from any post office
on CBS network, regardless of where they maintain their
account. According to DoP officials, it has already rolled
out core CBS in 12,441 post offices along with 300 ATMs.
DoP has 25,000 departmental post offices and 1,30,000
rural post offices across the country. Regarding rural post
offices, the official said all 130,000 post offices would be
provided with solar powered, biometric hand-held devices
by March 2017. Supply to these devices to about 20,000
rural branch post offices shall be completed by March 31
this year. To promote financial inclusion, the DoP is also
going to set up payment bank by March 2017.
10 I February 2016

www.governancetoday.co.in

GOVERNANCE WATCH

Maharashtra to hire retired officers, employees for special tasks


THE MAHARASHTRA government will soon engage
retired government officers and employees for specific
tasks on the honorary contractual basis. In a statement
issued recently, Chief Minister Devendra Fadnavis said
the government shall prepare a region-wise list of such
retired officers and employees. The retired officers
and employees appointed under the policy will get a
maximum honorarium amount of Rs 40,000 and the
age limit for appointment will be 70 years, he said.
At present, there is a freeze on recruitment in some
government departments and hence if the services of
retired expert officers and employees are utilised, then
it will bring improvement in the overall functioning. He
said the selection to the panels shall be made on the
applications received from the candidates.

PM declassifies 100 secret Netaji files


PM NARENDRA Modi released recently the first set
of 100 declassified files pertaining to Netaji Subhas
Chandra Bose at the National Archives of India in New
Delhi in the presence of members of the Bose family.
The government plans to release in the public domain
25 declassified files each month. The release of the
first set coincides with the 119th birth anniversary of
the eminent freedom fighter and comes months before
West Bengal goes to the polls. The files do not seem
to throw up any new evidence suggesting the freedom
fighter survived the plane crash in Taihoku, now in
Taiwan, on August 18, 1945. A cabinet note of February
6, 1995, said that while the government accepted the
plane crash theory on Boses death, it wasnt advisable
to bring back his ashes from Japan.

Panel to review security of defence establishments soon


IN WAKE of the recent terror attack on the Pathankot
airbase that exposed lack of proper perimeter security
and electronic surveillance, the government is setting
up a top-level committee to review security measures
at defence bases and installations around the country.
Defence Minister Manohar Parrikar recently said orders
have been issued to all commanding officers of different
bases to undertake a thorough security assessment
and fix loopholes through regular security audits. All
commanding officers of different bases have been
directed to make an assessment of every threat and
take immediate measures to ensure that any weakness
is blocked. Stating that the committees security
review will not impede the ongoing NIA probe into the
Pathankot attack, Parrikar said, Let them complete
(NIA) their investigation and we will do our analysis.
www.governancetoday.co.in

February 2016 I 11

GOVERNANCE WATCH

150 industries shut along Ganga for not installing OCEMS


THE UNION government has issued closure orders to
150 grossly polluting industrial units for not installing
Online Continuous Effluent Monitoring System (OCEMS)
along river Ganga. Prakash Javadekar, Minister of State
(Independent Charge) of Environment, Forest and
Climate Change said that of the 764 polluting industries,
514 have already installed the monitoring system while
94 are in the process. He added that the industrial
pollution has significantly come down in the river due
to the installation of the monitoring system and added
that the problem of black liquor discharge and spent
wash into the river has also been largely controlled. The
Central Pollution Control Board (CPCB) had formulated
an action plan for abatement of industrial pollution in
Ganga covering five key industrial sectors - sugar,
paper and pulp, distillery, textile and tannery.

35% of government jobs to be reserved for women in Bihar


KEEPING ONE of his seven poll promises, the Nitish Kumar
cabinet in Bihar cleared a proposal to reserve 35 per cent
of all government jobs for women. As of now, government
job reservations include 16 per cent for scheduled castes,
one per cent for scheduled tribes, 18 per cent for extremely
backward classes, 12 per cent for other backward classes
and three per cent for women, making a total of 50 per cent
of all government jobs. The new reservation for women will
now take up 35 per cent of vacant posts in the remaining
50 per cent of general category government jobs. That
is to say, if there are 100 posts available in the general
category, 35 will be kept aside for women. Before the
assembly elections, Chief Minister Kumar had reserved 35
per cent of posts in the police constabulary for women, as
well as 50 per cent in panchayats and local civic bodies.

CRWC working towards all-round development


CRWC HAS committed to conserve spoilage of water
by way of construction of water harvesting tanks at all
terminals, stated Manoj Kumar Sharma, Public Relation
Officer, CRWC. Besides, more than 1000 trees have
been planted at all the terminals of CRWC on pan India
basis to avoid air pollution which is a burning problem.
In addition to above activities, CRWC is constructing
Sulabh Souchalaya under Social Corporate responsibility,
lot of other activities with the help of renowned NGOs
for upliftment of downtrodden sector of society. Indeed
CRWC is involved in all the activities announced by
Prime Minister of India. It is encouraging that all such
activities will bring changes in social life and there will be
all round development of poor masses.
12 I February 2016

www.governancetoday.co.in

GLOBAL WATCH

130 Pak nukes aimed to deter India


EXPRESSING CONCERN that Islamabads full spectrum deterrence
doctrine has increased risk of nuclear conflict between the two South
Asian neighbors, a latest US Congressional report has reported that
as many as 110-130 Pakistani nukes are aimed at deterring India from
taking military action against it. The Congressional Research Service
(CRS) report written by Paul K Kerr and Mary Beth Nikitin, Islamabad
is deploying additional nuclear weapons, and new types of delivery
vehicles. The 28-page report says that Islamabads expansion of
its nuclear arsenal, development of new types of nuclear weapons
and adoption of a doctrine called full spectrum deterrence have led
some observers to express concern about an increased risk of nuclear
conflict between Pakistan and India, which also continues to expand
its nuclear arsenal. According to the report, while Pakistan has taken
a number of important initiatives, such as strengthened export control laws, improved personnel security, and
international nuclear security cooperation programs, instability in Pakistan has called the extent and durability
of these reforms into question. Some fear radical takeover or diversion of material or technology by personnel
within Pakistans nuclear complex.

US setting up base in Syria

IF SYRIAN military and security sources are to be believed,


the US is setting up an airbase in northeast Syria. Work
is underway to expand an airfield in Rmeilan, in Hasakeh
province. A security source in northeast Syria said American
special forces and advisors are using the Rmeilan airport
as a base, from where helicopters are taking off towards
the fronts. Source said nearly American experts, alongside
forces from the anti-IS Kurdish Peoples Protection Units
had widened the landing strip and refurbished some
infrastructure. The airbase will be used for helicopters and
cargo planes. However, the Pentagon did not confirm the
reports. It is worth noting that at the end of October, US
President Barack Obama had authorized the deployment of
up to 50 special operations troops to Syria to advise local
ground forces battling IS. The US is supporting a KurdishArab alliance called the Syrian Democratic Forces against IS in northern Syria, providing it with air cover as part
of a broad coalition battling IS.

Taiwan elects first female president

TSAI ING-WEN, a US- and U.K.-trained lawyer, and leader of the


Beijing-skeptic Democratic Progressive Party (DPP), has been elected
the first female President of Taiwan. The technocrat turned politician,
won nearly 56 per cent of the vote in an election that ended eight
years of Nationalist KMT Party rule which saw economy slow and
inequality rise. Tsai has pledged to revitalize the sluggish economy
of this de facto nation of 23 million by diversifying trade with South,
Southeast and East Asia, which goes against the KMTs policy of
greater integration with China, the worlds second biggest economy.
Concerns over the economy consistently ranked highest with voters
throughout campaigning. Growth was just 1% last year, barely more
the year before, with youth unemployment high, wages stagnant and
the cost of living soaring. Taiwan has maintained a healthy democratic
set up much against the mainland China which has been in communist grip ever since the establishment of
Peoples republic of China. China has maintained that it wont allow Taiwan to become an independent nation.
www.governancetoday.co.in

February 2016 I 13

STATE IN FOCUS

Bihar: A decade of progress

The comprehensive policies of government have led to inclusive growth of Bihar

Anand Mishra
THE RECENT electoral victory
of Nitish Kumar, third in a row,
has underscored the growth and
governance style pursued by
him over last decade. When he
assumed office in 2005, the state
was suffering from a negative
image, low growth and broad
despondency. However, over the
last decade, the tide has changed
and the most important indication
of this growth has been the high
economic growth rate clocked by
the state during this period. The
state recorded a growth rate of
nearly 18 per cent at current price
during 2014-14. In 2004-05, the
Gross State Domestic Product
(GSDP) was Rs 77,781.16 crore,
which increased in 2014-15 to
Rs 402,282 crore. The image of
the state has also undergone a
tremendous uplift.
Bihars economic growth has
been strong under Nitish Kumars
tenure as Chief Minister. Further,
its performance in agriculture was
second only to Madhya Pradesh.
Also, on most socio-economic
indicators,
post
2005,
the
performance of the state is not only
better than its own performance
in the previous decade, but also
14 I February 2016

than that of comparable states or


the national average. And in this
developmental paradigm, as an
ASSOCHAM study released in
2013 showed, public investment
has played the most important role,
acting as stimulus to growth.
The data shows that the state
grew at a high compounded annual
growth rate of 10.6 per cent 200506 to 2014-15, among the highest
in the country and higher than
comparable states like Madhya
Pradesh, Odisha, Rajasthan, Uttar
Pradesh and West Bengal. This was
achieved with agriculture growing
at a compounded rate of 5.7 per
cent, implying that secondary and
tertiary sectors, including services
have performed exceedingly well
over the last decade. The state
also recorded a healthy 8.1 per
cent average annual growth rate
in industrial jobs, much higher than
all India average growth rate of 5.2
per cent.
Nothing
symbolizes
the
development of the state than
the high quality roads that now
criss-cross the state. In ten years
till 2015, the state government
constructed 66,508 km major and
rural roads. Over 5,000 bridges
were also constructed during this
period. On power front, almost all

villages of the state are now getting


electricity supply of over 12 hours
a day, underscoring the improved
power availability scenario. Per
capita consumption of electricity in
the state increased from 70 kWh
in 2005 to 203 kWh in 2015. The
improvement in governance is
also visible from the fact that the
leakages from the public distribution
system came down from 75-90 per
cent during early 2000s to less
than 25 per cent today. Experts
have cited strong political will
and institutional strengthening for
improvement in service delivery.
What has set the developmental
pattern of Bihar apart from other
states is the focus on inclusiveness
and on ensuring that the benefits
of government schemes reach the
ground. This approach has led to
improvement in all social indicators.
The state has reduced poverty at
a rapid clip and so has the infant
mortality rates. On education front,
more children are today staying
at school. In 2005, 12 per cent
children were out of school which
has now come down to 1.72 per
cent. Improved healthcare coverage
is visible in immunization which
now stands at nearly 80 per cent
which was less than 20 per cent
when Nitish Kumar assumed office.
Today, more girls are in school
than ever in the history of the state.
But challenges are still galore for
the new government. Even though
growth has been sterling to say the
least, it has come at a low base,
which means the government has to
do a lot to pull up the income of an
average citizen of the state. Bihar
still is at third spot in percentage
of people below poverty line. The
industry is still not contributing
enough to the state GDP and the
unemployment is high. All this
means the government needs to
redouble on pursuing the reform
agenda. Clearly the Nitish Kumar
led government has its task cut out.

www.governancetoday.co.in

STATE IN FOCUS

The challenge of urbanizing Bihar

With economic growth at high clip, the state needs to work on city
planning

There is immense potential for urbanization along newly built state highways

Sagarika Ranjan
OVER LAST ten years,
Bihar has been among the star
performers on many developmental
indices, including growth rates.
The state developed substantial
road network and increased its
per capita income in these years
which was facilitated by the high
investment in basic infrastructure.
However, the state has been
trailing the urban development
graph when compared with the
other states of the country. The
state often finds its place in the
headlines for wrong reasons,
including low level of urbanization.
As per the figures of the 2011
census, Bihar ranks second least
urbanized state among the 35
states and Union Territories put
together. The percentage of urban
population to the total population
www.governancetoday.co.in

of the state stands at as low as


11.3 per cent. Needless to say, the
state needs to put in gargantuan
efforts to develop urban centres
which could facilitate economic
growth and offer rising quality of
life to its inhabitants.
In times when cities are looking
forward to developing into smart
cities and town, Bihar is gasping
to have the basics of urbanization.
So what is pulling it down? Is it
the real fact or ambiguities in the
survey processes that are making
it look worse? Of course this is
debatable but there is a lot more to
it than figures.
A report Issues on Urban
Development in Bihar by Amitabh
Kundu, suggests that the state is
showing high income growth but
it has not been converted into a
rapid reduction in poverty, which
as per experts is the root cause of

the low levels of urbanization in the


predominantly agricultural state.
Weak Economic Base is mainly
underpinning low urbanization
in Bihar. Infrastructure deficit is
a continuous constraint in urban
sprawl. Population growth and
mass influx into urban habitations
have been developing stress over
the existing infrastructure and
services; consequently affecting
the quality of life of the urban
inhabitants.
A resident of Bihar for
decades and environmentalist
with the UNDP, Deepak Kumar,
explains that there are two major
factors that have contributed to
the non-realization of the goal
of urbanization. Firstly, it is
unplanned township and secondly,
mismanagement in the urban
governance.
This apart, the state has
February 2016 I 15

Patna has grown rapidly over last couple of decades

been failing to attain an efficient


and equitable financial allocation
for
urban
infrastructure.
A
government employee in the Urban
Development department on the
condition of anonymity explains
how any project faces difficulties
pre and post execution.
There are a number of social
issues that affect decision making
during planning. Any development
16 I February 2016

plan has to first get sanction from


a number of departments. If that is
through then there are hurdles like
encroachments, compensation for
the displaced, stirs over demands
of some or the other groups,
delay which in turn culminates into
additional cost, then additional
sanction requests followed by
further delay and the story drags
on. If lucky it completes, if unlucky

then gets abandoned, says Kumar.


Migration is another issue
that contributes to the sluggish
growth. There has still been a
rampant scale of inter-state mass
migration due to lack of feasibility
in encouraging the secondary
and tertiary sectors, particularly
industry and construction, says
Kumar.
The
issues
of
Urban
www.governancetoday.co.in

Development in Bihar points out


that even though there is a low
level and low pace of urbanization,
the state already has a strong
evident historical industrial corridor
from Bhagalpur to Rohtas. Lack
of correlation of the urbanization
pattern and urban growth shows
that the growth pattern isnt linked
with the existing urban growth.
The low rate of urbanization in the
www.governancetoday.co.in

central and northern Bihar is mainly


attributed to the fact that there
has still been large dependence
on primary sector and low growth
registered therein.
According to the Kundu report
it is a matter of concern that the
number of urban centres in the
state is very low in relation to
its population and area even
in comparison with other less

developed states in the country.


Surprisingly, the number of these
centres has gone down from 135
in 1991 to 130 in 2001, which has
not been noted in case of any other
state. Furthermore, of the 130
urban centres, only five are Census
towns while the others are statutory
towns these have been declared
as towns by the state government.
The Census towns thus constitute
less than four percent of the urban
centres in the states, compared to
the national figure of 26 per cent.
The urbanization figures all over
and across reports paints a sorry
picture.The biggest road block is
that Bihar needs a progressive
urban development policy for rapid
urbanization which is not the case.
Kumar explains that a progressive
urban development policy will
propel the process, of setting
up urbanized areas, as the polar
engine of growth.
Another hindrance is the
impediments of urban governance.
There is an urgent need to mitigate
these impediments that could
attract stakeholders and investors
for generating opportunities of
employment through sectorial
diversification.
A very interesting view, certainly
not good for the states growth,
comes up while talking to people
on why is it that development or
urbanization is not happening
at the desired pace. Around 10
people interested in contributing to
the states growth failed to do so
because of the tedious and lengthy
processes involved if someone
wanted to offer any help, donation
or grants for the development of
the state.
Kumar points out that there
is a need for the government to
facilitate better environment for
the growth of manufacturing and
construction businesses in the
state.
Then there are legislative
challenges that keep the state
from urbanizing. Bihar Municipal
Act 2007 didnt consider relevance
of services like administration,
health, education, finance, trade
and transport for the process of
notifying new statuary towns. The
February 2016 I 17

Cities like Muzaffarpur offer huge scope for planned growth

Act itself ignores the increasing


built-up area, role of agglomeration
(Agglomeration economies are the
benefits that come when firms and
people locate near one another
together in cities and industrial
clusters), and out growth in the
process of notification of new
statuary towns. There is a need to
eliminate legislative infringement
as a policy intervention for better
sustainable urban governance.
The Government needs to
liberalize the legislation to facilitate
conducive and safe environment
for investment in real estate
and manufacturing sector. This
will felicitate exploration of the
employment opportunities in such
a way that the dependence on
primary sector would decline to a
certain extent whereas the share
of construction and manufacturing
sector in offering employment
would increase. Consequently the
interstate migration would slow
down.
It is extremely significant that
despite low level and low pace of
urbanization in the state, a strong
urban industrial corridor has come
up on the route connecting Delhi
and the cities of Uttar Pradesh
with north Bengal. This can be
attributed to trading route from
18 I February 2016

north east India strengthened by


the Delhi-Jalpaiguri railway line.
The industrial growth of Bihar had
a setback after the division of the
state but there are indications
that the growth is picking up in
many of the southern districts
that can be attributed to resource
support primarily in terms of coal
and electricity from the state of
Jharkhand.
The north Bihar has a large
number of districts that have less
than seven percent population living
in urban centres. Unfortunately,
not many of them exhibit rapid
urbanization largely over the past
two decades, due to their weak
economic base. The low rate of
urbanization in most of the districts
in the central and northern region
of Bihar can be attributed to their
dependence on primary sector
and a low rate of growth recorded
therein.
Most of the indicators do show
worrying figures but at the same
time there is a silver lining. During
the last decade, even though Bihar
projected a moderate shift in the
trend of urbanization it has recorded
rapid economic development.
Several policies of the government
like Housing for All by 2022 and
Swachh Bharat Mission that focus

on urbanization have given much


needed initiation for development
especially for states like Bihar.
Several cities and towns of
Bihar have been included in the
Atal Mission for Rejuvenation and
Urban Transformation (AMRUT).
The scheme, launched in 2015, by
the government of India focuses
on
establishing
infrastructure
that would ensure adequate
robust sewerage networks and
water supplies essential for
urban transformation. A large
number of small cities have been
included in the program, including
Gaya, Bhagalpur, Muzaffarpur,
Biharsharif, Darbhanga, Purnia,
Arrah,
Begusarai,
Katihar,
Munger, Chapra, DinapurNizamat,
Saharsa, Hajipur, Sasaram, Dehri,
Siwan, Bettiah, Motihari, Bagaha,
Kishanganj, Jamalpur, Jehanabad,
Buxar and Aurangabad.
This apart three cities
Muzaffarpur,
Biharsharif
and
Bhagalpur have listed under the
to be smart cities. Experts believe
that Smart Cities and AMRUT
would pace up the momentum of
expanding urbanization in Bihar.
In context of urbanization efforts,
the 2031 Master Plan for Patna
has highlighted some important
guiding principles which show the
direction for future urban planning
process. The focus on concepts
like multiple nuclei based urban
planning, rural urban continuum
and transit oriented development
are the futuristic and long term
approach which will go a long way
in defining the urbanization effort of
the state. Other states also need to
follow these principles in their own
urbanization drive.
At the end of the day,
urbanization
is
interplay
of
economic
development,
city
planning and public service
delivery. Bihar needs to work on
all these areas in order for efficient
and sustainable urbanization to
take place. The economic growth
of the state has been strong over
last decade; now is the time to
work on more direct and complex
issues of urban planning.

www.governancetoday.co.in

STATE IN FOCUS

Incentivizing industrial
investment

A map of financial inclusion, lucrative offers and excellent growth


option, where is the loophole?

IOCL refinery at Barauni has been the symbol of industrial development of Bihar

Sagarika Ranjan
IT WAS until the number
of offices remained in 50s and
application in 100s, he kept
forwarding, receiving and signing
applications and then he gave up.
This is a tale of a resident of
Araria, a small district of Bihar,
who gave into the tedious process
of donation. A state-lover, he
wanted to bring about a revolution
in his area by donating a part of his
land to the government for setting
up solar panels.
Keeping his identity, he said,
The process of even giving the
land is so lengthy that one keeps
visiting one office from another,
one officer to another. Some want
to know the cause while some
wait for months for their bosses
permission.
A district failed to have a fullfledged solar panel power of its
www.governancetoday.co.in

own just because of the tedious


investment process. A number of
investors across Bihar complain
of non-curiosity of the officials in
inviting business.
Bihar
Industrial
Incentive
Policy-2011 mentions about the
various incentives that have
been provided to investors in the
state. These include 100 per cent
exemption from Stamp Duty and
Registration Fees during the preproduction phase, Capital Subsidy
for industrial units, inclusion of
Entry- Tax in the re-imbursement
of 80 per cent of VAT, incentive
also to existing units for Captive
Power Generation / Diesel
Generating sets and subsidy
on non-conventional sources of
energy production, re-imbursement
of expenses incurred on project
reports, technical know-how fees,
Quality Certification, Electricity
Duty etc.

However, at the same time


there are as many as 36 types of
industries that are not eligible for
incentives.
Another very big reason for
low investment in the state is
that there is lack of awareness
regarding what and what not
can an individual contribute as
a citizen. Officials of both public
and private sector banks say that
they receive several applications
from people demanding loan for
those industries that have been
provided full or partial subsidy by
the government itself.
The Economic Survey report
by the Government of Bihar states
that economic growth rate in Bihar
has surpassed the national growth
rate and has been sustained during
the last several years. Significant
increases in social sector spending
had led to improvement in the
quality of life, as reflected by most
February 2016 I 19

socio-economic indicators. The


poverty scenario has also been
improving, especially in the rural
areas.
With the implementation of
Industrial Incentive Policy- 2011, it
is expected that the development
of the State will get a boost and
it will result in rapid industrial
development
with
enhanced
employment
generation.
The
industries of Bihar would be able
to play a positive role in the overall
development of all the citizens of
Bihar.
The economic survey also
indicates
towards
positive
infrastructural development. It
states that the policy focus in the
state has been on investment in
infrastructure development. Such
investment has increased manifold
in recent years, with increased
private sector participation. The
special emphasis has been laid,
during the 12th Plan Period,
on the development of quality
infrastructure. For development of
infrastructure, problems like delays
in according approvals, land
acquisition, and environmental
clearance need to be addressed
speedily. Besides, the time
overruns in the implementation
of the projects must be avoided.
Equally important is their proper
maintenance, in the absence
of which their utility and life
expectancy are reduced.
This apart, in order to attract
investment the government has
resolved to provide the basics of
development to facilitate industries
and other businesses to establish
and flourish in the state.
The state government has
resolved to connect the capital city
of Patna to the remotest areas in
the state, so that people can reach
the capital within a maximum
of six hours from any place. In
recent years, the state government
has been making endeavours to
achieve this goal and, as a result,
a network of roads and bridges
has come up at a large scale. It
has also adopted a Bihar Road
Resource Protection Policy, 2013
to ensure better maintenance of
roads. However, the state still
20 I February 2016

continues to remain far behind the


all-India average in terms of road
length per lakh of population. In
2012-13, Bihar reported only 175
kms of road length per lakh of
population, as against 388 for allIndia. However, in terms of road
length per 100 sq kms, Bihar with
193 kms of road length remained
ahead of all-India average of 143
kms.
The government has also

growth and investment in Bihar from


project report to pre-production
and post production stage. Some
of these incentives are as follows:

Stamp Duty and


Registration Fees
The state has provided 100
per cent exemption from Stamp
Duty / Registration Fees being
levied on Lease/ Sale / Transfer

Agro based industry has a huge potential in the state

enlisted a range of incentives


for the investors, right from preproduction process to postproduction processes. Incentives
to be provided to industrial units
of the state to speed up industrial

of Industrial Land/Shed as also


there outside the jurisdiction of
Industrial
Area
Development
Authority for new Micro, Small,
Medium (MSME) and Large sector
industries.
www.governancetoday.co.in

This exemption from Stamp


Duty and Registration Fees facility
will be granted only for the first
time and will not be applicable
in subsequent stages of Lease /
Sale / Transfer. This incentive will
be available to new units only.
Those existing Industrial Units
which have undertaken expansion
or diversification thereby leading
to an increase of 50 per cent in
their production capacity, will also

is purchased, the above Stamp


Duty and Registration Fees will be
reimbursed by the department to
such units at the post production
stage.
Besides
these,
incentives
have been provided to industrial
units after commencement of
commercial production under the
New Industrial Incentive Policy.
Some of these are as follows:

Post-Production
Incentives
Under the present policy,
incentives like Project Report
Incentive, Incentives on land
/ shed, financial assistance
for acquiring Technical KnowHow, Capital Subsidy etc. will
be available. The upper limit for
such reimbursement will be Rs.
600 lacs (Six hundred lacs).
This will be excluding the subsidy
on Captive Power Generation /
Diesel Generating set.

Project Report Incentive


Re-imbursement of 50% of the
cost, subject to a maximum of Rs.
two lacs, incurred in the project
report preparation by the industrial
units will be made. Provided that,
the project report is prepared by
the consultancy firms recognized
by the Industry Department. If the
project report has been prepared
for Carbon Credit and the unit
gets Carbon Credit, 50% of the
consultancy charges, subject to a
maximum of Rs. 15 lacs, will be
reimbursed.

Incentives on Land/
Shed

be entitled for the above incentive,


only on to the extent of additional
land required for Expansion.
Further, if, for any reason,
the above incentive is not
availed by the unit and the land
www.governancetoday.co.in

The following incentives /


subsidy will be available to all
eligible units for the investment on
land/shed located in the Industrial
Area Development Authority/
Export Promotion Industrial Park/
Food Park/ Agri Export Zone and
also investment on Land/Shed
allotted in Industrial Area/ Park
developed on Government land or
on private land.

There are hordes of other


incentives and schemes to invite
investment in Bihar still the
development figures choose to
sink or remain strictly around the
low. The reason being that there
are so many criteria for setting
up a business unit and all are
mandatory. Of these, one or the
other goes missing and the file
is not forwarded despite revision,
correction and added provisions.
Red tapism is what investors
complain of in most of the cases.
Another factor that acts as
an agent to contain growth of
investment is image of Bihar
as a crime infested state. This
reputation takes away much of
the investment despite the eon
work done by the government over
last decade or so. Often business
fraternity say that they put a lot at
stake and one untoward event can
finish their businesses in no time.
This scares them away.
Looking broadly at the whole
scenario and experiences of the
businessmen, thinking of investing
or those who have already invested
in Bihar, the state needs to
regulate and tighten law and order;
bring flexibility in the terms and
conditions laid down for passage
of any project and most importantly
expedite the approval processes of
the projects.
Incentives, not only in monetary
terms but in kind, are the key to
fetch investment into the state. All
developmental parameters in the
surveys of 2011 have indicated
towards an upward trend for the
states growth but this can only be
possible if the authorities concerned
comply to the simplification of the
processes and make them userfriendly as a tedious tread is as
bad as no tread at all. The state
has locational advantage of being
close to natural resources of
Jharkhand and has huge potential
for agri based industries. The
potential for tourism is also sky
high. In this environment, there is
no reason why the state cannot
get investment with proper policy
implementation.

February 2016 I 21

INTERVIEW

TO ENSURE COMPETITION ULBS


WILL BE RANKED ON DIFFERENT
ASPECTS OF URBAN GOVERNANCE
AFTER A high decibel political
battle, development discourse is
back in Bihar government. The
new government has refocused
on the work to provide basic
amenities and public services
to the people. In conversation
with Governance Today, Amrit
Lal Meena, Principal Secretary,
Urban Development and Housing
Department, Government of
Bihar, talks about various urban
development works in the state.

What are the key


programs before the
department presently?

Amrit Lal Meena


Principal Secretary, Urban Development and
Housing Department, Government of Bihar
22 I February 2016

The first and foremost task of


the department is to facilitate the
functioning of the Urban Local
Bodies (ULBs) by providing
them the resources, adequate,
continuous capital, manpower
and IT support. To ensure that
the municipal bodies perform
their functions effectively,
adequate resource support
is being provided. One of the
major works of the ULBs is to
ensure cleanliness and proper
sanitation in the urban areas. To
ensure door-to-door collection,
transportation and processing of
the solid waste management, the
state government has initiated
Swachhta Incentive Programme.
Through this programme, Rs. 100
is provided to each household
through ULBs, who has taken
up these activities. I am happy
to notice that out of 3,180
municipal bodies in the state, 900
wards have already started the
programme. Other ULBs are also
in the process to start it.
During the last few months,
there is massive mechanization
www.governancetoday.co.in

for the effective management


of the solid waste. The ULBs
have started procuring land for
landfills sites and which could be
developed from waste to compost
plants. In Patna, waste to energy
plant is also being developed. So
our focus is that the sanitation
status should be improved in the
ULBs. For this monetary support
and strict monitoring is also put in
place.
With a view to ensure
healthy competition among the
ULBs, the state government has
also conceived Mukhyamantri
Adarsh Nagar Nikay Protsahan
Yojana. Through this scheme,
the ULBs will be ranked on
eight different aspects of urban
governance. The best performer
city corporation will get Rs. 5
crore as financial incentive above
the normal allocation. Next two
best performers will be given Rs
3 crore each and two smaller
nagar panchayats will be given
Rs. 1 crore each. The parameter
of this scheme has been worked
out in such a manner that all the
aspects of the governance which
includes, sanitation, drinking
water, street lights. The weightage
has also been given to the public
perception as to how people
feel about the delivery of the
public services. So a composite
index has been developed. An
independent body will look after
this ranking. I am hopeful this
will go a long way in terms of
improving the urban governance
scenario.

What plans has the


government formulated
to provide financial
assistance to the urban
development schemes?
With a view to augment urban
infrastructure, there has to be a
proper resource support to the
ULBs. These ULBs collect their
own resource though various
taxes. We are monitoring that
ULBs are using their resources
in the best possible way. There
are ULBs in the state who
www.governancetoday.co.in

The requirement in terms of infrastructure is


huge that may not be reasonably generated by
the ULBs themselves, so the budgetary support
has to come from various agencies, both state
and centre
have surplus amount and their
strength is improving year by
year. The requirement in terms
of infrastructure is huge that may
not be reasonably generated
by the ULBs themselves, so
the budgetary support has to
come from various agencies,
both state and centre. There
are grants from the fourteenth
finance commission, which via
state government goes to ULBs.
This year Rs 250 crore has been
transferred to the various ULBs.
Similarly, there are grants from
the state finance commission. The
fifth finance commission is awaited
and after the state government
finance can also flow to the ULBs.
There is also a programme called
Mukhyamantri Nagar Vikas Yojana
that is working in this direction.

A few satellite cities


are coming up in Bihar.
How will they be a
challenge for the state
government?
Satellite cities are welcome
developments. With the present
model, I think we will be able
to provide them all the basic
amenities and public services they
require.

What has been done


so far for Smart City
initiative?
Three cities have been
selected for the Smart
City programme; these are
Muzaffarpur, Biharsharif and
Bhagalpur. The government of
India had asked all the states to
submit the detailed project report.
We have submitted the DPR for
the three cities. Now, all hundred

cities across country are up for


competition for the second round.
Let us see the result.

Is Patna Metro a
commercially viable
project?
I dont think there is any scope
on the discussion on the viability of
the Patna Metro project because the
consultant appointed by the state
government has already looked
at the feasibility of the project;
thereafter they came out with the
final detailed project report. After
they found the project viable, the
report is awaited for the government
approval. After that it will be sent to
the central government. It seems to
be a quite viable project.

Sustainable housing for


EWS is a challenge. What
is being done in this
regard?
It is truly a challenge particularly
in a state like Bihar that has a high
population density. We have started
taking up many projects for it under
housing for all component. One
project is coming up in Patna and
certain other projects are also being
developed. There are individuals
who posses land and we are
encouraging them to become part of
the EWS housing for all scheme.

Urban transport is another


area of concern. What is
state doing for it?
As many as 140 buses have
been procured under the JNNURM
scheme and I think it will be a
game changer for urban transport
scenario.

February 2016 I 23

COVER STORY

Rebuilding Indian urban


transport

24 I February 2016

www.governancetoday.co.in

Anand Mishra
URBANIZATION IS the most common
and prevalent demographic phenomenon of
last two hundred years, globally. Cities have
emerged with amazing speed in all parts
of the world and have largely tracked the
economic growth. So, first it was Europe,
followed by North America and East Asia,
and finally South East Asia and China, which
saw emergence of large cities over last
couple of decades. India also has seen rise
of cities over last couple of decades when
large number of people migrated from rural
areas to cities and towns which offered better
employment opportunities and possibly better
life.
According to a McKinsey Global Institute
(MGI) report, there are 28 Indian mid level
cities including Bangalore, Pune, Surat,
Vizag and Kochi that would contribute to
maximum wealth generation in coming
decades. Currently, there are 42 Indian cities
with million plus population and at least three
clusters of ten million plus population, namely
Mumbai, Delhi and Kolkata. The urban
population in India has increased significantly
from 62 million in 1951 to 285 million in
2001 and is estimated to grow to around
540 million by the year 2021. In terms of
percentage of total population, the urban
population has gone up from 17 per cent in
1951 to 29 per cent in 2001 and by 2050,
more than half of India will be living in cities.
Another report from the MGI, released four
years ago, revealed that 49 urban clusters
in India contributed 70 per cent to the GDP
and that 77 per cent of air traffic and 59 per
cent of port capacity were concentrated in 21
high growthhigh affluence clusters. As for
the rate of urbanization, by 2025, eight of
twelve very high and high performing states
will be on average 55 per cent urbanized.
All this shows that the country is going to
be increasingly urbanized in years to come
opportunities flock to cities. And without any
question, mobility is the key to realize the
economic potential and efficiency of cities
and well-being of urban inhabitants. In short,
India needs a massive urban transportation
revolution to enable so many people to move
fast and safely to achieve a high growth.

Overburdened and crumbling


The sustainable development of Indian
cities to a large extent will depends upon their
physical, social and institutional infrastructure.
Of the three, physical infrastructure, and
www.governancetoday.co.in

February 2016 I 25

transportation will play a huge role


in maximizing the potential of the
other two. As such, an efficient
transportation
system,
which
reduces effort, money and time to
reach destination will be a crucial
requisite of a thriving city.
However, urban transportation
in India is today a blend of
overburdened
and
inefficient
public
transport,
haphazard
and unplanned private mobility
and complete neglect for non
mechanized
transportation.
Delay,
congestion,
accidents,
and air and noise pollution are
the most manifest dimension of
contemporary urban transport of
the country. India ranks among
the worst on road safety records
and among highest in fuel wasted
at red lights and congestions in
the world. The transport planning
on the other hand is inefficient at
best and incompetent at worst.
Further, the planning priorities are
misplaced and have hardly taken
care of the future rise in demand,
the result of which is that by the
time plans are executed, they are
already outdated and infrastructure
created, overburdened.
With rising urban population,
the level of urban travel demand
in India has increased substantially
over the years. The urbanization
records show that the population
size of an urban area is roughly
doubling in about two decades.
Secondly, the mobility rate, that
is, the average number of trips per
person per day in urban India. The
mobility rate in urban India has
been continuously increasing. The
average number of trips per person
per day in Delhi, for example, had
increased from 0.49 during 1969
to 1.10 during 2007. The per capita
trip rates for Mumbai, Kolkata
and Chennai were 1.05 and 1.12
respectively in 2007. According
to Govt. of India forecasts, largest
cities like Mumbai and Delhi could
see trip rates go up to 2 by 2031.
This point towards increasing load
on transportation system, which
would accentuate in coming years.
Another aspect of increasing
load on transport system is
the increase in trip length. As
26 I February 2016

cities expand, people move to


peripheries resulting in rise in trip
lengths. RITES data shows that for
larger cities of population in excess
of 8 million, average trip length
increased from 8.32 Km to 11.9 Km
between 1994 and 2007. the data
shows that larger cities are showing
greater increase in the trip lengths,
implying that larger cities are
having more pressure on existing
transportation infrastructure. By
2031, the average trip length in
megacities will be around 14.8 Km.
In this demand rise scenario, if
we look at the urban transport in
the country, most cities suffer from
inadequate infrastructure. Public
transport systems, especially bus
systems have not been able to
keep pace with the increases in
demand. What is more disturbing
is that not more than couple dozen

PER CAPITA TRIP RATE


BASED ON CITY SIZE
City
population
(Lakh)

RITES
1994

WES 2007

<5

0.77-0.89

0.76

10-20

0.89-1.10

0.98-1.25

1.20-1.35

1.30-1.50

5-10

20-40

40-80
> 80

0.57-1.00
1.10-1.20

1.25-1.40

0.81-1.02
1.20-1.29
1.41-1.67

Source: Traffic & Transportation


Policies and Strategies in Urban Areas
in India, GOI 2008

cities in the country have public


bus services. The suburban rail
system which is an excellent mode
for bringing people from suburbs to
central business districts, exists in
only Mumbai, Kolkata and Chennai,
with Delhi Metro, with just two lines
connecting Delhi with Noida and
Gurgaon, only partially qualifying
as a suburban rail. Even those
rails system that exist, are highly
overburdened. Ironically, despite
rising population and therefore
demand, most city bus utilities
have been making losses indicating
inefficiency and poor fleet planning.
This overburdening has on

its part, encouraged people to


move to personalized transport
and intermediate public transport
(mostly privately owned mini
busses and auto rickshaws). The
data shows that motorization in
the country has greatly outstripped
growth in urban population. In
metro cities, automobile ownership
has been growing at 1520 per
cent per annum. And a large part of
this has been the shift towards two
wheelers. According to a research,
post-1980, the use of motorcycle
became an important part of the
Indian metropolitan cities. Two
wheelers also contribute to lions
share in motorized vehicles,
especially in medium sized cities.
During 2009, in Nagpur, Varanasi,
Surat,
Coimbatore,
Bhopal,
Kanpur, Vadodara and Lucknow,
more than 80 per cent of the
vehicles sold were two wheelers.
The share in large cities is slightly
less, but the trend is unmistakable
there too. Majority of young people
in 20-35 age group prefer to ride a
two wheeler to work in urban India,
primarily to avoid public transport.
In larger cities, the situation is
complicated by the rise in car
ownership which has increasingly
become the dominant mode of
transport among upper middle
class and affluent class travelers.
This trend towards personalized
vehicles is a direct outcome of
crumbled public transport.
This shift to personal vehicles
has resulted in resulted in massive
load on the road infrastructure which
is manifested in huge traffic jams
and congestions. Most tier-one and
tier-two cities have traffic jams in
rush office hours today because of
excessive pressure on skeletal road
networks. In Kolkata, the average
speed during peak hours in busy
office areas fall to less than 8 km
per hour. Some stretches in Delhi
and Mumbai have routine traffic
snarls stretching up to kilometers.
The problem is aggravated by faulty
and inefficient traffic management
and poorly trained traffic managers
whose number is also hopelessly
lower than what is needed.
Another major problem of
urban transport is that of lack of
www.governancetoday.co.in

AVERAGE TRIP LENGTH INCREASES WITH CITY SIZES

Source: GOI data 2008

complementarity of transportation
modes. What it essentially means
to say is that even if certain mode
of transport is available, the
support or secondary transportation
mode for bringing people to the
high capacity mode is absent.
The case of Delhi Metro is a good
example. While metro routes reach
many areas, the work of carrying
people from neighboring as well as
far flung areas is done mostly by
private buses and three wheelers
which are highly inefficient, time
consuming and most importantly
too overcrowded, forcing people
to depend on personal vehicles.
The problem was identified and a
fleet of feeder buses were put in
place but its service has proved
hopelessly inadequate. Same is
the case for Mono rail system in
Mumbai.
Finally, there is massive
disconnect between urban transport
planning and reality. Even though
majority of people either walk or
cycle to their work place, and
second most used mode of transport
is non motorized vehicles, most
emphasis in all transport planning
has been on widening of road
and not on beefing up public and
private commercial transportation
system. This skewness has also
played a role in encouraging people
to take up to two wheelers and
cars, facilitated in turn by cheap
loans led affordability. Government
has also not thought in terms of
containing the number of cars
on roads by innovative planning
such as congestion taxes, license
rationing and punitive parking fees
www.governancetoday.co.in

which have all been successful in


different parts of the world.

Cleaning the mobility


mess
Broadly, three major facets of
urban transportation emerge from
the above. First, the cities are
increasing in number and existing
cities are expanding beyond their
natural capacities. Second, the
public transport has crumbled
under pressure and is not large or
good enough to cater to the needs
of fast rate of urbanization and
increasing burden of population in
existing cities. Third, because of
the above two factors, there is a
major push towards personalized
vehicles which has congested city
roads in a big way. The transport
policy therefore needs to work on
supply side and well as demand

side to solve these problems.


The central government issued
the National Urban Transport
Policy in 2006 with specific policy
objectives of achieving safe,
affordable, quick, comfortable,
reliable
and
sustainable
transportation.
To
address
problems of road congestion and
associated air pollution, the NUTP
proposed four strategies primarily
focusing on increasing efficiency
of road space by favoring public
transport, using traffic management
instruments to improve traffic
performance, restraining growth
of private vehicular traffic and
technological improvements in
vehicles and fuels to reduce vehicle
emissions. Since transportation
is a state subject, it recognized
the central governments role
was confined to supporting the
states with the necessary financial
support and technical expertise.
However, NUTP has been criticized
as being too general in nature and
for not delving in detail on crucial
issues such as land use transport
integration on the ground and
specific policies that can address
the same.
At operational level, perhaps
the most crucial requirement
is to massively increase bus
transportation infrastructure. Two
immediate actions points in this
regard are increasing the number
of cities under city bus program
and substantially increasing the

PUBLIC TRANSPORT SLATED FOR STEEP FALL IN BIG CITIES

Source: Traffic & Transportation Policies and Strategies in Urban Areas in India,
GOI 2008
February 2016 I 27

Cities like Ahmedabad and Pune are running BRTs smoothly

fleet size of bus services where


they are currently plying. These
will go a long way in increasing
the coverage, speed and schedule
reliability of bus services. Even
though the Delhi government has
just demolished the BRT which
was the dedicated bus corridor,
the utility of such bus priority plans
and bus only lanes cannot be
overemphasized. Many European
countries have put these in best
use. Even in India, Amhedabad and
Pune are running highly efficient
and successful BRTS.
Second aspect of improving bus
systems is to improve the financial
viability of bus utilities. Most of bus
utilities in India are operationally
highly inefficient with number of
staff per bus far exceeding that of
private bus services. This is even
when competition has been allowed
in cities like Kolkata and Delhi.
This indicates poor accountability
28 I February 2016

system and lack of modernization


in bus utilities. These are issues
that need immediate attention.
Third aspect of improving urban
transport is to have an integrated
approach towards transportation
needs of Indian cities. Today
half a zone cities in the country
are at different stages of setting
up metro network. While metro
is a highly desirable and novel
transportation mode with low direct
carbon footprint, what needs to be
realized is that it is a very costly
means to address transportation
needs. Presently, per kilometer
cost of building an elevated metro
is Rs 175-200 crores whereas the
same for underground metro is
Rs 275-300 crores. Compared to
this, a six lane highway standard
road costs just about Rs 15 crores
per kilometer. In this comparative
cost scenario, it is paramount
that the route kilometers of metro

be carefully planned with clear


knowledge that metro is not
suitable for all cities and definitely
not cost effective in any city. To
maximize their impact, metro routes
needs to be effectively fed into by
other modes, namely buses and
private transport modes and IPTs,
including eco friendly e-rickshaws.
However, in this regard, the
institutional arrangement is a
hindrance. For smoother transport
management, the various modes
of public transport including
intermediate public transport have
to work in tandem. But presently,
different agencies, independent
of each other, are operating
different services in Indian cities.
For example, in Delhi, metro rail
is operated by Delhi Metro Rail
Corporation Ltd, sub-urban rail
service by Northern Railway,
bus transport service by Delhi
Transport Corporation, and taxi and
www.governancetoday.co.in

auto-rickshaw by private operators,


with no coordination among each
other. As such, a coordinating and
planning authority is required that
can plan for the optimal modal mix
and coordinate between all modes.
Such an authority can work with
the state transport ministry to also
chalk out the policies regarding
control of private vehicles plying on
city roads though different means.
Even today, a large number
of people in Indian cities walk
or cycle to work. Surprisingly,
beyond lip service, no policy has
given more logical though to this
segment. Resultantly Indian roads
are extremely punishing towards
this segment. Except for a few
lanes for show off, no Indian city
has functional lanes or corridors for
cyclists or pedestrians. Transport
policy must encourage the need
for developing green modes
like bicycles, cycle rickshaws,

pedestrians, etc. If these non


motorized modes are promoted and
accommodated in the overall road
planning, a substantial fraction of
two wheelers will switch to cycling
because majority of two wheelers
are having less than six kilometers
to travel to work. It will also reduce
pollution level. But enforcing this
will require strict implementation
of traffic rules, which is largely lax
today.

Making transport smart


By
leveraging
technology
under ICT, imaging and geospatial
technologies, it is possible to
optimize existing infrastructure to
achieve maximum traffic throughput
and minimize traffic congestion.
Technology can be employed to
play an important role by predicting
demand and supply data to feed
into transportation planning and

help in improving reliability of


public
transportation
network
besides providing information on
arrivals/departures as well as
route information to travelers.
Also, multi modal fare integration
and intelligent traffic management
can help citizens to use multiple
modal options without hassle of
purchasing different tickets, thus
aiding efficient traffic flow.
GPS-based advanced vehicle
tracking solutions can enhance the
operations of public transportation
and ridership many times. These
solutions offer real-time GPS
tracking from mobile devices thus
increasing the reliability of public
transportation. This can help in
periodic traffic forecast, and journey
planning through real-time data
based mobile applications, which
is in use today in some European
countries. Further, public transport
surveillance for different modes

Metro and monorail, while being efficient, are very costly transport options

www.governancetoday.co.in

February 2016 I 29

including buses, mass transit


railway and trains help in increasing
predictability of public transport as
well as achieve higher integration.
Technology can also be
leveraged to make traffic lights
smart which sense traffic condition
to tune traffic lights which enable
smooth flow of traffic. Such systems
make use of strategically located
CCTV cameras and are working in
London and many American cities
for long time.
A big part of controlling traffic
during rush hours at crucial choke
points is to deter vehicles from
using such routes feeding into such
choke points. To achieve this, cars
can be installed with GPS based ID
chips that can be read by sensors

development planning. As such,


the efficiency of cities greatly
depends on the efficiency of
transport systems. However, Indian
cities have not been planned with
keeping transportation needs in
mind, as overburdened transport
infrastructure
underscore.
Transport in this context has been
a victim of neglect, confusion
and
dysfunctional
institutional
arrangement. But transport planning
cannot be framed on a standalone
basis. The cities themselves need
to be planned to keep traveling
requirement at lowest level.
Promoting regional economies
and compact townships is the need
of the hour which can reduces the
need for long-distance travel. Such

as well.
It is important to realize that
transport is a basic need of people
and with increasing urbanization,
this need will increase and become
more diverse. India is heading
irreversibly towards greater and
mode denser urbanization which
means it has to put in place
transport systems that not only
cater to existing population, but
are also scalable enough to take
much higher loads. Unfortunately,
planners have not been able to
address either the supply side
of transport infrastructure or the
demand side of transportation, in
terms of number of people using
the transport systems in cities.
The massive rise of personalized

CCTV and GPS based technologies can solve congestion problem besides enhancing public transports efficiency

and the data can be used to levy


road user charges. Road user
charges are direct charges levied
for the use of certain designated
routes at certain time. These
charges help to reduce peak hour
travel and the associated traffic
congestion, pollution and road
accidents.
Since transport is one of the
prime determinants of quality of
life, urban transportation is the
most crucial component of urban
30 I February 2016

townships can have residential


settlements in close proximity
to commercial areas with the
provision of shopping, services
and recreational facilities close
to where people live, so that the
trip distance is kept at a minimum
level. Such townships also reduce
need for ownership of personalized
vehicles. With reduced traffic,
public transport can mostly take
the long route traveling need. This
will reduce accidents and pollution

vehicles is the direct outcome of


failed public transport system. But
we have reached a stage where
choked transport infrastructure
has started to negatively impact
economic growth and physical well
being of citizens. It must not be
allowed to go unaddressed if we
have to offer our citizens a decent
quality of life.
anand@governancetoday.co.in

www.governancetoday.co.in

INTERVIEW

PROMOTING CYCLING NEXT ON


OUR AGENDA TO ENSURE LESSER
POLLUTION
Even though the odd-even
formula for cars plying on Delhi
roads concluded successfully
recently, it is in the hands of
people to make use of public
transport a regular practice for
the sake of clean and green
Delhi which is said to be one of
the most polluted cities on the
planet. Ramesh Kumar Raja had a
conversation with Delhi Transport
Minister Gopal Rai during a bus
ride with him when the scheme
was on, to know his side of story
about the governments initiative to
curb pollution. Edited excerpts:

How do you rate the


experiment of odd-even
cars in Delhi?
It was altogether a successful
exercise. The people of Delhi
wholeheartedly supported the
scheme. It had a positive impact
on pollution levels and traffic
volume of the city. While it
drastically brought down the levels
of PM 2.5, the odd-even scheme
also resulted in decongestion of
roads that reduced travel time
for many people. It also had
a social impact when people
started following others, such as
the concept of carpooling came
into practice. Remarkably, it also
helped reduce the number of road
accidents.

The Delhi High Courts


decision to not interfere
with your governments
notification on the oddeven formula was like
icing on the cake. How
do you view it?
www.governancetoday.co.in

regard and will come up with a


fool proof plan next time. By the
way, it was important to make
the first phase successful, so that
people would obey it when it is
reintroduced.

Delhi roads are not


designed to encourage
bicycle ride, which could
reduce pollution. What
is your opinion on the
same?

Gopal Rai
Transport Minister, Delhi
The decision was definitely in
the interest of citizens of Delhi.
The court perfectly observed it
was a policy decision taken based
on expert knowledge to curb air
pollution. I hope the sufficient
data collected from the 15 days of
odd-even exercise will be of great
help in taking further steps after
reviewing them. We will take the
suggestion of experts on how to
implement it in the long run.

The way people


cooperated in this
exercise, can we assume
odd-even is going to be a
regular practice?
After reviewing the data,
whenever the need arises the
odd-even scheme will definitely
be imposed in order to bring
down the pollution level. The
government is very positive in this

Promoting cycling is the next


on our agenda towards ensuring
lesser pollution. Our government
is committed to utilize the money
collected as fines for violating the
car-rationing rules for creating
lanes for cyclists and give
subsidies on purchase of cycles
to buyers. We are also planning
to re-design the pavements, build
tracks and stands to promote the
cycling environment in the city.

What is your endeavour


at community level?
At community levels, we are
committed to improve the last mile
connectivity. We also encourage
people towards plantation and
doing away with burning of waste
in their vicinity. As a part of our
exercise to curb pollution at local
level, I must appeal to people
to use bicycles every day for
their short travel needs, such as
purchasing household items like
milk, instead of using bikes in their
colonies. They can easily ride
them in their colonies where the
possibilities of road accidents are
less.
February 2016 I 31

COVER STORY

Getting public transport right


India can ill afford personalized vehicle based transportation
infrastructure

Most cities have inadequate bus fleet resulting in overcrowded buses

Lekshmi Parmeswaran
IN INDIAS metropolitan cities,
commuting is nothing less than
an ordeal. For those taking public
transport, the miseries they have
to face on a daily basis is untold.
The consequences that such
inefficiency in the system can have
on peoples lives do not bode well
with the countrys vision of holistic
development. With the population
increasing at an ever faster rate
and with pollution levels showing
no signs of dipping down, the
time has come to think of smart
transport solutions. At the core of
it should be public transportation
system which is in dire need of
reforms.
32 I February 2016

Even in a city like Delhi which


takes pride in having an efficient
public transport system, the
unfortunate truth is that it is woefully
inadequate to cater to the needs of
population. In such a scenario, the
plights of other cities which lack
even the basic infrastructure need
no special mention. Inefficiency
has come to be associated with
every mode of public transport in
the country.

A look at the challenges


The
transportation
sector
is crippled with myriad issues.
The first among the long set of
concerns is the issue of frequency.
The long hours that people have to

wait at the bus stops discourage a


substantial number of people from
opting for buses or local trains for
their daily commuting.
The time lag between the
services also brings with it the
issue of overcrowding. For me
every morning, half the battle of
getting to workplace is won if I am
able to get in a bus. Even when I
reach well before time, the buses
which are stuffed beyond capacity
would make it impossible for me to
board it. Because of this I often end
up taking private rickshaws which
are ten times more expensive than
the buses, says Jeyah Gomati, a
primary school teacher in Chennai.
This situation is not unique to
her but is a constant reality for
www.governancetoday.co.in

thousands braving the city lives.


It is estimated that about 60 per
cent of the population uses various
means of public transport for their
daily travel. So it is ironical that
it is the issue of connectivity that
the system has not been able to
address so far. Most of the bus
stops and metro stations are
located so far away that people are
forced to use either three wheelers
or two wheelers to reach the
stations. For those living in satellite
towns, the only reliable means they
have are the private run modes of
transport. These are vehicles which
do not adhere to any of the safety

part of a national scheme. They


could not meet the objective of
luring more commuters due to
their unpredictable timing and the
constant traffic woes. All these
have given rise to an increase in
personal transport in cities which
are now considered to be well
above the optimal range.

What can be done?


The increasing congestion
seen on Indian roads and the high
pollution levels that has brought
a sense of urgency to rethink the
way public transportation sector

pathways should be created and


a system should be put in place
where people can borrow cycles
from one point and return it at a
different point. The government
should subsidize e-rickshaws and
install charging points along the
roadways to make it a viable mode
of transport. The electric vehicles
that are currently available in the
Indian market are highly priced and
beyond the reach of a normal cycle
rickshaw owner. This issue can be
successfully addressed only if the
government invests more in R&D
activities and more innovations
take place.

A novel concept in form of DMRC feeder buses is in totters

standards and travelling in them is


a constant risk.
Though the Delhi Metrorail
Corporation tried to ease this
situation by introducing feeder
buses, it has not been a successful
venture if one looks at the picture
in totality. Many of the services
were discontinued and those in
operation are highly unreliable.
The travelers are made to wait till
the buses get filled which eats up
the precious time of those in the
morning and evening rush.
The same is true with the low
floor buses which were introduced
in major cities of the country as
www.governancetoday.co.in

is managed in the country. Time


is running out fast for both the
authorities and the public to bring
the situation under control.
The
odd-even
scheme
implemented in Delhi on a pilot
basis is definitely a step in the right
direction to solve both the pollution
and congestion issues. People
will be encouraged to take public
transport only if it becomes hassle
free. The easiest way is to increase
the frequency of buses and metros
so that they are not overcrowded
and the waiting period for the
passengers gets reduced.
For short distances, cycle

The introduction of Bus Rapid


Transit (BRT) in Ahmadabad and
Pune is something that can be
emulated by all the other cities.
Efforts should be made to make it
more organized and the passengers
should be able to access the bus
timing with the help of their mobiles.
A separate lane for the buses will
also reduce the traffic congestion
on the roads. Introducing women
only buses are also a measure that
the government and the private
sector can look at to attract those
who shy away from taking public
transport due to safety concerns.
The government can take a
February 2016 I 33

cue from Singapore and introduce


highway tax to encourage people
to take public transport while on
long trips. Considering that India
accounts for 6 per cent of the
worlds road deaths, it is of utmost
importance to take a step that
would reduce the number of light
motor vehicles on the national
highways which are often witness
to instances of reckless driving.
Abolishing the annual Motor
Vehicle Tax and the Passenger Tax
levied on public transport will be a
good measure in bringing down
the fairs for the common man.

Government can encourage the


use of bio-fuels. Systematic and
concerted efforts should be made
to enable the state run vehicles to
switch to cleaner fuels. It is also
important to issue periodic fitness
certificates to the buses to prevent
them from posing a grave threat to
the environment. Noise pollution is
yet another aspect that needs to
be considered before allowing the
vehicles to ply on road. Giving the
drivers training on how to handle
the vehicle economically will go
a long way in increasing the fuel
efficiency of the vehicles.

A single transit card which


can be used for all modes of
transportation is a solution that
should be considered to ease the
travel of passengers. For this,
necessary infrastructure should be
put in place and training should be
given to the drivers and conductors
to avoid any misuse of the system.
An integrated public transport
system where people are given the
choice between different modes
will considerably help in easing
the travel time. Along with this, the
government can levy parking fees
and congestion tax to discourage

Pune has been running an efficient BRT system

That said, the suggestion made


by Supreme Court in applying
differential pricing for the services
offered in the case of Delhi metro
should be viewed with seriousness.
For the owners of luxury cars,
public transport that matches up
to needs their can prove to be a
good enough incentive for them to
make an intelligent choice. Along
with this, the government can
also provide tax breaks and other
financial benefits to encourage
people to resort to smart transport
solutions.
Since diesel particles are
the single biggest pollutants, the
34 I February 2016

In the long term, developing


areas further away from a business
district and interlinking them with
efficient transport system would
prove to a lasting solution. It would
greatly bring down the pollution
burden on cities and enhance the
quality of life as people will not
be concentrated at one particular
point. In addition to this, it should
be made mandatory for offices
having more than 50 employees
to ensure pick up and drop facility
to the metro stations and bus
stops. This will not only reduce
the number of cars on road but will
also free the parking spaces.

people from using their private


vehicles on a regular basis.
In this day and age of
technology, it is innovations that
will bring about lasting solutions
to correct all that is wrong with the
Indian public transportation sector.
The government should partner
with private stakeholders to bring
in the much needed technological
know-how. If technology is
employed at every stage of the
transport chain, what will emerge
is a system known for its efficient
functioning.
lekshmi@governancetoday.co.in

www.governancetoday.co.in

GREEN TECH

Kinetic introduces electric


auto, Kinetic Safar
Pune based Kinetic Green
Energy and Power Solutions
Limited, a venture of Kinetic group
specialized in Green transport
solutions has introduced its
indigenously designed battery
operated e-Auto named Kinetic
Safar.
Kinetic Safar is positioned as
an eco- friendly social innovation
to promote pollution free yet
affordable public transport in the
country. Safar is designed to
ensure reduction in carbon footprint
with zero emission and sound and
provide a cost effective solution
for last mile connectivity as well
as shared public transport in cities
across India.
Kinetic Safar, a pioneering
effort by Kinetic Green, has been
approved by Automotive Research
Association of India (ARAI) and
meets all government safety norms
as per Central Motor Vehicle Rules
(CMVR). Safar boasts of unique
safety and performance features
including an all steel body for
durability and ruggedness, dual
headlamp for night vision, powerful
brakes for safety, dash board
with battery charge indicator and
speedometer. In line with CMVR
guidelines, Safar has maximum
speed of 25 Km per hour and can
carry four passengers plus the
driver comfortably.
Kinetic Greens launch of
e-Three Wheeler Kinetic Safar
is a sincere effort to provide
pollution free yet affordable mode
of public transport in the country.
It is yet another social innovation
from the makers of legendary
products like Kinetic Luna, worlds
most affordable two wheeler, and
Kinetic Honda, which gave wings
to women. Our e auto, Safar,
is a ground up development to
bring advanced green transport
technology at an affordable price of
merely Rs. 1.28 lakhs! The buyer
of Safar is expected to recover his
www.governancetoday.co.in

Sulajja Firodia Motwani, Founder and CEO of Kinetic Green Energy and Power
Solutions during the launch

investment in 8-9 months and the


riders enjoy an affordable ride at
Rs.10 per ride. I am confident that
Safar will revolutionize last mile
transport and create employment
for lakhs of unemployed youth or
poor. We are pleased to contribute
in Government of Indias initiative
of reduction of pollution, improve
health of our citizens and offer
smart transport solutions. said
Sulajja Firodia Motwani, Founder
and CEO of Kinetic Green Energy
and Power Solutions while
launching the e-three wheeler in
Delhi.
The company also announced
that it has bagged Indias largest
ever institutional order for electric
vehicles from UP Government.
This order won on the basis
of competitive bidding is for
providing 27,000 Kinetic Safar
vehicles amounting to Rs. 400
Crores of which delivery to be
completed within 12 months. This
e Rickshaw Yojana of Government
of Uttar Pradesh is a social welfare

initiative aimed at providing free e


Rickshaws to the existing manual
rickshaw pullers in the state in order
to provide them a more dignified
means of livelihood and towards
poverty reduction. The Company
has
successfully
completed
delivery of the first 300 units of
Kinetic Safar to UP Government
and plans to enhance deliveries to
3,000 units per month.
Future innovations and product
plans of Kinetic Green include
Safar Cargo, an e-cart for low cost
and green urban load distribution
aimed at home deliveries and
e-commerce.
Company
also
intends to commercialize a high
speed e-auto for large cities
called Soleckshaw (a model
developed by Group company
Kinetic engineering, under NMITLI
program of CSIR), and develop e
autos with Lithium ion batteries to
include rapid charging and battery
swapping.

February 2016 I 35

COVER STORY

What would it take to hop on


alternative fuels bandwagon?

Bio fuel is the most promising development in alternative fuel technologies

Shobhna Jha
POLLUTION IS undoubtedly
one of the most pressing problems
today. Even the new year which
normally commences with the
wishes of Happy New Year has
begun with the debate on the oddeven formula initiated by the Delhi
Government. While everyone is
agreeing that the pollution levels
should come down to acceptable
levels, if not zero-- the puzzling
aspect is that nobody knows how
to achieve it exactly, especially for
a remarkably dynamic country as
India. At least there is no agreement
on what is to be done due to lack of
information or institutional barriers
at times.
Arguably, major sources of
air pollution with increasing times
have been the conventional fuels,
36 I February 2016

especially diesel, which is the


primary fuel for commercial vehicles
and has increasingly been taking
petrols share in personal vehicles
too. The problem is compounded
by the fact that it is used as the
fuel for power back up as well,
thanks to erratic power supply in
urban India. It is no hidden fact
that Indias energy demands have
ever been on the increasing side
over the years. Currently, India
stands at fourth rank globally in
annual energy consumption after
China, USA and Russia. And
everything seems justified given
Indias large demographic pressure
and unending resource demands.
But the disturbing fact is that there
is a huge and larger dependence
on conventional fuels only, which
exists as limited stock in nature.
Moreover, with dwindling supplies,

petroleum prices would soar


higher in coming times. It is worth
mentioning the peak oil concept
here, which emerged through M.
King Hubberts theory worldwide. It
suggests that rate of extraction of
petroleum cannot continue forever
and after a certain maximum
extraction stage (the peak point)
it will eventually decline. Hence,
even if mitigation efforts like fuel
conservation, in line with the peak
oil concept are followed, it may be
useful only for extending the use
of petroleum but not in reducing its
consumption.
In this regard, alternative
fuels
or
non-conventional/
advanced fuels can solve the
problems caused by conventional
fuels. Alternative fuels not only
produce lesser pollution but most
importantly they are renewable or
www.governancetoday.co.in

Look outside, see the trees


Watch the flowers in the breeze
Things wont be like this in a year
or two
If polluting is all we do
Seize the night
Seize the day
Things wont always be this way.
Josie Greveling
at least quasi-renewable unlike
conventional fuels. For a naturally
gifted country like India in the sense
of having such huge reserves of
natural resources- like the potential
for wind and solar energy, not
utilizing them till full potential and
capacity is like leaving an essential
asset unexplored. Given Indias
huge population, finite conventional
fuels and unending demands,
its high time for India to develop
its own alternative fuels story.
Apart from concern of pollution,
water stress, other factors to opt
for developing alternative fuels in
India are- ever increasing energy
demand in the automobile sector;
unsustainable extraction of fossil
fuels; lack of clear regulations and
conformity among countries for
emission norms; and the alarming
oil import bills, enough to fixate
the macroeconomic focus only
on solving fiscal deficits problem
than focussing on environmental
concerns.

is being followed since 2010, and it


is believed that Indian Government
is directly planning to skip Euro-V
(i.e. BS-V) and switch to Euro-VI
straight, by 2020.
Some of the major alternative
fuels which are currently being
thought in India are- ethanol (Oil
companies in India has already
commenced supplying Ethanol
blended fuel); Natural Gas;
Hydrogen; Propane; Bio-diesel;
Methanol; P-series fuel.
Admittedly, with the BJP
government in power since 2014,
the steps taken in the needed
direction deserve an appreciative
note. The push given to clean
energy through the Saffron
(solar) revolution and remarkable
targets such as, to increase solar
energy capacity from current 2.5
Giga watt (GW) to over 100 GW
by 2022 and wind energy from
26 GW to 50GW by 2030, are

surely positive signal for alternative


fuels development. One cannot
comment upon the attainability of
these targets at present, but at
least the fact that clean, renewable
energy development is high on
Indian governments agenda is
quite reassuring for the upcoming
generations.

Challenges with
alternative fuels
Atleast 70 per cent of Indias
electricity generation capacity
is from fossil fuels. As per the
International
Energy
Agency
(IEA)s projections through the
World Economic Outlook 2015,
Coal would continue to dominate
Indias energy mix till 2040 if no
major policies are formulated
against coal; Indias oil demand
would rise by 6.0 million barrels
(mb) per day to 9.8 mb /day in
2040 and oil import dependence
would reach from 78 per cent today
to about 90 per cent by 2040,
pushing the production or supply of
oil way behind its demand.
Some of the major challenges
faced while developing and
working with alternative fuels areinordinately high initial or capital
cost, lack of information and
awareness about the potential and
the techniques of using renewable
and alternative fuels technologies,
market failure in the form of
inadequate valuation of public

Present scenario
As many might imagine the
case, Indias thinking for alternative
fuels is not something new. It has
been proactive in suggesting for
alternative fuels off late. But the
question is, why are we still not
leaving our over dependence on
conventional fuels even after all the
awareness?
At present, Indian government
is following the Bharat stage (BS)
emission standards for pollution
control and regulation which are
based on European norms and
standards. At present, BS-IV stage
www.governancetoday.co.in

CNG has been a successful experiment for vehicular fuel in India


February 2016 I 37

benefits of alternative fuels and


market barriers like lack of access
to capital. These challenges are felt
especially in developing countries
like India.
Finally, Indias alternative fuels
development trajectory seems to
face the chicken and egg problem
hurdle too. Who should be blamed
is not clear. While the private sector
is found as less investing in this
arena due to expensive investments
involved and uncertainty of
profitability and positive returns,
the common people also do not
have huge demand for alternative
fuels, for instance, a hydrogen fuel
car, in the first place, and naturally
so, because of very high price
differential over conventional fuel
car. With not much demand, there
is no popularity, in the form of
enough aggregate demand to have
hydrogen fuel stations. Hence, how
can we expect the private sector to
invest in alternative fuels without
any long run or higher security in
investments?

towards Euro-V and Euro-VI


norms, given due consideration
to be given to the costs in the
process. Within that shift, low-cost
finance and access to cheap zero
(and low) emission technologies
has to be continuously explored by
the Indian government; industries
which directly and indirectly invest
in clean energy technologies, must
be incentivized.
Finally, to reach a bandwagontype usage stage of alternative
fuels in any country, surely it cant
be attained as a one-time stunt.
It has to be gradual transformation
from conventional to alternative
fuels usage. There must be a
confidence in the process and this
confidence has to emerge from
awareness among people about

Boulding,
a
well-acclaimed
economist has recently argued on
ideology of conservationists versus
technologists:
conservationists
would always lament over the sad
plight of scarce resources which
will inevitably get depleted a day
and human beings, with their
unending demands, can never
solve the resource crisis problem.
But the technologists would take
this crisis as an opportunity value
mans potential as jackpot if the
necessary plan, technology and
determination are present.
Fortunately, in Indias case, the
challenge itself is the gateway to
solve the present problems ranging
from pollution to energy crisis. Its
not the case that nothing has been
done towards using alternative

positives in using alternative fuels,


knowledge about global warming,
pollution causes and harmful effects
to be known across people whether
in urban or rural communities. For
instance, the fact that walking,
public transport, car pooling are
some of the best methods to
combat the issue of pollution due
to vehicular movements should be
publicized as much as possible.
Indias situation with alternative
fuels is akin to what Kenneth

fuels. But the challenges must be


gradually fully met. In the end,
it is really the mindset and the
behaviour of each one of us that will
define whether we can successfully
hop on the alternative fuel
bandwagon. The importance of the
need to reduce the dependence on
conventional fuels for treading the
path of sustainable development
for India has to move from paper
to action.

What would it take to


make the switch?
The most important thing needed
to successfully have alternative
fuels in India is undoubtedly the
availability of a proven efficient
alternative fuel technology. This
is where India should explore as
much as possible; get assistance
from the developed countries too
and by efficiency, it is important to
meet both technical and productive
efficiency, in terms of minimization
of the huge costs involved in
alternative fuels.
Secondly,
industries
must
resolve to go-green with using
agricultural waste (also called
agro waste) as alternative fuels.
Agro wastes have indeed emerged
as successful initiatives worldwide
for industries which adopted them.
Government must also step forward
proactively as- providing funds to
the corporations for stimulating
markets for alternative fuels, to
solve market failure problems.
Thirdly, there is an eminent
need for periodical cost benefit
analysis to be able to move
38 I February 2016

www.governancetoday.co.in

www.governancetoday.co.in

February 2016 I 39

SKILL DEVELOPMENT

Lacking skill
How Indian manufacturing sector is suffering from non-availability
of skilled labor
Ramesh Kumar Raja
MANUFACTURING PMI in India
decreased to 49.10 in December
from 50.30 in November of 2015.
It is the first contraction since
October 2013. Yet hope abounds.
Indias manufacturing sector could
touch US$ 1 trillion by 2025. There
is potential for the sector to account
for 25-30 per cent of the countrys
GDP from 16 per cent currently.
So what is stopping India from
being a world-class manufacturing
player is the non-availability of
skilled labor?
Each and everyone associated
with the manufacturing sector would
readily agree that finding skilled
labor and capital are the biggest
challenges of the industry. We are
struggling to find people who are
skilled and mechanically proficient.
So how does one acquire, train
and retain non-existent talent?
The Economic Survey 2014-15
stated that as per the Labor Bureau
Report 2014, the present skilled
workforce in India is only 2 per
cent, which is much lower when
compared to other developing
nations and that the number of
persons aged 15 years or above,
who have received or be receiving
skills, is merely 6.8 per cent.
Getting skilled labor in the
country has been a topic of many
a discussions. In fact, for the
first time in the history of Indian
planning, the 11th Five Year Plan
document (Planning Commission,
2008) introduced a chapter on skill
challenges facing the nation, but
suggestion of remedial measures
have not been at the forefront.
Dearth of formal vocational
education, lack of quality workforce,
high school dropouts, inadequate
skill training capacity and negative
perception towards skilling are the
major causes of poor skill levels of
Indias workforce.
40 I February 2016

Indian manufacturing sector requires a large number of skilled and semi skilled labor

But every problem has a


solution and there are a few steps
that will have a long-term effect
on the availability of skilled labor
in the Indian manufacturing sector.
National Manufacturing Policy 2011
has set a target of creating 100
million jobs by 2022. While jobs
might be created, we need to look
at following solutions to get the
right skilled people to take those
jobs.

Introduction of
vocational courses in the
education system
Given the scale of the challenge
posed by the quick economic
growth and the Increasing segment
of working age demographic, the
first aspect of skill challenge is
that the overall education level
of Indias labor force in the age
group 15-59 remains tremendously
beneath mark. Youth across the
length and breadth of the country
still prefer to enroll in traditional
educational and technical degrees,
even if it is doesnt equip them
with relevant skills and renders

them unemployable. If one has


nothing better to do then they
resort to vocational education for
acquiring a skill. However, it is
not that our education system is
at fault but like everything else,
it also needs additions. We need
to include vocational courses to
produce masons, welders, fork lift
operators of sound quality that the
manufacturing sector of the country
needs. We need to seamlessly
intertwine vocational training with
school and college curriculum.

Make it a career choice


Nobody wants to become
a carpenter, an electrician or
a plumber in this country even
though we cannot do without their
essential services. Carpenters,
electricians and plumbers get paid
amply per hour of their service and
are considered certified technicians
and expensive options abroad.
But the lack of interest in these
professions in India is because,
unlike the west, there is no dignity
of labor here. In fact, our society
does not appreciate the role of
skilled labor and someone working
www.governancetoday.co.in

in a factory is largely viewed


as much inferior from someone
working in a consultancy firm.
Even people engaged in such
professions want their children to
grow up and do something better
in India. Doctors, engineers and
management professionals are
still the much sought after career
choices. We need to tell students
early on in life that learning an
industry specific skill is a boon
and not a bane. We should run
a program similar to Germanys
apprentice and trade education
track that cultivates students.

Refresh curriculum
Often training institutes have
outdated course materials which
really doesnt benefit anyone
especially the students. Illequipped, outdated and theoretical
curricula are more of a disservice

(NSQF), hopefully quality of skilled


people will improve.

Put a stop to Brain


Drain
A very pertinent problem is the
migration of skilled labor to other
countries especially in nursing and
construction for better employment
prospects. For example, the
construction boom in the Middle
East and better opportunities in
Europe and the United States of
America for nurses have caused
much of the brain drain. Resources
spent on training individuals seem
a waste if they dont find the right
growth incubator in their own
country. While the reverse brain
drain has taken place to some
extent, it has taken place in high
skill segment.
The
Government
and
corporates must leave no stone

the talent, which the government


is looking into through higher and
vocational education programs
like the Rashtriya Uchchatar
Shiksha
Abhiyan,
Technical
Education Quality Improvement
Program, and the National Skill
Qualification
Framework.
As
mentioned earlier, a dedicated
Department of Skill Development
and Entrepreneurship has been
created under the Ministry of Skill
Development, Entrepreneurship,
Youth Affairs and Sports to accord
focused attention in this area is
also big step in this regard.

Partnership
The need to skill people
cannot be the prerogative of
the government alone and there
has to be greater private sector
engagement and constructive
participation. For an allround
growth development in skilled
labor, combined initiatives by
manufacturers, policy-makers and
people will forge the way ahead.
We need to unanimously decide
on the type of trained workforce we
need and the minimum standards
that would be expected.

Conducive work
environment

There is massive need for skilling the unskilled and semi skilled labor force

to students who are still termed


as non-skilled despite studying to
acquire skills.

Enhance skilled labors


quality
In follow-up to the previous
point, we have failed to set
the
specific
standards
and
competencies required for various
job roles. There is no set measure
or evaluation system to assess the
skill. As a result, many a times,
even skilled people fall short of
expertise required for a particular
job. However, with the National
Skill
Qualification
Framework
www.governancetoday.co.in

unturned to ensure reverse talent


flow for arresting brain drain with
a sense of urgency. For example,
even President Obama has praised
companies that are bringing
manufacturing jobs back to the
United States from abroad at a
White House conference. He was
clear that he did not want the next
generation of manufacturing jobs
taking root in countries like China or
Germany. President Obama said.
I want them taking root in places
like Michigan and Ohio and Virginia
and North Carolina. Make in India
initiative of Central Government can
retard brain drain in its tracks. But
it needs to follow up with skilling

We need to breathe a lease of


new life in manufacturing and it can
be done by making skill training
appealing to youth and ensuring
general education and vocational
education do not function in
isolation. As entrepreneurs, we
also need to provide a conducive
environment with benefits to our
work-force.
India needs a significant quantity
of good quality skilled force to
revitalize the manufacturing sector.
Skill gaps are constraining Indian
manufacturing, and unless closing
these gaps becomes a national
priority, growth of manufacturing
sector will continue to suffer. In
short, whether as an industry or
as a nation, we cannot develop
without skills. Period.
ramesh@governancetoday.co.in

February 2016 I 41

INTERVIEW

INDIAN EDUCATION SYSTEM


IS MARKS/GRADES BASED, NOT
KNOWLEDGE BASED
AS INDIA embarks on a
massive program to become a
manufacturing powerhouse, it is
necessary that the large numbers
of people who join workforce are
adequately skilled. Skilling the
workforce is a big task as the
country does not have a strong
vocational training program in
school and college curricula.
Because government cannot train
all job seekers, it is paramount
that private sector be tapped
into skilling the manpower in
the country. HCL TalentCare is
one of those few private sector
initiatives that are making such
a contribution to this national
endeavor. In an interaction
with Ramesh Kumar Raja of
Governance Today, Vijay Iyer,
Chief Business Officer, HCL
TalentCare threw light on the
initiative. Edited excerpts:

Could you share with


us the background of
the HCL TalentCare
initiative? How did the
idea come about?
Several studies indicate that
a large proportion (upward of
75 per cent) of new college
graduates do not possess the
skills required to be readily
employable in roles for which
they seek to be hired. Industry
addresses these gaps through
large investments in training,
internships, shadow assignments,
bench strength and other methods
to make new hires job-ready
and productive. An additional
complexity is high levels of
attrition in the entry-level (0-3
year experience) workforce,
leading to expensive and
repetitive cycle of hiring, training,
42 I February 2016

Vijay Iyer
Chief Business Officer, HCL TalentCare
staffing and replacement for the
same role.
With an aim to address these
challenges, we established HCL
TalentCare. We have already
placed a significant number of

students and are further looking


at training 20,000 graduates in
next three years to make them
employable for different industry
verticals.
Our approach to implementing
www.governancetoday.co.in

our business proposition


involves providing end-to-end
solutions across the value chain
(I) Sourcing; (ii) Skilling; (iii)
Staffing; (iv) Sustaining while
most others players would operate
in individual pockets.

What are the core


elements of this
initiative?
Essentially, HCL TalentCare
has created a unique business
model by offering talent-ondemand to enterprise clients
and a career launch pad to
graduates. This involves providing
end-to-end solutions across the
value chain by sourcing, skilling
and staffing students. We are
hereby offering value propositions
to both the corporates and the
students. For the students, we
are offering an assured job once
they clear the course. Once they
are deployed into the clients
organization, we start managing
the professional development
of these employees during this
period of staffing and improve
their capabilities so that at the
end of the deployment, they are
able to take up higher order roles
within the client organization
directly. We offer the enterprise
client with replacement, scale up/
scale down options and assist in
managing bench, attrition, growth
and quality.
Not only do we make these
students job-ready but also deliver
phenomenal value to corporates.
We deliver future-proof employees
who are productive on arrival and
deliver much more value to the
business.
The target sectors identified
are: IT Services, Banking,
Insurance and Healthcare. We
have seen that there is a huge
skill gap in these sectors and that
is why we are looking to address
the challenges in these sectors to
start with.
HCL TalentCare screens
students through Jobability
Quotient Test and develops a
large pool of talent for specific
entry-level roles in industry
www.governancetoday.co.in

through a paid, 6-12 month,


residential training program
which addresses critical skills
professional, technical, domain,
behavioral, language, and
communication. Our Signature
Learning Experience is designed
to increase a students Jobability
Quotient and transform him or
her into a capable and confident
professional with relevant skills
and certifications.

Does HCL as an employer


get adequate number
of rightly skilled
employees? If not, which
are the areas in which
you find them most
lacking?
HCL TalentCare is a separate
business entity and we place
students in multiple IT companies.
For HCL, I am not the right person
to comment.

What according to you


is the bigger problem in
India, unemployment or
unemployability?
Both unemployment and
unemployability are problems
that co-exist. There are about
1.5 million engineering graduates
every year and there are not
enough jobs in the market for all
of these students. When there
are more people and fewer jobs,
it is definitely a social challenge.
Having said that, a significant
percentage of students who
graduate are not job-ready.
We have to work together
with the academia and industry to
understand where the skill gap is
and how we can lessen this.

What are your future


plans as far as skill
enhancement is
concerned? What are
the new areas you are
working on?
Skill India clearly looks at

driving skill development initiatives


across the country. We are looking
to partner with various government
initiatives. We are an NSDC
partner and are also in talks with
several state governments to see
if we can align our work with their
skill development initiatives. Our
goal is to skill 20,000 people in
the next three years. Right now,
our primary focus is IT and BFSI,
and soon we are going to get into
healthcare. We will also expand
our portfolio by launching a new
course on SMAC (social, mobility,
analytics and cloud) soon.

How do you think private


sector can contribute to
the Skill India campaign
of the government of
India?
The basic premise of the skill
development mission is to provide
job-ready human resource to
industry. For this the industry
too needs to come forward and
contribute towards this mission by
offering skill development courses
and training centres as part of
their CSR or through a business
model.

What changes do you


think are required so that
students graduating out
of schools and colleges
are equipped with
adequate skills to get
desired jobs?
Our Indian education system
believes in memorization of
studies. It is marks/grades
based, not knowledge based.
So, when a student graduates,
he has a degree certificate but
no aptitude/attitude to contribute
to the present industries. To get
desired jobs, the education system
should ensure practical and
hands-on sessions in the industry
for the students. This will give the
students an understanding of what
it takes to handle pressure and
deliver results at the same time.
February 2016 I 43

SKILL DEVELOPMENT

Getting private sector to


develop skill
The government should incentivize the private sector to train
workers in order to take advantage of the demographic dividend

India will not be able to capitalize on its manpower if measures are not taken to skill its population

Lekshmi Parmeswaran
PERHAPS THE biggest of
all anomalies lies in the Indian
labour market. The country which
is known for its excellent quality
of labour is also the country with
almost 90 per cent of its workforce
falling under the unskilled or semiskilled category. This is of particular
concern when viewed against the
job opportunities that the economic
growth has opened up. The present
scenario would essentially mean
that a substantial portion of the
*UN Population Division Report, 2015

44 I February 2016

workforce that gets added every


year would remain unemployable.
The demographic dividend which
the country is expected to witness
by the year 2030* when 68 per
cent of its population will be in the
working age group, might in all
probability become its greatest of
all curses, if appropriate steps are
not taken immediately.
India will see a situation where
due to economic and technological
advancements, the requirement
for manpower will be at an all time
high but the lack of skilled labour

will push the country back in the


developmental race. With a little
more than a decade left for India
to face this challenge upfront,
the need is almost immediate
to formulate new strategies and
implement them.

Skewed approach
So how did a country that is
making the world stand up and
take note of its achievements in
different spheres fail to empower
its working class. The answer to
www.governancetoday.co.in

this can be understood only if one


understands the complexities of the
Indian demographic set up in which
majority of population lives in rural
areas with very poor educational
infrastructure. The phenomenon of
urbanization also brought with it the
migration wave. People who were
till then rural agricultural labourers
saw in cities an opportunity to find
work on a regular basis. Most of
them having had no background
in any formal education migrated
to cities only to find that they were
unemployable in industries that
were technology driven.
The situation was further
aggravated by a developmental
plan that excluded the casual
workforce. The government offered
skill development initiatives through
17 of its ministries to enhance the
employability of the population. But
the stress on secondary education
as minimum qualification for
enrolling in the programs meant
that it did not serve the purpose
for which it was initially conceived.
In fact it became a medium for the
systematic exclusion of informal
sector workers from the ambit of
development.
In a country where illiteracy is
still rampant and where in spite
of having the right to education
as a fundamental right, the state
has not been able to control the
dropout rates, nor has it been able
to provide enough earning skills
to students who stick to school. In
fact, education as a fundamental
right seems to have been put in
place without understanding the
ground realities. Merely enacting a
law is not people worthy of getting
an employment and earning a
decent livelihood. In addition to
this, the government run vocational
training centres do not have the
capacity to accommodate all the
existing unskilled laborers in the
work force even if they function to
their optimum level.
Another fact which has been
overlooked is the long duration of
the vocational courses. The casual
workers dependent solely on daily
wages can ill afford to attend
courses that run for a span of six
months. Without any remuneration
www.governancetoday.co.in

involved, it is a difficult task to make


them see the benefits of acquiring
a new skill.
The policy mismatch between
the central and state governments
has contributed in no small
measure to the majority of Indian
workforce remaining unskilled and
unemployable. Since vocational
training falls on the concurrent
list, policies are often formulated
without taking the area specific
demand and supply chain into
consideration. Also there is no
effective mechanism in place to
monitor the implementation of the
policies at the grass root level
where it is most needed.

Engaging the private


sector

to train the workers. But this is not


enough to encourage entire private
sector to follow suit. The existence
of the Minimum Wages Act and the
Industrial Disputes Act which has
put restrictions on the downsizing
of workforce make the companies
hesitant to invest in training. Even
though casual workers fall in the
unregulated sector, the fear of
the authorities using the legal
provisions to arm twist the private
companies have always loomed
large.
The government on its part
has chosen to ignore these
concerns and have not made
an attempt to address the issue
of skill deficit by involving all the
stakeholders. According to a study
released by the National Skill

Companies should also be encouraged to


pay stipend to the workers enrolled in the
vocational courses so that they can sustain
themselves throughout the duration of
the course. The government instead of
increasing the number of training institutes
should use that money to support the
companies taking the effort to train the
workforce.
With the International Monetary
Fund
predicting
the
Indian
economy to grow by 7.3 per cent
in the current financial year, the
role of private sector assumes
importance. The companies in
this sector are more attuned to
technological innovations and have
a clear understanding of the growth
of labor market. They are also the
most affected due to the dearth of
skilled labour in the country. They
are often faced with the tough
choice of the project getting stalled
or to incur heavy expenditure in
bringing skilled labour from outside.
Some of the companies like
Reliance and Larsen & Turbo have
tried to reverse this situation by
starting their own skill training units

Development Corporation, the top


five employment generators in the
coming years will be: infrastructure,
informal
sector,
automobile,
building and construction industries
and textile and clothing. It is
very evident from the list that the
country will be in need of masons,
electricians, plumbers and the
like in large numbers. Only the
involvement of private sector can
help in upgrading the skill of the
workforce.
But for this to happen, it is
necessary for the government
to encourage the companies by
providing financial incentives.
Dr Meenakshi Nayar, founder
president of Etasha Society, a
non-profit organization providing
February 2016 I 45

vocational
training
elaborates
further, The need to significantly
increase
support
for
skill
development is unquestionable.
Since the Corporate Sector values
tax breaks the most, a valued
incentive would be to allow the
expenditure on skill development
to be treated as an expense and
therefore be tax deductible.
Companies
should
also
be encouraged to pay stipend
to the workers enrolled in the
vocational courses so that they
can sustain themselves throughout

to show the money that they


spend on training as part of their
Corporate Social Responsibility
(CSR) initiatives. This is a winwin situation for both corporate
and workers, and will encourage
more companies to invest in skill
enhancement of workers.
India can emulate models
from Germany and China towards
achieving this objective. Germany
allows students to opt for
vocational training after nine years
of compulsory education. As Right
to Education has become a reality

Kaushal Vikas Yojana (PMKVY)


which will provide financial rewards
to the candidates who successfully
complete the program and the
Recognition of Prior Learning
(RPL) which is aimed at certifying
the workers from the informal sector
on the skills they already possess.
This program can yield positive
results only if the private sector
which is well aware of the present
day needs is roped in. There is
also a need to revamp the RPL
scheme where the beneficiaries
are given a chance to learn the

There is a need for the government and the private sector to work together for the economy to grow

the duration of the course. The


government instead of increasing
the number of training institutes
should use that money to support
the companies taking the effort to
train the workforce. This way the
companies will be able to take in
even those who cant be employed
in their facilities. The goal should
be not just to train enough number
of people required to complete a
particular project but to enlarge
the overall skilled workforce of the
nation.
The government can also make
laws that will allow companies
46 I February 2016

in India, this approach will help in


encouraging people from weaker
sections to enroll their children in
schools. The lessons that India
can learn from China is to organize
its informal workforce. Beijing has
taken the first steps in registering
all the migrant labourers. For India
which has a high rate of intrastate and inter-state migration, this
might prove to be a crucial step
in identifying the sectors which
require skill upgradation.
The
governments
skill
development initiatives rests on two
major pillars; the Pradhan Mantri

latest developments in the fields of


their expertise.
An economy will grow only
if both the government and
the private enterprises work in
tandem. The government should
recognize the technical know-how
of the private sector and formulate
policies taking the macro-economic
factors into consideration. The end
goal should be to reap the benefits
of the demographic dividend to
the maximum extent possible and
make the country grow at a faster
rate.
lekshmi@governancetoday.co.in
www.governancetoday.co.in

INTERVIEW

TECH COLLABORATIONS WILL


CONTINUE TO BE A DRIVING
FORCE IN INDO-US RELATIONSHIP
LAST FEW years have been
transformational for bilateral
relations between India and the
US. Bilateral relations between
the two countries have moved
deeper in crucial areas of
defense cooperation and high
end technologies, and both
democracies are now also finding
greater aligning of interests
in Asian geopolitical theater.
However, there are challenges
too that prevent full realization of
the potential of bilateral relations
in economic arena. To get a
broader perspective of the IndoUS relationship and how it has
evolved in recent past, Anand
Mishra, Editor and Rajesh Mehta,
Consulting Editor, Governance
Today, spoke to Richard Rossow,
who is a leading expert in IndiaUS relations. Rossow is a senior
fellow and holds the Wadhwani
Chair in U.S.-India Policy Studies
at the Center for Strategic and
International Studies (CSIS),
Washington DC. In this role he
helps frame and shape policies
to promote greater business and
economic engagement between
the two countries. He joined CSIS
in 2014, after having spent over
one a half decade working in a
variety of capacities to strengthen
the partnership between the United
States and India. From 19982008, Rossow also served as
deputy director of the U.S.-India
Business Council (USIBC), the
worlds leading advocacy group on
behalf of strengthening economic
ties between the United States
and India. Edited excerpts:

How do you assess


the growth of relation
between India and
www.governancetoday.co.in

Richard Rossow
Senior Fellow, CSIS

the US during current


Indian government?
Ambassador Richard
Verma talked about
strategic plus
partnership. How do you
see the momentum going
forward?
In the last twelve months we
have seen tremendous progress

on the strategic side. We have


successfully renewed our defense
framework agreement, moved
forward in co-producing defense
equipment under the Defense
Technology and Trade Initiative
(DTTI) program, and, most
significantly, released a Joint
Strategic Vision for the Asia
Pacific and Indian Ocean Region
that establishes clear, shared
principles for Asian security. Even
our cooperation in Nepal after the
February 2016 I 47

devastating earthquake showed


our ability to operate together in
real-life scenarios is stronger.
However, our economic
relationship remains stuck in
first gear. Indias liberalization
process under Prime Minister
Modi has been solid, though
unspectacular. The United States
has increased fees on visas,
harming Indias vibrant technology
services agreement. We are
still on opposite sides of talks in
multilateral forums like the World
Trade Organization (WTO). And
we are no closer than we were
eight years ago to signing a
Bilateral Investment Treaty (BIT).
The numbers tell a bit better story.
Foreign direct investment jumped
more than 30 percent last year,
and our bilateral goods trade
increased modestlyabout 2
percentin 2015.

CSIS has recently


started a scorecard
for governments
performance. Could
you elaborate on
it? How do you rate
Modi governments
performance till now?
I tend to rate the Modi
governments performance higher
than most, barring those with a
direct affiliation with the Bharatiya
Janata Party. Certainly from a
foreign firms point of view, he
has moved quickly to increase
foreign equity limitations in dozens
of sectors. Some of his biggest
reforms have not attracted a
great deal of attention, such as
delicensing most defense industry,
opening the coal sector, holding
transparent auctions, removing
the last sectors protected
by the small scale industry
reservation list, and taking the
effort to develop an apples to
apples review of the business
environment of Indias statesa
necessary precursor to truly
foment competition. The work
done by the Finance Ministry on
cross-border taxation is also very
48 I February 2016

good, such as closing the door


on the application of the Minimum
Alternative Tax to portfolio
investors, stopping the launch
of new cross-border tax cases
using the retrospective principle,
and, most recently, shifting how
tax assessors performance is
appraised from a quantitative
approach to a more qualitative
approach. But much of this work is
sector-specific, or so arcane that
it is not well-understood by the
general public.
However, there are deeper
structural issues that remain
on an uncertain trajectory.
From an investors viewpoint,
it is still difficult to get reliable
electricity, clean water, sanitation
connections, and transportation
issues. The Ministry of Powers
program to bail out failing
electricity boards is crucial, yet
the Ministry lacks credible tools
to enforce good power sector
governance in the states. Passing
the Goods and Services Tax
(GST) will provide a powerful
shot of confidence, yet its status
remains uncertain. This year the
BJP would like to conduct a new
round of oil and gas exploration
licensing, but crucial reforms in
licensing and pricing are important
to attract bidders particularly
with depressed global prices.

There has been a launch


of US India Innovation
Forum led by you. Please
let us know more details
about it and how you feel
it can be useful for SMEs
and start-ups?
Innovators and entrepreneurs
are important drivers of any
economy. Yet in India, startups sometimes feel left behind,
with far more attention paid
to helping Indias international
conglomerates grow. At the
same time, there are great
innovators in the U.S. that are
coming up with world-changing
ideas; we need to explore how
such innovations can be quickly

applied in India to improve


peoples lives, whether it is in
the area of clean water, financial
inclusion, expanding education
opportunities, bridging the digital
divide, or other critical areas. So
my challenge and opportunity in
running the Innovation Forum is
two-fold: Finding great innovators,
wherever they are, and convincing
policymakers to knock down any
barriers that limit the application of
these great innovations.

You have also launched


States Weekly Update.
What are the important
trends you are seeing as
far as governance and
economic performance is
concerned? Which states
in your opinion are doing
well?
This is a relatively new
product, dating only since October
2015. Before that, there really
was not any group in the world
that was effectively tracking what
is really happening in Indias
states to change their business
environment. So far, in this short
sample period, the results are not
terribly surprising. Rajasthan,
Maharashtra, Andhra Pradesh,
and Gujarat seem to be moving
the fastest among the ten states
we cover. Some of the good work
done by these states is absolutely
unappreciated by the global
business community, and I hope
to provide a platform to highlight
such actions. For example, Andhra
Pradesh has extended the life of
government land leases from 33
years to 99 years. Uttar Pradesh
amended its land laws to allow
Dalits with small holdings to sell
their land to non-Dalits, increasing
the market for property sales.
Maharashtra now allows mid-size
plots of land to be divided and
sold. Maharashtra also amended
its Factories Act to allow women
to work at night. There are not
miracle cures, but these are
all stepping stones to make the
business environment easier.
www.governancetoday.co.in

The difficulty with our States


work-stream is separating
the signal from the noise.
Every chief minister in India
announces every week that his
or her state has single-window
clearance, is setting up industrial
parks, has 100 per cent reliable
electricity, etc. yet there can
be a wide chasm between these
pronouncements and the on-theground reality.

India is out of TransPacific Partnership. How


do you see it impacting
the economic relation
between the two
countries?
I think the harms will be
moderate, but real. Investors,
particularly in manufacturing, tend
to look at value chains. Fewer
products are created entirely of
pieces derived from one country.
Countries that bind themselves
together and lower customs duties
while developing common import
and export rules are more likely
to be chosen by major firms to
be a part of this value chain. So
India will likely miss out on a few
investments it otherwise would
have attracted.
There are other multilateral
deals underway beyond TPP.
These include the Trade in
Services Agreement (TISA), and
the expansion of the Information
Technology Agreement (ITA-2).
So while being outside the ambit
of TPP may not be a big deal in
the near-term, we can hopefully
find some common ground for
India to comfortably look to sign
up for this network of deals that
will shape future trade flows
worldwide.

India is one of the few


countries doing good
economically. What are
your expectations from
next budget?
First, I think the budget is
vastly overrated as a policymaking
www.governancetoday.co.in

tool. Peoples expectations for


what the budget can do are a
memory of the heyday in the
1990s, when every budget
speech was peppered with reform
ideas that had never been publicly
uttered, and every budget would
remove domestic protections and
open India to new products and
services from around the world,
and lower costs for many items
that had been out of reach for the
middle class. But now, the budget
is about making tweaks to the
system. Spending a bit more here,
changing a few tax rates there.
The most interesting
propositions in budgets in recent
years have tended to be big
changes that chilled the business
environment. This includes
the Fringe Benefit Tax, the
amendments to the Income Tax
Act that allowed retrospective
application of domestic tax law in
overriding treaty provisions, and
similar changes.
So overall, my expectations
are modest. The speech will
include a re-affirmation of the
governments intention to move
ahead with certain reforms, such
as GST and the new bankruptcy
law. They will try to further rein
in the deficit. Perhaps some
reductions in customs duties on
capital goods, intermediate goods,
and other items that will help
strengthen the Make in India and
Smart Cities campaigns.

What is the progress


on areas like Nuclear
Cooperation, Patent
Laws & Climate Change?
These have been areas
of difference of opinion
between the two
countries.
Progress on these key topics
has been mixed, and is certainly
colored by differing perceptions
of progress. In many ways,
we are on different sides of the
global debate over patents and
climate change. On patents, our
pharmaceutical industries are

large, and based on opposite


models- novel innovation versus
low cost production. There is not
much space for middle ground
between these models, and so
our interpretation over regulation
in this area will continue to
cause consternation. Similarly on
climate change, while the Modi
government is very interested
in renewables, the coal reforms
initiated in the last year are more
likely to increase availability and
decrease costs for this fuel type.
And with state electricity board
finances in shambles due to
political interference with pricing,
they are under tremendous cost
pressure. If coal is cheapest, coal
will continue to be deployed. The
International Energy Agency, in
its recent India Energy Outlook,
estimates that India will create
half of all new coal power capacity
between now and 2040.
Nuclear cooperation is in a
different place. The governments
are trying, within the boundaries
of Indias nuclear liability law, to
find a way to placate suppliers
to help jump-start nuclear power
development. Whether the current
solution, establishing an insurance
pool, will suffice, is not yet clear.
However, there are indications
that a few global nuclear suppliers
are hopeful this will result in a
workable solution.

How do you see the


progress on technology
collaboration between
two countries?
Technology collaboration is
one of our strongest ties. Indias
dynamic technology services firms
like TCS, HCL, Wipro, and Infosys
continue to help design and
revamp technologies for American
firms. But there are new horizons
that are barely tapped, such as
cooperation in strategic sectors
like defense. I feel that, based on
our history in this area, technology
collaborations will continue to be
an exciting, driving force in our
relationship.

February 2016 I 49

POLICY

A neglected case
Imperative for
the government
to address issues
of heavy minerals
industry
Ramesh Kumar Raja
CALL IT a pathetic instance
for India from economic point of
view that even though it has nearly
35 per cent of heavy minerals
deposits in the world, the country
contributes merely four per cent of
global production. Adding to the
woes, the heavy minerals mining
(HMM) industry constitutes only
two per cent of the entire mining
done in India. These minerals, often
referred to be strategic minerals,
are used for critical applications
in diverse industries electronics,
ceramics, paints, paper, pigments,
plastics,
pharmaceuticals,
aerospace, defense, etc. They
are of utmost importance to the
Indian economy considering their
applications everywhere.
The HMM industry comprises
mainly of ilmenite, zircon, rutile,
garnet, sillimanite and leucoxene
extracted from beach mineral
sands found in tailings along the
7,500 kilometres Indian coastline.
These minerals also include ones
with high specific gravity, such
as titanium and rare earths found
only in Odisha, Andhra Pradesh,
Kerala, Maharashtra and Tamil
Nadu. Unlike other major minerals
that are fully exhausted after
mining, heavy mineral sands are
replenishable due to constant
winds and beach deposits; only 20
per cent is recovered as minerals,
while the balance 80 per cent sand
is backfilled into the mined area.
Although it is an emerging
area in India, the state-owned
PSU Indian Rare Earths Ltd
accounts for most of the output.
50 I February 2016

Tamil Nadu-based VV Mineral,


Kerala government-owned KMML
and Trimex Sands happen to be
other major players in the sector.
Except monazite, all minerals are
mined together from the sand.
Mining of monazite, however, is
not open to the private sector due
to its strategic importance of being
the primary source of radio active
thorium, which is an integral part of
Indias three-stage nuclear power
programme. Hence, the industry
is strictly regulated by the Atomic
Energy Regulatory Board (AERB).
As for utility, garnet is widely

used as an abrasive in oil


producing companies for corrosion
control. Ilmenite and rutile are
titanium feedstock used mainly
for producing Tio2 pigment and
small quantities in production of
welding electrodes. Zircon is used
in ceramic tiles as an opacifier
and in refractory for insulation.
And so on. In India, the major
focus is on mining iron ore, coal,
bauxite, etc. India imports most of
its requirements as far as heavy
minerals are concerned, which
depletes forex reserves. Although
India possesses the worlds largest
www.governancetoday.co.in

Heavy minerals mining and extraction is a highly complex mining and chemical process

reserves of heavy mineral sands


[~ 25- 28%], yet its exploitation
is dismally low {~5- 6%}. USA,
Australia and South Africa having
only about 11-12% reserves
each, have >25% share in the
exploitation of the beach mineral
sands.
Though this industry is a century
old one, private sector was allowed
entry only three decades back. It is
nascent as there is little awareness
about this industry and its immense
potential to the Indian economy.
According to V Subramanian,
director of VV Mineral, Indias
www.governancetoday.co.in

largest manufacturer and exporter


of garnet and ilmenite, a number
of policy bottlenecks is responsible
for lethargic growth of the sector.
Eighteen agencies are involved
in granting permission for mining
and processing applications out
of which seven are from the state
concerned and 11 are from the
central government. There are
30 conditions laid down by the
Ministry of Environment and Forest
(MoEF) while clearing mining
projects, some of which are so
impracticable. The CRZ (coastal
regulation zone) requirements are

also not in favour of beach mineral


industry. For example, processing
units cannot be set in the coastal
areas coming under the CRZ.
This leads to putting up plants
far away from the mining areas
which increases the transportation
expenses as the remnant sand has
to be brought back to the mining
site for refilling. Export licenses
are issued for only one year and
renewal is a cumbersome process.
10 per cent export duty on Ilmenite
makes the Indian industry very
uncompetitive
in
international
market. No other country has
February 2016 I 51

Many heavy minerals are among the most neglected product categories in India

imposed export duty on ilmenite,


Subramanian enumerates.
Lack of port infrastructure,
sufficient power and natural gas
are the other factors responsible
for the poor outcome from the
industry. Most of the mineral
operations are in Tamil Nadu,
Kerala and Andhra Pradesh. We
dont have port thats deeper than
1113 meters. This makes us ship
in small ships, making the freight
more expensive. While scarcity of
adequate electricity makes our own
captive generation using diesel
generators very expensive (almost
thrice the cost of grid power),
dearth of natural gas forces us to
use diesel or furnace oil, which
makes us competitive against
Chinese
Tio2
manufacturers.
Cheap imports of pigments from
China is another issue affecting the

domestic industry, Subramanian


says.
As
discussed,
there
is
abundance of opportunities in
this sector. The industry could
yield nearly Rs 30,000 crore in
annual turnover to the exchequer
if exploited sustainably. Worldwide,
mining is akin to oxygen for the
manufacturing industry. Without
mining, manufacturing would soon
collapse like a pack of loose cards.
S Vaikundarajan, chairman and
MD of VV Mineral says, To boost
Indias GDP and make inclusive
growth a reality, mining needs to
grow in a big way and hurdles
cleared in the mineral supply of
industry. Although the situation has
improved now after the entry of
private players, challenges remain
in the form of lack of infrastructure,
export duty and problems in

As a matter of fact, India imports most of its


heavy minerals requirements. The country
first exports these minerals to China at lower
prices and then purchases them back at 10
times the price in value-added form. This,
consequently, leads to a heavy annual outgo
of foreign exchange reserves. In its place,
if the government made a positive policy
structure and a facilitating environment, the
domestic firms would be encouraged to set
up value-addition facilities in India itself.
52 I February 2016

obtaining mining leases. But


given a slight attention from the
government, we can easily surpass
countries like Australia and South
Africa and contribute more than 50
per cent of the worlds production.
The next few years is going
to be instrumental for this sector,
especially in wake of Centres
Make in India program. The
industry, if driven positively with
policy incentives, can be the
most promising sector. There is
very little awareness about the
heavy minerals in the minds of
discerning public, but given the
diverse applications of rare earths
in sectors such as electronics,
aerospace, defence, etc., it is
going to raise the bar for countries
like Japan which cant do without
these strategic minerals. From cars
and clothes to cell-phones and
computers, from soap and pens to
medicines, toothpaste and other
daily items, heavy minerals are
present in some form or the other
during the manufacturing process.
With the government having
announced ambitious targets in
power, infrastructure, housing and
manufacturing, it needs to be noted
that heavy minerals are crucial for
the nations infrastructure, housing,
development and manufacturing
sectors. Multiple curbs and
constraints in the production,
processing and exports of heavy
minerals will only make it more
difficult to tap these resources to
meet the national agenda.
In the current scenario, zircon
demand in India is close to 130,000
tonnes, and India produces only
50,000 tonnes and rest is being
imported. TiO2 pigment for
instance, Indian demand currently
is about 300,000 tonnes and only
60,000 tonnes is being produced
in India and rest is being imported
mainly from China and other
developed countries. As for rutile,
Indian demand is around 40,000
tonnes and only 18,000 tonnes is
produced in India. Only ilmenite is
being exported as infrastructure
and a policy doesnt support the
value addition of ilmenite. Globally
also, demand for these minerals
are going strong and Indian
www.governancetoday.co.in

manufacturers are hardly playing


any role other than garnet.
As a matter of fact, India
imports most of its heavy minerals
requirements.
The
country
first exports these minerals to
China at lower prices and then
purchases them back at 10 times
the price in value-added form.
This, consequently, leads to a
heavy annual outgo of foreign
exchange reserves. In its place,
if the government made a positive
policy structure and a facilitating
environment, the domestic firms
would be encouraged to set up

this industry, we might end up


depending on other countries for
strategic minerals.
Experts have lots of hope
from the current regime led by
Prime Minister Narendra Modi
to give a new lease of life to
the HMM sector. They seek a
single window clearance for the
mining industry as it takes a total
number of 28 ministries and
departments at state and central
government levels, leading to a
total gestation time of more than
2800 days (nearly eight years)
severely impacting the industry.

monazite mining by private entities


must be revoked, permitting them to
process monazite mined from their
own facilities. Although it has been
a long time demand of the Mining
Engineers Association of India,
processing may only be allowed
under the watch and provisions of
the Department of Atomic Energy
(DAE) and the AERB, thereby any
fears of misuse could be allayed. If
the processes are fast tracked and
necessary clearances are given to
private miners, better development
can be achieved in lesser amount
of time.

Space and defense are among the major consumers of heavy minerals

value-addition facilities in India


itself.
Subramanian
says,
Our
domestic market is very young and
has a tremendous potential. Current
Indian consumption of pigment
is only 1.5kg / person, whereas
developed
countries
typically
used 4kg / person. The same
trend applies for other minerals
like zircon and rutile as well.
Irony is 300 mining applications
are pending all over India in this
industry. If something is not done
by the government to motivate
www.governancetoday.co.in

The Beach Minerals Producers


Association calls for export
incentives from the government
to make India competitive with
global counterparts. Restrictive
import policy is another demand
i.e., anti-dumping duty on TiO2,
rutile and zircon should be done
away with. Besides, there should
be simplification in process of
MoEF as well as CRZ clearances
for heavy minerals mining or fix a
particular time frame for granting
the approval.
Furthermore, the ban on

To protect and promote national


interest, it is therefore imperative
that the government creates a
positive policy framework that
facilitates smooth operations and
higher output in the heavy minerals
industry. The sector will then be
in a position to contribute its mite
in ensuring the governments
manifesto promises of nationwide
infrastructure
development,
affordable housing and 24x7 power
for all are fulfilled.
ramesh@governancetoday.co.in

February 2016 I 53

INTERVIEW

AS THE WORLD INCREASINGLY


BECOMES FLAT, RELATIONSHIPS WILL
BE LIFEBLOOD OF COMMERCE

Michael Margolis
CEO and Founder, Get Storied
BUSINESS STORYTELLING
has emerged as a great tool
for organizational training and
motivation exercise. Michael
Margolis is among the topmost
business storyteller in the world
and his venture Get Storied
has some of the best and most
respected organizations as
clients. In an interaction with
Rajesh Mehta, Consulting Editor,
Governance Today, Michael
talks about his story, his passions
and what he finds amazing about
India. Edited excerpts:

Could you tell us your


story and how you
founded Get Storied?
Who are your top clients
54 I February 2016

and what do you do for


them?
My work as a business
storyteller began in 2002, long
before its fast rise as a current
trend. Im trained as a cultural
anthropologist, so Ive always
been fascinated with people,
communications, and meaningmaking process of life and
business. In my first career, I was
a social entrepreneur in the NGO
sector, funded by the Rockefeller
Foundation and Ford Foundation
at the age of 23. Within a couple
years, as many startups do, it all
fell apart. When the dust settled, I
was drawn to business storytelling.
Specifically - innovation, and why
some ideas stick, yet most are
lost in translation. Truthfully, what

also brought me to this work was


my own insecurities and social
awkwardness growing up as an
ex-pat geek in both Switzerland
and Los Angeles. Ive always been
good with words and big ideas,
yet paradoxically would find myself
tongue tied and twisted when
faced with a skeptical audience.
So my work with storytelling is
deeply personal.
Today, our clients include
many leading enterprises: Google,
TATA, Deloitte, SAP, Bloomberg,
NASA, and Greenpeace to name
a few. We deliver corporate
training programs on storytelling
-- related to innovation adoption,
business transformation, and
brand marketing. Sometimes
were teaching engineer managers
how gain buy-in support for
large change initiatives. Other
times, were coaching enterprise
sales managers on the art of
B2B storytelling. Increasingly,
we spend a lot of time with
entrepreneurs helping them hone
their pitch and better use data in
storytelling.
In addition to the corporate
sector, we have public programs
for entrepreneurs and trusted
advisors who want to harness the
power of storytelling in their work
and message. This includes online
courses, a membership platform,
and a conference for the field of
business storytelling.
We also have a free 5-part
email course that serves as an
introduction - www.getstoried.
com/redpill

Where does India fit into


your storytelling? Has
India had any influence
on you?
Since the age of 19, Ive
www.governancetoday.co.in

been a humble student of yoga.


Almost 20 years now. And while
Ive studied many forms of Asana
practice, my deeper relationship
is with the Vedas, and yogic
philosophy such as Kashmir
Shaivanism, the Pashupati path,
and Swami Kripalvananda.
Ive been in India now for
almost two months, starting with
25 days of Ayurvedic Pancha
Karma in Kerala. Then in January,
I launched my #StoryWorldTour
in India, with public storytelling
seminars in Bangalore, Delhi,
and Mumbai. Ill also be back in
India at the end of June 2016 for
another few weeks of teaching
across the same three cities.
Ill also be in North America,
Australia, and Europe throughout
the rest of the year.
India is a great teacher.
Western business culture tends
to compartmentalize the human
spirit. Whereas in India, there is
more appreciation for the sacred,
emotional, and social impact
dimensions of life, even in the
board room. Of course, this is a
big generalization. Though many
of the business executives and
entrepreneurs I have met in India,
in large part, hold this wider view.
Its no surprise that best-selling
author and mythologist Devdutt
Pattaniak has struck such a chord,
bringing forward the classic tales
of India into a modern business
context.
There is a sincerity here in
India, a heart-centered approach
to life that lends itself to the 21st
century. As the world increasingly
becomes flat, and we are more
interconnected, relationships will
continue to be the lifeblood of
commerce. And storytelling has
always been about the relationship
between things.

How has Chocolate


influenced your
storytelling?
Well, in fairness, chocolate
is really just a passion hobby.
Or perhaps more accurately,
an obsession. I grew up in
Switzerland as a child, and my
www.governancetoday.co.in

father worked for Nestle for


many years, so I like to joke that
chocolate is my birthright. In my
adult years, I began to collect
chocolate the way some people
collect wine, and for years now I
host epic chocolate tasting parties
around the world.
How does all of this relate
to the storytelling? I call it the
Chocolate Secret. Not a week
goes by where I dont receive
an email, a tweet, or facebook
message from a stranger who
uses chocolate as the icebreaker. You could say chocolate
has become a signature calling
card for me. A tragedy, right?
But in seriousness, we should
all consider having something
personal we love become what
were known for. It could be how
you look: like Steve Jobs dress
uniform of black shirt and blue
jeans, or your love for the NY Jets
like social media personality Gary
Vaynerchuck. Pick something, and
make it your Chocolate Secret.

The resume is dead. The


bio is the King. What do
you mean by this?
Google is the new background
check. How many times do
you Google someone before a
business meeting? In the U.S.,
75% of HR departments Google
their candidates as part of the job
selection process. Many people
think that theyre hired based on
their credentials. Yet, a thousand if
not a million others have the exact
same credentials on their resumes.
Truth is, youre hired for your
story. Whether that story happens
to be that the boss is friends with
your uncle, or the story is that
youd make the perfect match in
the organization, based on your
personality, skills, and ideas.
Because of the Internet,
the story matchmaking process
begins, long before you ever
meet in person. The professional
bio is where the story begins.
And people experience your
story online often long before
they connect with you face to
face. The place to start is your

LinkedIn profile, followed by the


About page of your blog if you
have one, Twitter, Facebook, etc...
And its why we created The New
About Me, one of our best-selling
online courses to teach people how
to write a professional bio using
storytelling principles. We also offer
a complimentary 60-minute webinar
on the topic for those interested www.getstoried.com/storywebinar

What are your comments


of the new startup
initiative launched by
Prime Minister Modi?
This is a huge historical moment
for the entrepreneurial culture of
India. Indians pay great attention
to their elders and leaders. So
an endorsement at the highest
levels of government, in support of
entrepreneurship will go a long way
towards inspiring a new generation
of entrepreneurs.
Being an entrepreneur is a
difficult and often lonely journey.
Your family and friends dont often
understand your vision and the
sacrifices required. Prime Minister
Modis initiative now makes
entrepreneurship a fully recognized
patriotic act.
Not only will this benefit the
economy and society, it will also
empower ordinary citizens to aspire
for more in their lives. To look
beyond the birth circumstances of
their life, and find opportunities to
create something where a need
is unmet. That is the spirit of
entrepreneurship. A powerful force
of self-empowerment. No matter
who you are, and where youre
from, you can create something that
matters for others.
Entrepreneurship is the ultimate
exercise in storytelling. You see
something others dont see.
Your job is to figure out a way
to communicate what you see,
in a way that others get it, and
meaningfully benefit from what you
offer.
The stories we tell make the
world. So make sure you have a
story to tell.

February 2016 I 55

INTERVIEW

ENTERPRISES NEED
INTERCONNECTED SECURITY THAT
SHARES INTELLIGENCE ACROSS
LAYERS
AS WORLD moves online
for most day to day transactions
including shopping, entertainment,
financial transaction etc., security
of data assumes paramount
importance. With greater
transactions moving on to the
digital platform, rogue elements
have taken to Internet for robbing
people of not just money, but
also individual data. Trend Micro
provides online security and data
protection services, which is a
key element of todays Internet
infrastructure. To discuss more
about the companys services
and products, Ritika Bisht of
Governance Today spoke to
Nilesh Jain, Country Manager,
Trend Micro, India. Edited
excerpts:

TrendMicro is known
for providing smart
protection with
innovative security
technology that aligns
with the evolving
ecosystem. Can you
provide a brief about your
security solutions?

Nilesh Jain
Country Manager, Trend Micro, India
56 I February 2016

Trend Micro has a myriad of


security solutions catering to both
Personal and Business devices. It
is a leader in the enterprise space
& has B2B solutions divided into
three major categories viz.
Cloud and Data Center
security: Secure the virtual and
cloud environments without
performance compromises
Custom Defense: Detect,
www.governancetoday.co.in

analyze, adapt and respond


to targeted attacks before
damage is done
Complete user protection:
Secure all users activity
any application, any device,
anywhere
Trend Micro has perfectly
tailored services for large
companies with complex
requirements and for smaller
companies with limited IT
resources. It also has various
support services like Managed
services, Cloud services, ISP and
Telco services and many more.
Extending its offerings for the
enterprises, Trend Micro also
offers Enterprise Security Software
giving proactive cyber security
enabling users to fight back with
custom defense. It offers Deep
Security Platform that provides
centralized protection for physical,
virtual, and cloud servers, as well
as for virtual desktops. Available
as software or as a service, this
platform provides enterprises with
security optimized for Amazon
Web Services, Microsoft Azure,
and VMware virtual environments.
Furthermore it has proactive
cyber security for a custom
defense, which rapidly detects,
analyzes, and responds to
targeted attacks on the network.
It can help stop targeted email
attacks, and detect advanced
malware with custom sandbox
analysis before damage is done.
Trend Micros Deep Discovery
Advanced Threat Protection
Platform is one of the best
services on offer today. It uniquely
detects and identifies evasive
threats in real time, then provides
in-depth analysis and actionable
intelligence.

Can you provide a brief


about your cloud data
and data center security
solutions?
Trend Micro offers one of the
most comprehensive Cloud and
Data Center security solutions.
It enables companies to secure
critical data and applications
www.governancetoday.co.in

across cloud and virtualized


environments with effective
protection that maximizes their
operational and economic benefits.
The Trend Micro Cloud and
Data Center Security solution
protects applications and
data and prevents business
disruptions, while helping meet
regulatory compliance. Whether
an organization is focused on
securing physical virtual, cloud, or
hybrid environments, Trend Micro
provides the advanced server
security one needs with its highly
acclaimed Deep Security platform.

Smart Protection
Network is one of the
leading technology
solutions of Trend Micro.
Can you elaborate on this
technology?
In this tech savvy generation

Trend Micro has two products


viz, Smart Protection Complete
and Smart Protection EndPoints.
Smart Protection Complete is an
interconnected suite of security
that delivers the best protection
at multiple layers using the
broadest range of anti-malware
techniques available. Companies
can evolve their protection along
with their business using flexible
on-premises, cloud and hybrid
deployment models making
changes on the fly without the
hassles of new licenses. Business
owners can manage users across
multiple threat vectors with a
complete view of security.
On the other hand Smart
Protection EndPoints is a highperformance endpoint security
suite that protects virtual and
physical desktops against todays
evolving threat landscape using
the broadest range of anti-malware
techniques available. Multiple

Companies can evolve their protection along


with their business using flexible on-premises,
cloud and hybrid deployment models
where BYOD is trending, users
today access corporate resources
in the office, at home, on the road,
or anywhere in between. Such
policies are being implemented
by organizations to add to the
employees availability and
efficiency by allowing them to
work from their personal device,
any network or application. This
makes it increasingly challenging
to protect them irrespective of
what they are doing or how they
are doing it. In situations like this,
enterprises need smarter security
that goes wherever the users go.
Enterprises need interconnected
security that shares intelligence
across security layers so they
can consolidate their view of user
activity across all threat vectors.
They need security that seamlessly
moves from on-premises to cloud
without impacting licensing or
commercial agreements.
Countering such situations,

layers of threat and data security


protect users and corporate
information across all devices
and applications. Additionally, the
companies can also get the same
cloud flexibility and user-centric
management benefits of Smart
Protection Complete.

Can you name any


government departments
where Trend Micro is
deploying its security
solutions?
With the announcement of the
Smart City campaign by the Indian
Government, the requirement
to secure the entire Smart City
landscape will be indispensable.
Trend Micro is all set to invest
in the security infrastructure of
the project depending on how it
progresses.
February 2016 I 57

SOCIAL EVIL

Lost childhood

Thousands of children lose their childhood working in cotton fields


why labor costs are low in India and
thus one of the reasons for cotton
industry boom could be a hidden
segment of persons engaged in the
cotton sector of which we do not
have a count at all- children.

Engagement of children
in the cotton sector

Children lose precious school time working in fields

Sonali Patnaik
THE COTTON Corporation of
India Ltd., which is a Government
of India undertaking states that
India accounts for 18 per cent of
the world cotton production second
to China and that it has the largest
area under cotton production (12.2
million hectares); however yields
are as low as 6.05 million metric
tons which is 18 per cent of the
yield in the world.
Raw cotton production is the
source of sustenance for many
farmers at the grassroots spread
across 10 States and 3 zones: North
(Punjab, Haryana and Rajasthan),
Central (Gujarat, Madhya Pradesh
and Maharashtra) and South
Zone (Andhra Pradesh including
Telangana, Karnataka, Tamil Nadu
and Orissa). It is generally believed
that improvement in the cotton yield
is because of the launch of the
Cotton Technology Mission in the
year 2000, commercialization of
BT seeds sometime around 2002,
better farm management practices
and developing high yielding
varieties of seeds.
The Indian Cotton Advisory
Committee projects that by 2025
58 I February 2016

the consumption of cotton by India


will exceed that of China (projected
India consumtion-8.3 MT while that
of China-7.5 MT). The expected
rise in cotton consumption in India
may be attributed to two factorslocally available raw material,
international demand for Indian
cotton textiles and low labour costs.
Low labor cost is where the
concern around children and
the cotton connect comes from.
Cotton is often called White Gold.
However, just like where gold or
diamonds are excavated, the area
from where cotton comes also
houses a lot of poverty. It also
houses children who have lost
their childhood. A child according
to Indian labour laws is below the
age of 14 years and cannot be
employed in a hazardous industry,
while according to other laws of the
country it is anyone who has not
completed 18 years in line with the
United Nations Convention on the
Rights of the Child (CRC) Article 1.
Then comes the question where
in the entire cycle from raw cotton
production to exports do children
feature and why are we concerned
about them. It wouldnt be premature
to indicate that one of the reasons

Lets take a closer look at


how at all cotton is produced.
Cotton seeds are sown mostly
mechanically followed by use of
fertilizers and weeding. It is during
weeding that generally children in
the age group of 15-18 years are
involved along with their parents
and paid on the basis of area that
they have cleaned. After this, cotton
fields are irrigated and sprayed
with pesticides and insecticides but
there is no involvement of children
here. Then comes time for cotton
picking and poor families along with
their children (all age groups) come
to a farmers cotton farm to pick
cotton (mostly between October to
December).
It is during this period that
children are most affected. They
are pulled out of school by their
parents to pick cotton along with
them for almost three months if
the family is extremely poor and on
weekends and after school hours if
the family is slightly better off. For
those children who work as cotton
pickers for the entire three months
the work hours is the same as that
of adults- 8 hours. These children
pick almost the same quantity/
weight of cotton as adults with their
small nimble fingers. The work is
unhealthy as children get scratched
and infected because of pests
such as whiteflies and the use of
pesticides and insecticides. It also
impacts their long term prospects
as the break from school builds into
disconnect between the child and
studies after which they either drop
out or lag behind in class.
When a child is supposed to play
www.governancetoday.co.in

and has rights to basic education,


food and good health, he is forced
to pick cotton and earn a living to
support his family. Children being
sensitive to the needs of the family
and exposed to abject poverty,
drop out of schools and work as
cotton pickers in the cotton season
and as agriculture labour in other
seasons (like harvesting wheat or
transplanting paddy saplings or
weeding fields). In the end, they
lose out on their childhood and
future.
The next stage of course is to
store the cotton and bring it to a
cotton yard for selling to industries
and purchasing agents from where
cotton goes to cotton industries that
produce cotton bales and ginning
industries for producing yarn and
textile industries for production
of cotton based products. Till it

reaches the cotton industries there


is no involvement of children.
However, the scene is different
when it reaches these industries.
We do find children especially in
the age group of 15 to 18 years
engaged here as well as small
children who are deprived from
attending schools.
Adolescents in the age group
of 15-18 years because of poverty
look for work and are engaged as
apprentices in cotton industries that
convert raw cotton to cotton bales;
engaged in ginning factories for
converting cotton bales to yarnmostly spinning and in cotton based
product manufacturing industries
such as textile production or towel
production etc.
The process of converting raw
cotton to cotton bales is mechanized
and adolescents are involved in

POLICY INTERVENTION NEEDED


At a policy level there is a need to redefine labour laws. If
children in the age group of 15-18 years can be engaged in
the cotton manufacturing process then there should be clear
instructions for having proper contracts and salaries with
insurance and health benefits for them as well as scope to
pursue studies along with work
There is a need to count the numbers of children engaged in
cotton picking and manufacturing and strategies to either
bring them back to school and strengthen their livelihoods be
worked out as applicable
There is a need for studying the health impact of
engaging children and adolescents in cotton picking and
manufacturing and adequate health safety measures and
disease prevention measures need to be in place
There is a need to engage with the local community and
families, schools and teachers and the panchayat to ensure
that children go to school and not labour in fields
Corporate Social Responsibility of cotton producing
factories ginning and textile mills should not be limited to
philanthropic and random health camps or distribution of
pesticides for farmers. In line with Clause 135 and Schedule
VII of the New Companies Act cotton industries and
associations should focus on skill development, education
and health of children and adolescents engaged in cotton
picking and cotton industries of cotton producing States.
There is also a need for NGOs and Foundation to engage at
the grassroots and at all levels to bring a better tomorrow for
these children
www.governancetoday.co.in

running these machines. The only


requirement here is physical fitness.
However, the process spews out
tremendous quantity of tiny cotton
bits that get into the nasal passage,
impact breathing and cause chest
pain so these adolescents cover
their nose and mouth and hair with
cloth but its not very effective.
Often children working here get
infection because of this.
In ginning factories adolescents
join as apprentices and have
no formal contracts, here again
breathing
cotton
bits
while
converting cotton bales to yarn
becomes a health issue. The same
is the case with textile industries.
Adolescents work in these factories
in the non-agriculture season
mostly as they are engaged in
cotton picking during the cotton
season.
In the cotton districts which
harbor both cotton producers and
cotton product manufacturers there
is neither any count of children
engaged nor any security. Thus in
a silent manner, childhood is lost
in the cotton picking districts of
the cotton belts of India. Children
are engaged in this sector by
adults because they need financial
support for the family. Farmers and
industries gain at the expense of
these children as they get labor at
low cost.
The need of the hour therefore
is to work at a policy level as well as
at the grassroots for the wellbeing
of children engaged in the cotton
sector. There is an immediate need
for redefinition of labor laws. But
even more than that, there is need
for studying and addressing health
issues of those children who are
involved in this work because of
poverty. Finally, concerted effort is
needed to pull children out of this
unhealthy work and to send them
back to school, which would require
taking care of their basic financial
needs otherwise they will again
have to go back to work, in order
to feed themselves and family. No
child deserves that stark a choice.

The writer is Director, Arupa


Mission Research Foundation,
Gurgaon

February 2016 I 59

HEALTH

Lung cancer increasing


alarmingly in India
Besides discouraging smoking active as well as passive, greater
alertness and awareness is required to diagnose the disease in time

Ramesh Kumar Raja


LUNG CANCER is the leading
cause of cancer-related deaths
across the world, characterized by
low survival rates and aggressive
malignancies. While the disease
was considered uncommon in India
till the last decade, its numbers
have risen alarmingly in recent
years, with a large number of nonsmokers also falling prey to the
deadly disease.
Dr Chanchal Goswami, chief
coordinator, Oncology Services,
Medica Superspeciality Hospital,
Kolkata, says it is highly important
to educate people about the
disease, the need to minimize risk
factors and ensure early seeking
of medical attention in case of
symptoms like persistent cough
accompanied by weight loss and
fever.
The past few years have
60 I February 2016

witnessed a spike in numbers of


lung cancer patients in India. The
incidence has risen at an alarming
rate of up to 15 per cent over the
past decade. While there is no
clear evidence of the exact cause
of this rise, we take into account
high prevalence of smoking aided
by factors such as increasing
environmental
pollution
and
increasing exposure to chemical
substances as the plausible
causes, says Dr Goswami.
Another trend characteristic to
India is the diseases prevalence
in relatively younger men and
women as compared to western
countries. While the average age
of lung cancer patients in the west
is the mid 60s, in India this is much
lower. In fact, a lot of patients are
being diagnosed in their early 50s.
Unfortunately, late diagnosis
remains a norm rather than
exception in India where people

often hesitate to visit doctors.


The disease is also marked by
low survival rates, unlike other
cancers whose survival rates have
increased in recent years due to
better treatment modalities, adds
Dr Goswami.
Of equal pertinence is the
steady increase in numbers of nonsmokers falling prey to lung cancer,
once considered an exclusive
ailment of smoke addicts. A large
share of non-smoking patients
are women who might have had
exposure to second hand smoke
all their lives at home or even no
exposure at all in some cases.
This does not mean that
smoking is any less harmful. While
90 per cent of the risk for lung
cancer is attributable to exposure
to smoke both direct and passive
other factors do seem to play an
increasing role too. These include
exposure to carcinogens like
www.governancetoday.co.in

HOW TO MINIMIZE RISK


Say no to smoking
Survival rates of lung cancer patients remain low in India as also
across the world. Most lung cancers in India are aggressive and
progress fast. In such circumstances, minimizing risk remains
the main option. And quitting smoke all kinds of smoke be
it cigarette, hookah or cigars -- is the primary risk reducing
method.

Reduce exposure to polluted air


Wear masks on the roads to minimize inhaling of
dangerous chemicals and particulate material.
Also, select low pollution phases of the day such
as early morning for activities like walking and
exercising outdoor.

Keep alert for symptoms


Early diagnosis can go a long way in saving
or prolonging life of patients. Symptoms
such as shortness of breath accompanied
by fever, cough, bronchitis or hoarseness
of voice should never be ignored. In India
these symptoms are often mistaken and
treated for tuberculosis. This calls for greater alertness
and awareness.
arsenic, pesticides, asbestos and
harmful particulate material floating
in the smoky and deadly air of our
highly polluted cities, opines Dr
Goswami.
Smoking doesnt just harm
the smoker himself. It harms
the environment around him,
causing many people to inhale the
dangerous fumes emanating from
his cigarette butt. At the same time,
long-term smoking may also cause
some kind of genetic mutation
that can be inherited by the next
generation, making the person
highly susceptible to lung cancer.
So, while you as a smoker may
be lucky and not suffer from lung
cancer, your child may inherit the
mutated smokers gene from you
and may go on to suffer from the
deadly disease even while being a
non-smoker himself/ herself.
Ban on public smoking, and
pictorial warnings have been the
right measures initiated in recent
years in India. More steps are
www.governancetoday.co.in

needed to nail home the point


among youngsters that smoking
is Not Cool. Unfortunately, even
as mass campaigns are being
initiated against cigarette smoking,
the repackaging and revival of
the hookah culture among urban
Indians is a worrying trend. The
mushrooming of hookah parlors and
bars across our urban landscape
neutralizes all successes made
against the cigarette. There is also
a note of concern for increasing
number of young urban woman
taking to smoking.
Apart from taking radical steps
to reduce prevalence of smoking
cigarettes, cigars as well as
hookahs, steps also need to be
taken to improve diagnosis and
early intervention.
Due to rampant prevalence
of tuberculosis in India, cases of
lung cancer often get mistaken for
tuberculosis and even treated for
the same in initial days. Most lung
cancer cases are detected in late

stages by the time it is too late for


treatment and cure.
With symptoms such as fever,
cough, weight loss and anorexia
common to both tuberculosis and
lung cancer, it is equally important
for both patients and medical
practitioners to stay alert to other
indicators such as age of patient,
history of smoking, or hoarseness
in the voice. These indicators
can point to the possibility of lung
cancer early and ensure timely
treatment, informs Dr Goswami.
It is incumbent upon us to take
care of our health and do all that
we can to keep diseases at bay.
We not only need to be firm in our
resolve to say NO to habits like
smoking, but also be alert to avoid
passive smoking and sedentary
lifestyles that can give rise to lung
cancer. Finally, regular checkups
and swift response cannot be
overemphasized.
ramesh@governancetoday.co.in

February 2016 I 61

CRICKET

Justice Lodhas report:


Cricket is the ultimate winner
All good, no bad, nothing ugly

F
t
po

Ajit Chandila

g
n
i
x
i

Sreesanth

Ankeet Chavan

Spot fixing in IPL severely marred the image of the competition

Siddhartha Upadhyay
THE LAST few years have
been a great time for sports in
the country. Many games have
got the needed boost and many
promising sportspersons seem to
be getting their dues in terms of
both support and recognition. And
at the beginning of this year, while
my team and I were busy scaling
up our grassroots football initiative,
62 I February 2016

a most interesting development


happened to the countrys biggest
sport. Justice RM Lodha had filed
his long-awaited report suggesting
reforms for the Board of Control for
Cricket in India (BCCI).
Being a sports enthusiast and a
lover of the game that has played
a significant role in putting India on
the sporting nations map, I read the
report thoroughly and tried to make
sense of each recommendation.

Firstly, I appreciate the way Justice


Lodha and his team of eminent
legal minds have understood
Indian cricket to the core and for
coming out with an expansive list of
sweeping changes regarding how
cricket should be run in the country.
Seeing the great deal of thought
that has gone into the report, one
just cannot undermine the gravity
of what is in it. Reading through
the opinions coming forth, I am
www.governancetoday.co.in

actually enjoying the enthusiasm


and reactions (appreciation and
criticism in equal measure) that
the report has created amongst
crickets stakeholders. At the end
of it all, cricket, I believe, will be
the ultimate winner and the fans,
viewers, and spectators of cricket
the ultimate beneficiaries.
Considering that Justice Lodha
wrote a nearly 75,000 words
report, just an article will not be
enough to discuss each aspect
of the same, and do justice to the
hard work that has gone in. I will
focus on what I believe is the main
thrust of it and which for sure will
be welcomed by those who want
cricket to continue to grow in the
country.
Before proceeding, though, I
have to point out that the Lodha
Commission would not have been

corruption charges were levelled


against several powerful people
(I may avoid names as they have
been all over in the media) and
the committee appointed by the
BCCI gave them clean chits after
a dodgy investigation. The outrage
that followed made it easier for the
judiciary to intervene in the working
of the BCCI, and then came this
report.
It is not that the report is
actually saying that everything
is wrong about the BCCI; it has,
in fact, acknowledged all the
right things that the body does. It
appreciates the support to smaller
centres that received funds to
build stadiums; the IPL provided
opportunities to many; A-level
tours were revived; there was
a clampdown on bad actions;
and domestic cricket including

report. Seen thus, the threat from


the report is not to cricket or to the
BCCI but to individual ambitions.
One of the most sweeping
recommendations of the Lodha
report is restricting advertisement
breaks during broadcast of tests
and ODIs in India to the drinks,
lunch and tea intervals. This is
one element that will perhaps
resonate most with cricket fans.
This effectively will mean no ad
breaks at the end of overs and fans
will able to watch the real activity
between change of overswhen
was the last time you realised that
bowling happens from both ends of
the pitch?
The Lodha report is fairly firm
and has recommended that all
existing contracts for international
test and one-day matches be
revised and new ones ensure that

Both Chennai Super Kings and Rajasthan Royals were banned from IPL

needed if the BCCI had itself


addressed several fundamental
issues of authority and governance.
If you have been following cricket,
you would agree that almost all
cricket stakeholders have been
subtly pleading in their own way to
streamline the governance issues
at the BCCI and to keep a tab on
practices that were holding back
the inclusive growth of cricket.
The judiciary has been watching
it for quite some time and I believe
the tipping point came when major
www.governancetoday.co.in

grassroots development was better


than ever before. Interestingly,
the report also acknowledges that
retired cricketers are now being
taken care of.
However, the need to dominate,
the nasty power play, and the
dissent and disagreements over
commercial dealings of large
stakes went beyond control and
demanded intervention. Therefore,
it is the functioning of the BCCI and
its state associations that is one of
the issues at the heart of the Lodha

only breaks taken by both teams


for drinks, lunch and tea will permit
the broadcast to be interrupted
with advertisements, as is the
practice internationally. Also, the
entire space of the screen during
the broadcast will be dedicated to
the display of the game, save for a
small sponsor logo or sign.
Interestingly, the report has
underlined how commercialisation
has overtaken the enjoyment of
cricket for example, regardless
of the fact that a wicket has fallen,
February 2016 I 63

a century has been hit, or some


other momentous event has taken
place, full liberty is granted to
maximise the broadcasters income
by cutting away to a commercial,
thereby robbing sport of its most
attractive attribute, emotion.
Almost all the recommendations
in the report seem to have
originated from the commissions
belief that viewers of the game
should not miss out on the
enjoyment and their passion for
the game should not be used as
a source of income generation for
broadcasters. The report says that
fans viewing experience should

not be interrupted in international


games. To offset the commercial
impact of this recommendation,
the committee has exempted the
IPL, from which the BCCI makes
the bulk of its revenues, hoping
that the recommendation does not
leave a large financial dent on the
BCCI.

Points to watch
Cricket is quite used to
controversies. It happened when
one-days were introduced. It
happened when Duckworth-Lewis
was adopted, and it happened

THE JUSTICE RM LODHA PANEL ON IPL SPOT FIXING HAS MADE


SEVERAL PATH BREAKING RECOMMENDATIONS FOR CLEANING
UP INDIAN CRICKET. MAJOR AMONG THESE ARE AS FOLLOWS:
BCCI be brought under RTI Act
Betting be legalized
One person one post recommended. Also no proxy voting of
individuals
No BCCI office-bearer can have more than two consecutive
terms. No BCCI office-bearer can be Minister or government
servant
In no case President will hold post for more than 2 years
A steering committee recommended to be headed by former
Home Secy G K Pillai with Mohinder Amarnath, Diana
Eduljee and Anil Kumble
Panel recommends separate governing bodies for the IPL
and BCCI
The committee recommended relegation of Railways,
Services and Universities as Associate members. They also
lose voting rights
64 I February 2016

when T20 started. However, in the


long run, all of these have been
learnings that have helped cricket
to evolve and become better.
So,
with
these
recommendations, controversy has
started again. Some broadcasters
have started to cry foul as they
think advertisements will not get
much eyeballs during the lunch
or tea intervals as viewers tune
out. The larger problem to be
addressed here is the ripple effect
that the financial implications may
have. For example, we have a
substantial cricket infrastructure in
the country because the BCCI has
been able to fund all that easily.
However, if the earning capacities
of the BBCI are compromised,
their capacity to invest in cricket
at the grassroots may come
down. Hence, I am hoping that the
recommendations are accepted
considering both aspects the
interest of the viewers as well as
the development of the game at
the grassroots.
Also, it is understood that the
report has not been submitted to
BCCI, but is an official document
that has been tabled in front of
the Supreme Court, which had
appointed this committee.
Whether the BCCI wants
to accept or not accept its
recommendations is a matter
that can only be debated in the
Supreme Court. The last I heard
was that BCCI had said that their
legal committee would study
the report and suggest its set of
recommendations to the BCCI.
Only after that would the board
members all associations and
stakeholders be able to take
a call. Until then, let us all enjoy
the ongoing developments wait
and watch for cricket to take yet
another leap.
The writer is the Founder and
Secretary
General,
STAIRS.
STAIRS is a New Delhi based
NGO which promotes sports
among children of economically
weaker sections of society and
provides training in various sports
to such children.

www.governancetoday.co.in

www.governancetoday.co.in

February 2016 I 65

INTERVIEW

IT ENABLED TOOLS BEST FOR


KEEPING A CHECK ON TRAFFIC
VIOLATORS

Kailash Chandra Sahoo


Joint Secretary, Commerce & Transport Department,
Government of Odisha
IMPROVING PUBLIC
transportation system, curbing
vehicular pollution and ensuring
safety of passengers have
always been top priorities for
every state government. Ritika
Bisht and Shubham Gupta,
Governance Today talk to
Kailash Chandra Sahoo, Joint
Secretary, Commerce & Transport
Department, Government of
Odisha, to know about the overall
66 I February 2016

transportation eco-system in
Odisha. Edited Excerpts:

The public transport is


hardly able to match the
rise in demand due to
increase in population.
How is the Odisha
government planning to
address this situation?

The urban population of


Bhubaneswar is increasing
exponentially which has
culminated in traffic congestion
and road fatalities. There is an
urgent need for strengthening
public transportation and utilizing
information and communication
technology to reduce travel time
and distance of all commuters and
provide better transportation.
As the economic growth
and financial condition of the
people in general are becoming
better, people want quick and
timely transport service along
with comfortable journey.
This has resulted in procuring
personalized motor vehicles
because public transport system
in the state is neither quick nor
timely, nor comfortable. As a
result, innumerable motor cycles
and cars are on roads resulting
in overcrowding which does
not exhibit a positive sign for
environment and road safety.
Hence, our state government has
started popularizing rapid transit
transport system and encouraging
people of non-coastal districts
through Biju Gaon Gadi Yojana by
operating small and medium buses
which not only provide connectivity
from Gram Panchayats to districts
and sub-divisional headquarters
but also enhance mobility of rural
public for their economic and
integral growth.
Simultaneously, road transport
system under JNNURM scheme
is operational in six districts.
Government is not only in the
process of introducing more buses
but also expand the scheme to
neighboring districts for promoting
public transport system.
Bus stands are being
modernized and renovated
www.governancetoday.co.in

through PPP mode providing


different basic amenities to the
passengers. To ensure safety
and security of passengers, the
Government is taking measures
to make mandatory the provision
of installation of close circuit
cameras and GPS in all buses.
Simultaneously, we are also taking
important measures for improving
road engineering and road
planning.

Smart mobility has been


named as one of the
essential features for
the ambitious smart
city project. What plan
and policies for smart
transportation will your
department implement
for this purpose?
Bhubaneswar, the capital city,
has been incorporated in the smart
city projects which would result
in implementation of new steps
for smart mobility. Government of
Odisha is going to procure more
buses under JNNURM Scheme.
Bus bays and bus stops in the city
are being developed for safety and
convenience of the passengers.
Government has also finalized a
plan to impose green tax on old
vehicles and buses.
Further, each road is being
provided now with designated foot
path, cycle path with well marked
zebra crossing. All efforts are
being taken to provide an efficient
public transport system in the
city so that both car users and
motorcyclists will find travelling
in city buses easier. For smart
transportation, Government
is focusing on using various
information and communication
technology to encourage green
mode transport, Integrated
Transport System, multi modal
transport with a vision and road
map for implementing a rapid
mass transportation system.

A shift to electric
mobility is essential to
www.governancetoday.co.in

counter depletion and


increase in costs of fossil
fuels, and to minimize
negative impact of
transportation on the
environment. How will
you move ahead in this
direction?
Government is actively
considering encouraging battery
operated vehicles which can cater
to shuttle trips in and around
the city. Battery operated motor
bikes with low capacity are also
encouraged as need of registration
is not required as per the CMV
Rules, 1989. This will not only
reduce dependence on fossil fuels
but also prevent environmental
degradation. The growing
importance of e-transportation
is felt in the State and our
e-rickshaw policy is going to be
approved by Government very
shortly.

Intelligent traffic
management, integrated
multi-modal transport,
hybrid and electric
vehicles, city traffic
surveillance, vehicle
tracking system are
just few of the elements
of smart mobility.
Technology would be at
forefront while enabling
these solutions. How
is your department
planning to introduce
these elements for
commuters?
Our Department is focusing
on establishment of more and
more pollution testing centres in
the State. At the first instance,
all the vehicle dealers and filling
stations are being tagged for the
purpose, which will definitely go
a long way in curbing vehicular

pollution. In addition to this,


Odisha is one of the selected
states to be given grants to a
tune of Rs. 17 crore by MoRTH
(Ministry of Road Transport and
Highways), Government of India
for implementation of modernized
vehicular fitness certification
centre. Further, two more centres
have been proposed by the state
government to Government of
India which is waiting for approval.
Besides this, the police officers
have been delegated power to
detect vehicles without PUCC.
Further, the Government has
taken effective measures for
installation of CCTV cameras
for city traffic surveillance.
Simultaneously, Government
will mandate the provision of
installation of close circuit cameras
and GPS in all buses for safety of
passengers and vehicle tracking.

What according to you


would be the biggest
challenge while working
on introducing smart
mobility?
Enforcement is an
indispensable part of traffic
safety management. It is widely
accepted that IT enabled tools
are practically best solutions
for keeping a check on traffic
violators. Implementation of smart
mobility through introduction of
mobile apps for reservation of
seats in buses and identification
the location of buses etc. will
enhance the efficiency of public
transport system. This will go a
long way in creation of a robust
public transport system which
will also ensure road safety. But
there are certain challenges in
introduction of smart mobility.
Foremost of these is the lack of
awareness/ IT knowledge among
the public. Secondly, the system
for monitoring and surveillance of
various IT enabled projects is still
not very strong. Third, improper
planning of road infrastructure
inhibits the introduction of smart
solutions.
February 2016 I 67

NET NEUTRALITY

Is free always desirable?

Free Basics of Facebook ignites heated debate on net neutrality.

Anand Mishra
OVER LAST month or so,
a storm has been gathering
momentum over the issue of net
neutrality in India, which has
assumed greater urgency with
stalled launch of Free Basics, the
new offering of Facebook, which
the company claims will immensely
benefit a large number of people by
giving them free access to Internet
in a limited manner. While on one
the company says Free Basics is
a boon to poor people who cant
get online for cost reasons, the
consensus among internet experts,
academicians and policy makers
is evolving around the view point
that Free Basics is against net
neutrality, can distort level playing
field on Internet and is detrimental
to users and the country in long run.
The Telecom Regulatory Authority
of India (TRAI) has held up its
release in India as it mulls over
the crucial issue of whether the
product violates the net neutrality,
the claims of the company that it
does not, notwithstanding.
Free Basics is the rebranded
Internet.org, the program that
68 I February 2016

was launched by Facebook in


partnership with local telecoms
firms in the developing world.
Through the program, Facebook
offers free internet access to
the users of the telecom service
providers with whom it has
tied up. However, through the
program, users are unable to
surf the entire Internet; they can
access only Facebook, Facebookowned WhatsApp, and some other
websites and services. According
to the company, over the last year,
it has rolled out the program to
more than couple dozen countries,
including the US, through more
than 35 operators with 15 million
people using it already.
But it is not about numbers of
subscribers or countries in which
Free Basics has been rolled out and
is operating. Experts in India have
expressed deep concern about the
ability and intent of Facebook to
distort Internet with Free Basics.
Most of them feel that the program
goes against net neutrality and this
opinion has forced TRAI to hold
the program even as it studies the
opinions sought from public on the
issue of net neutrality.

Broadly, as per the concept


of net neutrality, Internet has to
be network neutral, which means
regardless of the Internet Service
Provider (ISP) or the telecom
ppaler, user should be able to serf
Internet without any discrimination
to any particular website. The ISPs
or telecom operators cannot give
a competitive advantage to any
particular website or application.
The Free Basics, according to
experts, violates this basic rule.
It not only allows a very limited
number of websites, its submission
guidelines also forbid JavaScript,
video, large images, and Flash.
Further, since it does not permit
secure connections using HTTPS,
it can read all data passing through
the platform. Also Facebooks own
sites like Facebook and WhatsApp
exclusive for users in their
respective segments.
The Facebook has countered
the allegation by saying that it is
ready to allow competitors like
Google+ (Plus) and Twitter on
Free Basics, and allow third party
audits, but that has hardly placated
experts. According to Pavan
Duggal, a leading expert on cyber
www.governancetoday.co.in

law, it does not change the basic


character of the program which is
discriminatory in nature. Merely
getting third party audit done does
not solve the problem that the
program is intrinsically designed to
exploit data, says Duggal.
Experts have also questioned
two significant claims of Facebook,
namely the ability of Internet to pull
people out of poverty, and that the
program serves no commercial
interest of the company. As
per experts, only a very small
percentage of people under poverty
line or rural population understand

country like ours which aspires to


become a software powerhouse,
cannot afford to have programs
that prohibit application and
websites which Free Basics
and such other programs can. It
inhibits competition and thus IT
development. Secondly, because
they allow only limited websites,
subscribers get only a partial and
potentially
distorted
exposure
to Internet which is dangerous,
because it can open possibility
of opinion building by service
providers. Thus, offerings such
as Free Basics or Airtel Zero can

policymakers.
There are service providers
and telecom players who have
taken alternative route to offering
limited Internet free of cost.
Grameenphone of Bangladesh is
perhaps the best example. It gives
users free data after they watch
an advertisement. In India, Aircel
is giving full internet access for
free at 64 kbps download speed
for some initial period of telecom
service. Gigato offered data for
free for surfing some sites. Orange
in Africa offered some free Internet
on buying a handset.

Mark Zuckerberg has defended Free Basics as a tool to empower people

English which is the basic Internet


language. In this situation, how
much can Free Basics help in
eliminating poverty is questionable.
Secondly, it is debatable whether
Free Basics does not serve any
commercial interest. As Duggal
says, Now is the age of data
driven economy and under the garb
of free Internet, they (Faecbook)
want to have access to data of
huge number of Indians.
Then there are issues related
to the impact of discriminatory
Internet offerings. First of all, a
www.governancetoday.co.in

develop what Duggal terms digital


islands in which people are held
hostage and exposed to only part
of Internet.
According to Amba Kak of
Oxford Internet Institute, less
experienced, low income groups
prefer access to an open and
unrestricted Internet, and are willing
to use complete Internet for lesser
time compared to some Internet
for long time. In other words, they
would prefer to compromise on
time instead of content. This has
message for service providers and

India is a huge and still largely


unexplored market. Further, it has
weak data protection laws. In this
environment, government has to be
very cautious in allowing services
that can result in data theft or
distort Internet which has today
become most powerful source of
information. Hopefully TRAI will
ensure that programs like Free
Basics do not violate net neutrality
for which India anyway does not
have a dedicated law.
anand@governancetoday.co.in

February 2016 I 69

INTERVIEW

THERE IS NO SUCH THING AS


FREE LUNCH

Pavan Duggal,
Consultant, Cyberlaw and Cybercrime

70 I February 2016

www.governancetoday.co.in

THE ISSUE of net neutrality


has again acquired centre stage
with Free Basics and the debate
it has generated. To understand
the various aspects of Free
Basics and whether it actually
impinges on net neutrality, Anand
Mishra, Editor, Governance
Today, spoke to Pavan Duggal,
who is one of Asias foremost
experts in the area of cyber laws
and cyber security and is widely
recognized as one of the top
ten cyber lawyers in the world.
He has been on the panel of
consultants to UNCTAD and
UNESCAP on Cyberlaw and
Cybercrime respectively. Besides,
he has been a member of the
ICANN Nominating Committee
representing the Asia Pacific
region. Edited excerpts

How do you see free


basics as an initiative to
offer free internet? Many
people say it is against
the basic tenet of net
neutrality. TRAI has put it
on hold.
First and foremost, Free
Basics is not the same thing
as free Internet. When you talk
of free Internet access, it, as a
concept, means free and complete
access to entire Internet. What
Free Basics is offering is only a
limited access on a free basis to
a limited number of websites. It is
not open for all websites; it offers
free access to certain websites
and if you go outside those
websites, you are charged on a
discriminatory basis.
Secondly, while Free Basics
has been presented as a noble
objective and helps to bring
large number of people onto the
Internet bandwagon, it has a
problem in that it is effectively
making competition impossible.
If you offer something for free,
you are eliminating competition
because there cannot be anything
below free. To that extent, lot of
service providers feel that such
free programs could become anti
www.governancetoday.co.in

competition and can tantamount to


restrictive trade practices.
The argument of Facebook
that some access is better than no
access, has its own ramifications.
But the way Free Basics has
been touted as free access to
Internet is not right. Many people
believe that it is free access to
entire Internet, which it is not. In
it, you are getting access only
to Facebook and certain sister
websites on a free basis; you go
to any other website, you will be
charged.
It is in a sense, not just
discriminatory; it is giving a
distorted picture of Internet to
those people who have not yet
come on internet platform yet.
If they come online through this
program, they would only consider
Facebook and its sister websites
to be the Internet.
So, there are some intrinsic
issues with the program and
thats why TRAI has said, let us
examine whether it violates net
neutrality. According to the net
neutrality, the network has to
be neutral. It also means that
everybody should have equal
access to Internet and should
be able to use it in any manner
they deem fit, including the right
to choose the website. In Free
Basics, this freedom and the
right has been given a bypass.
That effectively is like creating
digital islands on Internet which
will be acting in silos, and not in
conjunction with each other. And
subscribers to these services are
captives.
To that extent, it is akin to
digital collonialization. You are
creating digital colonies without
people even knowing about it
and deciding on whether they
want to be part of it. As such,
nuances of the program need to
be discussed. However, people
are sending petitions to TRAI
in support of Facebook without
realizing what they are doing.
They only read first couple of
lines, sign by ticking I accept
and move on to using Facebook.
They are not given the choice
to say which part of the list of

conditions they agree or disagree


with. They cannot even determine
whether what Facebook is saying
is correct or not. Finally, even
if they read, majority cannot
understand.

What is the major


problem area with free
basics that people are so
against about?
I see some basic problems
in Free Basics program in India.
First of all, you should read its
terms and conditions. The terms
say that Facebook is interested in
your data, and can use it. If any
sane person reads the conditions,
he will not use Facebook. People
need to realize that there is
no such thing as free lunch. If
something is being offered as
free to you, in all probability, you
are the product. In this case,
subscribers of Free Basics are the
product. Actually, there is nothing
philanthropic about it. Facebook
is interested in having access
to the free data of the people
who are currently not on Internet
which they can use for evaluation,
projection of for any other purpose
they deem fit.
Facebook is basically a data
driven company. So, people
should jump on to the program
only after understanding pros and
cons of the same.
In fact, such programs can
impact Indias sovereignty and
integrity at a later stage because
huge number of Indians who
are not online now, will become
captive to the Free Basics
program. And that entire data
will be monitored by Facebook.
People will have a much distorted
view of what Internet is, and they
will be given only that data which
Facebook will want to. To that
extent, even the fundamental right
to life could be impacted and it
is governments responsibility
to ensure that the right to life
as provided under Article 21 of
constitution is protected. It needs
to protect them from exploitation
by service providers.
February 2016 I 71

TRAI had asked for


responses on the issue
from public. What is
happening of that end?
What TRAI is basically
trying to do here is to ascertain
what should be Indias position
on the issue of net neutrality.
Under the TRAI Act, it can
give recommendation to the
government. It has come out
with some consultation papers,
and opened them for public
comment. It is now collating
these comments and after
studying those comments, would
make recommendation to the
government.
The problem is that India
does not have a documented
stand or policy on net neutrality.
The Information Technology
Act 2000, which governs the
Internet, is completely silent on
it. So, the noise is that India
should have its own dedicated
law on net neutrality. TRAI came
up with a document earlier,
which created lot of protest. The
government said we will take
all opinions and viewpoints into
account; the central Information
and Communication Minister has
said by and large we are for net
neutrality. In this light, the TRAI
has said let us see whether Free
Basics program violates net
neutrality or not. And till that time,
let it be temporarily put on hold,
which is the right and logical thing
to do.

Facebook has said it


is open to the idea of
including other rival
social networks like
Twitter or Google + on
Free Basics, and for a
third-party audit done for
the platform. Can that
make it net neutral?
But it does not change the
fundamental nature of Free
Basics, which is that it offers free
access to Facebook and a limited
72 I February 2016

number of other websites. What


also does not change is the fact
that the data of individuals can be
monetized by Facebook. Third,
you are basically demolishing
peoples right to choice. So merely
getting third party audit done does
not solve the problem that the
program is intrinsically designed
to exploit data. The question is
whether the government is going
to bite the bullet; will it allow the
data of Indians to be mortgaged?
I think the reason that the Free
Basic program is targeted to India
is that India does not have a
dedicated law on data protection.
We dont have a law on privacy
either. So, there is nothing to
protect the data of the people.
I would compare this program
to an elephant which has one
set of teeth for showing and
another set of teeth for eating. I
can understand if you allow free
access to everything on Internet,
which will be a different ballgame
altogether. But the Free Basics
program is not offering that.

The basic thrust of


Facebook is that some
free Internet is better
than having no Internet
at all and Free Basics
offers some Internet for
free. How do you react to
that?
The question is whether
you want to be free or be in a
golden cage. This is a choice
you have to make. After reading
the conditions of the program,
I am absolutely clear that the
person who has not been on
Internet cannot understand the
nuances of the program. And if
you cannot understand what you
are signing on, you can mortgage
you freedom away. So, would you
want to be in a pre-1947 digital
era?
My suggestion is let us not fall
to small temptations. India is the
biggest democracy in the world; it
is the second biggest e-commerce
market. It is also the second

largest Facebook user base.


Facebook should therefore have
far more respect for India and
not treat it with such disdain that
instead of not having anything,
we would give you something
for free. I would have liked them
to mention specific terms and
conditions. But this program is
governed by Facebook terms and
conditions which anyway says
your data is not yours, it is mine.
Everything you put on it can be
monetized, used, transferred,
shared or even sold. Now is the
age of data driven economy and
under the garb of free Internet,
they want to have access to
data of huge number of Indians.
But those people who dont
understand the nuances of the
program, should not be allowed to
be exploited by service providers.

If we brush out the


initiative of Facebook
and just talk about the
idea of offering free
access to complete
Internet, may be
to students, can
government do it? It
is technically possible
even?
Well, it is certainly technically
possible, and government should
try it. It will of course require
resources. India has been trying
to fight poverty. It has not been
completely successful, but it is still
trying. Similarly, they should keep
trying to offer free Internet access
to all without discriminating on
basis of websites. That is a
sovereign function of government.
In any case, constitution provides
for the fundamental right to life
and facilities that are necessary
for it. Today you cannot have a
dignified life without free access
to Internet. So, if you allow such
discriminatory programs that give
a concocted view of the Internet,
it could in future challenge the
government.

www.governancetoday.co.in

INTERVIEW

GIFT IS A ONE OF ITS KIND


FINANCIAL HUB
WITH SMART City project
planning underway in different
parts of the country, Gujarat
International Finance Tec-City
(GIFT) has already set the
standards for other cities as it
aspires to offer global firms a
world-class infrastructure and
facilities. To know its current
and future development plans
Ritika Bisht and Shubham Gupta
of Governance Today, talked
to Shishir Rai, Assistant Vice
President, GIFT City. Edited
Excerpts:

Gujarat International
Finance Tec-City
Company Ltd. has been
named as one of the
most ambitious project
in the country with
regards to infrastructure.
Could you elaborate
about GIFT?
GIFT is being developed as a
global financial hub, a first of its
kind urban development in India,
designed to be at or above par
with the other financial centres in
the world.
The vision for Gujarat
International Finance Tec-City
was laid out by Honourable Prime
Minister Narendra Modi. GIFT City
is spread over an area of 886
acres, out of which 261 acres is
dedicated for multi-services SEZ,
and being developed as India first
International Financial Services
Centre (IFSC).
GIFT City is a green field
SMART City with mixed use
development with predominant
commercial use. To support the
commercial and other economic
uses, a residential area is also
proposed with all the required
www.governancetoday.co.in

Shishir Rai,
Assistant Vice President, GIFT City
infrastructure, utilities and
allied facilities. The proposed
development in GIFT City is
planned to create a dynamic urban
environment.

The country has not been


able to realize its vast
potential in financial
services. How can GIFT
cater to this challenge
and successfully attract
top talent?

The last decade has seen


unprecedented growth in Indias
financial services sector. It
employs over 3 million people,
constitutes about 5 per cent of
the GDP and has an estimated
market capitalization of over US$
200 billion. As India experiences
continued economic growth, the
financial sector would generate
about 10-11 million jobs and a
GDP contribution of US$ 350 to
400 billion by 2020.
Majority of Indians in financial
sector operate from overseas.
February 2016 I 73

Given the opportunity people from


other centres would like to come
back to India. Besides global
infrastructure, there will also be
high quality of life in terms of
residential buildings, schools,
hospitals, clubs - it is all within the
walk-to-work concept.
GIFT aspires to cater to Indias
large financial services potential
by offering global firms a worldclass infrastructure and facilities.

From infrastructure
perspective, how is GIFT
planning to establish an
efficient water supply
and sewerage system?
Development plan incorporates
the Infrastructure Plan of GIFT
with technological innovation and
integrated planning approaches.
A judicious combination with the
latest technology and global best
practices in infrastructure service
delivery are planned.
GIFT draws water from
Narmada main canal at southern
side of the GIFT site. Water shall
be pumped out from the existing
intake point through pipe line up to
GIFT to meet its requirements.
The design vision for water
infrastructure is to provide potable
quality water in all taps in the
city. The water supply system
is planned to provide water on
demand. GIFT aims towards being
Water Neutral.
The water from the canal
stored along with the buffer stock
in the water reservoir (Samruddhi
Sarovar) would be conveyed
to the water treatment plant for
treatment and further distribution.
The wastewater system will
consist of collection, treatment,
and reuse of wastewater for GIFT
requirement. Wastewater will be
collected and conveyed to the
Sewage Treatment Plant (STP).
The treated water would be used
for Flushing, Landscaping and for
District Cooling Plant, enabling
GIFT to be a Zero Discharge
Zone.

In the smart city


74 I February 2016

paradigm, intelligent
urbanization including
smart and green
buildings cannot be
ignored? How are you
moving forward with this
plan?
GIFT is being developed as a
smart and sustainable city based
on sustainable development
practices. The Development plan
of GIFT promotes the ideas of
sustainability and ecology and
provides balance between natural
and built environment. GIFT is
a compact urban development
having more open space and
encourages walkable communities.
Development plan of GIFT
optimizes the integration of
greenery to provide environmental
balance and caters to visual relief.
GIFT is planned considering
the Next Class Development
having specially designed GDCR
and Design Guidelines including
Green Building Guidelines
specifying the Green Certification
required for all the buildings
within GIFT City. All building
development work in GIFT is
being envisaged in line of green
buildings norms to minimize the
impact of built environment.
IGBC and GIFTCL have inked
a memorandum of co-operation
(MoC) to showcase GIFT City as
a Model Green City.

Can you elaborate your


plans on integrated
urban transport system
for GIFT city?
The vision for transportation
which shall be the lifeline of GIFT
is achieved through an Integrated
Urban Linkage System. The
external transportation system
includes grid of six arterial roads
(Connecting to various areas of
Ahmedabad and Gandhinagar),
Metro Rail Transport System
(MRTS) to GIFT and Bus Rapid
Transit System (BRTS) to GIFT.
The development in GIFT
is planned on the Concept of

ToD which creates vibrant,


liveable business district. The
development is compact, walkable
from metro stations. Metro stations
are connected with building with
elevated AC walkways.
GIFT transport system is
a comprehensive and holistic
plan with combination of both
- supply and demand side
measures. GIFT transport
system is developed considering
land use, energy efficiency,
emissions characteristics, traffic
management, human behavior,
economics, governance, health,
safety, ITS, etc.
GIFT City transport system is
thus integrated and sustainable.

Obviously, GIFT city


is a massive project.
What kind of challenges
have you faced while
undertaking it?
Many challenges have come
in the way of development
of GIFT City. Convincing the
financial institutions to set-up their
offices has been a challenge.
To overcome this, GIFT City has
been developed with state-ofart infrastructure and an urban
environment matching international
standards. Global companies are
increasingly getting convinced to
set up their new centres or shift
their operations.
There are many stake holders
involved in the development of
GIFT and meeting the aspirations
of stakeholders to make a
focussed objective and bringing
all stakeholders on a common
platform is a major challenge. The
unique institutional arrangement is
serving GIFT to resolve the issues
and progress at faster pace.
Implementation of enormous
project like GIFT City always faces
huge challenges; however, with
right spirit and positive approach,
we at GIFT are determined to
make this project a success and
set example for other smart cities
to follow.

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February 2016 I 75

76 I February 2016

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