Page 1 VOLUME 01  n ISSUE 02  n May 2014

The inside Special Focus

Cement & Concrete

Smart Cities

Metro Rail Technology

Ports & Technology Evolving Industry Trends

N N Kumar

Chairman Jawaharlal Nehru Port Trust (JNPT)

Deepak Shrivastava Chief Vigilance Officer Mahanadi Coalfields Limited

Rajiv Agarwal MD & CEO Essar Ports

V B Gadgil Managing Director L&T Metro Rail Hyderabad

Anil Banchorr Chief Executive Concrete Business ACC Ltd



The Green Cities Forum 2014 by Elets Technomedia


aims to track the evolving pace of Green Construction Revolution being witnessed in India. The platform


aims to engage distinct array of experts involved in the Green Building Movement who are reforming the construction outlook of our country.

20 June 2014, Pune, Maharashtra

Key Focus Emerging Trends in Green Construction

Renewable Energy for Sustainable Constructions

GRIHA Ratings & LEED Certification

Indoor Quality for Sustainable Green Structures – HVAC

Need for Development of a Green Policy

Redevelopment and transformation of existing structures to Green Buildings

Architecture & Aesthetics for Green Construction

Affordability and Prospects Ahead for Green Buildings

Eco-friendly Building Materials

Sector Beneficiaries Architects, Builders & Developers, Corporate, Government Representatives, Educational Institutions, Engineers, Energy Modelers, Electrical Consultants, Green Building Facilitators, Contractors, Green Product / Equipment Manufacturers, HVAC Consultants, Landscape Consultants, Plumbing Consultants, Town Planners etc

For General enquiry Rachita Jha Mobile: +91-9819641110, For programme details Veena Kurup Mobile: +91-7506365758, For sponsorship & exhibition details Sudeep P. Gaonkar, Mobile: +91-9833719329


May 2014

Connecting Technologies,Trends & Business

issue 2 n  volume 01

Contents Infrastructure Construction Engineering

Cover Story – Ports

26 Special Focus –

Cement & Concrete

Realty Sector Driving RMC Industry in India

34 Equipment Finance

Evolving Trends in CE Financing

43 Hydro Power

Nimoo Bazgo Hydroelectric Project, Leh – Empowering Ladakh

46 Commercial Vehicles


I-SHIFT – Leveraging Efficiency, Safety & Performance

Mechanization Imperative to Meet Global Demands 12 In-Person

NN Kumar Chairman, Jawaharlal Nehru Port Trust

42 Smart Cities

VB Gadgil Chief Executive & Managing Director, L&T Metro Rail (Hyderabad)

54 mining 16 Expert Speak

Rajiv Agarwal Managing Director & CEO, Essar Ports

28 Expert Speak

Manoj Kumar Managing Director, HESS Concrete Machinery India


ICE Connect / / May 2014

22 Smart Construction

Positive Contributions of Vigilance in Mining

Nanotechnology Paves New Wave of Sustainable Roads

further reading Editorial 5 Ventures & Business


Realty Updates


Steel & Cement


Port Updates


Energy Updates


Products Line




Transport Networks


ndia is witnessing rapid pace of expansion of its towns and cities. Though the last fiscal was a hard-hit on our country’s infrastructure, wherein numerous transport projects were delayed or cancelled, the governing authorities have always considered effective transport networks as one among its prime development agenda. It is predicted that by 2030, a population of 40 percent will be living in urban ecosystems. This population pressure has a direct impact on the transport infrastructure of a city. Futuristic and efficient transport networks leverage its scope as a favorable economic investment destination. To meet the increasing population load and their travel needs, city planners have to think out-ofthe-box and much ahead of times. The advancement in construction technologies and innovations has transformed the outlook of transport networks and assisted in utilizing multi-modal models to develop connectivity networks. Metro Rail as Mass Rapid Transport System (MRTS) is redefining the perception of people towards public transport – as these are smarter, faster and convenient. We explore some of the upcoming metro projects in this edition. Moving from roads to sea, the country today is on a transformational mode in developing and equipping world-class international deepwater ports. Ports is one such sector which has been forging ahead as one of the main drivers of our economy despite the down slide in economy and market dynamics. The country has a long coastline of 7,517 kms with its 13 major and about 200 non-major ports. These play a critical role in the maritime transport and international trade activities. The robust opportunities offered by the sector have made Public-Private Partnership approach a favorite in project execution models. A proactive approach is also being witnessed by the governing bodies in our country, with the ambitious Maritime Agenda, National Maritime Policy etc. This sector enjoys 100 percent FDI permission for port development and 100 percent income tax exemption for a period of 10 years. With an objective to secure value for public money and provide efficient cost-effective services, the Planning Commission now wants rates at the ports owned by the states to be regulated. This move has attracted mixed responses from the stakeholders and major ports involved in the sector have welcomed this move as a proactive approach. The edition traverses across major port projects in India to feel the pulse of this sector. Furthermore, the reforming pace of innovative technologies in fast-tracking and reforming the operational approach in roads, cement & concrete, railways, commercial vehicles and developing eco-friendly constructions are being explored. ICE Connect presents to its dedicated readers the distinct technological transformations, industry trends and evolving innovations transforming the pace of infrastructure sector in India.

ravi guptA Editor-in-Chief

May 2014 / / ICE Connect


I C E CO ECT Connecting Technologies,Trends & Business

may 2014 volume 01 | issue 02

Infrastructure Construction Engineering

President: Dr M P Narayanan Editor-in-Chief: Dr Ravi Gupta

upcoming events

Editorial Team ICE CONNECT & GOVERNANCE Assistant editor: Rachita Jha Sr Correspondent: Kartik Sharma, Nayana Singh Souvik Goswami & Mohd. Ujaley Sr Copy Editor: Rajesh Sharma Correspondent: Veena Kurup Research Associate: Sunil Kumar EDUCATION Sr. Correspondent: Ankush Kumar Correspondent: Seema Gupta HEALTH Sr. Assistant Editor: Shahid Akhter Correspondent: Ekta Srivastava


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ICE Connect / / May 2014

20 June 2014 Pune, Maharashtra | | Write in your reactions to ICE CONNECT news, interviews, features and articles. You can either comment on the individual webpage of a story, or drop us a mail: EDITORIAL & MARKETING CORRESPONDENCE egov – Elets Technomedia Pvt Ltd Stellar IT Park, Office No: 7A/7B, 5th Floor, Annexe Tower, C-25, Sector 62, Noida, Uttar Pradesh - 201309, Phone: +91-120-4812600, Fax: +91-120-4812660, Email: egov is published by Elets Technomedia Pvt. Ltd in technical collaboration with Centre for Science, Development and Media Studies (CSDMS). Owner, Publisher, Printer: Ravi Gupta, Printed at Vinayak Print Media, D-320, Sector-10, Noida, U.P. and published from 710 Vasto Mahagun Manor, F-30, Sector - 50 Noida, UP Editor: Ravi Gupta © All rights reserved. No part of this publication may be reproduced or transmitted in any form or by any means, electronic and mechanical, including photocopy, or any information storage or retrieval system, without publisher’s permission. Partner publications

Cover Cover story story -- ports ports

Mechanization Imperative to Meet Global Demands One of the country’s vital economic drivers, India’s port sector forges ahead to achieve the target of 3130 million tonnes in capacity by 2020 by adopting efficient technologies and enhancing the scope for private participation. Veena Kurup, Elets News Network (ENN) finds out…


ICE Connect / / May 2014

Cover story - ports


ndia is one among the most attractive economic investment destinations and has emerged as preferred hub for global trade activities. With a coastline of more than 7,517 kms with more than 200 ports, the country’s maritime activities play a vital role in leveraging the economic growth index. The country presently has 12 major ports and about 200 non-major ports across its vast coastline. The favorable location and availability of a long coastline has India’s standing as a prime destination for executing maritime economic activities. The increasing importance attached to maritime economic activities has further led to the development of many container terminals in the country. However, the constantly increasing volume of global trade and the inflow of economic activities towards India have reinforced the need for advanced and efficient infrastructure facilities at the country’s ports. Aiming to meet the challenge of globally expanding maritime trade activities, modernization of ports is being upheld as an aspect of vital importance by the governing bodies as well as private port operators.

The push to equip the ports with advanced technologies and equipments to achieve operational efficiency has opened the doors for private players in the country’s port sector. Exploring these opportunities, the government also widely promotes the concept of public-private partnership (PPP) models for the development and operation of ports and container terminals in India. The sector has today opened doors for private port equipment manufacturers, technology providers and also private port developers and operators on a positive scale. A robust participation is also witnessed from the international port equipment players in exploring the opportunities put forth by the modernization of ports and container terminals. According to the sector analysts, non-major ports are expected to benefit on a larger scale as against the public majors due to the strong growth in India’s external trade. Performance Index According to the recent ICRA data, the cargo throughput registered at major Indian ports could achieve only a modest growth of six percent in volumes in the second quarter of FY2014 as against the correspond-

May 2014 / / ICE Connect


Cover story - ports

ing period a year ago. The reported volumes for the first half of the current fiscal posted a marginal improvement of 2.2 percent over the same period last year, registering 276 million tonnes against 270 million tonnes (MT). The growth in the throughput at major ports, on consolidated basis, was dominated by Ennore, Paradip and New Mangalore Ports, respectively recording a year-on-year (y-o-y) growth of 59 percent, 33 percent and 16 percent respectively. The country’s largest port, Jawaharlal Nehru Port Trust (JNPT), however showed a decline in the container volumes with the index showing a five percent fall in TEU (twenty-foot equivalent unit) volumes during the second quarter of FY2014. According to the Ministry of Shipping, the capacity at major ports has increased to 800 million tonnes (December 2013) from the 575 million tonnes recorded in 2009. The ministry also disclosed that in the last four years, 88 new projects have been approved with an investment of Rs 42,953 crore, which is expected to make an additional capacity of 558 million tonnes per annum. Non-major ports on the other hand reported a robust increase in throughput, wherein Adani Ports and Special Economic Zone, Essar Ports and Gujarat Pipavav Port led the growth index. Adani’s flagship Mundra Port’s growth momentum was driven mainly by the robust inflow of liquid cargo and dry bulk volumes; whereas Essar port terminals benefited from the new volumes of iron-ore terminal at Paradip, capacity expansion at Vadinar and Hazira during the quarter period on y-o-y basis. The growth reported at Pipavav Port stood at 30 percent in its volumes on y-o-y basis and 14 percent growth on a quarter-onquarter (q-o-q) basis on the back of increased container volumes.

Coal Cargo - Raising Bars The ban on mining activities has resulted in a considerable fall in the import and export of iron ore cargo. “The lull witnessed in the sector’s growth pace is mainly due to the reduction in the exports of iron ore cargo. However, a positive trend being witnessed is due to the increase in the inflow of coal and petroleum cargo,” opines Rajiv Agarwal, Managing Director and CEO, Essar Ports. According to the Indian Ports Association, India’s major ports handled 17 percent more imported coal this fiscal, ended March. The major upswing in the coal imports is due to the escalation in the rush to add power capacity after years of under-investment. Coal and petroleum products are expected to remain as significant contributors to the cargo growth at major ports. As per the government records, while the revival of container volumes is dependent on overall manufacturing activities, iron ore exports could be favorably supported by the resumption of mining in certain areas. The total coal cargo handled by the India’s 12 major ports escalated to 104.7 million tonnes in FY13-14 from 86.7 million tonnes in the corresponding period a year ago, states the Indian Ports Association.

PPP to Leverage Standards A major concern hovering on the sector is the need to develop and maintain deep sea ports and deeper drafts. “Today, the lack of deeper drafts has diversified the inflow of containerized trade, being transshipped to Indian ports to the neighboring regions of Colombo and


ICE Connect / / May 2014

I nterview

“India is facing a severe port infrastructure deficit” Says Ravin Wadhawan, Director – Port Solutions India, Terex India


ort operators are often tied with faster delivery of cargos and in minimizing the turnaround time. How equipped is Terex Port Solutions in meeting these demands? With more pressure on construction companies, profitability, timing, and projects getting increasingly complex, jobsite logistics are getting more important. Type of material to be lifted, timing, number of lifts, height, potential hazards or jobsite constraints, building architecture and shape, materials used etc are vital to be understood in the Planning Phase. On the basis of these multiple variables, a detailed analysis is made (Terex offers this to assist in the purchase) and respective solutions are offered. Terex Port

Cover story - ports

Solutions provides reliable solutions for rapid, safe, environmentally friendly, efficient container handling, bulk and general cargo with low downtimes and offers excellent return on investment. What is the importance of energy efficiency in port solutions offered by Terex? Terex Port Solutions offers a comprehensive portfolio of state-of-the-art cargo handling equipment, port management software and logistics solutions. Our Terex and Terex Gottwald machinery moves cargo quickly, safely and efficiently thanks to innovative features like our economical and environmentally compatible drive systems. We have diesel-electric drive technology, which is referred to as the hybrid drive. In this type of drive, excess energy recovered during braking and lowering motions is stored in transient storage media (consisting of high-performance capacitors, or ultra-caps) and then used for the next straddle carrier work cycle. In this technology the load surges on the primary energy source, being usually a diesel-generator set, which can be mitigated while allowing it to run in a smoother, energy efficient manner. According to operators, they see an immediate benefit with up to 20 percent less fuel consumed by Terex straddle carriers with hybrid drives compared to conventional, economical diesel-electric drives, depending on terminal and operating conditions. Hybrid operators have also reported reduced exhaust gas and noise emissions in the terminal. Share with us your outlook upon the technical capabilities of the country’s majors involved in the port sector. India is facing a severe port infrastructure deficit. Despite a number of initiatives by the government, the port is still a major concern on the transportation front. There are multiple problems hounding the Indian ports. Inadequate capacity, long turnaround time, inadequate handling capacity, excessive documentation, storage space constraint are some of the major cause of concern for the sector. Some of the newer and private ports are better equipped. However in terms of technology used in port equipment we as a country are lagging. Modern technology and automation are still not being seriously considered. We believe alongside creation of small or large ports one should also invest in port management techniques and equipment that will enable huge leaps in efficiency. Terex Port Solutions, can provide a view into the latest technology available and being executed by us at international ports.

Singapore on a larger scale,” echoes a sector analyst. India’s location is also a hindrance in setting-up deep-water ports. As per the country’s geographic condition, Mumbai and few islands on the east and west coasts are the only regions that offer favorable locations for development of deep-water ports. The situation has today escalated the requirement for effective dredging, to catch up the rapidly growing foreign trade activities. Dredging however, more than a process, is a detailed study and requires a planned approach for effective operations. According to industry experts, effective dredging can be achieved only through a detailed study on the wave flows, current behavior, weather conditions and systematic geographical data analysis. In addition, the use of costly machines and technologies makes this process even more expensive. Participation of private players, in such situations, can effectively contribute in enhancing the port operations and technical efficiencies. Private participation has been expanding in the port sector over the years, and public private partnership models (PPP) have emerged as the most technically apt developmental solution. “PPP models help in developing port operations and technologies in a planned manner, wherein the participation from private players can assist government bodies in enhancing the operational efficiencies by enabling access to globally advanced technologies,” adds Agarwal. The Ministry of Shipping considers PPP as the best mode of development, wherein the tariff reforms has further enhanced the growth of the sector. Presently, 36 PPP terminals are operational at the major ports, while 34 are under construction. Exploring the positive approach from the private players into port operation and development activities, the government also outlined and initiated numerous initiatives favoring the participation of multinational and global players.

Future Prospective Raising total port capacity is outlined by the Ministry of Shipping as a need of the hour for meeting the dynamic growth in the maritime economic activities. By considering the prevalent scenario of economic activities, the Ministry has now set a target of achieving more than 3130 million tonnes of total port capacity by 2020. Apart from meeting the growing demand for import and export activities, the enhancement in port capacity can also enhance in the potential in accommodating large sized cargos and container volumes. Furthermore, about Rs 21,000 crore have been invested in 30 projects during the current financial year in achieving the target outlined by the Prime Minister’s Office for the Port sector. The government has also allowed foreign direct investment (FDI) of up to 100 per cent under the automatic route for projects related to the construction and maintenance of ports and harbours and a 10-year tax holiday for enterprises engaged in port. The proactive approach and investment planning though outlines a positive sketch for India’s port sector, the ability for quick adoption of infrastructural facilities, need for developing world-class terminals with deep drafts and mechanization of port terminals prevails as a crucial and immediate requirement. Players involved in the sector though varies in reviewing the approach over government policies, uniformly upholds mechanization as an able and only solution to enhance the India’s port sector on a globally accredited level.

May 2014 / / ICE Connect


In Person

Ports-A Critical Infrastructure for Indian Economy NN Kumar, Chairman, Jawaharlal Nehru

Port Trust, in an exclusive conversation with Veena Kurup, Elets News Network (ENN) shares his outlooks over the prevalent scenario of Indian ports, need for efficient port infrastructure and opinions on recent governing policies on port sector

Jawaharlal Nehru Port Trust is considered as a major player in the port sector. As a sector leader in this space, please throw light on the port sector in India? Port sector in general and major ports in particular are in a rapid growth phase. Overall 23 projects out of the targeted 30 projects for FY13-14 involving a total capacity addition of 116 million tonnes (MT) were awarded in all major ports up to mid-February. The largest project in the port sector in India, i.e. Jawaharlal Nehru Port Trust’s (JNPT) fourth container terminal, has been awarded to PSA. Through this project the container handling capacity of JN Port will be more than double the present capacity. The overall traffic at Indian ports, including major and non-major, grew by a modest 2.2 percent year-on-year in FY13. Shipments of crude oil and petroleum products, containerized goods and coal which together accounted for 71.8 percent of the traffic at major Indian ports grew by 5.1 percent in FY13. This was particularly driven by an increase in shipments of crude oil and petroleum products due to the growth of India’s refining output and increase in inbound coal shipments for electricity generation and industrial activities. Container traffic (in TEUs – twenty-foot equivalent units) at major Indian ports remained subdued in FY13 and grew by a mere 0.8%. The situation was hurt by weak external demand for Indian goods as well as poor import demand due to slowdown in domestic economy. However, the tentative demand recovery in Europe and the US can drive up global container trade as well as outbound container shipment volumes from Indian ports in 2014. In addition,


ICE Connect / / May 2014

In Person

a sustained growth in international trade led by increasing demand from Europe and the US along with containerization of existing cargo could lead to an improvement in container volumes, as the pace of cargo containerization in India is only 22 percent as against the 85 percent index in the developed nations. Port is a critical infrastructure for our country and for the development of our economy. However, the importance of the ports is often not directly understood by the masses. The impacts on daily livelihood and inflation due to lack of required port capacity and inefficiency of equipment qualitative infrastructural facilities at the ports are often not clearly understood. The situation hence demands for a proactive approach from the stakeholders involved in the sector to create such awareness among the masses about the importance and need for efficient ports and port facilities for the development of our economy. Recently, a drop was witnessed in the total cargo handled at JNPT, falling to 62.35 MT as against 64.49 MT in the previous year. What could be the possible reasons behind this fall in the cargo handled? The containerized cargo handled by major ports was 7.47 million TEUs, marginally lower by 3.10 percent than the 7.70 million TEUs handled in the last year. Of this total index, JN Port handled 4.16 million TEUs which is 55.74 percent of the container traffic handled by the major ports. This year also JNPT retained its first position in container handling among major ports.

Cargo volumes fell in the last fiscal, mainly due to the labour troubles and cut in the output by one of our private terminals. Our own terminal registered a growth of 8.66 percent in volume, but our two private terminals reported lower volumes. While both these terminals were hit by a strike and go-slow action by employees, NSICT fearing revenue loss, reduced the volume after the tariff regulator cut its rate in 2012. This ultimately resulted in a fall in the cargo volumes handled during the period. With the increasing private participation and development of ports in the neighboring state of Gujarat, do you see a shift in the cargo inflow from JNPT? The report of cargo shifting from JNPT to private port is untrue. We have been handling four million plus TEUs of cargo for the last four years. What has shifted is the growth in the cargo volume. After 2006, we did not add any capacity. Cargo growth of last five years, i.e. 15 percent growth in the first three years and eight percent in the last two years (about three million TEUs) has moved to the other ports. Our port has always functioned at 100 percent capacity levels. Essentially, the cargo that we could not handle moved to the neighbouring ports. With the increasing maritime trade and economic activities, the need for deep-draft ports has been constantly on a rise. Can you detail

MAY 2014 / / ICE Connect


In Person

us about the development of dredging activities being executed at JNPT? JNPT shares about 22 km long main harbor channel with the Mumbai Port. The Mumbai harbor channel is presently maintained to a depth of 10.7 – 11m below Chart Datum. JNPT has a navigational channel of 7.2 km in length, which is maintained to a depth of 11m below Chart Datum. Presently, large size vessels having a draught up to 12.5m navigate through Mumbai harbor main channel and JNPT channel, making use of the tidal window. The Port is deepening and widening the existing channel to accommodate up to 14m draught vessels (+6000 TEU vessels) by using the tidal window. The dredging component of the work was completed on 15 February 2014 and foundation work of the leading lights is in progress. Tata Consulting Engineers is the Engineer for this project. Furthermore, under the Phase-II dredging project is in the planning stage, wherein the focus is to deepen the channels from 14m – 15m. The feasibility report for the Phase-II capital dredging project has been already submitted. The estimated project cost is Rs2,774 crore. The proposal for granting permission to carry out detailed proj-

ect report (DPR) with additional studies required for the completion of DPR has been already put forth before the Ministry of Shipping. We have also requested the Ministry to grant 75 percent cost of the project or budgetary support for this project. Is development of facilities like World Class Terminals a need of the hour to accommodate large sized vessels and increasing water commutation networks? The Ultra Large Container Carriers (ULCCs) have been deployed by Maersk and other big shipping lines in port overseas. Deployment of


ICE Connect / / May 2014

such vessels depends not merely on the fact that the port infrastructure supports such vessels or not. For such development, one needs to assess if the economy and the commercial activity of the region supports such volumes of trade and requires such vessels. In India, JNPT need to be a transshipment hub for such big ships to be able to call at our Port. The Planning Commission now wants rates at ports owned by the states to be regulated. Share with us your views on this policy. Can this be considered as a favorable measure? New ports that receive viability-gap grants from the Indian government for construction to boost their financial viability will need to have a pre-determined tariff as a pre-requisite for availing the grant, as per the India’s apex planning body. The Commission says that that the plan is to have tariff caps, which is essential to prevent projects from being used for speculative gains. Such rate ceilings do not exist now at any of the ports owned by the States. The Union Shipping Ministry, through its Maritime Agenda, has taken several steps to achieve a market-linked rate regime for the major ports to put them on par with the non-major counterparts. It is at this juncture that the Planning Commission has prescribed regulating rates. The Ministry had earlier tried to regulate ports owned by the States by drafting port regulatory authority legislation in 2001, but the plant was abandoned after the States and other stakeholders, including the Planning Commission objected the move. However, this time, the chances of the plan sailing through are bright as it is linked with the viability-gap funding. All new ports to be constructed with such funding will have to follow a model concession agreement, which in turn, prescribes a tariff cap. The objective, according to the Commission is to secure value for public money and provide efficient and cost-effective services to the users. Financially-stressed States are unlikely to say no because it would eliminate the possibility of getting this fund from the Indian government to build new ports. Even if no VGF is involved, the States may still be forced to follow the model document as the lenders may insist on adopting such standard frameworks approved by the Commission and would be comfortable on lending in the basis to protect their interests. Moreover, the Commission also states that a tariff cap is necessary as the States are giving monopoly rights for the projects; this move guarantees and compensates the port operators from construction of competing ports within a 50km radius for 15 years. Hence, irrespective of VGF received or not, the model document, instead of acting as a guiding principle for the State authorities, will ensure continued government control on rates, operations, cargo, customer composition, productivity and performance standards.

Expert Speak

PPP Model for Growth of India’s Port Sector The gaining prominence of India as an attractive economic hub for trade and maritime activities has leveraged the need for world-class terminals, PPP projects, rising private investments, qualitative technologies and equipments to ensure efficiency of port operations, opines Rajiv Agarwal, Managing Director & CEO, Essar Ports, in conversation with Veena Kurup, Elets News Network (ENN). While the growth in infrastructure sector has taken a hit recently, ports remain major drivers of the economy. Share with us your outlook over the sector’s prevalent scenario? Ports, apart from being an economic business generating sector, are also a service industry, wherein the growth of the sector depends on the growth of the industry. The sector and government expected a much higher growth in the industry and accordingly forecasted that by 2020, the total cargo handled at Indian ports would go up to 2.5 billion tonnes. The capacity needed to handle such type of cargo will be around 3.3 billion tonnes. But, in the last 3-4 years period, despite a slowdown, the sector posts a decent growth. The lull in the sector’s growth is mainly due to the reduction in the exports of iron ore. A positive trend being witnessed is the increased inflow of coal and petroleum cargo. We are very optimistic about the opportunities ahead and expect the sector to


ICE Connect / / May 2014

expand this fiscal. However, there is scope for improvement in the port facilities and using advanced mechanized services. Modernization of ports and port facilities is being upheld as a matter of prime importance today. Share with us your views on the need for modernization of ports? India has emerged as one of the prime economic hubs for attracting investments and leveraging trade activities. The increasing trade and economic activities has increased the inflow of cargo to Indian ports. This has raised the requirement for accommodating large sized container vessels, which had further raised the demand for deeper drafts, good evacuation facilities and ability to accommodate large sized vessels. The use of advanced mechanized facilities can help reduce the turnaround time, operational efficiency and the transportation cost.

Expert Speak

Transportation cost plays a vital role in the executing the export and import activities of the cargos. Use of advanced and minimal or maintenance free port equipments is another need of the hour. Do you see a technical gap between the technologies and port equipments available and utilized at the country’s port sector? The new ports which are being developed are completely in line with the globally available facilities and technologies. However, few of the major ports in India still have old infrastructure facilities, which needs to be augmented and requires constant updating. Even the dredging facilities at the ports have a vast scope for improvement, because most Indian ports do not have very deep drafts. This hinders the accommodation of large vessels. Deeper drafts with better mechanized facilities help to accommodate large vehicles with more cargo in a shorter time span. This ultimately results in enhancing the trade and economic activities. The scenario has also raised the need and requirement for world-class terminals and well-established transportation connectivity at our ports. What is Essar Port’s approach towards adopting and implementing mechanization? All our ports are equipped with advanced technologies and efficient mechanized facilities. Our focus is always on making investments that can last for 30-40 years. The world is growing and going forward, the demand for larger tonnage ports is going to rise. We focus on ensuring deepest drafts in all our port terminals and providing effective maintenance. For dredging at Essar Ports, assistance from foreign companies is utilized for capital dredging, while Essar Ports does the maintenance dredging. Maintenance of drafts is of vital importance on ensuring effectiveness in the port operations. Is maintenance a challenge in ensuring the effectiveness of deeper drafts at port terminals? Maintenance is definitely a challenge at Riverine ports which has siltation. Such a situation requires continuous dredging. However, dredging is expensive. Furthermore, the equipment should be efficient and well suited for the specific requirement. Dredging, apart from employing advanced technologies and maintenance, is a tricky business. It involves a detailed study and planned approach over a long period. Factors like wave flows, current behavior and weather conditions are analyzed. Dredging as is an expensive business. We need companies that can offer and deliver advanced mechanisms.

How has the planned mechanized activities contributed towards the operations at Essar Ports? Our strategy has been to maintain a very tight, focused operational approach. This planned approach has enabled Essar Ports to gain the best EBITDA margins in the industry, which has helped us in reaching critical mass. We believe in high level of mechanization at low cost and achieving the maximum operational time and capacity utilization. Our major aim is to execute projects as per the cargo inflows; we do not implement projects where we do not have cargos. Mechanization contributes in managing the operating cost of the terminals. In ports as in service industry, managing operating cost which is about 20-25 percent - is vital. We follow a planned approach while selecting and equipping our equipments. Cargo loading and unloading plays a crucial role in port operations, and mechanized facilities help in reducing turnaround time. We maintain a customer focused, tailor-made approach while selecting and deploying port technologies or equipments. How do you see the government’s approach towards PPP initiatives in ports? Public-private partnership (PPP) models are considered to be effective as they help in bringing a balanced developmental approach. They help in developing port operations and technologies in a planned manner, where participation from private players can assist governments in improving the operational efficiencies by enabling access to advanced technologies. However, a more proactive approach needs to be adopted by the government, especially in supporting the private players, in executing such projects.The cost of raw materials is rising, and the situation has become more complex due to the inflationary pressure. The government needs to encourage private players by increasing the flow of revenue to the sector, making it operation friendly etc. Absence of support from government will result in a one-sided developmental approach, which will result in India becoming less competitive globally. Essar Ports had earlier outlined its plans for the current port capacity. Do you see the target achievable even now? Also tell us about your expansion plans? Essar Ports is currently focused on completing its existing projects at Paradip and Vishakhapatnam. We are very hopeful of achieving our targets, and once completed, our projects will double our port capacity to about 180 million tonnes per annum (MTPA). We expect to achieve this target by 2016-17. We are planning to add 20-25 million tonnes to our port capacity by this fiscal. Currently, Essar Port has projects for developing coal terminal at Paradip which has yet to be implemented though it was signed in 2009. At Vizag, we have the won concession for project implementation but some judicial cases have to be resolved. Apart from these, we have a project for coal terminal at Salaya in Gujarat. Though the project has been delayed because of clearances, we are hopeful of implementing it soon. We are optimistic of clearing our hurdles and achieving our desired target capacity soon.

May 2014 / / ICE Connect


Cover SmartStory Construction - Profile

Dighi – The Port of Choice The first and largest greenfield port of Maharashtra, Dighi Port with its world-class infrastructure and end-to-end logistics solutions, posseses the potential to become the centre of vital marine business initiatives


eveloped by Balaji Infra Projects Ltd (BIPL) under a 50 year buildown-operate-share-transfer (BOOST) Concession Agreement with the Maharashtra Maritime Board, Dighi Port is the first and largest Greenfield port of Maharashtra. It is being developed as a multipurpose, multi-cargo, all-weather port with deep draught, direct berthing facilities and modern cargo handling equipments. The port is also equipped with adequate stack yards and warehousing facilities, back-up areas and has a land bank of approximately 1600 acres.

location within a natural harbor and exclusive channel offering a depth of 12.5m. With cargo handling terminals on either banks of the creek, the port can handle all types of cargo in all weather conditions. It is located at a distance of 42 nautical miles (NM) from Mumbai Port and 170 km south of Mumbai by road. The port is also connected to the National Highway 17 (NH 17) which is 45 kms from the port, by the state highway. The nearest Central Railway rail head Roha is 35 kms away.

Strategic Location

Dighi Port is being developed on the two banks of the Rajpuri Creek,the south bank (Dighi Side) and the north bank (Agardanda Side) . Under the Phase-I, five multipurpose

The port is located on the banks of Rajpuri Creek in Maharashtra’s Raigad district. It is one of the deepest ports in Maharashtra, its

Port Development & Technologies

berths will be developed and will offer an alongside depth of 14.5 m. In addition, two multipurpose berths having a single quay length of 650 m have been developed on the south bank, which is the longest quay length by a non-major port in the state of Maharashtra. The north bank will offer three multipurpose berths having a total quay length of 1100 m. Piling work for the berths is in progress and all three berths are likely to be ready by last quarter of 2014. The north bank will be used for handling containers and other clean cargo. The berths are equipped with multipurpose Gottwald Mobile Harbour Cranes for efficient handling of cargo. The port plans to handle bulk, break-bulk cargo such as agri products, bauxite, cement, clinker, coal, fertilizer, steel etc. and liquid cargo at the south bank. Currently the port is handling bauxite, coal and steel cargo on a regular basis. It has successfully handled Post Panamax and Capesize vessels having a DWT (deadweight tonnes) of up to 1,55,000 million tonnes. Average discharge rate at the port has been in excess of 1000 million tonnes per hour. The port has handled in excess of 4 million tonnes of cargo till date. Total installed capacity in Phase-I will be 30 million tonnes. Under Phase-II, the port will offer a depth of 16 m and a capacity to handle 60 million tonnes of cargo. On completion of Phase-III, Dighi Port will offer a depth of 20m and will have a capacity to handle 90 million tonnes of cargo.

Effective Connectivity While Dighi Port enjoys a strategic location, it is also connected with an efficient road and


ICE Connect / / May 2014

Cover SmartStory Construction - Profile

rail network. These facilities give it a further leverage. ”” Road: Both banks of the port are connected to NH 17 via four state highways (SH). The north bank is connected via SH 92, 96 and the south bank is connected via SH 97 and 98. Joint inspection and survey of the state highways has been completed by PWD (Public Works Department) and Dighi Port Ltd. Land for two-laned roads with paved shoulder is available on all state highways, giving the port a four lane facility. NHAI has also commissioned a study through Feedback Ventures to upgrade SH 97 and SH 92 to four and six lanes, while work on four laning of NH 17 is in progress. All development works as per previous schedule have been completed and permission has been received from PWD to develop the state highway on BOT basis. ”” Rail: Dighi Port has received an approval from Ministry of Railways to develop the railway siding at the port under the ‘Special Purpose Vehicle’ (SPV) model of its recently announced 3i Policy. Rail Vikas Nigam Ltd (RVNL) is a strategic partner and has invested 26 percent in the project. The port will be connected to the nearest railway head, Roha, which is 35 kms away.

SEZ and FTWZ at Dighi Dighi Port is designed to provide multiple

facilities, unlike other ports. These facilities will be value added components and involv the Special Economic Zone (SEZ) inclusive of a Free Trade Warehousing Zone (FTWZ), which will further develop the industrial community along with a rail and road network.

DMIC and DFC Dighi port is the final node of the DelhiMumbai Industrial Corridor (DMIC) and is being developed as a multi-modal logistic hub. An industrial city named ‘Dighi Industrial City’ is scheduled to be set up near the port under DMIC. In Maharashtra, DMIC will have industrial parks, for food processing, light manufacturing and heavy manufacturing. It will also have multimodal and logistics supports as well as distribution networks. Around US$ 2 billion is expected to be invested in Dighi Port as part of DMIC, which will facilitate the investment of US $ 6 billion for creating industrial and multimodal logistics hubs in Maharashtra. Dighi Port will also cater to a number of industrial clusters like Dighi Industrial Area in the Vile Bhagad(Steel, Power and Project Equipment), Pune-Chakan(Automobiles, Agriculture, Chemicals and Ancillaries), NashikSinnar(Power, Agriculture and Ancillaries), Igatpuri, Sinar, Roha and Chiplun regions. Dighi Port may also be included in the Dedicated Freight Corridor (DFC), a SPV set up by the Ministry of Railways.

National Investment and Manufacturing Zone The Dighi Port Area has been identified as a one of the seven mega National Investment and Manufacturing Zones (NIMZ) under Government of India’s new Manufacturing Policy. A total area of 230 sq km is allocated for the development of the Manufacturing Zone in Dighi Port. The NIMZ will entail an investment of US$ 5 billion and will include support infrastructure and services like multi-modal logistic hubs, container freight stations (CFS), inland container depots (ICDs), warehousing, cold storages, cargo distribution etc.

Dighi on Completion Once completed, the integrated port will have few parallels. It has the potential to become the centre of marine business initiative, thanks to its world-class infrastructure and end-toend logistics solutions. Dighi Port has a total sheltered waterfront of 5 km with a capacity to build up to 18 berths to handle up to 90 million tonnes of cargo. The port has plans to increase the existing depth phase wise up to 20 m. With the gateway ports in Mumbai currently working at full capacity and even at stretched capacity, Dighi Port with its strategic location and well planned infrastructure is geared and ready to handle the cargo generating from North, West and Central India in a hassle free and economically viable manner. Dighi Port offers entire value chain under one umbrella.

May 2014 / / ICE Connect


Cover SmartStory Construction - profile

Krishnapatnam Port – Logistical Landmark of Eastern Coast New Seemandhra Industrial Zone now has a world-class seaport which, through its highly equipped facilities is expected to change the economic and trade outlook of Seemandhra region and soon emerge as the export-import centre of industrialization. Reports Veena Kurup, Elets News Network (ENN)


ICE Connect / / May 2014


fter the bifurcation of Andhra Pradesh into Telangana and residual Andhra Pradesh (Seemandhra), the Government of India accorded Special Category status to Seemandhra for five years, along with tax incentives for 10 years to promote industrial development. It had earlier given tax incentives to Haryana

and Himachal Pradesh that included zero percent excise duty, income tax rebates, accelerated depreciation, rebates in VAT, etc. Similar tax incentives are expected to be given to residual Andhra Pradesh (Seemandhra) once a new government is formed post elections. Such an incentive package is a first-of-its-kind tax to any coastal state of India.

Cover Story - profile

Industrialization Advantage Krishnapatnam Port Container Terminal offers that impetus in developing Nellore region as a industrial and logistical hub with its state-of-art, all-weather, round the clock operational terminal, handling a record volume of 60,000 TEU in its first year of operations. In this backdrop, Seemandhra region is poised to see massive industrialisation with several regional and international companies gearing up to make huge investments in various projects. With a long coastline, Seemandhra region is perfectly placed to take advantage of such an opportunity. Particularly, Nellore, the port city in the southern-most district of Seemandhra, is poised to become the most attractive destination for industrial activity in the newly formed state. What differentiates Nellore from the rest of the region is the potential that the area offers - vast land availability, proximity to the sea, rich mineral wealth, abundant power capacity addition of more than 15,000MW and availability of water. But the key differentiating factor which will transform Nellore district into the biggest industrial zone in Southern India is the presence of a worldclass seaport - Krishnapatnam Port which is just 25 km away from the Nellore city.

five state-of-art Super post-Panamax quay cranes deliver the highest productivity levels in India, besides gantries and other equipment. It is also well connected by a 24-km double-line rail (with on dock rail siding in the container terminal) and 4-lane road to the national grid, making for swift access and evacuation of containers and cargo. This has encouraged some of the world’s top container line vessels in the world, viz. Maersk Line and MSC to already start calling at KPCT and offering connectivity to more than 300 ports worldwide. The terminal’s hinterland covers southern Andhra Pradesh, Hyderabad, Tamil Nadu, Karnataka, including Bangalore and even parts of Maharashtra.

adding numerous strengths like maximum efficiency, minimum dwell time and maximum safety, thus making it one of the finest and most modern ports in the world. This port will change the outlook of Seemandhra and naturally emerge as the export-import centre of industrialization as the trade prefers to set-up their plants in its vicinity.

Global Connect India’s increasing trade with countries in South-East Asia and the Far East make KPCT an ideal option for importers and exporters dealing with the regions. The excellent connections offered by the container liners from KPCT to all parts of the world is benefitting

Pride of the Eastern Coast Krishnapatnam Port is a massive project high on capital investment and focused towards the socio-economic growth of the region. Krishnapatnam Port has already attracted major industries around the port - thermal power plants, edible oil refineries, lubricant plants, steel plants, leather parks, fertiliser plants, SEZs, multi-product industrial zones, etc. Having noticed the potential of the container trade in the region, a new terminal - Krishnapatnam Port Container Terminal (KPCT) - was developed by the port. This terminal, in its first year of operations, has become one of the largest and deepest draft terminal on the east coast of India. This new mega project KPCT - is poised to become the nerve centre for industrialisation in Seemandhra region. Phase-I of KPCT, has a capacity of 1.2 million Twenty-Foot Equivalent Units (TEUs) with two berths of 650 million tonnes in length. Technically superior facilities like the

Food Industry The seafood industry of Seemandhra benefits immensely by shorter road transportation and faster transit via KPCT. As a result, several aqua exporters are taking advantage of the global prices. The terminal recently handled imports of fruits (oranges, apples), dates, and timber, which are brought to the port from as close as Myanmar to as far as Latin America. Such is the potential of this terminal that the traders can reap rich benefits by using its world-class facilities. New services are constantly getting added; new lines are exploring their opportunities, new business ventures are being formed, clients are getting in long-term contracts, and slowly an investment boom is taking place. The port is in the process of

the importers and exporters in the immediate hinterlands of Guntur, Ongole, Vijayawada, Gudur, Kodur, Nellore, etc. The trade in these areas is enjoying a closer and more efficient option, facilitating reduced transportation costs, thereby increasing their competitiveness in the global markets. Agricultural commodities such as coffee, maize, rice, groundnut, chilies, onions, raw cotton, tobacco, etc can be stored in the port’s warehouses for container stuffing; while timber and granites - both rough blocks as well as finished slabs, can be handled in open yards with the state-of-art equipment available at the port. Importers can also lift their boxes direct from the container yards to the factories without going through container freight stations.

May 2014 / / ICE Connect


Smart Construction

Nanotechnology Paves New Wave of Sustainable Roads With a vision to ‘Innovate, Sustain and Redefine’, Zydex Industries upholds nanotechnology as the effective mode to build roads for the future. Vivek Kane, Executive Vice President, Zydex Industries, in an interaction with Veena Kurup, Elets News Network (ENN) details the core process, benefits and need for this new constructional reformation.


oads are a vital component in nation building and one of the most effective modes to establish socio-economic and political networks. For a country like India, blessed with robust monsoons, moisture becomes an enemy of the roads. Ingress of water in the rainy season weakens the road’s soil base, de-bonds the prime and tack coats, and destroys the bituminous layers, causing undulations and potholes that affect the ride-quality of the road-surface. Clearly, it is evident that the traditional and prevalent technology for road construction provides very limited protection against moisture, ultimately resulting in poor quality of roads during monsoons. This leads to a shorter lifespan for road, increased cost of in maintenance, repair and redevelopment of the roads. Nanotechnology is one such reformed modes which when potentially adopted can redefine and address the rising concern of poor quality roads. As per the American Chemical Society, one nanometer is on billionth of a meter. Nanotechnology deals with sizes between 1-99 nanometers. A size 100 nanometer or more is considered as 0.1 micrometer, which is out of the gamut of nanotechnology. The technology though has spread its wing across distinct scientific processes also plays a pivotal role in the road construction, especially in building sustainable roads.


ICE Connect / / May 2014

“Nanotechnology is expected to revolutionize the urban and rural India” Vivek Kane, Executive Vice President, Zydex Industries

Smart Construction

Zycotherm warm mix, ensures 100 percent coating, workability, low temperature compaction and anti-stripping performance of the road surface. The products and technologies enable you to build moisture resistant, long lasting and maintenance free roads.

Boon for Indian Road Construction

Battling Hurdles in Distinct Soil Layers Construction of a road involves development at distinct soil layers, viz, the sub-grade soil, granular soil, stone-layer and the bitumen surface. The soil is a combination of sand, silt and clay, and the combination of these three components defines whether it is expansive or non-expansive in nature. Of the three components, sand possesses least expansion, while clay expands the most. A major challenge involved in road construction is addressing the challenge of water penetration and moisture content in these layers of the soil, which leads to expansion, contraction and withering of the road surface. More expansive the soil, more challenging is the road construction. The soil, if expansive in nature, can develop cracks in the road surface due to the expansioncontraction cycles. After undergoing numerous such wet and dry cycles, especially during monsoons, the road surface ultimately withers and develops cracks or potholes. Though the road contractor is blamed for the poor workmanship, moisture penetration into the soil layers is also to blame for the deterioration. Addressing these concerns hence is of vital importance for the construction of sustainable and long-lasting roads. Zydex Nanotechnology specializes in eliminating moisture related damages by waterproofing the soil bases, and chemically bonding the bitumen to aggregates like sand, clay etc, wherein the major focus is to eliminate moisture related damages. Zydex focuses to transform each layer of the soil – from sub-grade to granular to bitumen surface, completely waterproof and moisture

resistant. Bitumen contains about 85-90 percent oil substance. The major challenge involved in road construction process is the usage of aggregates, which has a great affinity to water, due to the hydroxyl group or OH group, and absorbs water. Zydex offers Zycotherm which is a chemically reactive anti-stripping nanotechnology agent for making roads durable. Upon mixing with hot liquid asphalt, Zycotherm reacts with the gravel and improves the wetting and spreading power of chemically modified asphalt on inorganic surfaced of gravels, sand and soil. It also improves asphalt-to-gravel adhesion. The product eliminates asphalt mix de-bonding due to inadequate and incomplete coating coupled with moisture ingress, thereby increasing the durability of asphalt pavements.

Bitumen consumption in India in the year 2011-12 was 4.5 million metric tons, costing `18,000 crores (current value). Of this, nearly 80 percent, valued at `14,400 crores was used for resurfacing. By doubling the lifespan of roads, Zydex Nanotechnologies can help save `7200 crores annually, in bitumen costs. If bitumen at the refinery is modified with the Zydex Nanotechnology additives, the annual cost would be only `540 crores, thus saving `7200 crores to the nation annually. The saving on forex-intensive bitumen will allow governments to build and maintain more roads. Moreover, the annual cost to the country for maintaining rural road assets is `21,700 Crores as per the Planning Commission report, stretching to 3.2 lakh km and non-PMGSY 25.5 lakh km. In view of the cost of waterproofing of about `12,000 per lane km for the top layer and side slopes, the rain inflicted damages can be brought down very economically and thus substantial amount of the `21,700 crores can be saved every year.

May 2014 / / ICE Connect


Smart Construction

Beneficial for Contractors Road construction involves two parties – the owner of the road and the contractor who builds or develops the road. The construction process also has a third aspect, wherein the contractor and owner of the road is a single authority or individual. Such a situation is applicable in the case of Build-Own-Operate-Transfer (BOOT). In a Build-Operate-Transfer (BOT) mode, the contractor invests in building a road, operates it and collects road tolls, and after a period of 20 years or so, the road is passed on to the actual owner or the authoritative body. Cost involved in construction and maintenance in road construction is a major economic challenge faced by the contractors. Nanotechnology addresses the issues of construction cost and maintenance that arise during the road construction. The technology

as makes the soil content and soil surface waterproof, increases the road’s lifespan and minimizes the maintenance costs. Furthermore, if the contractor has the authority for design modifications, then by reducing the thickness of road, utilization of limited materials like bitumen can be minimized. This results in saving 10-15 percent of the total road construction cost. Even if a contractor is not empowered to make any design modifications, savings in construction cost can be achieved by the mere reduction in the usage of bitumen. Zydex Nanotechnology allows better compaction in the road construction, which ultimately results in time efficiency in the


ICE Connect / / May 2014

construction process. Also, the less effort or manpower is required in achieving the desired compaction through the utilization of Zydex Nanotechnology.

Adoption in India Zydex Nanotechnology can efficiently play a pivotal role in road construction, especially in enhancing the durability, maintenance and lifespan of rural roads. Considering these benefits, Zydex has initiated this technology through the Pradhan Mantri Gram Sadak Yojana. The Indian government has clearly stated that the local authorities must use new technology for developing at least 5 percent of roads in India. Zydex Industries too was successful in convincing the government for utilizing these reformative technologies in the road construction process. This technol-

ogy was used during the construction of the Hyderabad-Karimnagar-Ramagundam Four Laning Road (SH-1) in Andhra Pradesh, wherein Zycosoil was mixed with asphalt. An 8 km stretch of the Upshi Sarchu Mountain Road under Border Roads in Leh, Ladakh in Jammu and Kashmir also used this technology. A three and half kilometer project in Gujarat and a 40 km project in Karnataka were launched recently.

Global Reach Though the technology is at a nascent stage in India, it is used extensively worldwide. Zydex Nanotechnology enjoys robust com-

mercial presence in countries like the United States of America, Canada, Spain, Mexico, Columbia, Peru, Nigeria, Ghana etc. Foreseeing these potentials, Zydex Industries will be exploring into Germany, UK, Sweden, Poland, Russia, Czech Republic, Turkey, Thailand, Indonesia, Japan and many more such regions by this year.

Sustainability through Innovation Zydex Nanotechnology additives allow moisture proofing of soil layers and reduce moisture permeability by 500 – 1000 times. They strengthen the soil by increasing the California Bearing Ratio (CBR) of soil, reduce expansiveness by 90% and eliminate undulations and cracking. Nanotechnology based additives make Bond Coats (Prime and Tack) 100 percent waterproof, allowing 100 percent stress transfer and saving bitumen by achieving chemical bonding. Zydex Nanotechnology contributes to global sustainability by enabling the construction of future ‘Green Roads’. Its ability to conserve perishing natural resources like bitumen and aggregates for future generations enables it to achieve this goal. Zydex Nanotechnology minimizes the use of materials, particularly components like bitumen, during road construction. In addition, the technology tranforms the locally available non-resistant waterlogged soil into waterproof soil. This minimizes the cost of materials involved in the rural road development, which is a major hurdle faced by contractors. Also, this technology allows utilization of recycled asphalt and even crumbed rubber (disposable tyres) in road construction. A major benefit associated with Zydex Nanotechnology is the increased road lifespan and reduced repair and maintenance. As we observed in our projects executed worldwide, use of technology in road construction increases the structures lifespan from an average healthy lifespan of 7 years to 15 years. Zydex Nanotechnologies are cost neutral at CAPEX and improve the road’s durability, reducing its lifecycle cost by 50 percent or more. Nanotechnology is expected to revolutionize urban and rural India, like mobile phones did earlier.


Sustainability through Innovation With a modest beginning in 1997, Zydex Industries has rapidly evolved into a multi-product, multi discipline organization catering to businesses like textiles, waterproofing, paints and sealers, roads, agriculture and industrial chemicals


oads are the lifeline for the health & sustained growth of economy. Zydex is on its way to revolutionize the road construction, with a complete suite of nanotechnology based products which holistically provide solutions to address moisture and bonding issues related to asphalt layer, prime coat, tack coat and soil bases. The road solutions pave the way for future green roads and highways, with significantly higher moisture resistance & durability, energy savings and lower construction/maintenance costs. Zydex Industries, a dynamic, research driven organization, is promoted by Dr. Ajay Ranka. After graduating as a Chemical Engineer, Dr Ranka completed his doctorate (Ph. D.) in Polymer Science in the USA. He has to his credit many US, European and Indian Patents. Under his dynamic leadership, Zydex is poised for leading a global revolution in the areas of road infrastructure & rural development, using nanotechnology. It is an Indian company that has been working on state-of the-art nanotechnology that gives all-season, pothole-free roads, ensuring faster transportation to people and minimizing the risk of accidents.

Nanotechnology Zydex has developed waterproofing products for soil, concrete, stones, bricks & all siliceous substrates. For road construction, Zydex offers a chemically reactive anti-strip nanotechnology for durable roads. It reacts with aggregates to form ‘asphalt-loving’ non-polar hydrophobic aggregate surfaces at HMA processing temperatures. It eliminates de-bonding of asphalt mixes caused due to

Innovative Solution

Dr Ajay Ishwarlal Ranka, Chief Executive Officer, Zydex Industries inadequate and incomplete coating, coupled with moisture ingress, to enhance durability of asphalt pavements.

Business Challenges Bulk of pavement deterioration is due to moisture ingress. Water ingress in to soil bases causes undulations and cracking of the top pavement layers. The situation is further aggravated in cold countries, where freezethaw cycles are common. Asphalt pavements are highly susceptible to water-induced damage, mainly due to stripping. This results in raveling, potholes etc. Non-availability of good quality aggregates, need to pave in sub-optimal conditions are examples of some other challenges faced.

Research teams at Zydex Industries have developed world’s first innovative silane nanotechnology for roads. Zydex Nanotechnology ensures chemical bonding, complete coating & consistent compaction of the Asphalt layers. It offers penetrative, quick setting, waterproofed, tack free prime coat, soil stabilization & waterproofing of road bases & slopes, making roads more moisture resistant maintenance free and sustainable. Flagship product Zycotherm, is a breakthrough nanotechnology to address de-bonding / stripping issues in bituminous layers. It chemically reacts with surface of aggregates to make them non-polar by nano modification at HMA processing temperatures and allow having excellent bonding with asphalt binder to eliminate the stripping in asphalt pavements. Zycotherm eliminates moisture / snow (salt) damage of bitumen concrete layers (60-65% cost of the road) by chemical bonding of aggregates. It neutralizes variability of aggregates and bitumen binder. It also eliminates damage due to water migration from top, sideways ingress or capillary rise. The product range comprises of: Zycotherm, Terraprime, Terrasil, Nanotac and Zycobond.

Green Future Zydex Nanotechnology is environment friendly, as it conserves limiting resources like aggregates and bitumen. It also allows use of in-situ soils minimizing use of fuel for transporting good soils over long distances. At the time of construction it minimizes odor and fumes from the bitumen mixes making it paver friendly.

May 2014 / / ICE Connect


special focus - Cement & Concrete

Realty Sector Driving RMC Industry in India The market for ready-mix concrete is advancing at a slow pace in India as against the developed markets. Pushp Raj Singh, Executive Director Sales and Marketing, Dalmia Cement Bharat Limited – South anticipates the demand for eco-friendly products and structures to drive the sector

Pushp Raj Singh, Executive Director Sales and Marketing, Dalmia Cement Bharat Limited – South


he evolution of ready-mix concrete (RMC) has been a major growth driver for the infrastructure and construction industries. Though India’s RMC consumption is low compared to western and developed countries, the RMC industry is progressing.. While RMC consumption in western countries is nearly 60 percent of the cement production, in India it is just 6-7 percent.

Snail paced Growth Labour costs are a major cause behind the low demand for RMC in India. The cost of labour


ICE Connect / / May 2014

in western countries is very high, so minimal labour involvement and cost effective construction processes are preferred. This makes RMC a favorable option in such markets. Though India also has high labour costs, however, the cost of labour has not outgrown the option of RMC. States like Kerala are moving towards RMC products, and contractors too are demanding RMC. But overall, the demand for RMC in India remains flat, mainly due to the shortages. The RMC market normally follows the cement market; with the cement market remaining on a flat index, a sluggish growth is being witnessed in the RMC sector.

special focus - Cement & Concrete

Dalmia Cements focuses on maintaining and developing its manufacturing plants and products by considering the requirement of energy efficiency. Eco-friendliness is maintained in the products from the source itself. Focus is also emphasized on the utilization of power resources, coal and lignite consumption, wherein Dalmia Cements focuses to remain on the Green Path.

Benefits of Recycled Concrete

We have grown about 7-8 percent in the fiscal last year in the RMC sector.

Eco-friendly Technologies The rising concern over carbon emissions and adoption of eco-friendly technologies in the construction process has driven the demand of light weight products, ensuring dust prevention. We have also seen the industry move towards higher grade concrete products. Many large infrastructure investors now prefer such products. These products are particularly gaining prominence in the construction of large of infrastructure projects. However, the overall demand for such products is still at a nascent stage, driven by the cost efficiencies. Dalmia Cements is currently upgrading our cement, which will be utilized for highend specifications and will be launching similar products in the future. This product will be used in large infrastructure projects, including high-rise structures. Dalmia Cement products are already being supplied to the Chennai and Kochi metro projects.

The infra-construction sectors are evolving constantly, and we anticipate a situation where the companies will opt for recycled concrete and eco-friendly products. RMC is pre-mixed, can be produced directly on-site and offers much higher consistency across projects. Many developers are moving to RMC products due to the time and cost benefits. Tier-II and tier-III cities in semi-urban and rural regions are expected to be the major demand regions for RMC products in the future. We see a 5-6 percent growth from such regions. Dalmia Cement is already receiving requests and enquiries from these regions for developing RMC manufacturing units. Exploring this potential Dalmia Cement is in the process of developing an additional unit in Belgaum, Karnataka. The plant will manufacture cement which will be supplied to RMC and will have a 2.5 million tonnes capacity. The manufacturing unit is expected to commence its production by July or August this year.

Demand Drivers The real RMC demand in India is driven by the real estate sector, which contributes 76 percent of the total RMC consumption. After this are the infrastructure and industrial sectors, that contribute about 20 percent of the total RMC consumption. In addition, the growth of power projects, especially hydro power projects, has positively impacted the RMC market in India. Projects involving dam construction that require huge amounts of cement prefer RMC. Infrastructure and real estate plays a crucial role in driving the demand for Dalmia Cement products, wherein 25 percent is raised from the infra projects and the

balance is driven by the realty sector.

Combating Hurdles The RMC sector in India, due to the flat demand in cement consumption, has been progressing at a sluggish rate. Availability of credit remains as a major hurdle for the RMC manufacturers in India. The delayed execution of projects, lack of fund availability and shortage of aggregates further add pressure on the RMC market in India. The ease in availability and inflow of credit facilities can contribute to accelerate the demand and supply of the RMC market in India. A stable government, policy initiatives and a more proactive approach to fast track infrastructure projects can surely fast track the demand and supply of RMC in the future. West Bengal, Bihar and Gujarat were the major growth areas for the industry in last fiscal. Opportunities from the North-Eastern regions, due to the large infrastructure projects being executed, have also brightened the RMC market.

Expansion Plans Dalmia Cement has set up a plant in the north-eastern and enjoys a strong presence there. Its production capacity there is about 2 million tonnes and Dalmia Cement will soon develop a plant there. In the south, the Dalmia Cement plant has about 9 million tonnes of production capacity, and with the start of Belgaum unit, it will rise to 11.5 million tonnes. Dalmia Cement adds a new product after surveying the market. Once the Belgaum plant starts, a new product will be added in Dalmia Cement’s portfolio. Dalmia Cement recently re-launched the Ultra with HALC technology in August 2013 and is receiving positive response from the market. In addition, two other products are streamlined to be soon launched. Dalmia is among the few manufacturers who offer oil-well cement, supplies cement for railway sleepers. The cement for railway sleepers is based upon a green initiative and replaces the need for wood as the construction material. India is a developing country, the growth in GDP supplemented with new initiatives and investments on the infra projects and loosening of credit will accelerate the growth pace of RMC in the future.

May 2014 / / ICE Connect


Expert Speak

Aesthetics and Green Materials are Market Trends in Concrete In conversation with Veena Kurup, Elets News Network (ENN), Manoj Kumar AMICT, Managing Director, HESS Concrete Machinery India Pvt Ltd elaborates on the current market trends in concrete technologies for India What are the focus areas of your company in this financial year? Our focus is only on concrete products and we aim to diversify to related industries. We offer concrete elements for building construction, infrastructure, industrial and related sectors. In India, we started with a manufacturing unit in Bangalore and are into handling equipments. The key components come from Germany and balance is done here. India will be our sourcing hub in the coming year. Because of the large English speaking community, manpower available 24x7 and the learning mindset of the people, it is easier to cope with international market conditions as well. Also, it has been announced that Bangalore will be a hub for semiconductor industry and in the next 10 years, about US $ 400 million revenue is expected from this area. Hence, our main focus is Bangalore, We are already manufacturing on our model in India and more technologies are being brought here. What are the major challenges that you are currently facing in the Indian market? We usually face a lack of product awareness in the Indian market; comparatively, global markets like Europe and Africa are matured and have an established product knowledge and penetration. India is a nascent market. There was a possibility to come up, but against the inflow of cheap and lower quality Chinese products that are currently available in the market. We are ready to make India our manufacturing hub, however we need government support for the same as we have been involved in R&D for many years and bring our expertise and excellence in technology to the market. The customer invests in low grade technology and


ICE Connect / / May 2014

suffers in the long run; instead if they invest in world class technology, they are sure to get better results. We always believe in quality benchmarks and are doing well in the market and have created a qualitative niche presence in India. Please elaborate about your product basket for Indian customers? We have universal machines that can produce hollow blocks, solid blocks, inter-locking pavers of different colours and shapes for different applications including building constructions, exterior areas or for infrastructure on bridges and roads. We have piping machines for the concrete pipes which can be used in sewerage and drainage systems. The machine, through its advanced mechanized features, limits the manpower requirement. Our concrete product machine RH 600-2 is fully automated, wherein the data points are fed on PLC, making it easier to manage resources. We also offer the Multimat RH 500, which is a semi or fully automatic version and is compact. The machine is capable of producing curbstones, pavers, hollow blocks or similar concrete products in a semi-automatic or fully automatic version. These machines can maintain a temperature lower than the surrounding; thus, we offer thermal and sound insulation which is a cost effective solution for companies that build green buildings in India. We offer acoustic features for such buildings. In bridge construction, we have a unique product called retaining wall block, which saves the total construction time. These can be used for other infrastructure projects, instead of demolishing them. This reduces the amount of debris . What are the advantages for the contractors on the new products that you have to offer? Contractors can save cost and time using our products. The quality of construction is also much better and finish is better. Our batching plant RH 500 comes in semi-automatic and fully automatic versions and is ideal for building, housing villa or road projects. It can be shifted across locations easily. We have a light weight concrete production plant. The plant offers to achieve the density of 500 kg weight concrete block and these have huge installations in India. The machine reduces manpower during construction. We use thermal insulation products, which help achieve energy efficiency on the foundation loads, structural loads and electricity consumption, labour involvement and are cost effective.

Expert Speak

Innovations in Concrete Business Anil Banchorr, Chief Executive - Concrete Business, ACC Ltd, outlines the latest developments, emerging R&D themes and sketches the future roadmap for the Indian concrete industry. In conversation with Rachita Jha, Elets News Network (ENN) Being an industry major, please share your insights on demand trends in the sector? India is a major emerging economy and has attracted significant FDIs in construction & realty sectors. This has resulted in massive growth in demand for projects in residential & commercial set-ups, industries & infrastructure segments. The usage of modern construction technologies and application processes has led the Indian concrete industry to look much more beyond the normal conventional concrete systems and methods. Notable trends in the market which drive innovations in concrete technology & applications include hi-tower approaches in realty sectors, green buildings concepts, and commercial buildings for service sectors like IT/ITES/BPO, banking and medical tourism. In addition, there are fast paced time-bound large infrastructure projects, rapid road construction projects and industrial corridors/developmental projects. The new concrete technological advances include designing of mixes, sourcing & usage of raw materials, developing value added solutions & making attempt to approach to mindset change of users in influencing and embracing to the new technologies. What are the latest innovations in concrete technology? The concreting needs nowadays are larger in volumes, and site mixed concrete applications are no longer sustainable as construction business applications. Now this has been largely converted into the Ready Mix Concrete (RMC) applications in servicing the economy by larger capacity productions and weight based mixing options with power mixers very precisely and usage of world class systems and instrumental control mechanisms. These heavy volumes of concrete placing are done by high pressure hydraulically operated concrete pumps-static & boom placers, tower cranes, special buckets, large conveyor pumping systems etc. These offer large savings in labor costs & time. The transportation of these RMX concrete is done through specially agitating drums mounted on the trucks i.e. transit mixers or dumpers or conveyors depending on the logistical needs.


ICE Connect / / May 2014

Share with us your new product development strategy that makes you one amongst the top market leaders? Our focus is on sustainable construction methods and technology for the future. Based on the growing construction trends and keeping in mind the futuristic objectives to meet the applications and uses & regarding the concrete technology & its applications, we provide the Value Added Solutions (VAS) - this is value engineering. Based on the product life cycle theory, all the above developed VAS specifics are in the introductory phases of construction needs. Hence, the demand analysis for these applications is very limited and scope for VAS are tremendous in this growing economy based on the trend studies and shift of modes of construction practices obtained. The thrust is to obtain customer delight by serving the different options and making them understand the rheology of mixes and uses to get the cost-benefit out of VAS in the projects we serve. What will be the future roadmap for the concrete industry in India? We expect that in future, the demand for the VAS will grow especially as the architects, structural consultants, influencers, applicators, users & end users are better able to understand the dynamics of the game in reducing project costs. The use of the technological advances and need analysis will ease out the nature of project with low cost models of business ideas and implement to achieve economies of scale for the companies in India. Cement consumption in India has gone beyond 240million tonnes in 2013 and we foresee significant opportunities for growth up to 2021 with projections crossing 380 million tonnes. Similarly we also expect demand for concrete to rise from 80 million cubic meters annually to 127 million cubic meters annually by 2021. The major challenge is the access of locally available raw materials for concrete, particularly due to source depletion/environmental concerns. Other trends we foresee would be securing alternative sources and substitutes for aggregates, and technological shifts towards recycling.

Case Study

Putting Mumbai Monorail On Track Autodesk AutoCAD Civil 3D has established India’s first monorail project as a precedent for achieving a level of accuracy of up to 1 mm per meter and accomplishing 80 percent time optimization in deliverables


he Mumbai Monorail project is the first-of-its-kind in the country, built by an L&T-led consortium, using the AutoCAD Civil 3D software for optimized productivity, time, and resources. Unlike conventional rail systems where the train runs on dual tracks, monorail operates on a single beam - called guide beam - on an elevated corridor. It’s considered amongst the world’s most modern urban transport systems. In urban India, especially Mumbai,

where land resources are scarce, the monorail project duly assumes immense significance, as it is seen as a viable option since it has the smallest footprint, is eco-friendly, low-cost and free of noise pollution. The straddle type monorail system, equipped to carry two lakh passengers per day, complies with the highest international standards of safety and reliability besides allowing high maneuverability by negotiating sharp curves and handling curves up to 6 percent. It is expected to decongest the highly crowded areas of Mumbai like Jacob

Circle, Wadala and Chembur and will link its west and northeast corridors. The 19.54 km long monorail project will have 18 stations in its route and will also connect the existing suburban railway system and the forthcoming metro rail in the city as part of a multimodal transport system.

Fast Track Project For the consortium, the project covered design works, development, construction, manufacturing, supply, installation, integrated testing

May 2014 / / ICE Connect


Case Study

and commissioning, all within a tight schedule. It is being implemented on a fast-track basis as the design facilitates execution with minimal demolition of structures. The project needed software that would help meet the challenge of building this first-of-its-kind monorail project in the country within stiff timelines and standards to also help bridge the multi-pronged simultaneous collaboration between the many teams and stakeholders. The consortium chose to adopt AutoCAD Civil 3D software, a comprehensive product for the design, drafting, and management of a wide range of civil engineering project types involving complicated geometry even in 3D spaces — including challenging transportation projects.

Complexity of Geometric Design The Mumbai Monorail project was challenging at many levels, beginning with its geometric design, and its inability to find the appropriate technology to address it. Initially, the entire guide beam line profile was designed with the beams and other details. It was imperative to transfer this complex geometry correctly and accurately to the execution team at L&T that was entrusted with the actual construction. “The construction team needed these details not only to cast the beams but also to erect them in the required actual and ultimate line profile,” says Mr Swaraj Datta Gupta, Head IES – Construction Engineering, L&T Limited. Unlike roads and highways that are single entities with a top surface and can be seen only from the top two points, an individual track or guide beam profile is different. The top and bottom profiles of its geometric design needed to be considered. This was compounded further by the lower part of the beam which was not circularly curved, but parabolic. Imagine a 3D line, which may be curved or have a super elevation or be straight, that also has a bottom profile where the soffit has a bit of a vertical curve apart from the profile curves. This needed to be brought down to its coordinates on the ground level for effective casting. In both cases, all four coordinates across the cross section on all four corners, starting every 500 mm from the pier location, were needed.


ICE Connect / / May 2014

AutoCAD Civil 3D Software The lack of appropriate software created difficulties. Research indicated there was no solution exclusively designed for monorails. All existing softwares were mainly for roads and highways, and since a monorail project profile is very different, we were looking for software that could be customized for the project. Other design softwares were not flexible enough to address the complexity of the track profile’s geometry, varying cross-section from rectangular to skewed and reverse to maintain track super-elevation. Parabolic soffit of the guide beams added further complexity. One of the biggest challenges was the need to reuse information from drawings. AutoCAD Civil 3D software, the building information modeling (BIM) solution for civil engineering, helps teams deliver higherquality transportation, land development, and environmental projects faster. Its model-based approach helps keep project information coordinated while delivering higher-quality documentation and visualization. AutoCAD Civil 3D helps users gain the competitive advantage of BIM to deliver more innovative project solutions. Its key new features include scalability and performance improvements, as well as an optimized 64-bit version of Civil 3D tools to better manage the creation and editing

of corridors, and enhanced super-elevation functionality that provides a dynamic link to the alignment and flexible editing options.

High Level of Accuracy The software helped the project team take into account components of variation for individual beams, which are each 850 mm wide and 2000 mm deep. Each of these components has been put together to create a curvilinear space in the air, viewed after construction as aesthetic curved rails running above the ground. Between designing a curvilinear path to measuring it in space in order to make the actual construction happen – there is a vital link between design, engineering and construction. The software helped the team achieve the requisite level of accuracy - up to 1 mm per meter, setting a definite precedent for all future monorail projects in the country. AutoCAD Civil 3D has established India’s first monorail project as a precedent for achieving a level of accuracy of up to 1 mm per meter and accomplishing 80 percent time optimization in deliverables. Today the team is able to deliver one beam of 25m length within 30 minutes, including the quality checks and everything. The software allowed redefining of design processes, spurring innovation, achieving competitive advantage and enhancing overall productivity, and profitability.

Equipment Finance

Evolving Trends in CE Financing

NDS Chari, Head - KAM and Partnerships, Srei Equipment Finance Pvt Ltd, shares his insights on the changing face of equipment finance and the dynamic financing trends being witnessed in the construction equipment market


hile infrastructure is a billion dollar industry, equipment finance is not far behind at a 100 million dollar industry, wherein India shone till a couple of years ago. The opportunities and a favorable market atmosphere had drawn capital equipment manufacturers the world over to the country. Meanwhile, banks, non-banking financial company (NBFCs) and similar financial institutions were busy in forging mergers, and competed with each other to


ICE Connect / / May 2014

sustain the market sphere. However, with the slowing down of the market, infrastructure sector has started contributing to the nonperforming assets (NPAs) of these banks.

Bane to Boon Though the situation has resulted in a decline in the sale of construction equipments (CE), a new trend has emerged in the equipment finance market. The new scenario has opened opportunities by creating a paradigm shift in the con-

Equipment Finance

access to these pre-owned assets, while large EPC contractors do not own these equipments as they do not want to worry about its maintenance. This trend will ultimately result into more buying by hirers rather than the actual users like in western markets. Similarly, the requirement of mining industry which normally supplements and compliments the demand of construction industry is also declining. Due to this situation, players possessing surplus equipments are looking for opportunities even beyond the shores. In such cases, the players are usually looking for attractive finance options overseas and faster payback of the capital invested.

sumer preferences from price sensitive buyers to more value focused buyers demanding quality. Most large corporate players in the infrastructure sector today opt for selling their unutilized inventory. While the purchase of new equipments has almost vanished nowadays, there is a huge availability of cheap pre-owned equipments in the market. The hiring and sub-contracting community looks upon this situation as a boon, as these equipments have shorter payback periods, leading to quicker profitability. Also, the situation witnesses a relatively low amount of actual capital investments being flown towards the market sphere.

Brand Power The low capital investment has resulted in known brands like Larsen & Tubro, Telcon,

and JCB competing with each other, while those that entered the country during the boom period have yet to establish themselves. They have almost become a third choice for the buyers. This has resulted in the financing community increasing the LTV in the current high interest rate regime. The days of a new finance scheme being launched daily are over. However, ironically, financiers are today looking for original equipment manufacturers (OEM) that not only provide good resale value, but also will support them in difficult days by creating a loss pool during repossession and sale of equipments. Similarly, the buyers are not just looking for financiers who fund them cheap, but also fund them for a longer period and can tolerate delayed payments.. In addition, financiers today are more interested in creating cash flows to the borrowers from their unutilized assets rather than funding new clients, as more often they need to choose a first time buyer for new equipments. They expose themselves to higher risks and raise the risk of lower return from such buyers. This operational trend is expected to ultimately create loyalty of financiers for the buyers.

EPC Prefers Hiring The inclination of large engineering, procurement and construction (EPC) players towards hiring, to save project cost with some cash inhand advantage is the other major trend being observed today. Players in this segment are still chasing the large corporate by offering attractive hiring rates. Hiring in India is generally on very short-term wet leases like 12 months, on yearly renewable basis. Today, such hirers have

Partnerships & Mergers The challenges involved on the collection front in the equipment finance today have also led to the emergence of innovative partnerships and tie-ups between equipment manufacturers and the financiers. Financiers are increasingly joining hands with OEMs and are creating a ringfenced entity to have exclusive workforce to do joint sales and collections. Furthermore, OEMs can join the financiers by providing sophisticated electronic devices in locating the assets all times, and also create loss pools with the financiers, to be utilized in case of unexpected collection issues and defaults. These pools can rescue the financier to some extent, especially when the repossessed machines are sold below the outstanding dues. The borrowers, who were demanding fixed rates for borrowing of construction equipments, are slowly realizing the need to shift to floating rate. The borrowers are now gradually looking towards long term finance options, when the interest rates for lending are on a higher scale. Furthermore, during such situation, the floating rate is giving them an opportunity to reduce the cost of borrowing in tune with the prevalent borrowing rates on a time-to-time basis. All these challenges and lull in the construction equipment market is throwing up hurdles, which has ultimately resulted in the emergence of new trends culminating in innovations and partnerships to create value for stakeholders. The views expressed above are the personal views of the author; the organization to which the author belongs viz SREI BNP may or may not directly or indirectly subscribe to his views. The author can be reached through his email

May 2014 / / ICE Connect


Expert Speak

Rural and Semi Urban Markets have Better Deployment Opportunities Sunil Gupta, Vice President and National Sales Head, Construction Equipment and Strategic Construction Equipment, Magma Fincorp Ltd, Elets News Network (ENN) The infra-construction sector has faced many hurdles. How has the volatility of the current situation impacted the sector? Economic volatility and slowdown is being witnessed in most of the economic verticals. Impacts of the sector’s downturned performance are definitely witnessed upon the construction equipment industry as well. The other major hindrance being witnessed in the sector is the unavailability of funds and the clients’ ability for repayment. Delay in project execution is one of the major causes hinderi n g

the ability of the clients or contractors in repayment of loans. Though the projects on build operate and transfer (BOT) modes are being awarded increasingly, the delays in gaining clearances from the authorities have put pressure on the contractors or developers executing them. The scenario has ultimately resulted in cancellation of projects or withdrawal of developers or bidders from the project. This has limited the opportunities for financial institutions or lenders involved in the sectors. What are the major challenges faced by the equipment financiers today in the Indian market? Lack of deployment of assets is one amongst the major hurdles faced, as this leads to lower cash-flows in the hands of customers. Delays in receipt of payments from main principals or contractors, due to delays in project execution or operational hurdles, has resulted in delays in payment of EMIs. In addition, the liquidity crunch faced by the governing agencies has also led to the delays in project executions. Rising delinquencies and lower resale values of the repossessed asset, which can lead to higher loss, are also few among the major hurdles impacting upon the construction equipment sectors. All these facets ultimately affect the business verticals or operations of the equipment financiers. What strategies has Magma Fincorp adopted to combat such operational hurdles? We have moved our focus from large contractors to strategic or small contractors


ICE Connect / / May 2014

who are self operating their equipments. These contractors have low operating costs. We are also focusing more towards the rural and semi urban markets, where deployment opportunities are better due to the availability of small rural road contracts, irrigation, contracts and general construction contracts. In addition, we will be avoiding customers with multiple loans and have tightened our credit norms. Which segments can be the major growth drivers for the equipment finance industry in India. How has Magma Fincorp planned to tap in these potentials? We expect major opportunities from the road sector. Though much has not happened in road construction in the last two years and less than 25 percent is being achieved, the sector offers a wider scope of opportunities. Mining reforms in coal, iron ore and sand is also expected to introduce more prospective avenues for the equipment sector. The positive market potentials of these segments will also draw robust opportunities for equipment financiers. We are very optimistic about the potentials from these sectors. We are presently focusing on increasing and expanding our distribution and reach to our customers spread across the country. We will be also strengthening our operational presence in states like Bihar, Jharkhand, Orissa, Rajasthan etc, as we see higher business potentials from these regions for the construction equipment financing sector.

Smart Cities

Metro Rail Technology: On Fast Track It is estimated that by 2030, 40 percent of India will be residing in cities. This working class of population contributes significantly to the GDP of the country. Metro rail technology will be the future of travel for most of this urban population – smart, fast, convenient and cost effective. A report by Rachita Jha, Elets News Network (ENN)


ndian Rail transport network is the fourth largest network in the world and has been a major carrier of freight and passenger traffic across many locations nationwide. With accelerated growth of population in cities and limited road infrastructure, future smart cities are optimistic about metro rail as a mode of mass transport.

Growth Outlook As per the urban transport policy of India, metro rail technology (MRT), a proven and established solution in urban mobility, is envis-

aged in cities with population exceeding 2 million and is presently being mooted in more than 20 cities. The required investment for the projects is around Rs 2 lakh crore, including rolling stock portion of Rs 50,000 crore approximately. With most of the work already underway for major metro cities such as Delhi, Kolkata, Mumbai, Bangalore, Hyderabad and Chennai, the next phase of mass rapid transit systems is planned for smaller cities of Jaipur, Kochi, Lucknow, Kanpur, Nagpur, Patna, Ludhiana, Indore, Pune and Chandigarh and Ahmedabad. “We are already working on DMRC

Phase-III project for 366 metro cars with option of additional 150 cars, with BMRCL for intermediate cars to augment the existing 3-car train sets to 6-car train sets, Jaipur Metro to supply 64 additional cars and Kochi Metro rolling stock requirement of 75 cars with option of additional 75 cars, which is in bidding stage,” informs P Dwarakanath, CMD, Bharath Earth Movers Limited (BEML).

Cities Network The country is urbanizing fast, and the urban population now exceeds the rural popula-

May 2014 / / ICE Connect


Smart Cities

tion. This rising population will require mass transport for their mobility. A mass transport system will also help people move to the suburban areas instead of staying in the more congested central areas. Use of MRT will reduce fuel consumption, pollution, health hazards, stress of driving, etc., thereby uplifting the socio-economic status of the country.“In addition many functioning metros are planning to expand their operations. Delhi Metro Railway Corporation (DMRC) is planning to double its network within National Capital Region (NCR), besides expanding to neighboring cities like Sonepat and Panipat in Haryana, Alwar in Rajasthan and Meerut in Uttar Pradesh. Bangalore Metro, Chennai Metro, Jaipur Metro have plans to implement Phase-II of their metro rail projects”, avers Dwarakanath. Most of the other Metro Rail projects planned are in the final stages of Detailed Project Report (DPR) approval. The cities which are well ahead in the planning stage include Lucknow, Nagpur, Pune, Chandigarh, Bhopal, Patna, Indore, Kanpur and Ludhiana.

New Technologies “The latest technologies in the metro rail system include driverless train operation and Unattended Train Operation using Communication Based Train Control (CBTC) signaling with moving block technology instead of present fixed block technology. This will improve the performance of the metro system through improved service headway,” avers Dwarakanath. Higher motorization of 67 percent will lead to higher energy efficiency, as more energy will be regenerated by the trains back to the grid. Critical systems like propulsion, brake, door, HVAC, PA/PIS, etc are software controlled for increased efficiency and safety. Fire retardant materials for minimizing fire hazards and ensuring safety and bogie design to suit tighter curves, reduced lateral forces, wheel wear, better suspension characteristics to improve ride comfort among others.

Local Manufacturing India is encouraging indigenization through local manufacturing and transfer to organizations executing the metro projects across the country. “We had mentioned the condition of local production of rail coaches in our tenders that the production will happen close to


ICE Connect / / May 2014

Chennai. In our current inventory of 42 trains, we have only 9 trains that have to be imported and 33 trains have to be manufactured locally. This is under our indigenization plan and considers the important aspect of transfer of technology from abroad to India for coach manufacturing. This has not only helped in local employment, technology transfer but also reduced the costs. This will also give a push to modernization of technology capabilities to the country to export coaches to other countries in future,” says Pankaj Kumar Bansal, Managing Director, Chennai Metro Rail Limited. Delhi-based Bombardier Transportation handles the complete range of railway vehicle manufacturing, software development, and customer service competencies. It has built up its capabilities over four decades of operations. Its large manufacturing presence in India combined with its local experience, international expertise and eco-friendly technologies means it is ideally suited to take India onto the world stage in terms of rail transportation. The company can not only address the country’s rail industry requirements for the production of metros, electric multiple units and locomotives, advanced IGBT propulsion systems and signaling systems, but also supply state-of-the-art made-in-India trains to neighbouring markets in the region. The company has a state-of-the-art facil-

ity in Savli in Vadodara, Gujarat. With that investment, Bombardier proudly became the first foreign multinational company to set up a wholly-owned railway-manufacturing plant in India for the production and final assembly of bogies and car bodies. The Savli site is Bombardier’s largest investment of Rs 230 crores, built in a record time of just 18 months, making Vadodara the only city in the world with the capacity to deliver all key electrical and mechanical components for the manufacturing of railway vehicles. Bombardier Transportation is also one of the first companies to use robotic welding technology in car bodies manufacturing in India. As for indigenization, Bombardier has so far achieved an indigenization level of approximately 75 percent in terms of subsystem indigenization.

Challenges A major challenge for the project partners is that since the design keeps on changing from project to project, dedicated production lines are required. Also, sourcing of key aggregates - alternate sources, vendor development, low quantities in certain projects, procurement norms is a hurdle. “Maintaining quality as per international standards in Indian conditions, lack of complete testing infrastructure within the country and to match technology changes at a fast pace with continuous knowledge upgrades & manpower training

Case Study - Jaipur Metro The Jaipur metro project was taken up by BEML with a challenge to design the bogie with a capability to negotiate 120m track curve. The order was to supply 10 train sets of 4 car formation - DTC (Driving Trailer car) + MC (Motor car) + MC + DTC.

Project Specifications Gauge

1435 mm

Max Speed

85 kmph

Axle load

16 tonnes

Passenger capacity

1312 (4 car)


Austenitic Stainless steel


Bolsterless, air spring in secondary, conical rubber in primary


Microprocessor controlled EP + ED brake, disc brakes on wheel

Current collection

25 Kv AC, through pantograph


IGBT Converter-Inverter, VVVF controls, AC traction motor

Smart Cities

able loads, wheel and track situations. The specialized VAMPIRE software is used for this purpose.

Development and Production Stage Considering the stringent delivery timelines imposed by JMRC/DMRC, the development and production were the critical stages of the project. The challenge was to source critical aggregates in time and positioning them at appropriate stages of manufacturing. Some of these items included propulsion system; inter vehicular coupler, door system, gangway, wheel and axle, brake system, interior panels and cab equipment etc. Continuous monitoring, co-ordination and discussions were required with vendors at all the stages of manufacturing. Strict quality control systems were followed in all the stages of manufacturing.

is a challenge,” says Dwarakanath. In addition, ensuring periodic maintenance of vehicles during service as a high reliability and availability is essential for the suppliers of the project at regular basis.

Future Footprint The success of Delhi Metro has prompted other cities to think of adopting similar mass transport modes. The various mass transport technologies include Bus Rapid Transport (BRT), Monorail, Light Rail Transit (LRT), and high capacity metro rail. “Depending on the requirement for the city, the appropriate mode needs to be selected. In order to address the needs of Tier-II & III with population of million plus and peripheral feeder lines of Tier -I cities having a lower PHPDT market demand is envisaged for LRT. Such systems will be eco friendly and shall meet the green norms. Similarly, for shorter travels, buses using un-conventional fuel electric, hybrid, etc are expected to be introduced,” suggests Dwarakanath. This is in-line with the vision of Urban Development plan in the country.

Stages of Development Design Stage At the design stage, 3D CAD was used for

“We had mentioned the condition of local production of rail coaches in our tenders. In our current inventory of 42 trains, 33 trains have to be manufactured locally. This is under our indigenization and transfer of technology strategy.” Pankaj Kumar Bansal Managing Director, Chennai Metro Rail Ltd design, digital mock ups, integration of various systems and aggregates and generation of manufacturing drawings using tools like CATIA V5 and Pro Engineer. In addition, CAE tools were used extensively to carry out simulations. Finite element analysis was done for all load bearing structures like car body, bogie frame and other critical parts. Typically, Hypermesh with Nastran and Ansys are used for this purpose. Crash analysis for the complete car body was also simulated and studied using LS Dyna tool. CFD analysis was done for HVAC thermal comfort & air flow studies using Star-CD tool. Finally, a vehicle dynamic analysis was done to know more of the behavior of the complete vehicle under all the prob-

Testing and Design Validation Stage Type testing and design validation to prove the design was a big challenge. All the critical aggregates were type tested for required performance & functionality. Vehicle level type tests were also carried out. These include the fatigue testing of bogie frame for 10 million cycles, wheel unloading test, bogie - carbody interference test, bogie rotational resistance test, etc. Vehicle level test and performance validation was done and RDSO/DMRC conducted oscillation trials and brake tests at site. The dynamic performance of the vehicle under all conditions was highly satisfactory.

May 2014 / / ICE Connect


Smart Cities

Hyderabad Metro:

Transforming the City Government of Andhra Pradesh is implementing Hyderabad Metro Rail Project on a Design, Build, Finance, Operate and Transfer (DBFOT) format under the PPP mode Salient Features


ne of the world’s largest PPP projects in the Metro sector, the Hyderabad Metro project involves construction of around 72 km of elevated metro rail in three corridors crisscrossing the city of Hyderabad. Eco-friendly elevated metro stations will be located at intervals of roughly a kilometre. The project is scheduled to complete by 2017. Once completed, the Hyderabad Metro Rail Project will transform Hyderabad into one of India’s most preferred cities, with integrated urban transport planning using inter-modal connectivity and convenient sky-walks, which will mark the beginning of an era of seamless commuting in India.

Construction Plan Corridor Corridor I: 27 Stations Stage 2  Stage 5 Corridor II: 16 Stations  Stage 6 Corridor III: 23 Stations Stage 1 Stage 3 Stage 4


Corridor Details Miyapur – LB Nagar Miyapur to S R Nagar S R Nagar to L B Nagar JBS to Falaknuma JBS to Falaknuma Nagole - Shilparamam Nagole to Mettuguda Mettuguda to Begumpet Begumpet to Shilparamam

ICE Connect / / May 2014

The project is designed for an eco-friendly mode of travel – reduces carbon emission, fuel consumption and pollution. It aims to make travel within the city faster, safer and comfortable air conditioned travel with reduced travel time. High frequency of trains with ultra-modern coaches promises seamless commuting with reduced waiting time for passengers. The routes have been design to connect major offices, retail and residential areas across the city. Inclusion of user-friendly elevated world-class stations with lifts, staircases and facilities for the disabled is a unique feature of the metro project. Parking facility at strategic locations along the route, automatic ticket vending machines and automatic fare collection system, feeder buses to stations from different areas of the city and commuter-friendly shopping facilities at the concourse level at stations are additional features of the Hyderbad metro rail project.

Open New Vistas Improving infrastructure is the key to India’s growth and development. Public Transport in a densely populated country like India is often complex and has to operate within framework of strict rules and regulations laid by the Government. Any successful model in public transport is a significant achievement. Hyderabad Metro Rail Project is definitely one such unique PPP model that would set an example to the world and boost the economy of the country. Better infrastructure always attracts investors globally. Cities are modern day nerve centers of growth. They are magnets for capital and large, multi-cultural and multi-ethnic groups of people. Cities can generate an energy that can transform communities and accelerate the pace of progress. Metros as Mass Rapid Transport Systems (MRTS) are enablers that help cities to realize their full potential for growth and development. Efficient project execution and O&M strategies in developing world class metro railway networks, employment generation and skill development are significant features of this model, resulting in overall economic development.

Smart Cities

I n t e r v iew

“Hyderabad Metro would be first in India to claim train control by CBTC technology” Says V B Gadgil, Chief Executive & Managing Director, L&T Metro Rail (Hyderabad)


hare with us your vision for the Hyderabad Metro Rail Project. What are your expectations in terms of peak hour traffic load and de-congestion that will happen due to this project? At L&T Metro Rail (Hyderabad) Limited, we aspire to transform the lives of the people of Hyderabad through best-in-class mobility, connecting and creating vibrant urban spaces. Currently, over 3 million personalized vehicles ply on Hyderabad roads, with an addition of 0.20 million vehicles every year. 8 million motorized trips are made every day, of which, only about 3.2 million or 40 percent are made by the Public Transportation System (PTS) i.e. buses and local trains. That means personal vehicles lead to traffic bottlenecks, high pollution levels and a steep increase in fuel consumption make the rest of the trips Peak Hour Peak Direction Traffic (PHPDT). The system is designed to cater to 50,000 PHPDT for Corridors I and III and 35,000 PHPDT for Corridor II. With a

frequency of 3 to 5 minutes during peak hours, the system is expected to carry about 17 lakh passengers per day by 2017 and 22 lakh by 2024. What are the new technologies and control equipments that will drive efficiency, increasing turnaround time and project performance in metro rail projects across cities in India? New technologies and equipments have helped us include efficiencies and performance in our project. The trains will use Regenerative Electric Braking, thereby converting the momentum into electrical energy and feeding back to power supply system while braking. As a contribution towards the CDM this will reduce the energy requirement from the grid. We have also installed the advanced signaling & train control technology, communication based train control (CBTC) for Hyderabad Metro to control the trains. Hyderabad Metro would be first in India to claim train control by CBTC technology. Hyderabad Metro Rail Project is using ‘Track Master’ - a unique instrument for checking the parameters of track and to enhance the quality of track installation. This instrument is being used in India for the second time after Chennai; L&T is the first to introduce this technology in India, both in Chennai and Hyderabad. We have also introduced simulation study based


ICE Connect / / May 2014

track design. This type of designing the track is being adopted for the first time in the country. In this process, prior to the track design, the probable speed of train in a particular stretch is determined by carrying out a simulation study. Based on this data the track is accordingly designed only for that particular speed in that particular stretch. This avoids designing the track for much higher speeds than required.The process has the following advantages - better ride and comfort to the passengers. It reduces the rail and wheel wear, reduces loading on the viaduct and increases the productivity in track installation. Tell us more about the key challenges hindering speedy implementation of the project? The major engineering challenges were alignment fixation in highly urbanized areas, technology selection between modern/latest versus proven, long bridges and spans on junctions and railway crossings and lastly Reliability, Availability, Maintainability and Safety (RAMS). Some others include interface management between various systems such as rolling stock, signaling, track & traction etc and civil works. Adaptation or modifications to designs to suit unknown utilities and other obstructions is also a challenge apart from lack of availability of technically trained manpower.

Hydro Smart Power Construction – Project Profile

Nimoo Bazgo Hydroelectric Project, Leh – emPowering Ladakh Situated 11,000 feet above sea level, the 45 Megawatts Nimoo Bazgo Hydroelectric Project, located 70 kms from Leh, will ensure reliable power supply to the electricity deficient Ladakh region. In spite of freezing climate conditions, for the first time in India concreting was done at – 38 degree centigrade temperature


he Nimoo Bazgo Hydroelectric Project (HEP) is a run-of-the-river scheme with a capacity of 45 MW that has been constructed by HCC on the Zanskar River - a tributary of river Indus, for the National Hydroelectric Power Corporation in Leh district of Jammu & Kashmir. The project involved the construction of a concrete gravity dam, diversion channel, surface power house of 45 MW, a short tail race channel, transformer yard and switch yard. The project envisages utilizing a gross head of 37.25 m to generate 239.30 million units of

power in a 90 percent dependable year with an installed capacity of 45 MW. The total catchment area of the HEP is 58,880 sq km, while the total area under submergence at full reservoir level is 3.42 sq km. The 247.9 m dam has been designed for a flood discharge of 4500 cumec at full reservoir level at 3093 m. The heavy snowfall and harsh climatic conditions in this region result in road closure from November to May, which in effect means a six-month cut-off period for logistics and transport. In order to execute the project in a sustained manner and ensure

timely deliverables, the scenario called for precise planning, rigorous scheduling of work and meticulous project management.

Construction Sequences The civil works of the project mainly involved excavation, rock supports, concreting and reinforcement, based on the nature of work. Concreting was carried out at river diversion, dam construction, construction of power house along with other related works like tail pool, switch yard and rock protection. • River Diversion: The river diversion involved

May 2014 / / ICE Connect


Hydro Smart Power Construction – Project Profile

two lakh cubic meters (cu m) of rock excavation and one lakh cubic meters of common excavation. During the blasting, adequate precautions were taken to ensure the wellbeing of the heritage structure down the river side. Rock stitching works were carried out with rock bolts, grouting, wire meshing and shotcrete. The Downstream side of the Downstream Coffer Dam was protected with 150 mm reinforced concrete. • Dam: The 247.9 m dam has been designed for a flood discharge of 4500 cumec at full reservoir level at 3093 m. The overflow section has been shaped as per the ogee profile with crest elevation at El 3065 m. The dam excavation was mainly common excavation. For the shuttering, the project team used steel shuttering plates and for reinforcement, FE 500 grade reinforcements were used. As part of the excavation carried out for the dam, 45,000 cu m common excavation and 48,000 cu m of rock excavation was done. During winter, concreting of dam was totally stopped due to very low temperature levels. • Powerhouse: The surface power house is located on the right bank at the toe of the dam. The powerhouse complex comprises the following main features powerhouse cavern with three generating units, transformer cavern and draft tube gate operation chamber, tail pool. The powerhouse is with an installed capacity of 45 MW.

Plant & Machinery The selection of equipment for this project became more critical because the project was


ICE Connect / / May 2014

situated at a height of 11000 feet from mean sea level (MSL) with extreme cold conditions with scarcity of oxygen and water for engine driven equipments created more apprehension and severe cold caused metallurgical failure of the equipment. The project had to hire an IL76 medium cargo jet from Air Force through which three ROC 203 and three portable diesel air compressors were air-lifted from Chandigarh to Leh. The road was opened in the month of May end and then the mobilization of all production related equipment got started. At present, the project has around 184 equipment which includes heavy earthmovers, excavators, dozers, ROCs, air compressors, dumpers, EGT drilling rig, crawler crane, mobile crane, diesel generator sets etc. and plants like 200 TPH crushing plant, 120 m3 batching plant, ice plants, chilling plant etc.

Sub-Zero Temperature The hostile environmental conditions at an altitude of above 11,000 ft above sea level and severe winter conditions with zero degree temperature for almost six months posed many operational, logistical and technical challenges during the project’s execution. The lubes and other liquids used for running the construction would freeze due to the extreme cold, resulting in frequent machine stoppages. The hot water used for cleaning the concrete surfaces or conducted through heavy duty pipes would freeze on contact with the air as well. Wherever, the hot water came in contact with the air in the batching plant, it would freeze immediately and the batching plant would stop

working. Even the aggregates in the hopper at the outlet point would choke, resulting in the consequential stoppage of the plant. Handling and installation of reinforcement in sub-zero temperature was extremely difficult too. All surfaces in and around an open area that used water became completely frozen and glass-like, slippery and were unsafe for working. During winters, the presence of snow on the roads made heavy vehicles prone to skidding. In order to prevent slippage on the icy terrain, snow chains were fixed on the wheels of the earth-moving equipment (loaders, tippers and transit mixers). To prevent the freezing of high speed diesel (HSD), a variant of aviation turbine fuel (ATF) was mixed with it, together with some additives in a predetermined ratio. Heating pads were installed on the fuel tanks, to ensure that the engines remained warm and the oil did not freeze. To protect the freshly poured concrete surface from freezing , hot water curing was carried out and the surface was covered with temporary insulation panel throughout the winter. Prefabricated Puff for covering of concrete structure has been done for the first time in India to safeguard the structure against the cold climatic conditions.

Overcoming Power Shortage Situated deep in Jammu and Kashmir at the border with Tibet, Leh is the capital of Ladakh and also India’s second largest district. It is based at a height of 3,505 meters above sea level. Owing to its key location, Ladakh serves as a strategic hub for the district administration. However, the availability of electricity in this area is grossly inadequate. At present, the local population of around 2.70 lakh and the government and defense establishment in this region is totally dependent on diesel generator sets for electricity generation, due to which a huge quantity of diesel needs to be stored for usage during the winter season. The National Hydroelectric Power Corporation had planned the Nimoo Bazgo hydro electric project in Leh (45 MW) along with the Chutak HEP (44 MW, to overcome the acute power shortage in this region. The total capacity of 89 MW from both these projects will be fully dedicated for use in the Ladakh region.

Commercial Smart Construction Vehicles

I-SHIFT – Leveraging Efficiency, Safety & Performance Volvo Trucks enhances their benchmark of operational excellence through the modern transmission system, I-SHIFT technology in commercial vehicles.


n the highly competitive Heavy Commercial Vehicle (HCV) market, the manufacturers are constantly focused towards offering value addition to their product with added special features which can gain them an edge over the sustaining market competition. These advanced features aim to improve profitability by increasing the kilometer per liter and also reducing maintenance costs. Volvo leads this arena with the modern I-SHIFT technology in their commercial vehicles.

Concept & Working I-SHIFT transmission technology aims to have the right ratio for the right speed at the right time. By continuously monitoring the road gradient, vehicle speed, acceleration, torque needed on a particular road, weight, rolling and air resistance; I-SHIFT can instantly predict and select the most appropriate ratio for efficient utilization of the engine. In short, it knows when and where a shift


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would be beneficial. I-SHIFT transmission technology has set new transmission standards that increase the fuel economy, safety, and have a driver-friendly, easy-to-operate working condition. Termed as Automated Manual Transmission, it delivers increased level of productivity coupled with maximized driver comfort, safety, payload capacity and efficiency to have increased kilometer coverage per liter. In addition, I-SHIFT can be customized in order to meet the specific demands of the vehicle depending upon the operational requirement.

Sensor Technology I-SHIFT continuously monitors the gradient, acceleration, vehicle speed, rolling resistance, air resistance, weight and torque demand. With the help of Grade sensor, it reads the steep and adopts the required change. Moreover, I-SHIFT possesses the ability to predict and select the most appropriate parameters for efficient engine utilization over a

30-second rolling period. The basic family of the innovative technology involves basic, enhanced basic, and fuel economy versions. In the basic design, there are no manual shift buttons on the gear shift knob and no option available for Economy / Performance (E/P) selection. Under the premium family, this section ensures two prime aspects of performance and comprehensive. The options available on the gear enable the driver to select between the E/P operating modes. In addition, the Shift button on the handle allows for the manual up-down shift movement.

Performance Highlights ”” Driver Friendly: The technology guarantees ease of operation and requires no driver intervention, as the I-Shift technology always opts for the right gear. The helps in driver retention, and reduces the time taken by the driver to make a profit on the road.

Commercial Smart Construction Vehicles

the output shaft is directly linked to the input shaft and eliminates power loss due to friction. It saves fuel cost by 1.5 percent and 3-4 horsepower as against the overdrive transmission.

Economy & Performance As per requirements, the driver can select between economy and performance modes. In the economy mode the transmission and engine parameters are selected to maximize fuel efficiency. In the performance mode, importance is given to maximum gradeability. Four programmable settings are implemented for this mode: ”” Kick Down (K-D): This setting, included in certain feature packages, maximizes acceleration. It involves three customer programmable K-D settings. ”” Engine Brake performance mode: This setting selects a gear that maximizes retardation. This is done by a multifunction switch that controls engine brake, brake cruise and engine brake activation speed during cruising.

”” Enhanced Safety: Easier operation means less fatigue and stress on drivers. The technology, by ensuring reduced fatigue, improves concentration and performance of the operators. The user friendly and easeto-operate technology allows the drivers to dedicate their total attention to maneuvering the vehicles.

technology increases the time the engine runs in the ‘sweet spot’ –the ideal conditions guaranteeing maximum kilometers per litre.

”” Better Fuel Economy

”” Eco-Roll: The Eco-Roll feature utilizes the vehicle’s kinetic energy to move the truck on a non-flat terrain efficiently. This reduces fuel costs by up to two percent. Eco-Roll allows the transmission to disengage the engine in certain situations like moderate hills. The vehicle will roll out longer, delaying the need to engage the transmission to the engine, thereby saving fuel without comprising the safety.

”” I-SHIFT is designed keeping fuel consumption as priority. I-SHIFT, by virtue of its technological innovations, enhances fuel efficiency and reduces the fuel cost. A few innovations that ensure fuel efficiency include

”” Forced Lubrication: I-Shift lube oil pump pushes lubricants through drilled passages as required. This is done after proper filtration and improves engine life and performance.

”” Effective engine utilization: The microprocessor intelligence system in the I-Shift

”” Direct Drive Option: I-SHIFT mechanism also offers a Direct Drive option, where

”” Easy to Upgrade: I-SHIFT’s high torque rating allows for unlimited engine power and torque upgradability.

”” Idle driving mode: This is a valuable “cruise control” enhancement for driving slowly (in congested area, for example). Idle driving allows the engine to operate at idle speed without cycling the clutch or using the accelerator pedal for best fuel economy. The driver adjusts the speed by selecting the gear that best suits the traffic movement. This is especially useful when backing a trailer. The idle governor adjusts the torque to maintain idle speed (and constant vehicle speed) even if the engine load varies. ”” Up to four reverse Gear: Options are available with I shift to have two reverse gear operations. The driver can activate high reverse gear as per his requirements. Minimized Operating Cost I-SHIFT equips the driver to shift the gear to get more fuel efficiency, which in turn reduces the fuel cost. The smooth gear shifting also reduces the stress on the drive line and tires. The system ultimately increases the life span of the drive units, while reducing the maintenance cost. Furthermore, the lightweight feature facilitates to increase the pay load and maintain the specified gross vehicle weight.

May 2014 / / ICE Connect



Innovation & Customization: The Operational Mantra With an expertise of more than two decades in engineering products and implementing state-of-the-art manufacturing facilities, SatecEnvir Engineering has emerged as the customers’ favorite in steel solutions

Today many Indian companies are adopting new manufacturing technologies for the erection of the plants, of which Pre-Engineered Buildings (PEBs) has evolved as the latest trend in the country. PEBs are installed by putting together readymade blocks. The cost of these buildings are 20 -25 percent lower than conventional concrete buildings. The current demand potential in India is around 1.2 million tonnes. Currently, the demand for PEBs is driven largely by the growth in manufacturing, retail and the logistics sector. According to the realty consultants, the industry still enjoys tremendous growth opportunities, as many multinational companies involved in the auto, retail, IT, logistics etc have opened their production base in India.


ICE Connect / / May 2014

PEB-Time & Cost Effective Solution PEB is metal building that consists of light gauge metal standing seam roof panels on steel purlins spanning between rigid frames with light gauge metal wall cladding. The sector today is one of the fastest growing steel building systems in the world and offers speed, quality and is ideal for any non-residential low rise buildings. The technological advances witnessed in the civil engineering and construction sector, which are witnessing a boom of high-rise and lenient structures has further boosted the pace of PEBs in India. The primary framing structure of a PEB is an assembly of I-shaped members, often referred to as I- beams. Steel plates are welded

together to form the I-section, which is ultimately used as I-beams. However, the advances in computer aided design technology, materials and manufacturing capabilities have assisted to a growth in alternate forms of PEBs such as the Tension Fabric Building. Typically, primary frames are 2D type frames. In order to accurately design, a PEB engineer considers the clear span between bearing points, bay spacing, roof slope, live loads, dead loads, collateral loads, wind uplift, deflection criteria, internal crane system and maximum practical size and weight of fabricated members. While PEBs can be adapted to suit a wide variety of structural applications, the greatest economy will be realized when utilizing standard details. An efficiently designed pre-engineered building can be lighter than the conventional steel buildings by up to 30 percent. Lighter weight equates to less steel and a potential price saving in structural framework. SatecEnvir Engineering has the capacity of manufacturing steel structures of more than 25000 metric tons per annum. Satec has adopted ISO 9001:2008 quality management system to ensure high quality of product and services.The company through its manufacturing base in Gujarat enjoys robust potential in delivering required products as per specific projects in Gujarat, Maharashtra and Rajasthan. PEB is the future and SatecEnvir Engineering believes in delivering innovative technology solutions to its customers. The company also offers pre engineered steel buildings, storage solutions, industrial racking systems and broad array of structural steel products that cover major market segments including oil &gas , heavy industry, infrastructure, high rise building warehouse factories and leisure structure.

Ventures Realty & Business Updates

APIL commissions Unit-I of Korba West Power Project Avantha Power & Infrastructure Ltd (APIL) has commissioned its first unit of 600 MW at Korba West Power Company Ltd (KWPCL) project in Raigarh, Chhattisgarh. A fuel supply agreement (FSA) has already been signed by KWPCL, which is a subsidiary of Avantha Power & Infrastructure. The FSA involves uninterrupted coal supply to its plant and is spread over 860 acres. The Korba Plant aims to ensure efficient project implementation through state-of-the-art technology and best execution practices, disclosed the company’s official statement. In addition, state run major BHEL has supplied the boiler, turbines and generator equipments for the plant. Commenting on the project commissioning, Sudhir Trehan, Chairman, Avantha Power & Infrastructure said, “This is a significant stepping stone for the company in its quest to become an important private power producer in the country.” The Avantha Group also is executing a second thermal power plant of 1260 MW at Seoni near Jabalpur in Madhya Pradesh, which is under various stages of construction. The project is being operated through another wholly owned subsidiary Jhabua Power Ltd. Once the projects are completed, Avantha Power & Infrastructure will have a total installed capacity of 3860 MW.

ACME to construct Games Village ACME, one amongst the leaders involved in the development of green technology solutions in India, has won orders for constructing the ‘Games Village’ at XXXV National Games Kerala. The order worth Rs 36.57 crore involves construction of housing units in the Games Village, design, supply, transportation and erection of at the site including internal services. The housing units will be constructed by ACME using PUF based Pre-fabricated technology and is expected to assist the Games Authority in making the National Games 2014 as the greenest, most cost effective and time saving initiative. The technology also aims to curb the operation costs and enables to relocate the structure to any other site with only 10-15 percent cost for dismantling an existing structure and re-assembling it. The facility will be spread over 28 acres of land belonging to Kerala SIDCO in Menamkulam and will have the potential to provide housing facilities for about 5000 individuals.

L&T Construction bags orders worth Rs 1009 crore Infrastructure major, L&T Construction has received new contracts amounting to Rs 1009 crore across its distinct business verticals. The buildings and factories business division has acquired new design and build orders worth Rs 573 crore. The orders have been awarded by leading realty companies for the construction of mixed use development in Lucknow and a community center in Bangalore. The division has also received orders from an ongoing construction work in Hyderabad for the work of transit oriented development. The transportation infrastructure business segment won a Rs 316 crore order for design, engineering and construction of an elevated road between Jinzira Bazaar and Batanagar on the Budge trunk road in Kolkata. In addition, an order worth Rs 120 crore was awarded from the Odisha Power Transmission Corporation Ltd to L&T Construction’s Power Transmission and Distribution Business. Scope of work under the said order involves engineering, supply, erection and commissioning of 33/11 kV sub-stations and associated lines for the Odisha Distribution System Strengthening Project.

May 2014 / / ICE Connect


Realty Updates

IDFC Alternatives launches Real Estate Yield Fund IDFC Alternatives has kick-started IDFC Real Estate Yield Fund focused on India’s residential real estate sector. The fund has presently raised Rs 750 crore from domestic investors in ten weeks. The focused debt fund has already committed investments worth Rs 123 crore across two residential projects in Pune and Bangalore. The firm is targeting residential projects which are in the under construction phase, and is particularly focused across the top six cities involving Delhi, Mumbai, Chennai, Bangalore, Hyderabad and Pune. The fund is further aimed to capitalize on the opportunities by focusing on debt deals which can generate high yields and ensure downside protection and adequate security cover. In addition, the fund aims at building a high-quality portfolio by focusing on established developers and brownfield residential projects.

Maitreya Realtors expands in Gujarat Maitreya Realtors & Constructions Pvt. Ltd. (MRCPL), the construction division of the Maitreya Group of Companies launched its premium plotting project near Ajwa Funworld in the name of Maitreya Paradiso. The group through its recent launch has scaled up its operations in Gujarat. The project has 120 plots ranging from 1800 – 8000 sq ft surrounded by lush greenery. In addition, the project offers dedicated hi-life living with a choice to construct 3, 4 and 5 BHK. In terms of development, the basic infrastructure includes an attractively designed compound wall, grand entrance plaza, internal roads, electricity and water connections to individual plots, storm water drains, sewage treatment plant, soft water supply, and an elegant club house. Apart from the plot size, the project also has a unique combination of Free Design and Standard Elevation Design concept which is one of the important features of the premium project meant for a refreshing holistic lifestyle.


Motilal Oswal’s realty PE sheds `100 crore on two residential projects

Casa Grande unveils Mediterranean villa Project

Motilal Oswal Real Estate Investment Advisors has shed investments worth `100 crore in three residential projects. Of the said investments, the company closed its maiden investment from the India Realty Excellence Fund-II in an upcoming residential project being developed by Ahuja Developers at Ambernath in Mumbai. In Bangalore, the fund has invested in two residential projects being developed by Mahaveer Group at Yelahanka and Bommanahalli areas. Both the transactions of the company are in-line with the fund’s strategy of initiating mezzanine structures with developers who already have a proven track record, stated Sharad Mittal, Director and Gead Real Estate investments at Motilal Oswal Real Estate Investment Advisors.

Casa Grande, Chennai’s largest villa developer, launched Casa Grande Pallagio, a first-of-its-kind Mediterranean villa project at Thoraipakkam in Tamil Nadu. Casa Grande Pallagio will be the only villa project within the city and will encompass 89 villas over an area of 6 acres. Briefing upon the project, Arun Kumar, Founder and Managing Director, Casa Grande said, “Casa Grande Pallagio will be the only villa project available within the city. The villas are planned keeping in mind the taste of the affluent and those who wish to live within the city.” The thematic villas designed on a two storey structure are planned with significance for open spaces and luxury. The villas come on a land area of 2100 sq ft and built up area of 2700 sq. In addition, the project is an exclusive gated community initiative with all driveways, roads owned by the community as against being public.

ICE Connect / / May 2014

Steel & Cement

Cement majors Holcim & Lafarge to join hands by next year Global cement giants Holcim and Lafarge announced plans to merge their business operations by next year. According to the official statements released by the Swiss and French cement majors, the to-beestablished LafargeHolcim will emerge as the biggest company in the cement, concrete and gravel sectors. The cement majors also plan to disinvest some of their operations to streamline the new company’s operations. “The merger will enhance performance through incremental synergies amounting more than $1.9 billion (€ 1.4 billion) on a full run-rate basis in a three-year period with one-third in the first year,” stated Holcim’s official disclosure. The new company will be based in Switzerland and the firms plan to swap shares at a ratio of one Holcim share for one Lafarge share.

Dalmia Cement acquires 74% holding in BoJCL Dalmia Cement (Bharat) Ltd (DCBL) has acquired a 74% stake in Bokaro Jaypee Cement Ltd (BoJCL), a joint venture between Jaiprakash Associates Ltd and Steel Authority of India Ltd (SAIL). Through the acquisition, DCBL has increased its cement capacity, comprising of subsidiaries and associates, to 20 million tonnes per annum (MTPA). Commenting on the acquisition, Mahendra Singhi, Group CEO-Cement, DCBL said, “We are delighted to associate with one of India’s finest infrastructure players. The transaction was completed in a record time with excellent chemistry and co-operation between the professional teams of JAL and DCBL.” The total enterprise value of the deal is Rs 1,150 crore. According to the officially disclosed information, the acquisition will be funded through a mixed bag of debt and internal accruals.

Tata Steel to start production in Kalinganagar unit by last quarter of FY15 Production from the much discussed Tata Steel’s Kalinganagar plant in Odisha will commence from the last quarter of the FY2015. The project is Tata Steel’s second integrated unit after Jamshedpur, where the steel major recently completed its brownfield expansion to increase the capacity to 10 MTPA. The Kalinganagar unit will produce flat products which will be mainly utilized in the automobile and consumer durable sector. However, the demand index of the flat products posted an unsatisfactory performance in the last fiscal. Despite this subdued performance by the flat products in the economic growth, TV Narendran, Managing Director, Tata Steel, maintains an optimistic outlook for the steel demand to pick up by the next fiscal by 6 percent. “India’s GDP for the next year is projected at 5-7 percent and typically the steel demand grows by 1.2-1.3 percent of the GDP growth. Hence, if our GDP escalates to 5 percent, then I am expecting the demand to grow by 6 percent,” opined Narendran. The Kalinganagar project involves 3 MTPA capacity in the first phase and is planned to be doubled in the next phase.

SAIL to soon invite bids for appointing MDO at Chiria mines Public run major Steel Authority of India Ltd (SAIL) has finalized its decision to outsource the development of its Chiria mine located at Jharkhand. As per the official disclosed information, SAIL will be soon inviting bids in the current quarter for appointing a mine developer-cum operator (MDO) for the Chiria mine, thought to be among the largest iron deposits in the world. The Chiria mines possess about 1.84 billion tonnes of iron ore reserves and will be developed in two phases. While phase-I involves development of 7 million tonnes of reserves, phase-II will involve 8 million tonnes. The first phase is expected to be operational within 3-4 years after finalization of the MDO. The mine region covers about 2,375 hectares. Confirming the information, CS Verma, SAIL Chairman said, “The repot has been seen and accepted. We will soon come out with the notification to invite bids for appointing the MDO.” However, SAIL has not outlined any specific time line for inviting the bids and scope of the work will be disclosed only while issuing the expression of interest for appointing the MDO. As per the official sources, the project cost will be disclosed after finalizing the contract.

May 2014 / / ICE Connect


Port Updates

Shipping Ministry plans to seek VGF for two major ports percent without the cost of land, for which The Ministry of Shipping plans to seek support from the Finance Ministry to cover the funding gap for two major ports at West Bengal and Andhra Pradesh. The government has finalized Sagar in West Bengal and Dugarajapatnam in Andhra Pradesh as the two sites for setting up of the ports. The proposal to develop ports at Sagar involves building a rail bridge, wherein the rate of return on investment is expected at eight percent. But the rate of return at Dugarajapatnam is expected to be 18

Vizhinjam port project gains five bidders The Vizhinjam international deepwater multipurpose project has received five bids from national and international companies for its development and operation. The three Indian companies who have bid are Gammon Infrastructure, Essar Ports and Adani Ports. Hyundai Concast and Srei and OHL are the two foreign consortiums who have bid. Commenting on the bids, Suresh Babu, Managing Director and CEO, said, “Ernst & Young said the transaction advisor will evaluate the bids and send the request for proposal to the bidders in two or three days.” The project is eligible for VGF from the Centre has already gained clearance from Environment Ministry. The project is valued Rs 5100 crore.

PSA wins JNPT’s contract for fourth terminal worth `7,915 crore Singapore based PSA Investments has won the order for the fourth terminal of India’s largest container port, Jawaharlal Nehru Port Trust, worth `7,915 crore. The project has been executed under the design, build, finance, operate and transfer basis to PSA. The terminal development involves developing a 2,000 metres berth and will add a capacity of 4.8 million TEUs of container handling. The project has to be completed in a span of maximum six years in two phases. APM Terminals, Sterlite Ports, United Liner Agencies and International Container Terminal Services had bid for the project too.

Dharma Port berths largest parcel size vessel After accommodating the 312 metres long and 50 metres broad Macau Mineral vessel, Dharma Port has claimed to be the first among the Indian ports to berth a parcel size vessel of 2,07,785 DWT (dead weight tonnage). The vessel was carrying 1,94,073 tonnes of coal from the Richards Bay in South Africa. Dharma Port, which started its commercial operations in May 2011, has till date berthed 424 cargo ships. Of the total cargo ships, 100 were cape size vessels.


ICE Connect / / May 2014

the Shipping Ministry says that there is a need for viability gap funding (VGF). The Shipping Secretary Vishwapati Trivedi said the development of more ports was as a positive move in reducing the traffic congestion at the major ports. According to the official resources, the government has already awarded about 30 port development projects under publicprivate partnership (PPP) modes, involving a total investment of `2,07,08 crore.

New Orleans Port targets to enhance Indian businesses Foreseeing the potential of India’s port sector, the New Orleans Port has entered into an agreement with India’s Samsara Shipping. The American port, through its recent initiative, aims to enhance its business in the steel imports and capital investment. Commenting on the recent initiative, Gary LaGrange, Port President and CEO said, “With India’s fast paced economic growth, we see opportunities to grow through a two-way trade routes between the Port and India, involving business of distinct commodities. Mukesh Oza, the Group President and CEO of Samsara Group has assured the New Orleans Port of the right platform for exploring and leveraging the opportunities for the Port’s growth. Apart from exploring the steel and oil and gas sectors, the port also targets opportunities from apparel, furniture, machinery and retail merchandise.


Positive Contributions of Vigilance in Mining “There always have been apprehensions in the mind of public at large about the coal theft/pilferage in the coal industry,� says Deepak Shrivastava, Chief Vigilance Officer, Mahanadi Coalfields Limited


oday we face the threat of unfairness and corruption everywhere; there is an imminent need for the management and vigilance teams to work in tandem and in a transparent and fair manner for the sake of growth and productivity of an Organisation. The Vigilance Department of the Mahanadi Coalfields Limited (MCL), a Miniratna Coal Company of Coal India Limited, has been re-strategizing the day to day official transactions & business operations through number of e-initiatives which could not have been possible without the continued guidance and constant follow up being done by the Central Vigilance Commission (CVC), New Delhi, and Ministry of Coal, Government of India. The public procurement which is considered a powerful driver in any organisation requires open and transparent procurement process. In order to address this, e-Procurement was started way back in the year 2009 on the e-portal ( designed by the National Informatics Centre, Chennai. The numbers of tenders awarded through e-Procurement Portal have risen from 225 in the year 2009-10 to 1529 in 2012-13 wherein uploading of tender documents till the finalization of lowest bidder is system driven and free from all human interventions. So far tenders of `5975.25 crores has been awarded through the e-procurement portal of MCL in a fair & transparent manner. Due to the effective e-procurement policy of the company, the original validity period of tenders floated have been considerably brought down from 120 to 75 days in domestic tenders and 180 to 90 days in global tenders. Also the costs of publication of tenders have gone down from ` 4.7 crores to ` 49.0 lakh per annum.


ICE Connect / / May 2014


Curbing Delays Recognizing the fact that the delay in refund of Earnest Money Deposit (EMD) which is a part and parcel of any procurement process, was adversely affecting the morale of the supplier/ tenderer, auto-refund of EMDs was thought as an everlasting solution to ensure “system driven EMD refund” to the clients. The system driven refund mechanism got formally launched recently during the observance of Vigilance Awareness Week -2013 shall enable the refund amount to be redirected to the supplier/tenderer account in an auto-mode once the e-tender portal declares the unsuccessful/ rejected bids. The recent impetus given to the “Coalnet” (WAN - intranet of the Company) by making it as an important data repository w.r.t. on-line bill status, coal production, PIS, Financial accountability, Material Management etc. could be possible through constant follow up through the regular field visits by the vigilance department. The data repository in Coalnet is being effectively utilized for “real time monitoring of contractual bills” which was one of the vulnerable area prone to corrupt practices. This particular step has resulted into greater transparency in timely payment of `2080.94 crore of contractual bills in a span of one year on first come first serve basis. The coal weighment in a mining industry is another vulnerable area where the use of leveraging technology plays a pivotal role in nipping in the bud any malpractice. The matter was taken up with the Management with the existing shortcomings & the possible solutions. Due to the sustained efforts of the Vigilance department coupled with active & vibrant support of Shri A N Sahay, CMD the installation of 39 In-motion road weighbridges with Radio Frequency Identification (RFID) could be completed in an expeditious manner. The In-motion road weigh bridges which have been installed recently are being provided with the Coalnet connectivity in order to have “on-line production data” in the Central server.

New Systems for More Efficiency Operator Independent Truck Dispatch System (OITDS), a pilot project was rolled out in 2009 in three mining areas of MCL for bringing in

transparency in Over Burden (OB) removal by departmental Heavy Earth Moving Machineries (HEMMs). OITDS was in t he stage of trial run for around two years. With the continuous monitoring & constant follow up by the Vigilance department, OITDS could become truly automated since April 2013. The system driven OITDS has not only brought transparency in the Over Burden (OB) removal but also there has been tangible benefit in terms of 5-10% reduction in overtime hours, 5% increase in capacity utilization/ availability of HEMMs, transmission of real time data for analysis, 5-10 percent reduction in High Speed Diesel (HSD) consumption. This has also helped in close monitoring of HEMMs position and status which is vital for any mining industry. The obstructions in the coal transportation during the peak summer season by the peripheral villages was yet another area where some IT intervention was required. These obstructions were due to lack of supply of adequate drinking water by the contractual mode, the cost of which was being borne out by the MCL. As a viable transparency measure “GPS based vehicle tracking system” were used on contractual water tankers to track down and monitor their trips till destinations. This particular IT intervention was instrumental in ensuring the supply of adequate drinking water to the peripheral villages thus fulfilling a major Corporate Social Responsibility. Also it could result savings of `78.67 lakh in contractual payments in the first year of its implementation itself. Another possible outcome of this IT intervention was absolutely nil hindrances faced

by the Contractual Coal Carrying Tippers by the peripheral villages for want of drinking water during peak summer.

Curbing Coal Theft There have always been apprehensions in the mind of public at large about the coal theft/ pilferage in the coal industry. Such instances of illegal diversion of coal do happen because of several factors some of which are manmade. Taking a cue from the “success of i-track” in the supply of drinking water to the peripheral villages, an idea of “Geo-fencing” emerged due to out of box thinking. “Geofencing” of one of the project areas particularly those with private washeries/sidings in their vicinity was done on trial basis successfully. Recognising that this could be an effective & potent tool for preventing coal theft/ diversion, possibilities are being explored to use this particular IT intervention in vulnerable Project areas shortly. Other leveraging technology measures are also being thought which inter-alia includes use of GPRS in Coal Tippers, effective On-line Material Management System (OMMS), Fuel Management System for prevention of theft of High Speed Diesel (HSD), Installation of CCTVs in railway sidings, road weigh bridges, Regional Stores, Central Workshops, Areas and HQ Offices etc. It is not straightforward to measure transparency since it is an elusive and shifting concept that resists an easy definition. Further, improving fairness & transparency in any organization do require additional investment and organizational changes in terms of administrative and IT systems.

May 2014 / / ICE Connect


Energy Updates

OIL plans to raise $900 mn to refinance Mozambique stake loan Oil India Ltd (OIL) is aiming to raise $900 million in foreign debt to refinance a loan to fund its stake in the Rouvuma-1 gas field in Mozambique. The public sector company had jointly acquired the gas field with ONGC. The consortium had later purchased Videocon’s share in the gas field for $2.475 billion and split it 60:40 among themselves. However, OIL had raised a short-term bridge loan worth $1.3 billion for duration of one year to fund its share. The company will be raising funds through foreign exchange for the repayment of this said loan. OIL aims to raise funds through a mix of foreign currency bonds and long-term external commercial borrowings to refinance the bridge loan. According to an official source, “OIL will raise up to $900 million through the issue of US dollar bonds.” The Rovuma-1 field located at the African region possesses 45-75 trillion cubic feet of gas reserves which will be converted into liquefied natural gas (LNG) for export to nations including India.

Coal India inks 160 FSAs with power plants Despite numerous operational hurdles and continuous delays, state-run Coal India Ltd (CIL) has successfully inked 160 fuel supply agreements (FSA) with power units across the country. According to the official resources, Coal India has to sign 172 FSAs for power projects of 78,000 MW capacity which was disclosed by the Cabinet Committee on Investment. According to an official document from the Coal Ministry, “In total 1777 Letter of Assurances (LoA) were issued by Coal India and its subsidiaries for power projects to be commissioned during the 11th and 12th Five Year Plans.” The document further stated that these LoAs involve a capacity of about 1,08,000 MW.

ONGC to develop its Vasai East offshore field ONGC has outlined plans for additional development of its Vasai East field in the Arabian Sea in western India for `2476.82 crore. The project, which is expected to be complete by December 2018, will add 1.83 million metric tonnes of incremental oil production of 1.971 bcm of gas by 2030. As per the outlined plan for incorporating minor modifications, ONGC will drill infill wells in the field’s northern and southern flanks from two wellhead platforms and will utilize the facilities at the BPA/ BCPA-2 process platform. In addition, the company has a new oil and gas discovery through NW-B173A-8 on the South and East Bassein PML in the Western Offshore basin.


ICE Connect / / May 2014

RIL and OIL bag oil blocks in Myanmar Strengthening their operational presence, Reliance Industries Ltd (RIL) and Oil India Ltd (OIL) have bagged oil and gas blocks in Myanmar. While RIL acquired shallow-water blocks M-17 and M-18 in Myanmar’s maiden offshore licensing round, OIL, along with its partners Mercator Petroleum Ltd and Oilmax Energy Pvt Ltd won shallow-water blocks M-4 and YEB, Mynamar’s Ministry of Energy said.Confirming the award, RIL in its statement disclosed that both the blocks awarded are located in Moattama basin in water depths of up to 3,000 feet and in total cover an area of 27,600 square kilometers. As per the process, Reliance Industries of its affiliates will enter into production sharing contracts, which will allow for initial preparation and study periods before committing to Phase-I of the exploration period.


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Products Line

CASE Construction Equipment Sets New Benchmarks


ASE Construction Equipment unveiled the new CX350D Hydraulic Excavator, Case 821F and 921F Wheel Loaders and five models of The M Series dozers. All the equipments meet the new Tier-4 Final regulations for emission control and selective catalytic reduction (SCR) technology. The products where showcased at the CONEXPO-CON/AGG 2014 exhibition which was held from March 4-8 in Las Vegas. The CX350D offers significant advances in power, fuel savings, operation and control it features an innovative combination of cooled exhaust gas recirculation (CEGR), SCR and diesel oxidation catalyst (DOC) technologies. The advanced technologies enable to maximize uptime and performance. “CASE was the first to implement SCR into our Tier 4 Interim machines because that solution makes the most sense for wheel loaders based on the inconsistent engine loads placed on the machine throughout its regular work cycle,” said Philippe Bisson, brand market-

ing manager, CASE Construction Equipment. The M Series Dozers displayed at CONEXPO included five models ranging from 92 to 214 net horsepower. It uses highly-efficient hydrostatic transmissions to deliver a class-leading drawbar pull. The new M series Dozer is powered by a fuel efficient FPT Industrial engine which allows fuel savings up to 14 percent. This is the first time that selective catalytic reduction (SCR) technology is built into a Case dozer. The new CASE M Series Dozer was fully launched in the North American markets by March 2014. In other regions where the company operates, models will be introduced with different timing and in line with different market’s emission requirements. The company had implemented the full availability of its new 96 horsepower 851 EX backhoe loaders, which is considered to be the most power backhoe loader in India. Case Construction Equipment is now all set to introduce the new product range with Tier 4 norms in India once it is implemented.

Finolex Cables launches CCTV Cable Wires


inolex Cables Limited, India’s largest and leading manufacturer of electrical and communication cables today launched their range of CCTV Cable wires. The company through its latest product launch aims to address the increasing concern for security and round the clock surveillance. The products are expected to offer advanced assistance for security and surveillance


ICE Connect / / May 2014

requirements especially in places like industrial areas, commercial and shopping complexes, airports, railway stations, roads etc. Commenting on the recent launch Sridhar Reddy, President, Marketing, Finolex Cables Ltd said “Our goal is to provide complete cabling solutions to our customers and this new CCTV Cable wires works in conjunction with some of our existing products.”

The new range of CCTV cable wires uses the latest technology of gas injected physical foaming. The conductor for this cable is of solid bare copper type which offers low resistance and lower tattenuation, resulting in better picture quality. The project offers most suitable for outside application as the PVC Jacket and also offers UV (ultra-violet) protection.


Ice Connect Magazine - May 2014  
Ice Connect Magazine - May 2014  

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