InTouch_January 2011

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EXPERT COMMITTEES clean, climate friendly and energy efficient power sector. The Chairman pointed out that the power cut at present is 20% both in demand and energy. The power calculation during the power cut is as follows: 4 The maximum consecutive three months’ energy consumed is taken as base prior to power cut. 4 The highest recorded demand in any single month is taken as base. 4 For those who use other than TNEB power like Windmill and Third party power, this is deducted from the overall consumption. 4 TNEB is penalising the consumers who use wind mill power, though in Tamilnadu the power generation by wind mills is over 25-30%. The industries are allowed to buy power from the Energy Exchange or Indian Energy Exchange who are the authorised power trading agencies. The Electricity Board is not adhering to the policies of Regulatory Commission. Earlier, any power issues /quota issues were handled by technical officials but now all these matters are handled by Commercial officials who are not aware of the technical requirements. The practice of billing used to be on 30th of every month and payment to be made within a week’s time. Now there is deliberate delay, wrong billing etc. and bills are sent to the consumers at the last moment and they are forced to pay on time , without even verifying the calculations. The Chairman said the main reasons for the power problems in Tamilnadu are: 1. Theft 2. No proper maintenance 3. Non- installation of power stations 4. Non-adherence to safety norms 5. Failure in generation. 6. No proper distribution mechanism.

The Committee felt that a strong representation should be made to the Government as early as possible. Further, the Committee felt that the Chamber could plan a one day seminar on Energy in March 2011 and this was agreed to. 28th January 2011

Logistics The Committee met on 28th January. The Chairman and Co-Chairman felt that there were many problems being faced in the logistics trade particularly in port. For the economic development of India, they felt a well functioning seaport system is necessary. To realise the economic growth potential, the attention needs to be given to development and modernization of logistics trade. To become globally competitive, importance must be given for development of infrastructure in sectors like roads, airports, seaports, railways etc. in general and port sector in particular as the ports play a vital role in the overall economic development of the country. Logistics sector is growing and various projects are underway in terms of port development and infrastructure development but many of them are not being completed on time and there is enormous delay due to problems in the overall logistics segment. The Rail-Road connectivity between land and ports needs immediate attention to ensure a smooth flow of traffic which would enable the exporters to ensure smooth export. The Government should also develop minor ports with proper equipments facility, infrastructure and administration and some of the exports could be diverted to the minor ports to avoid traffic in the major ports. Minor port development would also provide job opportunities for the local people. Multiple authorities are involved in large infrastructure projects resulting in absence of integrated planning and coordination.

that the Madras Chamber could plan for a comprehensive study over the concerns of the logistics trade focusing Sea Port, Air Port, Rail and Road and inter connected issues. The study would be necessary for the Chamber as a host of issues could be brought through this and this would provide an opportunity for the Chamber to present the same to the Government. Further, the Chairman and Co-Chairman suggested conducting a course on logistics which may improve the employability of students particularly arts and management graduates. The Co-Chairman also said that the Chamber has already taken an initiative in promoting skill development and this could well fit in that objective. There are logistics courses available for the post graduation and advance level in logistics trade but there is no institution which teaches the basic levels of logistics trade. A number of job opportunities are emerging now in the logistics trade and this course could perhaps prepare a few students to take up the job soon after graduation. The Secretariat agreed to this proposal and to work on further details in consultation with the committee The Committee also discussed about organising a Management Development Programme on Export & Import Procedures and planned the same in March after the Union Budget.

Congratulations MCCI conveys its congratulations and best wishes to Mr K Raghavendra Rao, Chairman & Managing Director, Orchid Chemicals & Pharmaceuticals Ltd., who has recently been conferred with "Padma Shri" Award. We wish him many more laurels in the years ahead.

The Chairman and Co-Chairman also felt

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