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The IUP Journal of Infrastructure


March' 07
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Where China Scores Over India: The Infrastructure Story
Infrastructure Sector in India: A Comparative Study
O and M Type of Financing: The Case of Sri Sathya Sai Water Supply Project
Formulating Urban Transport Strategy: A Review of the Experience of Mumbai
Ultra Mega Power Projects — Will They be Cost-effective?
Carbon Credits
E-government From Vision to Implementation : A Practical Guide with Case Studies
     
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Where China Scores Over India: The Infrastructure Story

-- Dhandapani Alagiri

China and India, are moving along the path of economic growth. While China is growing at a hurried pace, India is lagging way behind. The difference is most glaring in the infrastructure sector, which has had its effect on other areas of the economy as well. China's focus is basically on the manufacturing sector and it realized early the importance of good infrastructure early. Its investment in basic infrastructure is huge and continues to this day. In India, the cost of most of the infrastructure facilities and services is 50-100% higher when compared to that of China. The study concludes that for India, without developing proper infrastructure facilities, it will be difficult to continue in the growth trajectory that India has set for itself.

Article Price : Rs.50

Infrastructure Sector in India: A Comparative Study

-- Chandan and Ranjan Kumar Dash

This paper focuses on the performance of infrastructure provisions in India in four major sectors—electricity, water and sanitation, information and communication technology, and road transportation—against the relevant group of comparator countries using a recent World Bank international database with objective and perception-based indicators of infrastructure performance over 200 countries. Overall, the study finds that the infrastructure condition is not up to mark. China, Brazil and Russia are far ahead of India. However, India is only relatively better placed in comparison with South Asian countries like Pakistan, Bangladesh and Nepal. These shortfalls in facilities are likely to have an adverse impact not only on the wellbeing of people but also on their long-term development prospects. It is only the information and communication Technology (ICT) sector that seems to have better prospects, because of low cost to access.

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O and M Type of Financing: The Case of Sri Sathya Sai Water Supply Project

-- Deepak Kumar

The paper discuses the unique method of Operations and Maintenance (O and M) type of financing with special reference to the Sri Satya Sai Water Supply Project in the Ananthapuram district of Andhra Pradesh. The successful completion of the project is an extraordinary example of public-private and people partnership, which has set an example to the policymakers, the State government and the beneficiaries.

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Formulating Urban Transport Strategy: A Review of the Experience of Mumbai

-- Ramakrishna Nallathiga

Urban transport is increasingly becoming important in a country like India, where urbanization is on the rise, and the growth of urban areas is to some extent determined by the prevalence of good city transport. It is, therefore, necessary for cities to formulate urban transport strategies so that they can continue to provide support to the increasing population. The study reviews the experience of such strategic directions by Mumbai, one of the oldest and largest cities in India. The paper also reviews the past studies, and examines the strategic options and their use in terms of both current practices and critical shortcomings, so that other cities can benefit from such excercise. The study concludes that the best approach to city transport involves (a) using demand and traffic management; (b) integration of all major modes of transportation (c) establishing appropriate institutional mechanisms; (d) formulating policies that give priority to public transport and ensure its improvement; and (e) strengthening transport infrastructure.

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Ultra Mega Power Projects — Will They be Cost-effective?

-- Lata Chakravarthy

India has witnessed a flurry of activities, starting early 1990s when it went through the `rituals' of liberalization and privatization (by allowing private sector to set up new generation projects), unbundling, corporatization and setting up of regulatory agencies for price regulation. From the year 2002-03, attention has shifted to distribution with the growing voice of the media blaming the government for starting the power sector reforms at the generation-end rather than the distribution-end as no perceptible benefits of reforms accrued to the end user. Today, the focus is back on generation with the announcement of seven Ultra Mega Power Projects (UMPPs) to be set up through international competitive bidding, which will add to 28,000 MW to the installed capacity. Competition in any industry is encouraged to minimize costs, restrain prices and ensure that the benefits reach the consumers. The common questions are: To what extent are the costs and the resultant tariffs likely to come down by encouraging UMPPs through competitive bidding? What are the cost economies of UMPPs? What are the ecological implications of UMPPs? What are the major motivating factors for the renewed policy attention on generation? This study analyzes the questions and draw conclusions on whether UMPPs are the best solution for problems plaguing the generation industry.

Article Price : Rs.50

Carbon Credits

-- P Nair and Vani Vasakarla

The greenhouse effect and global warming are due to carbon emissions. Much of the global warming is due to power plants, cars and other auto vehicles, airplanes and the like. In order to reduce such emissions, various incentives such as the Carbon Credits are being provided. The basic idea is that the person who pollutes should pay a certain sum, which goes to the country where there is less pollution. Therefore, the carbon credit mechanism is very important as a source of funding for infrastructure which looks to reduce pollution such as Compressed Natural Gas (CNG) in place of petrol, metro rails in place of auto transport and various kinds of aero engines which do not pollute. On the power front, hydro, gas and solar in place of coal, give considerable scope for regulating carbon emissions. The whole mechanism is governed by the United Nations through United Nations Framework Convention on Climate Change (UNFCCC), the most important development of which is the Kyoto Protocol. The present study spotlights the raise of the concept of carbon credits in the background of global warming. The paper, among others, discuses the influence of carbon emissions on the climate; introduces the concept of carbon credits with due reference to greenhouse effect and global warming; and examines the key issues in carbon credits in the pretext of Kyoto protocol.

Article Price : Rs.50

E-government From Vision to Implementation : A Practical Guide with Case Studies

-- Reviewed by Vasakarla Jayavani

E-government applications have emerged rapidly in the developing world. Many countries use e-government as an enabling tool to increase efficiency, enhance transparency, and collect more revenue and facilitate public sector reforms. While e-government is not a panacea that can improve the performance of the public sector, it is a powerful enabling tool that has aided government achieve some of their development and administrative reform goals.

Article Price : Rs.50
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Automated Teller Machines (ATMs): The Changing Face of Banking in India

Bank Management
Information and communication technology has changed the way in which banks provide services to its customers. These days the customers are able to perform their routine banking transactions without even entering the bank premises. ATM is one such development in recent years, which provides remote banking services all over the world, including India. This paper analyzes the development of this self-service banking in India based on the secondary data.

The Information and Communication Technology (ICT) is playing a very important role in the progress and advancement in almost all walks of life. The deregulated environment has provided an opportunity to restructure the means and methods of delivery of services in many areas, including the banking sector. The ICT has been a focused issue in the past two decades in Indian banking. In fact, ICTs are enabling the banks to change the way in which they are functioning. Improved customer service has become very important for the very survival and growth of banking sector in the reforms era. The technological advancements, deregulations, and intense competition due to the entry of private sector and foreign banks have altered the face of banking from one of mere intermediation to one of provider of quick, efficient and customer-friendly services. With the introduction and adoption of ICT in the banking sector, the customers are fast moving away from the traditional branch banking system to the convenient and comfort of virtual banking. The most important virtual banking services are phone banking, mobile banking, Internet banking and ATM banking. These electronic channels have enhanced the delivery of banking services accurately and efficiently to the customers. The ATMs are an important part of a bank’s alternative channel to reach the customers, to showcase products and services and to create brand awareness. This is reflected in the increase in the number of ATMs all over the world. ATM is one of the most widely used remote banking services all over the world, including India. This paper analyzes the growth of ATMs of different bank groups in India.
International Scenario

If ATMs are largely available over geographically dispersed areas, the benefit from using an ATM will increase as customers will be able to access their bank accounts from any geographic location. This would imply that the value of an ATM network increases with the number of available ATM locations, and the value of a bank network to a customer will be determined in part by the final network size of the banking system. The statistical information on the growth of branches and ATM network in select countries.

Indian Scenario

The financial services industry in India has witnessed a phenomenal growth, diversification and specialization since the initiation of financial sector reforms in 1991. Greater customer orientation is the only way to retain customer loyalty and withstand competition in the liberalized world. In a market-driven strategy of development, customer preference is of paramount importance in any economy. Gone are the days when customers used to come to the doorsteps of banks. Now the banks are required to chase the customers; only those banks which are customercentric and extremely focused on the needs of their clients can succeed in their business today.

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