CHAPTER - I
Introduction: Role & Performance:

The Department of Programme Implementation, formerly known as Ministry of Programme Implementation was set up in 1985 with the sole purpose of independently monitoring Central Sector Projects and key infrastructure sectors including the social sectors. During past few years this Department has built up a rich data bank, acquired professional expertise and developed capability for carrying out objective monitoring and evaluation.

1.1. This Department has five Divisions, namely,

1. Twenty Point Programme & Common Minimum Programme Division

2. Member of Parliament Local Area Development Scheme Division

3. Infrastructure Monitoring Division

4. Project Monitoring Division

5. Administration Division

Twenty Point Programme(TPP) & Common Minimum Programme(CMP) Division:

1.2   The Twenty Point Programme(TPP) Division monitors the implementation of Twenty Point Programme. Package of programmes consisting of schemes relating to poverty alleviation, employment generation, education and health etc. The TPP has been in operation since 1975. This package was resctructured twice in 1982 and 1986. The present programme TPP-1986 has been in operation since 1st April, 1987 in its present form. With the globalisation of Indian Economy and adoption of modern liberalisation process, the TPP86 provides much needed safety net to the deprived and adversely affected population. The TPP plays a vital role to ensure growth with equity and social justice. It plays an important role in removing rural poverty by providing sustainable employment and creation of assets for raising the income level of the targeted poor people in the rural areas.

Common Minimum Programme(CMP) Division:

1.3.   The Department of Programme Implementation was a nodal Department to monitor the CMP which was being implemented by the concerned Ministries/Departments. This programme include taking important steps in the field of economy and financial administration, social justice in the interest of SC & STs, backward classes, minorities and improving international relations particularly with the neighbouring countries.

Members of Parliament Local Area Development(MPLAD) Scheme Division:

1.4   Monitors the implementation of various works/activities under the MPLAD Scheme. The scheme has made a very good impact on the development of various areas throughout the country. The works of different varieties have come up for the benefit of general public at large. These works consist of construction of libraries, school buildings, approach roads, small bridges, community centres, installation of computers in the schools etc.

Infrastructure Monitoring Division(IMD):

1.5   The IMD monitors the performance of infrastructure sectors with the special focus on removing the bottlenecks standing in the way of accelerated growth. For this purpose, this Division is monitoring on monthly basis the performance of 11 infrastructure sectors viz., Power, Coal, Steel, Railways, Cement, Telecommunication, Ports, Fertilizers, Petroleum & Natural Gas. Roads and Civil Aviation with focus on the production targets which are included in the MOU of the various infrastructure sectors.

Project Monitoring Division(PMD):

1.6   The Project Monitoring Division(PMD) is monitoring all Central projects of the Government costing Rs.20 crores and Above and review the impact of Accelerated Irrigation Benefit Programme Since 1996-97. This division has also been charged with the responsibility of monitoring major infrastructure projects in private/joint sector. This Division makes appraisal of the Projects from the point of view of the state of preparedness, examining causes of time and cost overrun of the projects and identifies the bottlenecks in the implementation thereby playing an important role as coordinator and facilitator. Evaluation of compilation report and carrying out system study also fall within its purview. Sometimes this Division is called upon to examine the causes of time and cost overrun in specific projects for fixing the responsibility. Through its studies and evaluation reports the Division has contributed in identifying strengths and weaknesses in the entire system of projects formulation, appraisal, implementation, monitoring and evaluation. Besides, the constraints of the resources, the other serious weaknesses identified by the Division, are incomplete feasibility study, delays in land acquisition, delays in the tieup of technology, delays in preparation of engineering design and drawing etc. It has been observed that pace of implementation of many projects could be improved by better management as is shown by some projects in PSUs which have been implemented within the gestation period. In the light of experience gained in different sectors of economy, this Division has been suggesting various remedial measures to be adopted by the administrative Ministries and Project Authorities. The importance of project management has been analysed by the Department from time to time. One of the important contributions of the Division has been to bring about improvement in the system of project management.

CHAPTER II
ORGANISATION

2.1   The Ministry of Programme Implementation came into existence in September, 1985. Upto December, 1989 it was headed by Cabinet Minister for Ministry of Programme Implementation. Thereafter, the Ministry was directly under the charge of the Prime Minister, who was assisted by the Minister of State. From July, 1991 the Department of Programme Implementation became one of the Departments in the Ministry of Planning & Programme Implementation under the charge of a Minister of State.

2.2   The Department of Programme Implementation is headed by a Secretary who is assisted by one Additional Secretary, one Joint Secretary, one Director, one Joint Adviser, two Deputy Secretaries and five Deputy Advisers; and, other subordinate staff. The Department has a sanctioned strength of 97 posts Additional 21 temporary posts were created during 1995 for implementing and monitoring of Members of Parliament Local Area Development Scheme(MPLADS). These posts are continued on year to year basis. The organisational chart of the Department is at Annexure to this chapter.

As indicated in Para 1.1, the Department has five Divisions.

Modernisation of system of Procedures:

2.3   For increasing the efficacy of the Department computers are used extensively. Latest software packages are used to optimise the efficiency in the Department.

Progressive use of Hindi:

2.4   Quarterly meetings are held for proper implementation of the Official Language Policy. Hindi Pakhwara(fortnight) was observed from 14.9.98 to 28.9.98 to create awareness among the staff and officers for progressive use of Hindi. It was a great success with the large participation of officers and staff.

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CHAPTER-III
MEMBER OF PARLIAMENT LOCAL AREA DEVELOPMENT SCHEME (MPLADS)

BACKGROUND

3.1   The Members of Parliament are often approached by their constituents for taking up small developmental works of capital nature in their respective constituencies. The Members of Parliament, therefore, demanded that they should be able to recommend works to be done in their respective constituencies. After considering their suggestions, the Members of Parliament Local Area Development Scheme was announced in the Parliament on 23rd December, 1993 by the Prime Minister. The normal mechanism of planning is governed by a set of administrative guidelines with regard to cost norms, resource allocation and prioritisation of works to be undertaken. Consequently, it is not always possible to take care of some of the felt needs of the people in all circumstances. It was with a view to bridging this gap and also lending a certain degree of flexibility to the planning process that the scheme, which is expected to be an instrument for meeting the felt needs of the people, was thought of.

3.2   The scheme was initially administered by the Ministry of Rural Areas and Employment. The subject was later on transferred to the Department of Programme Implementation, Ministry of Planning and Programme Implementation, with effect from October, 1994.

OBJECTIVE

3.3   Under this Scheme, each MP will have the choice to suggest to the Head of the District works to the tune of Rs.1 crore per year, to be taken up in his/her constituency. Elected Members of Rajya Sabha, representing the whole of the State as they do, may select works for implementation in one or more district(s) as they may choose. Nominated Members of the Lok Sabha and Rajya Sabha may also select works for implementation in one or more district(s), but within one state of their choice.

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The salient features of the Scheme are :

(a) The works under the scheme shall be developmental in nature, based on the locally-felt needs and should lead to creation of durable assets.

(b) Purchase of inventory or stock of any type is not allowed under this Scheme.

(c) The funds released under the scheme are non-lapsable.

(d) The normal financial and audit procedures would apply to all transactions under the Scheme.

(e) The release of funds under the Scheme is to be done twice a year on the basis of physical and financial progress.

(f) Office buildings, residential buildings and other buildings, relating to Central or State Governments, Departments, Agencies or Organisations are not permitted.

3.4 Detailed guidelines indicating the objectives of the Scheme, salient features of the Scheme, list of works that may be taken up, works which shall not be allowed under the Scheme, procedures for sanction and execution of works, monitoring arrangements, release of funds and special provisions were issued in February, 1994 by the Ministry of Rural Areas and Employment. After the Scheme was transferred to this Department, revised guidelines were issued in December, 1994.

The guidelines were further revised in February 1997. The new provisions inserted in the

revised guidelines were:

(a) Funds can be used for partly meeting the cost of larger works.

(b) As far as possible all sanctions for works be accorded within 45 days.

(c) Decision making for technical and administrative sanction should be only at district level and for the purpose of implementing this Scheme, full and final powers should be delegated to       the district technical and administrative functionaries.

(d) Implementing agencies may not collect any administrative charges, centage charges, etc., for their services.

(e) Allocation of MPLADS funds under the Scheme is for the constituency.

(f) Whenever there is a change in the Member of Parliament (MP), the works identified by the predecessor MP which are under execution should be completed. Also works identified by the predecessor MP pending sanction due to administrative reasons beyond a period of 45 days from the day of recommendation by the MP are also to be executed. Remaining unsanctioned works pending for less than 45 days to be executed subject to the confirmation by the successor MP.

(g) The district heads should also communicate information on the progress of works under the scheme on the INTERNET for which connectivity is available in the parliament.

(h) A senior Commissioner-level officer at the State headquarters should conduct an annual meeting involving the heads of districts and Members of Parliament to assess the progress once a year.

(i) The Bureau for Parliament Studies and Training (BPST) may arrange training of district officials  in batches involving and bringing out interaction with MPs.

3.5   To promote awareness of computers among the students, a scheme for installation of computers in schools and other educational institutions has been included under the guidelines on MPLADS. Apart from this, following four electronics schemes which can be implemented under MPLAD scheme are:-

1. Information footpath;

2. HAM Club in High Schools;

3. Citizen Band Radio; and

4. Bibliographic Data Base Project.

      The guidelines for implementation of 5 electronics schemes were issued by the Department of Electronics. With a view to streamline the implementation of electronic schemes and to make them more attractive and useful for the student community especially, revision of the guidelines has been undertaken. For this purpose, a group was constituted under the Chairmanship of Hon'ble Dr. Shrikant R. Jichkar, MP (RS) with representative of Department of Electronics and Department of Programme Implementation as members. The Group could not submit its report due to the retirement of its Chairman from the seat of Rajya Sabha.

RECENT DECISIONS

3.6   As per statement laid on behalf of the Prime Minister in Lok Sabha and MOS (P&PI) in Rajya Sabha on 23.12.1998 the following decisions were announced :-

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  1. The allocation of Rs.1 crore per year per MP under the MPLAD Scheme stands increase to Rs.2 crores per year per MP.
  2. The interest accrued on MPLADS funds may be used for the same purpose for which the basic amount has been allocted.
  3. In respect of Rajya Sabha Members, the unspent balance eft by the predecessor Rajya Sabha, MP in a particular State will be equally distributed amongst the successor Rajya Sabha Member from that particular State.

In addition, it was also decided to allow construction of manned Railway Level Crossings in place of unmanned level crossings to avoid railway accidents.

FUNDS RELEASED

3.7   As the scheme was announced in December, 1993 only a token amount of Rs. 5 lakhs per MP was released by the then Ministry of Rural Development for the year 1993-94. These funds were released to the State Governmemts. The nominated Members of the Parliament were not covered in the release for this year.

3.8   The Ministry of Rural Areas and Employment released Rs.1 crore per MP directly to the Collectors for the year 1994-95. Funds for this year were also released in respect of the nominated Members. In case of Lok Sabha constituency falling in more than one district, the District Collector, who receives the money, released by the Government of India, has to make available the necessary funds to other districts, in keeping with the MP's choice for the works proposed by the latter. Similarly, for elected Rajya Sabha Members and nominated Rajya Sabha and Lok Sabha Members selecting works for implementation in more than one district, the nodal Collector has to make available necessary funds to other districts.

3.9   During the year, 1995-96, two instalments of Rs.50 lakhs each per MP were released by this Department in July and December, 1995 respectively. For the year 1996-97, funds were released @ Rs. 1 crore per MP in December, 1996. For the year 1997-98 and 1998-99 funds have been released to those MPs whose unsanctiond balance was reported to be less than Rs.50 lakhs by the concerned Nodal Implementing Officer.

Year Funds  released   per MP  Total funds  released to the collectors
1993-94  5 lakhs 37.8 crores
1994-95 1 crore  771.0 crores
1995-96 1 crore  763.0 crores
1996-97 1 crore 782.5 crores (Rs.4.5 crores released from budget of 1997-98)
1997-98 * 483.5 crores (upto 31.03.98) + 206 crores from the Budget of 1998-99 (upto 31.12.1998).
 
1998-99 * 316.6 crore upto 31.12.98

* 1st and 2nd instalments of Rs.50 lakhs each for 1997-98 have been released in respect of 745 and 634 MPs respectively till 31.12.1998 and 1st & 2nd instalments for the year 1998-99 have been released to 498 & 135 MPs respectively till 31.12.1998.

3.10   As per the information received from the various District Collectors an expenditure of Rs.2136.9 crores has been incurred against the total release of Rs.3359.8 crores, as on 31.12.1998

3.11   Statements indicating the releases made by the Government of India under the Scheme and the actual expenditure State-wise for Lok Sabha as well as Rajya Sabha are given in Annexures-I, II and III to this chapter.

3.12   The progress of expenditure under this Scheme remained rather slow during the initial years for various reasons but it gained momentum and as per the latest reports available about 64% of the amount released has actually been spent so far. Works to the extent of 84% have been sanctioned. It may not be out of context to mention here that during the year 1996-97 and 1997-98 the execution of MPLADS works received set-back due to declaration of general elections of Lok Sabha which affected starting of new works under MPLADS. The criteria adopted for release of

funds in 1997-98 and 1998-99 has improved the utilisation.

IMPLEMENTATION AND MONITORING

3.13   The District Collectors are responsible for the coordination and overall supervision of the works under the Scheme at the district level. The Deptt. of Programme Implementation, Government of India, has the nodal responsibility for the Scheme at the Centre.

3.14   For effective implementation of the works, each State Government/UT Administration is required to designate one nodal department for physical monitoring through field inspection and for coordination with the DPI. The revised guidelines specify the nature of monitoring and inspection of MPLADS works required to be undertaken by the District Head, officers of the District at Sub-division and block levels and stipulate the requirement of annual meetings at State headquarter by a senior Commissioner level officer with the Heads of the District and the MPs to assess the progress of works under the Scheme. For effective monitoring of the Scheme, formats have been designed by the DPI for network based monitoring system and sent to 38 Districts chosen for pilot testing. After the reciept of feedback of from these districts, this may be adopted in all other districts.

3.15   Review Meetings were organised with the MPs in Patna, Calcutta and Bhubneshwar in Sept.1998, Jan. 1999 and Feb. 1999 respectively which were presided over by Minister of State for Planning and Programme Implementation and attended to by MPs, DCs and other Senior Level Officers from these States.

IMPACT OF THE SCHEME ON DEVELOPMENT :

3.16. The Scheme has made a good impact on the development of various areas all over the country. Works of different varieties have come up for the benefit of general public at large. These works include construction of school buildings, libraries, provision of drinking water by drilling tubewells, approach roads, small bridges, sports stadiums, community centres, crematoriums and boundary walls around them, public toilets, drains, footpaths, bus stops and provision of electricity in rural areas. Construction of school buildings in remote areas and making provision of drinking water has fulfilled the basic requirements of the inhabitants of these areas to some extent. Implementation of electronic schemes at various places, especially the installation of computers in schools has been of great help to the student community. With the increase in allocation of MPLADS funds, it is expected that more & more works of public utility would be taken up for the benefit of general public at large.

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Summary Statement for Release/Expenditure of LS and RS MP's (as on 31/12/98

Sl. No. Name of State/UTs
1993-99
    Release by G.O.I
(Rs. Lakhs)
Amount Sanctioned
(Rs.Lakhs)
%Sanction over Release Expenditure Incurred
(Rs. Lakhs)
%Utilisation over Release
(0) (1) (2) (3) (4) (5) (6)
1 Andhra Pradesh 25895.0 21993  84.9 16468.7 63.6
2 Arunachal Pr. 1315.0 1100.2 83.7 785.6 59.7
3 Assam 8705.0 7198.7 82.7 5440.6 62.5
4 Bihar 32960.0 27896 84.6 23286.7 70.7
5 Goa 1215.0 847.4 69.7 821.5 67.6
6 Gujarat 16185.0 13528 83.6 8910.7 55.1
7 Haryana 6475.0 5697.5 88.0 4773.9 73.7
8 Himachal Pr. 3035.0 2446.4 80.6 1588.5 52.3
9 J & K 1950.0 976.1 50.1 609.2 31.2
10 Karnataka 18100.0 14346 79.3 10626.9 58.7
11 Kerala 12395.0 10443 84.3 7311.5 59.0
12 Madhya pradesh 25475.0 22309 87.6 17531.6 68.8
13 Maharashtra 30233.5 26018 86.1 17415.5 57.6
14 Manipur 1515.0 1324.0 87.4 1205.8 79.6
15 Meghalaya 1365.0 1196.9 87.7 1185.3 86.8
16 Mizoram 910.0 710.0 78.0 708.7 77.9
17 Nagaland 1010.0 905.0 89.6 860.0 85.1
18 Orissa 13250.0 10689 80.7 7214.8 54.5
19 Punjab 8405.0 6247.8 74.3 5143.8 61.2
20 Rajasthan 15375.0 12406 80.7 8440.3 54.9
21 Sikkim 860.0 764.4 88.9 595.5 69.2
22 Tamil Nadu 25385.0 22159 87.3 17895.9 70.5
23 Tripura 1015.0 805.0 79.3 535.7 52.8
24 Uttar Pradesh 53595.0 46299 86.4 38259.6 71.4
25 West Bengal 22285.0 18030 80.9 12514.6 56.2
26 A & N Islands 305.0 157.8 51.7 132.7 43.5
27 Chandigarh 455.0 371.0 81.5 246.1 54.1
28 D & N Haveli 455.0 403.5 88.7 242.8 53.4
29 Daman & Diu 455.0 363.0 79.8 276.8 60.8
30 Delhi 4345.0 3824.8 88.0 2515.8 57.9
31 Lakshdweep 355.0 303.0 85.4 27.3 7.7
32 Pondicherry 710.0 598.1  84.2 123.2 17.4
Grand Total 335988.5 282355.7 84.0 213695.5 63.6

Summary Statement for Release/Expenditure of LS MP's (as on 31/12/98)

Sl. No. Name of State/UTs
1993-99
    Release by G.O.I
(Rs. Lakhs)
Amount Sanctioned
(Rs.Lakhs)
%Sanction over Release
(Rs. Lakhs)
Expenditure Incurred %Utilisation over Release
(0) (1) (2) (3) (4) (5) (6)
1 Andhra Pradesh 18205.0 15871 87.2 11788.0 64.8
2 Arunachal Pr. 810.0 697.5 86.1 440.1 54.3
3 Assam 5520.0 4550.2 82.4 3663.0 66.4
4 Bihar 23360.0 20324 87.0 16807.9 72.0
5 Goa 910.0 808.3 88.8 808.3 88.8
6 Gujarat 11880.0 10387 87.4 6956.8 58.6
7 Haryana 4250.0 3685.6 86.7 3140.9 73.9
8 Himachal Pr. 1620.0 1270.7 78.4 869.3 53.7
9 J & K 1150.0 628.1 54.6 411.4 35.8
10 Karnataka 12690.0 10114 79.7  7476.4 58.9
11 Kerala 8800.0 7680.1 87.3 5474.4 62.2
12 Madhya pradesh 18745.0 16870 90.0 13333.1 71.1
13 Maharashtra 21430.0 18853 88.0 12673.3 59.1
14 Manipur 1010.0 893.8 88.5 798.6 79.1
15 Meghalaya 810.0 708.0 87.4 696.4 86.0
16 Mizoram 455.0 55.0 78.0  355.0 78.0
17 Nagaland 505.0 500.0 99.0 455.0 90.1
18 Orissa 8800.0 7292.2 82.9 5152.2 58.5
19 Punjab 5115.0 3969.3 77.6 3177.0 62.1
20 Rajasthan 11075.0 9177.9 82.9 6526.0 58.9
21 Sikkim  455.0 405.2 89.0 327.2 71.9
22 Tamil Nadu 16995.0 15132 89.0 12207.3 71.8
23 Tripura 660.0 500.3 75.8 356.0 53.9
24 Uttar Pradesh 37775.0 32866 87.0 27623.1 73.1
25 West Bengal 16655.0 13824 83.0 9422.0 56.6
26 A & N Islands 305.0 157.8 51.7 132.7 43.5
27 Chandigarh 455.0 371.0 81.5 246.1 54.1
28 D & N Haveli 455.0 403.5 88.7 242.8 53.4
29 Daman & Diu 455.0 363.0 79.8 276.8 60.8
30 Delhi 2980.0  2853.5 95.8 1892.7 63.5
31 Lakshdweep 355.0 303.0 85.4 27.3 7.7
32 Pondicherry 355.0 320.6 90.3 86.4 24.3
Grand Total 235040.0 202134.1 86.0 153843.4 65.5

Summary Statement for Release/Expenditure of RS MP's (as on 31/12/98)

Sl.No. Name of State/UTs
1993-99
    Release by G.O.I
(Rs. Lakhs)
Amount Sanctioned
(Rs.Lakhs)
%Sanction over Release Expenditure Incurred
(Rs. Lakhs)
%Utilisation over Release
(0) (1) (2) (3) (4) (5) (6)
1 Andhra Pradesh 7690.0 6122.4 79.6 4680.7 60.9
2 Arunachal Pr. 505.0 402.6 79.7 345.5 68.4
3 Assam 3185.0 2648.5 83.2 1777.6 55.8
4 Bihar 9600.0 7572.2 78.9 6478.8 67.5
5 Goa 305.0 39.1 12.8 13.2 4.3
6 Gujarat 4305.0 3140.6 73.0 1953.9 45.4
7 Haryana 2225.0 2011.9 90.4 1633.1 73.4
8 Himachal Pr. 1415.0 1175.7 83.1 719.3 50.8
9 J & K 800.0 348.0 43.5 197.7  24.7
10 Karnataka 5410.0 4232.3 78.2 3150.5 58.2
11 Kerala 3595.0 2762.8 76.9 1837.1 51.1
12 Madhya pradesh 6730.0 5438.5 80.8 4198.6 62.4
13 Maharashtra 8803.5 7165.1 81.4 4742.2 53.9
14 Manipur 505.0 430.2 85.2 407.2 80.6
15 Meghalaya 555.0 488.9 88.1 488.9 88.1
16 Mizoram 455.0 355.0 78.0 353.7 77.7
17 Nagaland 505.0 405.0 80.2 405.0 80.2
18 Orissa 4450.0 3396.4 76.3 2062.6 46.4
19 Punjab 3290.0 2278.6 69.3 1966.8 59.8
20 Rajasthan 4300.0 3228.1 75.1 1914.3 44.5
21 Sikkim 405.0 359.2 88.7 268.4 66.3
22 Tamil Nadu 8390.0 7027.7 83.8 5688.6 67.8
23 Tripura 355.0 304.7 85.8 179.8 50.6
24 Uttar Pradesh 15820.0 13433 84.9 10636.5 67.2
25 West Bengal 5630.0 4206.1 74.7 3092.5 54.9
30 Delhi 1365.0  971.4 71.2 623.0 45.6
31 Pondicherry 355.0 277.6 78.2 36.8 10.4
Grand Total 100948.5 80221.6 79.5 59852.1 59.3
 

CHAPTER - IV
COMMON MINIMUM PROGRAMME (CMP)

4.1 A document titled ‘A Common Approach to Major Policy Matters and a Minium Programme’ commonly known as Common Minimum Programme (CMP) set out the United Front Government’s agenda for action. Through the CMP, the United Front had presented an agenda for the Central Government founded on unity, secularism, stability, development and distributive justice. The commitment of the Government towards providing a stable Government at the Centre, empowerment of the underprivileged and deprived section and communities, secularism and democracy and growth with social justice had been brought out in the document. The document outlined the basic approach of the Government towards various socio-economic and political issues. The Department of Programme Implementation was the nodal Department to monitor the CMP which was being implemented by the concerned Ministries/Departments.

4.2 Implementation Reports from different nodal Ministries/Departments were received. Concrete steps to implement a number of items such as (I) Restoring democratic rights to the State of Jammu & Kashmir; (ii) Abolition of discretionary quotas of Ministers; (iii) Launching of a programme of Basic Minimum Services including roads, public distribution system, drinking water, health, primary education, mid-day meal and housing; (iv) Implementation of Prasar Bharati Act; (v) Preparation of draft 9th Five Year Plan; (vi) Preparation of draft 9th Five Year Plan; (vii) Special Economic Package Plan for all-round development of the north Eastern region; (viii) Revival of Inter-State Council; (ix) Initiation of process of consultation to arrive at concensus to prevent the misuse of Article 356 of the Constitution and many more measures to achieve socio-economic objectives contained in the Common Minimum Programme were implemented.

4.3 In addition, many important steps were initiated in the fields of economic and financial administration, social justice, particularly in the interest of scheduled castes/scheduled tribes, backward classes, and minorities; international relations, particularly with neighbouring countries.

4.4 Due to dissolution of the 11th Lok Sabha, many important bills such as Lokpal Bill, a Bill on freedom of information, a Bill on women’s reservation in Parliament and State Assemblies, Agricultural workers’Bill etc., which were introduced in Parliament, remained pending.

CHAPTER -V
MONITORING OF TWENTY POINT PROGRAMME

5.1 lleviation of poverty and improving the quality of life of the people, specially of those who are below the poverty line, have been the prime objective of planned development in the country. In recent years, the meaning of economic development has shifted from growth in per capita income to that of expansion of opportunities. Expansion of human capability can be, broadly, seen as the central features of the process of development. Government of India through different programmes/ schemes is helping its citizens to expand their capabilities. A package of programmes comprising schemes relating to poverty alleviation, employment generation, education and health, etc. called Twenty Point Programme (TPP) has been in operation since 1975. This package was restructured twice in 1982 and 1986. The present programme, known as TPP 1986, has been in operation since 1st April 1987 in its present form. The details of TPP-86 in terms of its constituent points are given at Annexure-I. to this chapter. It is to be noted that with globlisation of Indian economy and the adoption of market liberlisation process, the TPP - 86 provides much needed safety net to the deprived and adversely affected population. The Twenty Point Programme thus has a vital role to play to ensure growth with equity and social justice.

Essence of Twenty Point Programme - 86

5.2 The 20 - Point Programme forms an integral part of both the plan and non-plan Governments / UT Administrations and Central Ministries/ Departments. The outlays for different items under the programme are derived from the relevant plan heads under State Governments/UT Administrations and Nodal Ministries/ Departments at the Centre. Some schemes like family welfare programme are funded entirely by the Central Government while other programmes like IRDP, JRY and Indira Awas Yojana are jointly financed by the Centre and the States.

5.3 The Departments/Ministries concerned with the subject of TPP-86 set the annual target in consultation with the States. The Department of Programme Implementation monitors the implementation of 20-Point Programme. Under TPP - 86 there are 119 items identified for monitoring; 54 items are monitored on the basis of evaluatory criteria and 65 items are amenable to physical targetting/ monitoring. Out of 65 items, 20 items are being monitored on monthly basis during the current year.

Monitoring Design at the Centre

5.4 At the Central Governments level, the progress is monitored and reviewed both by the concerned Departments/Ministries and finally by the Department of Programme Implementation which monitors and evaluates the progress on a macro-basis. These monitoring bodies review the progress of TPP-86 and provide feedback for removing bottlenecks in effective implementation of the programmes.

5.5 The Management Information System developed by this Department on the implementation of the programme consists of ( i) Monthly Progress Report (MPR) and

(ii) Half-Yearly Progress Report (HYPR). The Monthly Progress Report covers achievement during each month against pre-set physical targets of carefully selects 20 items which have a direct and crucial bearing on the deprived and under-preveleged classes and those living below the poverty-line. Based upon the performance of TPP, the States are ranked every month. Only 14 items out of 20 items of monthly report are taken for the purpose of ranking. Besides, a half yearly report on all items is brought out by the Department indicating the qualitative aspect of performance.

Performance Review in Brief

5.6 The TPP-86 is monitored on Monthly, Half Yearly and Annual basis. In case of 20 items, physical targets are set and achievements are monitored each month. When the achievements is more than 90 per cent of the target, the performance is categorised as ‘very good’. Performance is ‘good’ if the achievement is between 80 to 90 per cent. Performance is ‘poor’ if the achievements is below 80 percent of the targets. Targets and achievements under TPP-86 during 1996-97, 1997-98 and April 1998 to November 1998 are provided in Annexure II to this chapter. Performance under TPP-86 at Macro level is discussed briefly below.

5.7 In the year 1997-98, ‘very good’ performance was achieved in case of employment creation under Jawahar Rozgar Yojana (JRY). Provisioning of Drinking water in villages and habitations, immunisation of children, Integrated Child Development Services (ICDS) Blocks, Assistance to Scheduled Tribes, Indira Awaas Yojana for SC/ST, slum improvements, tree plantation, village electrification, pumpsets energisation and installation of bio-gas plants. Performance was `good’ in case of opening of Anganwadies, assistance toScheduled Caste families and installation of improved chullahs. But, in case of distribution of surplus land, opening of community health centres, primary health centres, provisioning of Economically Weaker Section (EWS) and Low Income Group (LIG) houses, and area covered under tree plantation the performance is below 80 per cent of the target and these were identified as areas of concern.

5.8 During the period April to November 1998 ‘very good’ performance was achieved in case of primary health centres, Integrated Child Development Services (ICDS) blocks, opening of Aganwadies, construction of LIG house, slum improvements, village electrification and pumpsets energisation and area covered under tree plantation. Performance was good in case of employment creation through JRY and immunisation of Children. In case of rest of the items, the achievement was below 80 per cent of the targets.

ANNEXURE I
PART - A
ITEMS IDENTIFIED FOR PHYSICAL TARGETING

POINT UNIT NODAL MINISTRY/ DEPARTMENT
(1)      (2) (3) (4)
          1.  Attack on Rural
              Poverty
   
1. Integrated Rural
   Development Programme
Lakh No. families
Ministry of Rural Areas Employment
2. Jawahar Rozgar Yojana
Lakh employment mandays
-do-
3. Handlooms Production
Million
Ministry of Metre Textiles
4. Handicrafts
Value of Production
(Rs.Crores)
-do-
5. Khadi & Village Industries
-do-
Department of Agro & Rural Industries
6. Small Scale Industries
No.of Units
Department of Small Scale Industries
7. Sericulture
Raw Silk Production (M.Tonne)
Ministry of Textiles
        2. Strategy for Rainfed Agriculture
 
 
        a) Watershed Development:
 
 
8.      i)Micro Watersheds (in progress)
Numbers
Department of Agriculture & Cooperation
9.     ii)Land Development
Hectares
-do-
10.  iii) Distribution of Improved Seeds
000 Quintals
-do-
       b) Drought Prone Area Programme
 
 
11.    i) Area under Soils
000 Hectares
Ministry of Rural
Areas & Employment
12.   ii) Creation of Irrigation Potential
-do-
-do-
13.  iii) Afforestation and Pastures
-do-
-do-
       3. Better Use of Irrigation Water
14.    i) Irrigation Potential
000 Hectares
Ministry of
Water Resources
15.   ii) Utilisation of Potential Created
-do-
-do-
       4. Bigger Harvest Production of
 
 
16.    i) Rice
Million Tonnes
Department of Agriculture & Cooperation
17.   ii) Oilseeds
-do-
-do-
18.  iii) Pulses
-do-
-do-
19.   iv) Horticulture
000 Tonnes
-do-
       v) Livestock Production
 
 
20.    a) Milk
Lakh Tonnes
-do-
21.    b) Eggs
Million Nos.
-do-
22.    c) Wool
Lakh Kg.
-do-
23.   vi) Fish Production
Lakh Tonnes
-do-
24.  vii) Storage Facilities
Additional Capacity in Lakh Tonnes
Ministry of Food in & Consumer Affairs
       5. Enforcement of Land Reforms
 
 
25. Surplus land distributed Acres
 
Ministry of Rural Areas & Employment
      6. Special Programme for Rural Labour
 
 
26. Bonded Labour Rehabilitation Labour
Nos.
Ministry of
      7. Clean Drinking Water
 
 
27.    i) Villages covered
Nos.
Ministry of Rural Areas &
Employment
28.   ii) Population Covered
Lakh Nos.
-do-
29.  iii) SC/ST Population covered
-do-
-do-
       8. Health for all
 
 
30.    i) Community Health Centres
Nos.
Ministry of Health & Family Welfare
31.   ii) Primary Health Centres
Nos.
-do-
32.  iii) Sub-centres
Nos.
-do-
33.   iv) Immunisation of Children
Lakh Nos.
-do-
34.    v) Rural Sanitation Latrines
Nos.
Ministry of Rural Areas
& Employment
      9. Two-child Norm
 
 
35.    i) Sterilisation
Lakh Nos.
Ministry of
Health & Family Welfare
36.   ii) Intra Uterine Device Insertion
-do-
-do-
37.  iii) Conventional Contraceptives Users
-do-
-do-
38.   iv) Oral Pills Users
-do-
-do-
39.    v) Integrated Child Develop-ment Services Blocks (Cum)
Nos.
Department
of Women &
Child Development
40.   vi) Anganwadi (Cum)
Nos.
-do-
      10. Expansion of Education
 
 
     A) Elementary Enrolment
 
 
41.   i) Total Lakh
Nos.
Department
of Education
42.  ii) Girls
-do-
-do-
43. iii) SC/STs
-do-
-do-
44.  iv) Drop-outs  
-do-
-do-
      B) Adult Literacy
 
 
45.   i) Total
Lakh Nos.
-do-
46.  ii) Women
-do-
-do-
47. iii) SC/ST
-do-
-do-
     11. Justice to Scheduled
         Castes & Scheduled Tribes
 
 
48.   i) SC Families Assisted
-do-
Ministry of Social Justice
 & Empowerment
49.  ii) ST Families Assisted  
-do-
 
-do-
     12. Equality for Women
 
 
      i) Enrolment of Girls in
Lakh Nos.
Department
Schools of Women & Child Development
     ii) Women in Adult Literacy Classes
-do-
-do-
     13. New Opportunities for Youth
 
 
50.  i) National Service Scheme
Nos.
Department of Youth Affairs &
Sports
51. ii) National Service Volunteer
Nos.
-do-
52. iii) National Cadet Corps.
Lakh Camps
Ministry of
Defence
53.  iv) Nehru Yuva Kendras
Nos.
Department of Youth Affairs &
Sports
     14. Housing for the People
 
 
      A. Rural 
 
 
54.   i) Provision of House Sites
000 Nos.
Ministry of
Rural Areas
& Employment
55.  ii) Construction Assitance
000 Nos. beneficiaries
-do-
56. iii) Indira Awaas Yojana for SC/STs
000 Nos.
-do-
      B. Urban
57.   i) Economic Weaker Section Housing
000 Nos.
Ministry of Urban Areas & Employment
58.  ii) Houses Constructed for Lower Income Group
Nos.
-do-
     15. Improvement of Slums
59.   i) Slum Population covered with seven basic amenities
Nos.of 000 persons
-do-
     16. New Strategy for Forestry
 
 
60.   i) Tree Plantation
Crores Nos.
Ministry of Environment & Forests
     18. Concern for the Consumer
 
 
61.   i) Fair Price Shops Opened
Nos.
Ministry of Food & Consumer Affairs
     19. Energy for the villages
 
 
62.   i) Villages Electrified  
Nos.
Department of Power
63.  ii) Pumpsets Energized
000 Nos.
-do-
64. iii) Improved Chullahs
-do-
Department of
Non-conventional Energy Source
65.  iv) Biogas Plants
-do-
-do-

PART - B
ITEMS TO BE MONITORED ON AN EVALUATORY BASIS

POINT NODAL MINISTRY/ DEPARTMENT
(1)      (2)
(3)
      1.  Attack on Rural
              Poverty
 
1.      Special Employment Programme(of States)
Ministry of Rural Areas & Employment
2.      Training of Rural Youth for Self Employment
-do-
 
3.      Village Industries
Department of Small Scale Industries, Agro & Rural Industries
4.      Local Bodies Revitalisa-tion and Involvement
Department of Rural Areas & Employment
    2. Strategy for Rainfed Agriculture
-do-
5.      Distribution of Seed-Cum- Fertilizer Drills
Department of Agriculture & Cooperation
6.      Distribution of Improved Agricultural
        Implements
-do-
7.      Area Covered Outside Watersheds
-do-
8.      High Yielding Seeds
-do-
9.      Dought Prone Area Progra-mme(Number of
        Districts)
Ministry of Rural Areas & Employment
    3. Better use of Irrigation Water
 
    a) Irrigation
 
10.     Warabandi
Ministry of Water Resources
11.     Field Channels
-do-
12.     Land Levelling
-do-
13.     Field Drains
-do-
14.     Training
-do-
15.     Coordinated Use of Ground Water & Surface
        Water
-do-
15.   ii) Utilisation of Potential Created
-do-
       b) Catchment Areas
 
16.     Soil Conservation
-do-
17.     Afforestation
-do-
    4. Bigger Harvests
 
18.     Post Harvest Facilities
Ministry of Food
    5. Enforcement of Land Reforms
 
19.     Land Records Compilation
Ministry of Rural Areas & Employment
20.     Land Declared Surplus
-do-
21.     Area distributed to SCs/STs
-do-
22.     Numbers Benefited of SCs/STs
-do-
   6. Special Programmes for Rural Labour
 
23.     Release of Bonded Labour
Ministry of Labour
24.     Minimum Wages Enforcement
-do-
   8. Health for All
 
25.     Disease Prevention
Department of Health
26.     Rehabilitation of Handicapped
Ministry of Social  Justice & Empowerment
   9. Two-child Norms
 
27.     Mother & Child Health Care  Services
Department of Family
Welfare
  10. Expansion of Education
 
28.    Content of Education
Department of Education
29.    Non-formal Education
-do-
30.    Value Oriented Education  
-do-
  11. Justice to Scheduled Castes and Scheduled
      Tribes
 
      Distribution of Surplus Land to SCs/STs
Ministry of Rural Areas
& Employment
31.    Release of Central Share
Ministry of Social Justice & Empowerment
32.    Compliance with Laws  
-do-
33.    Improving Educational
-do-
34.    Rehabilitation of Safai Karamcharis
-do-
35.    Integration with Community  
-do-
36.    Rehabilitation of tribals in Projects
-do-
  12. Equality for women
 
37.    Women in Technical Institutions
Department of Women &
Child Development
38.    Awareness & consciousness women's    
       participation in Development, Preventing
       Atrocities against women.
-do-
39.    New Youth Policy
Department of Youth Affairs & Sports
40.    New Sports Policy
-do-
  14. Housing for the People
 
41.    Houses Constructed for SCs/STs & Employment
Ministry of Urban Areas
42.    Low Cost Building Material
-do-
43.    Number of Homeless covered
-do-
  15. Improvement of Slum
 
44.    Restrict Growth of Slums
-do-
  16. New Strategy for Forestry
 
45.    Survival Rate
Ministry of Environment & Forests
46.    Wasteland Reclaimed
-do-
47.    Hill/Desert/Coastal vegetation
-do-
  17. Protection of Environment
 
48.    Appraisal of Development
-do-
49.    Popular Support, Awareness/Involvement
-do-
  18. Concern for the Consumer
 
50.    Ration Cards Issued Supplies
Ministry of Civil
51.    Standards Developed  
-do-
52.    Consumer Protection
-do-
  19. Energy for the villages
 
53.    Integrated Rural Energy Planning Programme
Planning Commission
  20. A Responsive Administration
 
54.    A Responsive Administration
Ministry of Personnel Public Grievances &
Pensions

CHAPTER - VI
MONITORING OF PERFORMANCE OF INFRASTRUCTURE SECTORS
BACKGROUND

6.1   Monitoring of the production performance of the infrastructure sectors was aimed at removing the bottlenecks in the way of their accelerated growth. In the existing scheme, the Infrastructure Monitoring Division (IMD) is collecting relevant statistics of Production and productivity and compiling it in the form of Monthly Reports. This division is entrusted with the monthly performance monitoring of the country's eleven industrial infrastructure sectors viz. Power, Coal, Steel, Railways, Telecommunications, Ports, Fertilizers, Cement, Petroleum & Natural Gas, Roads and Civil Aviation for submission, inter-alia, to the Prime Minister's Office (PMO) and the Cabinet Secretariat. Certain identified parameters of production and productivity relevant to each of the 11 sectors are monitored with reference to their Physical targets along with the achievements in the corresponding period of previous year.

6.2   Since every Ministry/Department is concurrently undertaking its own in-depth monitoring, IMD is expected to play a qualitatively different role. The DPI's concern is to bring to the notice of the Administrative Ministries/Departments any slippages or short-comings in the implementation of the schemes/programmes to enable them to take remedial measures for effective and meaningful implementation of the schemes/programmes. Moreover, being independent of the Planning Commission as well as the implementing agencies, the DPI alone is in a position to look at the entire system and to suggest improvements in a more objective manner.

6.3   The following reports are prepared and submitted to the Government by the IMD - (i) Capsule Report on infrastructure Performance, and (ii) Review Report on infrastructure performance.

OVERALL PERFORMANCE OF INFRASTRUCTURE SECTORS

6.4   The economic growth of the country depends considerably upon the performance of the infrastructure sectors. The production performance during the year 1997-98 and for the current year (April-November, 1998) is given in Annexure-I.

INFRASTRUCTURE PERFORMANCE DURING APRIL'1998 -November, 1998

6.5   The actual production in respect of all the sectors remained below the target during April-November, 1998. As compared with the achievement of April-November, 1997, the performance in all the sectors except Finished Steel, Railways, Crude Oil and net (new) village public telephones, registered positive growth. The trend in the overall infrastructure performance during April-November, 1998 vis-a-vis the target for the period and the performance of April-November, 1997 is at Annexure-I to this chapter. The sector-wise performance has been as follows:

POWER

6.6   The overall power generation during April-November, 1998 at 290.452 BU (Billion Units) represents 98.5% of the target of 294.91 BU. Thermal power generation was below the target by 2.7%. However nuclear and hydro power generation exceeded the target by 14.8% & 1.3% respectively. The total power generation during the period achieved a growth of 6.1% over the generation of 273.632 BU during the corresponding period of last year.

THERMAL GENERATION

6.7   The thermal generation during April - November, 1998 at 225.387 BU remained below the target by 2.7%, but registered a growth of 4.3% over the corresponding period of previous year. The generation in central and private sectors was more than the target by 7.8%, but the generation in state and private sectors was below the target by 8.1% and 8.4% respectively. The three central, state and private sectors have achieved a growth of 1.8, 3.6% and 22.4% respectively over the corresponding period of previous year. The shortfall from the target in the state sector was mainly due to lower contribution from most of the State Electricity Boards.

PLANT LOAD FACTOR (PLF)

6.8   The Plant Load Factor (PLF) of the Thermal Power Stations during April-November, 1998 at 61.9% was lower than the target of 63.0% and the achievement of 62.5% during the corresponding period of last year. During April-November, 1998, except Eastern region, the PLF in all other regions were lower than the target.

HYDRO GENERATION

6.9   The hydro generation during April-November, 1998 at 57.624 BU exceeded target by 1.3% and represented a growth of 13.5% over the achievement of 50.766 BU during the corresponding period of previous year. However, except Northern region, all the regions showed shortfall from the target.

NUCLEAR GENERATION

6.10   The nuclear generation during April-November, 1998 at 7.441 BU was 14.8% higher than the target of 6.484 BU and recorded a growth of 10.7% over the same period last year. However, Narora Atomic Power Station (NAPS) recorded a shortfall from target and the achievement during the corresponding period of last year by 3.1% and 13.7% respectively. RAPS generation at 0.88 BU exceeded the target by 125.6% and recorded a growth of 174.1%.

6.11   The overall power supply position in the country during April-November, 1998 showed improvement as compared to the corresponding period of previous year. As against the requirement of 288.81 BU, the availability remained at 273.69 BU which was 5.2% short as compared to the shortfall of 8.9% during April-Nov., 1997.

COAL PRODUCTION

6.12   The total coal production during April-November, 1998 at 179.68 MT indicated a shortfall from target by 3.0% but achieved a marginal growth of 0.9% over the production of 178.08 MT during the corresponding period of last year. The production of Coal India Ltd. (CIL) at 160.12 MT was 1.3% lower than the target of 162.19 MT but it was 1.6% more than the production of corresponding period of previous year. The production of the Singareni Collieries Company Ltd. (SCCL) was less than the target and the production of the corresponding period of last year by 16.7% and 5.0% respectively.

6.13   The daily coal loading by Rail during November, 1998 averaged 15,484 wagons per day (wpd) as compared to the target of 20,122 wpd and the loading of 18,545 wpd during the corresponding period of last year by Coal India Ltd.

6.14   The overall Coal despatches during April-November, 1998 at 181.00 MT showed a decline of 3.2% against the despatches of 187.03 MT during the corresponding period of last year.

6.15   The pithead stock as on 30.11.98 at 24.54 MT was higher than the stock level of 17.59 MT on 30.11.97.

FINISHED STEEL

6.16   The overall production of Finished Steel during April-November, 1998 at 15.392 MT remained less than the target of 17.656 MT and the achievement of 15.701 MT during the corresponding period of last year by 12.8% & 2.0% respectively. The production of Finished Steel by Steel Authority of India Ltd. (SAIL) during the period at 4.122 MT remained lower than the target of 4.709 MT and the production of corresponding period of previous year by 12.5% and 11.6% respectively. All the major producers & small producers failed to achieve the target during the period.

TATA IRON & STEEL COMPANY

6.17   During April-November, 1998 TISCO's production of Finished steel at 1.444 MT was 11.0% lower than the target but it was 18.0 higher than the production of corresponding period of last year.

VISAKHAPATNAM STEEEL PLANT

6.18   During April-November, 1998 VSP's production of Finished Steel at 0.922 MT was 30.4% less than the target of 1.325 MT. It was also 11.0% lower than the production of corresponding period of last year.

COKING COAL RECEIPTS:

STEEL AUTHORITY OF INDIA LIMITED

6.19   The receipt of coking coal including imports at SAIL steel plants during November, 1998 at 38,167 tonnes per day was 3.9% lower than the programme of 39,707 tonnes per day. However, it was 3.0% higher than the receipt of corresponding month of last year.

COKING COAL STOCK : STEEL AUTHORITY OF INDIA LIMITED

6.20   The stock of coking coal (imported + indigenous) at SAIL steel plants at the end of November, 1998 was 3.37 lakh tonnes as against the stock of 3.27 lakh tonnes at the end of November, 1997.

RAILWAYS

6.21   The revenue earning freight traffic moved by the Railways during April-November, 1998 at 270.53 MT was 6.7% lower than the target of 289.85 MT. It was also 2.2% lower than the actuals of 276.69 MT during April-November, 1997. The loading of all commodities except iron ore for export, fertilizers and other goods was lower than their respective targets.

ROADS

6.22   During the period April-September, 1998, a sum of Rs. 306 crores has been spent on repair and maintenance of National Highways as against the annual target of Rs. 496 crores. A sum of Rs. 110 crores has been sanctioned for upgradation of National Highways during April-September, 1998 as against the annual target of Rs.962 crores. 124 Kms National Highways were widened/strengthened during April-September, 1998 against the annual target of 3227 Kms.

SHIPPING AND PORTS

6.23   The total cargo handled at major ports in the country during April-November, 1998 at 162.225 MT was 3.5% lower than the target of 168.086 MT and it was equal to the achievement of the corresponding period of the previous year. The performance of most of the ports was less than the target and the achievement during the corresponding period of last year.

6.24   Coastal shipment of coal to the south via Haldia, Paradeep and Vizag ports of Tamil Nadu Electricity Board (TNEB) and the cement plants, aggregating to 10.000 MT was 2.9% higher than the target of 9.72 MT and it was 9.7% more than the achievement of corresponding period of previous year.

6.25 As on 30.11.98, 25 vessels were waiting for berth at major ports.

CIVIL AVIATION

6.26   During April-November, 1998, Mumbai, Calcutta, Delhi and Chennai airports handled 78,100 MT, 10,357 MT, 73,619 MT and 26,070 MT export cargo respectively. The import cargo handled by these airports during the same period was 42,357 MT, 4,713 MT, 29,931 MT and 11,888 MT respectively. The number of passengers carried at the domestic terminals of Mumbai, Calcutta, Delhi, Madras and Trivandrum together was at 94.23 lakhs as against the capacity of 216.00 lakhs. The number of passengers carried at these International terminals was at 77.47 lakhs as against the total capacity of 104.70 lakhs.

TELECOMMUNICATIONS

6.27   The net addition in switching capacity during April-November, 1998 at 13.79 lakh lines was 49.4% higher than the corresponding period of previous year.

6.28   A total of 13.29 lakh new (net) telephone connections provided during April-November, 1998 represented an increase of 25.5% over the achievement of the corresponding period of last year.

6.29   8205 Nos. of Public Telephones provided at village level during April-November, 1998 was 36.4% lower than 12,911 Nos. provided during the corresponding period of previous year.

FERTILISERS

6.30   During April-November, 1998, the total production of fertilisers (nitrogen and phosphate) at 8.821   MT was 1.8% lower than the target of 8.984 MT but achieved a growth of 4.6% over the production of 8.430 MT during the same period of last year.

6.31   Nitrogenous fertilisers production during April-November, 1998 at 6.845 MT was 1.9% lower than the target of 6.98 MT but recorded a growth of 6.1% over the production of 6.45 MT during April-November, 1997. The public sector plants and private sector plants produced less than their respective target by 2.6% & 3.9% respectively. The capacity utilisation remained 97.6% as compared to 99.0% during corresponding period of last year.

6.32   The phosphatic fertilisers production at 1.976 MT was 1.4% lower than the target of 2.005 MT. The phosphatic fertilisers' production in the public sector and coop. sector was 2.5% and 20.1% higher than their respective targets for the period but private sector recorded a shortfall of 7.4%. Capacity utilisation was 93.5% as against 102.0% achieved during the corresponding period of last year.

CEMENT

6.33   The total production of cement (including Mini/white) during April-November, 1998 at 54.53 MT was 5.7% lower than the target of 57.82 MT but achieved a growth of 2.8% over the production of corresponding period of previous year.

6.34   The production in Public Sector plants during April-November, 1998 at 2.02 MT was 35.0% less than the target of 3.11 MT but this was 8.1% higher than the production of 1.96 MT during the corresponding period of last year. The capacity utilisation at 77% was the same as recorded during corresponding period of previous year.

PETROLEUM

6.35   Crude Oil: The production of crude oil during April-November, 1998 at 21.666 MT was 5.8% lower than the target of 22.999 MT and it was also 4.0% lower than the production of 22.576 MT during the corresponding period of previous year.

6.36   Refinery Proudction: The refinery production (in terms of crude throughput) during April-November, 1998 at 44.411 MT was slightly lower (o.2%) than the target of 44.509 MT. However, as compared to the achievement in the corresponding period of last year it was 3.0% higher. The performance of Indian Oil Corporation, Guwahati, Hindustan Petroleum Corporation Limited, Vizag, Madras Refinaries Limited, Manali, Indian Oil Corporation, Panipat and Bongaigaon Refinery & Petrochemicals Limited, Assam was less than the target by 15.9%, 29.5%, 7.2% 52.1% and 15.8% respectively.

6.37   The overall capacity utilisation at 98.4% was lower than the achievement of 104.8% in the corresponding period of last year.

6.38   Natural Gas Supplies: The supplies of natural gas during April-November, 1998 was 13,146 million cubic metres (MCM) which was 1.3% higher than 12,979 MCM supplied during the corresponding period of last year.

FOLLOW UP

6.39   The role, as perceived, by the Government includes the presentation for a holistic picture to be placed before the top management of the Government through the process of analytical reports of the achievements or otherwise of the different sectors being monitored was well played by the IMD. This enabled a close interaction with the Ministries/Departments and implementing agencies in order to suggest remedial measures for the consideraion of the administrative Ministries/Departments as well as the Cabinet Secretariat and the PMO.

6.40   Concerted focus made by the Division on the potential constraints and bottlenecks affecting the smooth performance of the infrastructure sectors helped in providing timely signals for applying corrective measures.

PRODUCTION PERFORMANCE
ANNEXURE-I

__________________________________________________________________________________
                                                                  % Variation over
        Sector               Unit  1996-97  Apr'98 - Nov'98   Apr'97-   Apr'98-   Apr'97-
                              Actual    Target  Achiev-  Nov'97    Nov'98    Nov'97
                                              ement    Actual    Target    Actual
__________________________________________________________________________________
1. Power generation   BU    420.405  294.910  290.452  273.632   -1.5       6.1

2. Coal production       MT    295.860  185.260  179.680  178.080   -3.0       0.9

3. Steel production
   (SAIL+TISCO+VSP)
   Saleable steel       MT     23.967   17.656   15.392   15.701  -12.8       -2.0

4. Railways (MT)
   Revenue earning
   freight traffic    MT    429.370  289.850  270.530  276.690   -6.7       -2.2

5. Cargo handled at
   major ports        MT    251.439  168.086  162.225  162.086   -3.5        0.1

6. Telecommunications
   (i) Net addition
       in new (net)  '000  3518.738     *    1379.189  923.229     -        49.4
       switching    Lines
       capacity

  (ii) Prov. of new
       (net) Tele.  (000   3259.045     *    1328.749 1058.541     -        25.5
       connections   Nos.)
       (Monitored sector)

(iii)  Village public(000    42.855     *       8.205   12.911     -       -36.4
       Telephones     Nos)

7.     Fertiliser
       production     MT

       (i) Nitrogen          10.086     6.979   6.845    6.453   -1.9        6.1
      (ii) Phosphate          2.975     2.005   1.976    1.977   -1.4         -
           Total             13.061     8.984   8.821    8.430   -1.8        4.6

8.   CementProduction MT     83.160    57.819  54.530   53.030   -5.7        2.8

9.   Petroleum        MT
     (i) Crude Oil           33.826    22.999   21.666  22.576   -5.8       -4.0
     (ii)Refinery
         throughput          65.131    44.509  44.411   43.105   -0.2        3.0

* Targets are fixed on quarterly basis by Telecom. Deptt.

BU - Billion Units MT - Million Tonnes

CHAPTER VII
Management of Projects under Implementation

7.1 An Overview

7.1.1 The Project Monitoring Division (PMD) monitors and facilitates the implementation of projects costing Rs.20 crores and above in the Central sector.

7.1.2 The related important activities of the PMD are as follows:

i) To bring out periodical reports, review notes, suggest remedial measures and facilitate its solution  of the problems of projects under implementation.

ii) To assist the Public Investment Board. In the case of new projects, the main job of the PMD as  one of the board member is critical appraisal of the state of preparedness with respect to the project inputs in terms of land availability, equipment deliveries, feedstock and other linkages necessary for the project completion and its commissioning, and the strength of the organisation/management team for implementation within the stipulated time and cost. In the case of revised cost estimates, the main job of the PMD is to analyse the causes of time and cost overruns with a view to learning lessons for future and, if necessary, fixing responsibility for time and cost overrun;

iii) To assist the Committee of Secretaries (COS) headed by Cabinet Secretary which reviews the on-going projects and gives direction for remedial action. The PMD continuously apprises the COS on the constraints in implementation and action taken or initiated by various agencies on its directions;

iv) To assist the Cabinet Committee on Infrastructure (CCI), set up under the chairmanship of the Finance Minister. The Minister of State (Independent Charge), Ministry of Planning & Programme Implementation, is a member of this committee;

(v) To monitor irrigation projects covered under the Accelerated Irrigation Benefit Programme (AIBP).

vi) To monitor private and joint sector infrastructure projects in Civil Aviation, Coal, Power, Petroleum & Natural Gas, Mines, Ports, Roads and Telecommunication sectors costing Rs.100 crores and above.

(vii) visit the project sites to identify critical and important milestones for monitoring the project, review the progress of implementation of projects, and hold in depth discussions with the Public Sector Undertakings (PSUs) and administrative ministries/ departments in order to get first hand knowledge of the problems and to initiate facilitative action for resolving them;

(viii) To assist the ministries/departments/public sector undertakings in evolving suitable monitoring system for keeping a close watch on the projects under their control and timely flow of information;

(ix) To analyse the draft Memoranda of Understanding (MOU) between the Public Sector Undertakings and the Government of India and also assist the Adhoc Task Force and the High Power Committee to make the MOU system, particularly with respect to the implementation of projects, more effective.

x) To motivate the project implementation agencies to strive for excellence in the implementation of projects;

xi) To carry out evaluation of the on-going projects and expost evaluation of the completed projects, on the basis of completion reports submitted by the PSUs with a view to drawing lessons for the future;

xii) To organise training programmes in the areas of Project Management, Computerised MIS, etc, for the managers of the PSUs and the Government officers engaged in the implementation of the Public Sector projects;

xiii) To conduct seminars/workshops on various topics in the areas of Project Management & related activities and to make use of the feedback from such seminars and workshops for strengthening the art of project management in the country.

xiv) To continuosly review project formulation, appraisal, monitoring and implementation system and initiate action to bring improvements; and

xv) To facilitate development of project management profession by encouraging institutions working in the concerned areas.

7.2 Monthly Monitoring of Major and Mega Projects

7.2.1 A two tier system of monitoring is adopted.While all projects are monitored on a quarterly basis, the Major projects costing between Rs.100 and Rs.1000 crores and Mega projects costing over Rs.1000 crores are monitored on a monthly basis through Flash Report System. The project records are fully computerised.

7.2.2 A summary Flash Report, together with an analysis of the report, is sent to the Prime Minister's Office/Cabinet Secretariat and to the concerned Ministries/Departments (in respect of their projects for information and requisite action.

7.2.3 Each Ministry/Departments is required to analyse the reasons for slippage of the critical milestones and send a report to the PMD indicating action taken/proposed to be taken to tackle different problems reported by the project authorities. The reports received from the Ministries/Departments are scrutinised and a consolidated "Exception Report" for all the projects costing above Rs.100 crores is drawn up before the end of the month.

7.2.4 The Exception Report concentrates on the exceptional issues and problems of the projects causing further delays in the commissioning schedule and non-achievement of the milestones in the preceding month. The critical and chronic issues requiring action at the higher levels are also brought into focus repeatedly. The emphasis is on exceptions and problems that need to be tackled without delay.

7.3 Quarterly Monitoring Of All Projects

7.3.1 The Division prepares Quarterly Project Implementation Status Reports (QPISR) in respect of all projects costing Rs.20 crores and more, in each sector. Each QPISR covers salient features of the projects in the sectors and indicates, among other things, the latest commissioning date, cumulative expenditure on the project upto the end of the quarter reported on and the time and cost over-runs. This Report is also kept in the Parliament library for reference. The report is also forwarded to the Minister incharge of the concerned Ministries by the Minister of State for Planning and Programme Implementation.

7.4 Scenario of Project Implementation in 1998-99

7.4.1 Total Number of Projects on the Monitor

As on 01.04.98 there were 461 projects on the monitor of the DPI. During the period April to Dec.98, 5 7 projects were dropped and 17 new projects were added to the monitor. Thus, there were 421 projects on the monitor of DPI as on 1.1.1999 involving an estimated investment of Rs.1,61,585 crores.

7.4.2 The complete list of projects on the monitor alongwith the details of capacity to be created, cost estimates (original/revised/anticipated), date of commissioning (original/revised/anticipated), expenditure till 31.3.1998,outlay for 98-99, expenditure during the year (upto December, 98), total cumulative expenditure (upto December.98), as reported to the DPI, are given as Annexure I.

TABLE -1
Projects under Monitoring System
CLASSIFICATION OF PROJECTS IN MEGA,MAJOR AND MEDIUM

  DURING 2 QTR DURING 3 QTR.  
  NO.  (INV.IN RS.CRORES)  % OF TOTAL NO.  (INV.IN RS.CRORES)  % OF TOTAL EXP.TILLQTR 
MEGA PROJECTS 40 96573.22 60.12 39 97342.73   60.24 44782.04
MAJOR PROJECTS  172  54703.11 34.05 169 54984.89 34.03 22288.73
MEDIUM PROJECTS 216 9367.10 5.83 213 9257.50    5.73   3456.05
TOTAL--->   428 160643.43 100.0     421   161585.12 100.0    70526.82

The Graphical presentation of these figure is given in the Pie Chart on the opposite page.

7.4.3 The break-up of mega, major and medium projects as at the end of IInd & IIIrd quarters of 1998-99 is given in Table-1. Sectorwise breakup of projects in these categories is given in the Table -2 below:

7.4.4 In all, 48 projects since the beginning of the Eighth Plan, upto December 98, have been frozen/dropped as advised by the project authorities due to various reasons like reprioritization, non-availability of funds and other considerations. The list of these projects is given in the Annexure II.

TABLE- 2
SECTORAL DISTRIBUTION OF PROJECTS AS ON 31.12.98

----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
S.No.     NAME OF    NO.OF       ANTICIPATED    NO.OF    ANTICIPATED    NO.OF      ANTICIPATED   TOTAL    TOTAL COST               THE             MEGA        COST               MAJOR       COST            MEDIUM       COST            NO.OF    (RS.CRORES)
             Sector      Projects       (Rs.Crores)      Projects    (Rs.Crores)     Projects    (Rs.Crpres)     Projects

----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
(1)         (2)                 (3)                  (4)                  (5)                   (6)                   (7)               (8)              (9)              (10)
-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

1. ATOMIC ENERGY    3          11424.00                2                  406.74                 0                0.00              5          11830.74

2. CIVIL AVIATION      0                  0.00                3                  669.08                 7             280.19            10             949.27

3. COAL                       4            6 665.55             16                4478.45              41            2031.83             61        13175.83

4. FINANCE                  0                  0.00                1                  348.80                0                  0.00               1          348.80

5. FERTILISERS            0                  0.00                2                1002.20                0                  0.00              2         1002.20

6. I & B                          0                   0.00                0                     0.00                 7               316.91             7           316.91

7. MINES                       2              3726.58                1                157.50                 0                  0.00            3           3884.08

8. STEEL                       2              7576.68                 2             1276.41                  4              236.53            8           9089.62

9. PETRO
   CHEMICALS             1             3505.00                 0                    0.00                  0                 0.00             1           3505.00

10. PETROLEUM      11            20472.18               21              9931.87                 11             419.72          43           30823.77

11. POWER                  12          34163.74               20              9248.65                  4          4 201.12          36          43613.51

12. RAILWAYS             3             4598.00                72            19769.57               99            4113.42         17        4 28480.99

13. SURFACE
      TRANSPORT           0                  0.00                25              6685.13               18               814.03         43             7499.16

14. TELE
  COMMUNI-
CATION                        0                0.00                  3                 856.70               11               397.99          14             1254.69

15. OTHERS              1           5211.00                   1                 153.79               11               445.76           13             5810.55

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TOTAL                   39         97342.73           169                54984.89             213            9257.50        421           161585.12

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7.5 Projects Completed during 1997-98

7.5.1 Table 3 set out below gives sectoral break-up of projects completed during 1997-98 within original schedule and those with time overrun.

TABLE -3
No. of projects completed during 1997-98

S.No. Sector Projects
Total No.of  Projects Projects Within Approved Schedule delayed w.r.t. Approved Schedule with Time Overrun
between
(50% - 100%)
Above
100%
1. CIVIL AVIATION 4 1 3 1 1
2. COAL 8 4 4 2 1
3. FERTILISERS 4 2 2 1 0
4. I & B 1 0 1 0 1
5. STEEL 2 0 2 0 1
6. PETROLEUM 9 2 7 2 4
7. POWER 9 1 8 2 0
8. RAILWAYS 4 0 4 2 1
9. SURFACE TRANSPORT 8 1 7 2 1
10. TELECOMMUNICATION 10 1 9 2 2
T O T A L--> 59 12 47 14 12

7.5.2    Out of 59 projects, 12 were completed within approved schedule and 47 were completed with time overrun. Out of 47 delayed projects, 14 had reported time overrun between 50% to 100% and 12 had reported time overrun beyond 100% The list of 59 projects completed in 1997-98 is given in the Annexure -III.

7.6 Status of Projects during the Ninth Plan

7.6.1 At the beginning of the Ninth Plan (as on 01.04.1997) there were 415 Projects on the monitor of DPI. Out of these 17 number of projects were dropped/frozen, 96 projects completed till the end of 2nd quarter of 1998-99. This includes 37 projects  completed during the year  1998-99  (upto December, 98),  the  details  of  which  are given  is Annexure-IV.   In addition 112 projects are scheduled to be completed by March, 1999.     This will make a total of 149 projects to be completed in 1998-99.

7.7 Time and Cost Overrun in Implementation of ongoing projects

7.7.1   Sectorwise analysis of the time and cost overrun of projects on the monitoring system is indicated in the table 4 below:

TABLE - 4
EXTENT OF TIME / COST OVERRUN IN PROJECTS WITH RESPECT TO LATEST SCHEDULE

S.No SECTOR NO.OF PROJECTS APPROVED TOTAL COST(RS.CRS)        
LATEST IPATEDOVER ANTIC_COST COST RUN(%) PROJ.WITH NO. LATEST APPROVED COST ANTIC IPATEDOVER COST OVER RUN(%) PROJ.WITH NO LATEST APPROVED COST ANTIC IPATEDOVER RANGE
                     
(1) (2) (3) (4) (5) (6) (7) (8) (9) (10) (11) (12) (13) (14)
1. ATOMIC ENERGY 5 11379.6 11830.7 4.0  1 2275.0 2896.0 27.3 4 4958.6 5409.7 19- 39
2. CIVIL AVIATION 10 805.9  949.3 17.8 5 641.2 784.6 22.4 9 716.0 846.4 9-42
3. COAL  61 11858.7  13175.8 11.1 11  4852.7 6413.1  32.2  30 9550.3 10818.4 2-120
4. FINANCE 1 348.8 348.8 0.0 0 0.0 0.0 0.0 1 348.8 348.8 28- 28
5. FERTILISERS   2 494.2 1002.2 102.8 1 282.0 790.0 180.2 0 0.0 0.0 0-0
6. I & B 7 300.1 316.9 5.6 1 29.2 39.4 95.0 6 240.9 257.7 12- 38
7. MINES 3 3884.1 3884.1 0.0 0 0.0 0.0 0.0 0 0.0 0.0 0-0
8. STEEL 8 7217.0 9089.6 25.9 5 6271.5 8144.1 29.9 8 7217.0 9089.6 12- 51
9. PETROCHEMICALS 1 3484.4 3505.0 0.6 1  3484.4 3505.0 0.6 1 3484.4 3505.0  31- 31
10. PEYROLEUM 43 30485.5 30823.8 1.1 7  5980.6 7177.5 20.0 31 24633.4 25233.3 2-49
11. POWER 36 33143.6 43613.5 31.6 22 17448.1 28383.9 62.7 21 15248.8 24527.4 6-86
12. RAILWAYS 174 24176.3 28481.0 17.8 85 11525.3 15899.9 38.0 46 6672.9 8728.2 3-108
13. SURFACE
    TRANSPORT
43 5794.8 7499.2  29.4 23 3483.7 5188.9 48.9 30 4333.0 5903.8 2-120
14. TELECOMMUNI
      CATION
14 1254.7 1254.7 0.0 0 0.0 0.0 0.0 8 372.6 372.6 3- 48
15. OTHERS 13 5349.3 5810.6 8.6 7 5094.4 5556.2 9.1 7 332.8 436.6 3-47
TOTAL 421 139976.9 161585.1 15.4 169 61359.0 84778.6 38.2 202 78109.4 95477.5

7.8 Causes of Time and Cost Overrun

7.8.1 As an apex-monitoring agency, the DPI provides management services to the Government. It is not only providing information on the implementation of projects but also on system improvements. These could be at any stage from conception to completion. The DPI suggests project/sector specific as well as systemic changes/improvements required overcoming constraints. Project Monitoring Division also acts as a coordinator and facilitator within its limitations of manpower and other resources in resolving various critical problems in the implementation of projects.

7.8.2 The PMD's analysis shows that the time overrun is the most serious problem because apart from upsetting the plan targets, it also leads to cost overrun. With time overrun, cost goes up on account of inflationary pressure, exchange rate variations, higher incidence of interest during construction, higher incidence of administrative overheads, etc. The major causes of time overrun include sanction of projects without firming up of techno-economic parameters, sanction in excess of financial resources, uncertainty about the availability of forest and non-forest land, contractual problems, inadequate delegation of power to the field level executives and poor performance of consultants, vendors and contractors. The other factors include delay in obtaining clearances, court cases, inadequate infrastructure support, and poor law & order situation in certain parts of the country.

7.9 Remedial Measures

7.9.1 On the basis of the analysis of problems carried out by the DPI, reports of Group of Ministers and Committees of Secretaries, a number of specific measures have been initiated to cut delays in project implementation. These include more strict appraisal and sanction of projects, weeding out/transfer to the private/joint sector projects which are unable to make progress, re-prioritisation of projects in the light of resource constraints, filling the board level vacancies in the PSUs, appointment of a nodal officer for each project with long tenure and accountability for implementation, formation of Empowered Committees in the administrative Ministries for constant review of status and constraints in respect of Government-owned projects, quarterly performance review of the projects being implemented by the PSUs, delegation of power to the field level executives, strengthening of the monitoring system including introduction of on-line computerised monitoring system for updated information about the status and giving advance warning for remedial measures, yearly updating of sanctioned cost, improvement in contract management system, higher weightage to project implementation in the Memorandum of Understanding signed between the administrative Ministries and PSUs, etc.

7.9.2 The DPI’s analysis shows that if time overrun could be checked nearly 75 per cent of the cost overrun could be checked. Therefore DPI’s future strategy is largely to control time overrun in projects. As advised by the Planning Commission, action has already been taken by various Ministries to constitute Standing Committees for analysing the reasons for time and cost overruns and fixing responsibilities for the same, while examining the RCEs of various projects.

7.9.3 Each Ministry, Department has set up a task force to review the Contract Management System and other project management procedures with view to draw up transparent contract management system which would be applicable nation wide.

7.10 Other Important Activities of the Department during 1998-99

7.10.1 As an integral part of the monitoring exercise, various problem solving initiatives were taken by the PMD during the year. The main activities were as follows:

I) The Division took follow up action on the specific measures approved by the Government. These measures are being implemented in consultation with the concerned Ministries/Departments.

II) During the year upto Dec.'98, the PMD carried out in-depth analysis of 7 new projects and assisted the PIB in approval of these projects. The PMD also carried out analysis of the revised cost estimates of 4 projects with a view to identifying the major factors responsible for time and cost overrun. The following reports/RCE were examined by the PMD during 1998-99 (till Dec.98)

  1. PIB note on ULDC for Eastern Region.
  2. PIB note on Inter Regional Line between Eastern & Northern Region.
  3. RCE-Kayamkulam Transmission line.
  4. RCE-Kopili HEP Expansion.
  5. PIB note on SCI acquisition of 2 vessels of 4500 DMT each.
  6. PIB note on Udham open cost project.
  7. PIB note on ULDC for Western Region.
  8. PIB note on Talchar STPS-II Transmission scheme.
  9. Examined the proposal of the Dredging Corporation of India to acquire two dredgers of 6500 cubic meter each.
  10. RCE-II of Nathpa Jhakri HEP.
  11. RCE of Koel Karo HEP.

III) During the year upto Dec.'98 following projects were inspected and reviewed at the sites at different levels. Some of the Projects visited and reviewed by the officers of PMD are listed below:-

  1. HPCL of Mumbai, Panipat & Mathura Refinery, Cochin Refinery, Visakh Refinery.
  2. IOC’s Refineries at Panipat, Mathura, Koyali & Haldia.
  3. BPCL’s Bombay Refinery.
  4. Madras Refinery at Chennai of CRL.
  5. Mumbai Manmad pipe line of BPCL at Mumbai.
  6. Visakh-Vijaywada pipeline for review and the status of SCDA Ultra-Ferric Oxide Project of NMDC
  7. Reviewed the Visakh Refinery of HPCL for equipment supply problem.
  8. Construction of Terminal Ph-III at Mumbai Airport.
  9. Modernisation of Air Traffic System at Mumbai, Airport.
  10. Construction of 2nd hanger, AI at Mumbai.
  11. 4 Modernisation/replacement projects of Mumbai Ports.
  12. Halida – Barauni Crude Oil pipeline terminal at Haldia.
  13. Uranium Mill Expansion at Narwaphar of UCIL..

IV) The following important notes/reports were prepared during the year (upto Dec. 1998):

  1. Prepared a note on the 7 selected projects for review by the Secretary( Expenditure).
  2. Revised guide lines for the formation and functioning of the "Empowered Committee" in the Ministries Implementing Projects departmentally and other matters relating to project management were finalised and issued.
  3. A note for COS was prepared on the status of the implementation of various specific measures approved by CCEA and COS and also along with other the suggestions and remedial measures to improve Project Implementation and cut down time and cost overrun in projects.
  4. The proposal for new railway projects were examined and comments sent to the Ministry of Railways to facilitate discussion in the meeting of the Expanded Board..
  5. For the Monitoring of the Projects in the Joint/Private sector based on the format designed by the DPI and instructions issued by the Cabinet Secretariat the concerned Ministries were followed up to provide basic information to the DPI.
  6. Provided assistance to the Govt. of U.P.in preparing the Technology Mission and in designing a suitable Monitoring and evaluation system for the UP Govt. and the Chief Minister.
  7. A system of review by the Prime Minister's Office was introduced in May,1998. The PMD prepared Special Monitoring Reports for reivew by the PMO.
  8. A brief report on the implementation of projects in the North-Eastern Region was prepared and forwarded to the Ministry of Home Affairs for the information of the Standing Committee of that Ministry.
  9. The Interim Report on the restructuring for the Department of Programme Implementation submitted by the S.M.G. was examined and commented upon to include full facts on the work handled by the PMD.
  10. A brief note on the problem of Mega and major projects relating to the clearances and land accusation by the Govt. of Bihar was prepared and submitted for the consideration of the Minister of State to take up with the C.M. of Bihar.
  11. A note for the COS on the specific measures and other measures to fill the gap in the guidelines issued by the Govt. to cut delays in implementation was prepared and submitted
  12. A note for COS on the on-line monitoring system was prepared and submitted for the consideration of the COS.
  13. A detailed note has been prepared on the four major projects one each in power, petroleum, road and ports for review by the FM. These were reviewed by the Finance Secretary in the initial stages.
  14. A note on the implementation of projects in the NE Region was prepared for the consideration of the High Level Committee and attended the Meeting at Agartala.
  15. A note was prepared on the 15th Expanded Board Meeting of Railways for project costing Rs.50 crores and more. The meeting was attended by the Secretary.
  16. Note was prepared to consider setting up of Indian Railway Catering and Tourism Corporation.
  17. The Draft MOU of 35 enterprises were examined in detail, comments prepared and issued for the consideration of Ad hoc Task Force and attended the negotiation meetings.
  18. A note for COS on the private/Joint Sector projects in the mining/non-ferrous sector was prepared highlighting the status of projects which are in the process of implementation / in the process of approval/obtaining clearances and submitted for consideration of the COS.

    V) The officers of the PMD attended various meetings during the year. Some of the important meetings attended are listed below:-

    • Attended the meeting of the Standing Committee of the MHA to examine time & cost overrun for Regional Institute of Medical Sciences and Rokhia Gas Power station stage-II
    • Attended PIB meeting and discussed the Joint venture proposal of 9 MMTPA, grass root refinery at Bhatinda ,Punjab (HPCL)
    • Attended the meeting of Standing Committee for fixing responsibility for time & cost overrun for Madras Fertiliser Ltd. (MFL), Nathpha Jhakri HEP, Rangit HEP and Fertiliser Projects in private sector.
    • Attended PIB Meeting of RCE of Nathpha Jhakri HEP.
    • Attended meeting of the Empowered Committee of Ministry of Power to review progress of Tehri HEP and Naphtha Jhakri HEP
    • Attended Pre-PIB Meeting on Koel Karo HEP.
    • Attended the PIB Meeting to acquire two dredgers of 6500 cubic metre by Dredging Corporation of India.
    • Attended PIB/Pre-PIB meeting on Transmission System associated with Talcher STPS Stage II and on RCE of Visakh Refinery Expansion Project.
    • The officer of the PMD also attended the performance review meetings of the PSUs for the quarter ending June and September chaired by the Secretaries of the concerned Ministries/Departments.

    7.11 Future strategy for Better Project Implementation

    7.11.1 The Implementation of projects on schedule can be ensured only through constant monitoring, evaluation of activities and constantly highlighting the slippages in project implementation and taking initiatives in problem solving. With this view in mind the PMD is constantly reviewing existing system of monitoring and suggesting improvements to be made in the system to make it more effective and result oriented. Some of the strategic Action Points drawn out by the PMD are as follows:

    i) Analysis of investment proposals from the point of view of the state of preparedness, organisational and managerial capabilities of the project management, availability of funds and linkages .

    ii) Persuading the project enterprises to prepare the detailed project plan with full consultation of all agencies including State Governments for providing necessary land, infrastructure and clearances.

    iii) Increasing the awareness of latest project management techniques including computerisation of PERT programmes for project planning, implementation and monitoring.

    iv) To constantly review the effectiveness of the specific measures recommended by the CCEA and the Committee of the Secretaries to cut delays in the implementation of projects and suggest improvement from time to time.

    (v) Introduce an On-line Computerised Monitoring System (OCMS), restructure the input and output reports and, if necessary, redefine the role of the DPI in regard to the Project Management as a whole. The OCMS is aimed to strengthen the DPI in timely reporting, flagging of problem for resolving and giving warning signals if a project is going out of track leading to time and cost overruns. .

    7.12 Sectoral Analysis of Projects Under Implementation

    7.12.1 The Sectorwise analysis of projects under implementation with brief details of all mega and some selected major projects in each sector and the problem solving initiatives taken by theDepartment in respect of these projects is outlined in the following paragraphs.

    Atomic Energy

    7.12.1 As on 1st April, 1998 there were 6 projects on the monitor. Out of these 6 projects, 4 projects are directly connected with power generation. There are 3 mega projects pertaining to Nuclear Power with a total anticipated cost of Rs 10803 Crores. The fourth project (Coolant tube replacement at Rajasthan Atomic Power Station's unit II) is in the category of revamp of an existing nuclear power reactor. The other two, are projects belonging to the Nuclear Fuel Complex, Hyderabad, for manufacturing fuel for commercial power reactors and Uranium Ore Extraction.

    7.12.2 The total anticipated cost of these 6 projects on the DPI's Monitor s Rs.11462.27 crores. The two nuclear power projects have sufferred high cost and time overruns due to reasons peculiar to this sector. The escalation in cost reported by the Rajasthan and Kaiga Atomic Power Projects with respect to original cost were, 196 percent and 211 percent respectively. Another nuclear power project recently taken on the monitor, was the 2x500 MWe Tarapur Atomic Power Project, at an initial cost of Rs. 3447.06 Crores, approved earlier by the GOI in Jan'1991. However permission has been granted by the Govt. recently in December, 1997 to start implementing the project. Its latest approved cost is Rs. 6421 crores and an expenditure of Rs. 90 crores has been incurred on purchase of long delivery items .Stricter safety conditions, as required by the Atomic Energy Regulatory Board (AERB), is one of the features of Nuclear Power Project Implementation. Contractors must be prequalified to undertake work pertaining to the Nuclear power station. General inflation, change in scope and higher safety norms as stipulated by AERB, are the main reasons for cost and also time overrun. There is a need to reduce time overrun in Nuclear Power Projects through faster pace of civil construction as also expediting resolution of problems by AERB. Fund flow to the site should be expedited. The consequent delays, due to the nonavailability of funds, and other technical reasons (mainly slow pace of civil works and continuous slippage of equipment deliveries and its erection at site), lead to the large increase in cost, of which an increasing component is that of the interest during construction (IDC). It is now around 32% of the total cost of the projects. Shorter gestation period is one of the solution to reduce IDC. Firming up designs / specifications for equipment, stations & civil works and also duplication of similar capacity power reactor units with minimal changes, is essential to have faster pace of construction.

    Atomic Power Projects

    7.12.3 In the case of Kaiga Atomic Power Project, major civil works for Reactor Buildings 1 & 2, Turbine Buildings 1 & 2, Service building, Reactor Auxiliary Buildings 1 & 2 and control buildings are complete. The major items of equipment (calandria vessel for the two reactors, Primary Heat Transport System, Active Process Cooling System, erection of condenser upto top neck in Reactor 2, Steam generator header and Turbo Generator for Unit 1 etc.) are already being erected. In Reactor Building-1, all construction work pertaining to inner & outer containment dome was at a stand still for the last 40 months. The AERB has approved the design and the basis for construction of the new IC dome for the reactor No.1 at Kaiga, but complete drawings were provided by AERB to the construction authorities at Kaiga, during the middle of the year 98. The dome has been dismantled and a new dome based on AERB approved design will be constructed. The erection of Induced Draft Cooling Tower at both the reactor sites is proceeding as per schedule. The erection of compressors, Active Process Water (APW) pumps/pipings, erection of moderator pumps and piping are complete. Fueling machine head & Fueling Transfer System for Unit 2 completed & unit 1 is not complete. Air hold helium leak test and flushing, for unit primary heat transport systems hydrotest and logic test, earlier scheduled for 1997-98 for both the reactors at Kaiga have now been further rescheduled to 1998-99 & for Unit 2 these tests have been completed. In the case of Rajasthan Atomic Power Project, some works such as active process water pumps and associated piping installation of fueling machine head, fuel transport system and the PHT Hydro test are behind schedule and are now expected to be completed in 1998-99. In the other areas of the Reactor construction, progress is satisfactory. Criticality for both Kaiga & Rajasthan projects is now scheduled for the latter part of 1999-2000. Commercial power will be generated 6 months - 8 months latter to the criticality date. Cooling channel replacement project for RAPP-II has been completed ahead of schedule and the reactor has been made critical in May 1998. Civil works has started on the 2x500 MW Tarapur Atomic Power Project 3&4 & and it is expected to go critical by 2007-08.

    Nuclear Fuel Projects

    7.12.4 Three projects at Nuclear Fuel Complex (NFC) at Hyderabad, namely, setting up of a 80 TPY (Phase-I) New Zircalloy Fabrication project, New Uranium Oxide Fuel Project (capacity 670 TPY), New Uranium Fuel Assembly Project (capacity 600 TPY) are all linked to the Nuclear Power Stations projects under implementation. Two of these projects (i.e. New Zircalloy Fabrication facility and New Uranium fuel assembly project) have been commissioned by the end of 1996-97 and made fully operational in 1997-98. There has, however, been a delay of more than 29 months in the case of Uranium Oxide plant with respect to the original schedule, mainly due to delays in the supply of equipment and their erection at site. This project has been commissioned during the 3rd quarter of year 1998-99.

    Atomic Mineral Project

    7.12.5 The Narwa Pahar - Jaduguda Uranium Mill expansion project was approved by the Government in April, 1989 at a cost of Rs.495.54 crores (January, 1988 base) to be financed entirely by the Government. This project now comprises of the mining facility at Narwa Pahar and expansion of the existing Uranium mill at Jaduguda. This will supply Ammonium Di Uranate which is the raw material for the new Uranium oxide plant at NFC Hyderabad. Project comprises underground mines at Narwa Pahar, for which, entry is through a series of declines. The vertical mine shaft is complete and shaft head equipment has been installed. Ore extraction on a commercial basis is on. Uranium Mill expansion project at Jaduguda, delayed due to late delivery of equipment, is now complete and is to get AERB clearance for full commercial operation. This project will be made operational on a commercial basis during the year 1998-99. The cost of this project, has been scaled down to Rs.311.41, crores due to the change in scope.

    Civil Aviation

    7.12.6 There were total 10 projects (3 major and 7 medium) costing Rs.949.27 crores on the monitoring system upto September, 1998. The project implementation status of important major projects is as under:

    Modernisation of Air traffic services at Bombay and Delhi Airport by National Airport Authority

    7.12.7 The project was approved in June, 90 with date of completion as Oct., 92 and cost Rs.210 crores. However, the anticipated date of completion was June, 1998 and estimated cost Rs.351.87 crores. The main features of the project are (i) enhancement of the present handling capacity of 10 to 12 aircrafts per hour to 35 to 40 aircrafts per hour . (ii) More safe landing and take off facilities, and (iii). Reduction in approach and landing phase of flying time resulting in substantial saving in fuel and time. The scope of work includes construction of new control and technical building and installation of latest radars. The NBCC and EIL are the project managers for civil works at Delhi and Bombay respectively. The Raytheon of USA is turnnkey contractor for all equipment including the Radar.

    7.12.8 The project was mechanically completed by 9/98. Trial runs have been completed. Modifications and system optimisation are in progress.

    Terminal Complex Phase-III at Mumbai (AAI)

    7.12.9 The proposal for the construction of Phase-III of the International terminal Complex at Bombay Airport is a part of master plan for the Bombay Airport. The Phase-I was commissioned in 1980 and Phase -II in March 1986 . The combined Phase-I and II capacity in peak hour handling is 4200 pax., and annual handling capacity of 50 Lakh pax. The existing international terminal , (Phase I & II) is likely to be saturated during the year 1993-94 when the traffic would be 51.66 lakh. To cater the additional traffic, Phase-III is planned which will have additional area of 55000 sq.m. with the addition of Phase - III, the resultant capacity of the international terminal (peak hour : 6300 pax; annual 75 lakh pax) will suffice upto the year 2000-2001.

    7.12.10 Foreign Exchange Components: Rs.5.72 crores (incl. In Rs. 84.12 crores for 8 aerobridges) Finance: The entire expenditure on the project is financed from the internal resources of AAI.

    7.12.11 In order to utilise the land area to the maximum extent, the design of the building was modified to 70, 865 sqm. With an estimated cost of Rs.142.32 crores and date of completion as 12/97 which was shifted to May 1998 due to enrichment of specifications to bring it at par with the international standards. The building is two and a half level terminal and is being provided with 4 in-contact bays for B747 type of aircrafts.

    7.12.12 The work is in advanced stage of completion on all fronts. Some delays have taken place due to increase in cost and scope of additional work and fire protection regulation requirements. The project is likely to be completed by 8/99. The project is being closely monitored by the DPI to keep the latest schedule.

    Coal

    7.12.13 In the beginning of the year 1998-99, there were 71 projects costing Rs.20 crores and above on the monitoring system. During the course of the first two quarters of the year, 12 projects were dropped from system and 2 were added to the monitoring system.

    7.12.14 Thus, there are 61 projects 4 mega, 16 major and 41 medium on the monitoring system, with a total cost of Rs. 12598.02 crores. 25 projects are for opencast mines, 33 for underground mines and 3 other projects belong to non-mining sector such as CPP, Workshop and other allied facilities required for existing and new mines.

    7.12.15 Out of 61 projects, 10 projects had cost overrun aggregating to Rs.900 crores. 28 projects are showing time overrun, ranging between 2-120 months with reference to the latest approved schedule.

    7.12.16 The problems of land acquisition, supply of equipment, fund constraints and Geo-mining problems have delayed a large number of coal projects. The analysis of projects on the monitoring system shows that 7 mega and major projects are suffering from land acquisition problems. 5 are having equipment supply problem, 1 each is delayed due to civil works and funds problem. Overall, 15 Mega and Major projects out of 20 are reporting one or the other problem.

    7.12.17 The implementation status of some of the mega/major projects are summarised as follows:

    Life Extension of TPS-I (NLC)

    7.12.18 Life Extension of TPS-I of Neyveli Lignite Corporation was taken up to renovate the existing units of Stage-I which have completed almost 27 years of service. The scheme is to carry on renovation of Units-9. This would increase the life of the plants by another 15 years. The contract had been signed with M/s. Technopromenom export (TPE Moscow) and their Indian associates ACC Bobcock Ltd. ABL on 3.5.92. The latest anticipated cost of project is Rs.259.56 crores as against the original cost of Rs.315.23 crores (for all the nine units). Unit-I was completed on 23rd April, 1994 and unit-9 m 19.11.94 respectively Unit -4 was completed in 1996. There has been a delay of about one year in the implementation of the contract by TPE and ABL due to delay in receipt of certain equipment. The work on Unit-I and 9 were completed on 23rd July, 1994 and 29 November, 1994 respectively. The time taken was 29 months against the schedule of 12 months. Unit 3,5 and Unit 7 were planned to be completed by March, 1998 but delayed due to delay in delivery of equipment and have since been completed. For Unit-2 and 8, the work is in advanced stage and unit 6 was released recently for LEP works. The project is likely to be completed by March, 1999.

    Mine I Expansion project

    7.12.19 This project was sanctioned by the Government in March’92 at a total cost of Rs.1336.93 crores with a foreign exchange component of Rs.278.28 crores at 7/91 base. The completion schedule of the project is 55 months from the date of project sanctioned. The project was sanctioned to step up the lignite output from 6.5 MT to 10.5 MT per annum. The project envisages the step up of lignite production by deployment of additional Specialised Mining Equipments, supported by other conventional Mining and ancillary equipments and also by creation of one or more overburden system of higher capacity for tackling the increased overburden cover. KFW loan signed in March, 1997 only and funding arrangement for rupee portion is yet to be signed. The sanction for the linked Thermal Power Station-I Expansion Scheme (2x210 MW) was given in February, 1996 and scheduled for completion by March, 2001. M/s. ISEC have been appointed as Trusted Financial Adviser to help NLC in mobilising the funds required for implementing both Mine-I and TPS-I Expansion projects. Loan agreement for funding Foreign Exchange portion was signed on 13.03.1997 only. LOI has been issued on 10.08.1998.

    Dhudichua (NLC)

    7.12.20 The project was sanctioned by Government in February, 1984 for an investment of Rs.289.68 crores and for an annual output of capacity of 5 MTY to be reached by 3/94. The implementation of the project was taken up with the World Bank assistance of US$ 151 m and the construction of the project has been completed one year ahead of schedule i.e. in March, 1993.

    7.12.21 In original proposal for development of Dudhichua project, NCL had presented a developmental plan for an ultimate output of 10 MTY. However, when the project was discussed in the meeting of IMG on 11th January, 1982, it was decided that project may be developed in 2 stages i.e. Stage-I of 5 MTY and ultimate Stage of 10 MTY. Accordingly, the Govt. had approved the first Stage of 5 MTY which was implemented. With the increasing demand of coal for power sector during 8th & 9th Plan period it had become necessary to augment the production capacity to 10 MTY. The Govt. had sanctioned expansion of the project for 10 MTY at a capital cost of Rs.868.93 crores on 25.08.92 including the Foreign exchange component of Rs.163.13 crs. (increased from Rs.147.29 crs.) out of which US ($ 108.36 m) is committed. As per the CMPDI estimate of April, 1995, the anticipated cost is Rs.1149.04 crs. Due to delay of project CMPDIL has been requested to prepare RCE. Land required for the purpose is 1748 Ha. Possession till date is 1470 ha. The investment is substantially lagging due to fund constraints. However, the project has been posed to World Bank for funding. The loan became effective only in June, 1998. Major activities including procurement of HEMM, suffered due to delay in arranging loan, are now progressing.

    The Jhanjra Underground Project of ECL

    7.12.22 The Jhanjra Under Ground project of ECL was sanctioned by Government in December, 1982 for a targetted capacity of 3.5 MT and a capital investment of Rs.184.55 crores. The completion of project was scheduled for 3/94. Jhanjra is a deep underground mine which was designed by the experts of erstwhile USSR. Project was implemented in initial years in collaboration with Soviet Union for sinking of shafts and drivage of main coal clearance incline. Two shafts A & B and main coal clearance incline were driven by erstwhile USSR as per agreement . Two sets of power supports longwall equipment were also procured from USSR. Subsequently due to disintigration of erstwhile USSR serious difficulties were faced in procurement of further longwall equipment as well as spares for the equipment already procured. Components and spares for longwall were manufactured in 4 different states of erstwhile USSR. There were serious bottlenecks in shipping facilities and coordination. The major critical activity was the sinking of shafts A & B which was delayed by 34 months and consequently the other activities were held up. M/s. HEC had delayed supply of winders for the shaft A by 14 months. M/s. Triveni structure delayed the erection of head gear by 21 months. The resultant effect of all these factors accounted for the overall delay of 48 months from its original schedule (3/94 to 3/98).

    7.12.23 Committee of Secretaries reviewed the project and suggested that project should be taken up in two phases. Phase-I for 2 MT capacity and from 2 to 3.5 MTY capacity should be taken up as Phase II. In August, 1994 Govt. sanctioned Phase I of the project (2.0 MTY) with the capital cost of Rs.403.9 crores.(inclusive of Rs.17.72 crores for advance action activities for phase II).

    7.12.24 The project completion was envisaged by March, 1998. The increase in the project’s cost was mainly on account of delay of 4 years during which the normal escalation was Rs.58.69 crores, taxes and duties variation by 79.14 crores and financing and other charges Rs.51.65 crores (Total Rs.189.48 crores). Change in scope etc. account for the net increase of Rs.31.45 crores. The major problems coming in the way of speedy implementation of the project are :

    (i) Procurement of longwall spares from CIS countries.

    (ii) Supply of extensible belt conveyor from MAMC.

    (iii) Installation of 4th Longwal set from Churcha project after refurbishing etc.

    The project is now expected to be completed by March, 2002.

    Finance (Deptt. Of Expenditue) :

    7.12.25 At present, there is only one project under implementation.. The scope of the project is to modernise the mints situated at Bombay, Hyderaabad and Calcutta in March 1989 with date of completion as March 1992 and estimated cost Rs.118.28 crores. However, now the anticipated date of completion is March, 1999 and cost Rs.348.80 crores. The project envisages shifting of Hyderabad Mint to a new location at Cheerlapalli (an industrial area at the outskirts of Hyderabad city) and for other 2 mints, modernisation in the existing premises. The project activities at Bombay and Calcutta are far behind schedule due to delay in Civil works. The Hyderabad Minit has been commissioned.

    Fertilizer

    7.12.26 There are 3 projects on the monitoring system in the beginning of the year. One project, namely the Haldia Fertilizer Project, of the HFC continues to be in the frozen stage and it will be taken off the list of active fertilizer projects under implementation once the final decision is taken by the CCEA. During the year 1998-99, Ammonia Plant Replacement Project of FACT was commissioned. With this commissioning, there is only one project namely Kandla Phase-II DAP - NPK of IFFCO under implementation.

    Kandla Phase-II DAP-NPK Project (IFFCO)

    7.12.27 This project, approved by the Government of India in January,1997 at a cost of Rs.212.2 crores with a foreign exchange component of Rs.18.1 crores, involves setting up a DAP-NPK plant with a capacity of 2 lakh tonne per annum. For the main plant and the offsites, Indian consultants M/s Hindustan Dorr Oliver and M/s PDIL have been employed. The progress so far in the case of main plant is 87.55% and in the case of off-sites, progress is 75.85%. Commitments till date is Rs.166.2 crores with Rs.95.76 crores expenditure already incurred. 100% detailed engineering has been completed. The purchase requisitions, technical specifications and engineering drawings have been finalised.

    Information & Broadcasting

    7.12.28 As on 30.12.98 there were 7 projects (5 of AIR and 2 of Doordarshan). The total anticipated cost of these project was Rs.316.91 crs. Implementation of AIR projects was slow, particularly in the project of setting up of studios at Borivilli, Bombay (the Short Wave Transmission facilities at Goa for these studios had been set up more than two years back). Civil works of construction of Doordarshan Bhavan at Delhi progressed during the year. Most of the equipment installation projects have been redesigned in view of latest developments in transmission technology.

    7.12.29 It was reported by the All India Radio that implementation of its projects at times was delayed mainly due to delay in the procurement of equipment /material etc. One of the Doordarsshan project at Bombay is nearing completion.

    Mines

    7.12.30 As on 1st April 1998, there were three projects, with a total anticipated cost of Rs. 3884.08 Crores. Two of them, are mega projects, costing Rs.3726.58 Crores. One of the projects, namely, Expansion of NALCO's Bauxite Mines from 2.4 MTPY to 4.8 MTPY, with an associated Alumina Refinery, to be expanded from 0.8 to 1.575 MTPY, costing Rs. 1664.60 crores, is to be set up at Damanjodi, Orissa with a gestation period of 36 months, & will be operational by March, 2001. The other mega project, also belonging to NALCO, involves setting up of an Aluminium smelter for increasing the capacity of the existing smelter from 2,30,000 tonnes to 324000 tonnes along with a captive power unit of 110 MW capacity. The third project, belonging to BALCO, involves installation of a cold rolling mill at its Korba Smelter Complex in Madhya Pradesh with an anticipated cost of Rs.157.5 crores including a foreign exchange component of Rs. 103.11 crores. All the basic engineering packages for the Bauxite mine and Alumina project has been received and major orders for equipment and also civil / mechanical contracts placed. The Aluminium smelter project is still in the initial stage of implementation and agreement has been signed with the foreign collaborator for knowhow. In this project placement of order for 120 MWe Steam Turbine Generator is yet to be placed. In the case of BALCO's cold rolling mill, orders for all major equipment such as strip casting machine and cold rolling mill, as also nitrogen plant have been placed.

    Steel

    7.12.31 As on Ist April, 1998, there were 9 projects on the DPI Monitoring System. The anticipated cost of these 9 projects was Rs.8871.90 Crores. This included two mega projects, whose anticipated cost is Rs. 7347.58 Crores. The other projects on the monitor include Coke dust injection project at Bokaro & Bhilai Steel Plants, third sinter plant at Bhilai Steel Plant all belonging to SAIL and development of iron ore deposit of 10/11A at Bailadila in M.P & Ultra Pure Feric Oxide plant, at Visakh in A.P. by NMDC. During the year major global packages in Bokaro & four out of five global packages in Raurkela modernisation project have been fully commissioned. The long delay and high cost escalation suffered by the projects in the steel sector are mainly due to under estimation in the initial stages, change of scope when the project is being executed and exchange rate variation affecting the Indian rupee, which resulted in high cost of those packages having large import content in terms of equipment and also other services. The time overrun is also due to poor resource mobilisation by the local contractors, due mainly to the poor state of finance of some of the contractors. Other locally based major and medium sized fabricators/ contractors employed in turn by turnkey contractors for global packages in the private sector have also contributed to slippages. The delayed delivery of equipments is, the other main problem, affecting this sector. It is also observed that PSUs like Heavy Engineering Corporation, Ranchi, Triveni structurals Ltd., Hindustan Steel Construction Ltd. as also capital equipment manufacturers in the private sector do not generally adhere to the delivery schedule for equipment.

    Rourkela Steel Plant Modernisation Project (SAIL)

    7.12.32 This project with anticipated cost of Rs.4938.01 crores was approved in July, 1988. The original date of commissioning was April 1995 and now anticipated date of commissioning (all packages) is October, 1998 and has already suffered a delay of 42 months. This project is divided in two phases with Phase-I scheduled for commissioning in July, 1993 and Phase-II consisting of 5 global & 10 indigenous packages. The Phase I and most of the Phase 2 package have been commissioned. Out of 5 global packages, Concast Plant package, Basic Oxygen furnace, Sinter plant II, plate mill and reheating furnace No.6 have been commissioned. Work on reheating furnace No. 5 have been delayed and it will be completed by October'99. For all practical purposes, modernisation project of Raurkela Steel Plant is complete in all respects. The expenditure, as on December, 1998 is Rs.4163.86 crores. The now anticipated cost of this project is Rs.5112.13 crores. The main constraints in the execution of this project are the lack of full mobilisation of resources by contractors and late delivery of equipment at site, and need to plan shutdowns, for carrying out project work in a functioning plant.

    Modernisation of Stage I of Bokaro Steel Plant (SAIL)

    7.12.33 The present project costing Rs.1625.79 crores (FE Rs.283 crores) approved by GOI in July'1993 involves reconstruction of the existing Steel Melting Shop No.II (to increase its liquid steel capacity from 1.84 MTPA to 2.25 MTPA), installation of 2 double strand slab casters, partial upgradation of 2000 MM Hot strip mill & Related service facilities. Detailed Engg. have been completed. Reheating Furnance No.3 which is part of the modernisation project (reheating furnace package) is to be commissioned by March'99. Operation of Reheating Furnace No.4 has been stabilised. The civil works in hot strip are nearing completion. Work on coiler No. 2&3 has been completed. Hot trials of coiler No.2 has been completed in June'98 and subsequently commissioned. Coiler No.3 was completed in October'98 and expected to be commissioned by the end of the year. Automation, instrumentation & mill electrics for Hot Strip mill global package No.3 has been completed. As against the anticipated cost of Rs.1792.90 crores, the expenditure as on Dec.1998 is Rs.1956.82 crores. The project is expected to be completed fully by the first quarter of 1999-2000.

    Bailadila Iron Ore Deposit 10 & 11A Project and Ultra Pure Ferric Oxide project at Visakhapattanam, (NMDC)

    7.12.34 This project costing Rs. 430.50 crores with a foreign exchange component of Rs.18.61 crores was approved by the Govt. in August 1995. The gestation period for this project is 48 months. All major (process and crushing equipment) equipment for execution of this project have been ordered. Major constraint in the implementation of the project is delay in obtaining the mining lease and forest clearance. The mining lease, given by the M.P.Government on the basis of final clearance of MOEF communication dated 29-07-1998, in respect of Bailadila deposit NO 10 ML and Bld no. deposit 11, is of temporary nature and they have been advised to continue working only in already broken area till formal renewal of Mining Lease is granted. MP govt have advised the NMDC to follow the orders of the Supreme Court that no trees are to be felled in the forest of Bastar District even under any permission granted by the local administration until further orders. MP Govt, has advised the NMDC to approach the Supreme Court for tree cutting clearance in Bastar District. The project is making satisfactory progress till now but in the absence of full clearance, work in block 11 will suffer and it may lead to slippages such as in the construction of process plant. Structural fabrication work is in progress (4731 MT out of a total scope of 7275 MT ) and erection going on in areas where statutory clearances are not required. In the case of Ultra pure ferric oxide plant at Visakhapatanam (capital cost Rs.47.93 Crores with a cumulative expenditure of Rs.36.99 crores and commitment of Rs.46 crores till date), plant erection is complete and trial runs are expected to start in Dec'98 and plant fully commissioned by March 1999.

    Chemicals & Petro-Chemicals

    7.12.35 As on Ist April, 1998, there were 3 projects of the IPCL on the monitoring system of the DPI, with the total anticipated cost being Rs.3852.6 Crores. Of these 3 projects, Gandhar Petro-chemical complex, located at Dahej in District Bharuch, Gujarat, is a mega project costing Rs.3505.00 crores. The other 2 major projects, approved in May 1992, are down-stream units of the Maharashtra Gas Cracker Complex (MGCC) at Nagothane, Maharashtra.

    Gandhar Petro-Chemical Complex

    7.12.36 This project with 3 lakh TPA capacity of Ethylene and associated down stream conversion units with a capacity of 1.5 lakh TPA of Poly Vinyl Chloride (PVC) & one lakh TPA of Alpha Olefins was approved by the Government of India in March, 1992. The project authorities are now executing the project in two phases. Phase I (first phase consists of putting up a 1.5 lakh TPA, PVC Plant based on import of liquified Ethylene & liquid salt) of the project has been commissioned on April 1997. A separate product slate in place of Alfa olefin has been formulated. This is necessary to utilize the excess ethylene from the proposed gas cracker. The second phase consisting of Gas Cracking of ethane feedstock, for production of ethylene is being executed at present. Over 99% of detailed engineering in the gas cracker and Ethylene oxide/Ethylene Glycol package is complete. Reactors, columns, Column internals, VHP drums/ vessels has been received and progressively erected at site. Site assembly/erection of fabrications is going on. Cracker furnace has been erected and hydrotesting of radiant coils remains to be completed. Pressure Swing Absorption system is under final stages of erection and hookup. C2, C3, Cracked gas, expander and Recycle gas compressor has been received and erected, with final hook up remaining as the balance job. Feedstock for the cracker would be supplied from a gas processing facility to be put up near the Gandhar Field development project. The gas processing facility - i.e. LPG recovery plant based on the firm availability of 5 MMSCMD of gas from ONGCL's fields, is to be put up by another PSU (GAIL) and will supply rich gas for extraction of feedstock Ethane-propane (C2C3) at the separation plant inside the petro complex. Lean gas will be returned back. This facility is yet to be approved by the Government, and, in case of delay, this may lead to uncertainty in supplies to the cracker complex.

    Expansion of Ethylene & HDPE Capacity at MGCC, Nagothane

    7.12.37 Expansion of additional Ethylene capacity by one lakh TPA involves an investment of Rs.177.58 crores. The project has been completed by June, 98 and subsequently integrated with the existing separation facility of the existing cracker on a continuous basis. Work on the down-stream High Density Poly Ethylene (HDPE) project, which was also approved in May, 1992 at cost of Rs.158.78 crores, has been completed in the second quarter of 1998 - 99. This project has been executed on an EPC basis by M/s Samsung Engg. Co. The project is based on Rationalisation and optimisation of existing HDPE capacity at MGCC, by modification of polymerisation process, based on Degassification technology. This has been implemented, at a fraction of a green field plant cost, instead of a new plant as approved originally.

    Petroleum & Natural Gas

    7.12.38 As on Ist April, 1998, there were 49 projects on the monitoring system of the DPI with total anticipated cost of Rs.32,021.2 crores & cost overrun of 3.8 percent with respect to the original approved cost of Rs.30846.3 crores. The time overrun ranges from 1 month to 64 months. Of these, 33 projects are on the Flash Report System of Monitoring ( of which 11 are mega projects, with a total anticipated cost of Rs.20,472.18 crores). This includes 9, environment related, Diesel Hydro Desulfurisation Projects at the existing refineries, all approved by the GOI in June 1997, to be commissioned by April 1999. The project completed/commissioned are Catalytic Reformer Unit at Mathura, Kandla-Bhatinda petroleum product pipeline & Gas rehabilitation and expansion of Pipeline Project (i.e. Augmentation HBJ pipeline), POL pipeline between Vijayawada and Visakh as also Mumbai and Manmad, LPG recovery plants at Usar in Maharashtra, and at Lakwa, in Assam, UP petrochemicals complex at Auraiya in Etawaha district of UP, Gandhar Development Phase II, B-173 and B-55 offshore oil field development, Heera Development Phase III The projects making satisfactory progress are Numaligarh Refinery Project of NRL, Panipat Refinery Project of IOC, and Visakh Refinery expansion project of HPCL. All DHDS projects at refineries require greater effort to complete and commission the project by the first quarter of 1999 - 2000.

    7.12.39 The projects in the Petroleum Sector involve exploration, development and production of oil and gas from offshore and inland fields, refining and processing of oil/gas and transportation of products to consuming centers. These activities are not only capital intensive but also import intensive. The cost overrun, is mainly due to currency devaluation. It is necessary that once a project is approved by the Government for investment, the projects authorities should draw project completion schedule backed by PERT network expedite selection of Process licensers, sign agreements to start the flow of data and other technical information, evaluate tenders speedily and place orders for equipment fabrication and other services. Unless the gap (which is now between 6 to 18 months ) between the date of Government approval and actual start of work at site by project authorities, is reduced considerably, time overrun will continue to occur. Many items of equipment for petroleum exploration & drilling, production and processing of oil and gas are being made within the country, but, there is some delay in delivery by local suppliers. Free import of some critical, high pressure equipment, boiler quality and stainless steel plates for fabrications, and semifinished materials forgings should be resorted to for bringing down the cost of locally fabricated equipment and shorter delivery schedules. Advance action regarding long delivery items from local fabricators, and supply of steel plates, pipes etc. by project authorities, has reduced uncertainty to a great extent in many projects. It is also observed that those projects authorities that take early action regarding detailed engineering and place orders for long delivery equipment in time, have better able to control slippages. This is all the more necessary in the case of Diesel Hydro Delsulfurisation projects in 9 refineries, taken on the monitor during the year, which have a predetermined commissioning date of April, 1999.

    Visakh Refinery Expansion, Visakhapattanam (HPCL)

    7.12.40 This project, costing Rs.998.26 crores with foreign exchange component of Rs.79.85 crores was approved in September, 1995. It envisages expansion of the Refinery from existing 4.5 MTPA to 7.5 MTPA by installing a separate crude/ vacuum distillation units, vis breaker units,, augmentation of the existing Fluidised Catalytic Cracker Unit (FCCU-I), bitumen blowing unit, sulfur recovery unit and LPG/gasoline units. Foreign technology tie ups are envisaged for FCCU, LPG/Gasoline/ Merox units, and sulfur recovery units. This project has an implementation schedule of 36 months from the date of govt. approval. Advance action has been taken for placing orders on all long delivery items and most of the items of fabrications such as FCCU regenerator & reactor, Gas Turbine generator and HRSG package have been progressively received and being erected. Progress achieved in the area of equipment erection and piping is 40 % and the work is expected to be completed by March 1999. Packagewise progress in the Crude distillation and Fluidised cracker unit is 88.3% and 65.6% respectively. There was some setback due to fire accident in Sep. 97 and project work was suspended for a few months. This has led to slippage in commissioning by a further nine months to September, 1999. However it is understood that the CDU and other associated units would be ready by April 1999- i.e. capacity expansion of 3MMTPA to be ready and available by April, 1999. However, secondary units such as FCCU etc will be operational by Sept 1999.

    Numaligarh Refinery Project, Numaligarh (NRL)

    7.12.41 This project with a throughput of 3 MMTPA was approved by the Government in July, 1992 at cost of Rs.1830 crores with the original date of commissioning being October, 1997. This project will process Assam crude. The project has suffered fifteen months delay, in the early period of its implementation, due to delay in finalising the technology for the Hydro Cracker and Hydrogen Units. The detailed engineering for crude distillation unit (CDU) and vacuum distillation unit (VDU), Delayed Coker Unit (DCU), Catalytic Cracking Unit (CCU) & Utilities/offsite is being undertaken by the local engineering consultant, Engineers India Ltd. (EIL). Total commitment on the project till date is Rs. 2100.0 crores and expenditure is Rs.1787 crores against an anticipated cost of Rs.2489 .12 crores for the refinery. Overall physical progress is 94.7% against a schedule of 98.2% till mid Dec 1998.Cogeneration and HRSG plant is ready for commissioning and Pipe/tankage/ other systems are getting readied for receiving crude oil for the refinery. All columns for CDU/VDU, HCU Reactor, Coke Chambers etc. have been received at site. The project is expected to be mechanically completed by March, 99.

    Haldia-Barauni Crude Oil Pipeline

    7.12.42 To ensure uninterrupted supply of 4.2 million TPA of imported Crude to the Barauni Oil refinery of IOCL, the Govt. of India in Jan, 1996 sanctioned the Haldia-Barauni Pipeline project at an estimated cost of Rs. 953 crores, (at Dec. 1994 prices). Gestation period for the project is 42 months. Work of mainline pipe laying commenced on 25.9.97. All ordered mainline pipes/pumps and mainline engines has been received and erected at various intermediate booster stations. Entire length of the pipeline route has been laid and activities are in hand to make pipeline and station ready for pumping oil. Laying of the pipeline across the River Ganga completed. All crude oil storage tanks at Haldia erected along with piping hook up with Haldia port. Civil works for various plant buildings at Haldia and Bolpur approaching completion. Completion of this project by the end of 1998-99 is necessary as crude from Assam Oil fields would be directed to Numaligarh Oil Refinery, now expected to be operational by the first quarter of 1999-2000. As against the original commissioning date of July 1999 and cost of Rs.952.95 Crores, commissioning will be 5 months ahead of schedule and estimated cost is expected to be around Rs.660 crores.

    Crude Distillation unit & Revamp of FCCU,Koyali Refinery

    7.12.43 This project will process 3 MMTPA of crude from western onshore area. The project involves revamping of existing feed preparation unit (from 1.67 to 2.37 MMTPA),and fluidised catalytic cracking unit (FCCU- from 1 to 1.5 MMTPA), alongwith offsite facilities (7 Nos. crude tank and 4 No. product tankages) to convert heavier ends into distillate products. The cost of this project approved in December, 1996 is Rs.748.88 crores for distillation unit/FCCU etc. and Rs.304.12 crores for augmentation of SVK crude oil pipeline of existing Salaya - Mathura Pipeline. The gestation period is 36 months, with scheduled commissioning in December, 1999. Construction progress in CDU is 44.5% as against a schedule of 26.4%. In Crude charge heater, 49% of work completed with the completion of stack fabrication and alignment. As per present indication, this project may not suffer any slippages.

    U.P. Petro-Chemical Complex (GAIL)

    7.12.44 This Gas Cracker Unit, designed to produce 3 lakh TPA of Ethylene from feedstock Ethane separated from Natural Gas supplied through HBJ Pipeline, was approved by the Government in October, 1992 at cost of Rs.2941.48 crores. The original scheduled date of commissioning for this project was December, 1996. There was delay mainly due to late receipt of equipment from local and foreign suppliers. It may however be mentioned that this project, situated as it is in a backward area had a very tight erection and commissioning schedule. The delay of 24 months with respect to the original date, need to take this factor into account. Gas processing unit and Gas cracker unit have been commissioned and ethylene of polymer grade has been produced. LLDPE and HDPE Units have been mechanically completed. Both the polymer units are expected to be commissioned by the end of the fourth quarter of 1998-99.

    Panipat Refinery Project (IOC)

    7.12.45 This project consisting of 6 MTPA crude throughput Refinery, Second Submarine Mooring Buoy at Salaya in Gujarat Oil Pipeline Augmentation along the Viramgam - Chaksu - Panipat route, & Panipat Marketing Terminal was approved by the Government in October, 1992 at cost of Rs.3868 crores with the scheduled date of commissioning as August, 1997. Some of the equipment deliveries from local suppliers in public and private sector have been badly delayed, resulting in postponement to the completion date of the project (i.e. refinery portion) by 18 months with respect to the original completion date of April, 1997. Many orders had to be offloaded from the failing vendors at their risk and cost. But for Amine regeneration unit (ARU), all other units including Hydro cracker unit, FCCU and Sour Water Unit are ready for commissioning. Revamp of Sulfur Recovery unit is also to be got ready for integration with the Diesel Hydro De-Sulfurisation Unit, now under implementation, and targetted for operation by 31st March 1999. Other major reason for delay has been overall poor management by package vendors like Ms. Bridge & Roof, Ms. ATV, Ms. BHPV, Ms. Kaveri etc. Linked project such as 2nd SBM at Salaya and Viramgam - Chaksu - Panipat pipeline is ready for receiving oil for pumping to the Panipat Refinery. Panipat Marketing Centre has been commissioned & 1 million tonne of oil refined . Actual progress on refinery portion is 99.8%. As per latest progress Report, crude distillation units, vacuum distillation unit, and catalytic reformer unit have already been commissioned. Balance units (FCC, Hydro cracker) are expected to be commissioned by the first quarter of 1999 - 2000.

    Matching Secondary Processing Facility, Mathura Refinery,(IOC)

    7.12.46 This project was approved at estimated cost of Rs.1041 crores, in May 1996. This will provide facilities commensurate with the crude processing capacity of the Mathura Refinery and also keep SO2 emission under check. On implementation of this project, there will be upgradation of heavy oil to the extent of 626000 TPA to SK/HSD and 33000 TPA of LPG. Process package for Hydro Cracker Unit has been received. Engineering & procurement is in an advance stage. Out of 3 units of sulphur recovery unit, one train is exclusively for DHDS Unit and is expected to be completed by April,99. Hydrogen unit is in an advanced stage of fabrication. This project is expected to be commissioned by Feb.2000.

    Diesel Hydro De-Sulfurisation Project at 9 refineries of HPCL, BPCL, IOCL, CRL & MRL

    7.12.47 In order to reduce environmental pollution due to vehicular emissions, the oil companies have been ordered to supply high speed diesel with maximum sulfur content of 0.25% by the Honourable Supreme Court by April, 1999. As the DHDS Project proposals of all the above 9 refineries are technologically similar in nature and since all the projects are to be completed expeditiously, a consolidated proposal was approved by the Govt. in June, 1997 at a cost of Rs. 5568.31 crores with a foreign exchange component of Rs. 966.86 crores. Govt. of India approved setting up of DHDS facilities at 9 refineries viz., IOC (at 4 refineries), HPCL (at 2 refineries), BPCL , CRL and MRL. The total value of equipment to be procured is put at Rs. 4000 crores. As the project has a very short gestation period, it was ensured, that, only vendors with capability to adhere to contractual delivery schedule for equipment and fabrication have only been considered. Of the 9 DHDS projects approved, 2 are to be implemented on a conventional basis and others on the basis of Lump Sum Turnkey (LSTK) contract for different packages. LSTK contracts have been awarded on the basis of competitive bids for packages such as, DHDS, Hydrogen Generation, Reformer, Sulphur Recovery Units (SRU), Offsites & Captive Power Plants. LSTK contractors have inturn awarded the orders for all major equipments and fabrications on a competitive basis taking into consideration the delivery schedule and also price competitiveness. Full mobilisation of erection teams at various sites started by April-May, 1998. MRL & BPCL are implementing the project on a conventional basis for DHDS package offsites etc. They have awarded LSTK package for Hydrogen Generation (MRL & BPCL) & Sulphur Recovery Packages. Overall progress of MRL & BPCL projects are 84.35% and 89.2% respectively. These two DHDS projects may get completed by April-May'99. In the case of DHDS, HPCL-Visakh, overall progress for SRU & DHDS is 48.9% & 69% respectively, and this may result in 2-3 months slippage (i.e. commissioning by June'99). In the case of DHDS, HPCL - Mumbadi, progress of DHDS/Hydrogen/Sulphur block is 48.4%, 65% & 40.2% respectively. This may also suffer 4 months slippage w.r.t. original commissioning date. Progress in the case of DHDS-CRL is 72.9% and they have been able to make up w.r.t. their projected commissioning date of Nov.1999 by 4 months i.e. July,1999. In the case of DHDS project of IOC at Mathura & Panipat, overall progress is 79.41% & 85.71% respectively. They may be commissioned with a slippage of about 1 month, i.e. by April-May'1999. In the case of DHDS - IOC Gujarat, progress is 84.81% & 67.67% respectively. They may slip by 2 months w.r.t. original commissioning date of 31st March, 1999. DHDS project at IOC's Haldia Refinery may suffer three months slippage (overall progress 67.67%) as they have to do extensive piling work at site due to soil liquefaction factor. These projects as per present indication may be commissioned with a slight slippage of 2-6 months with respect to the scheduled commissioning date of April, 1999. As the delivery period is very short expeditious action is required to ensure delivery and erection of equipment at site. Receipt of 90% of equipment by Jan - Feb.'99 is crucial to the projects completion by 2nd quarter of 1999-2000 as per latest indication of construction status.

    Power

    7.12.48 There were 38 projects on the monitoring system at the beginning of the year 1998-99 with anticipated cost of Rs.42379.77crores. Of these, 14 were mega projects costing Rs.34334.52 crores. Among the projects completed during the first two quarters of 1998-99 are Kathalguri Gas based power project, Gandhar Transmission and Kopili Transmission Project. In addition one unit of Kayamkulam GT has been commissioned in Nov.’98 and Coal firing has been achieved for the 3rd unit of 210 MW at Mejia. Also the projects likely to be completed by the end of March, 1999 are Mejia TPP (balance works), Rangit HEP (60 MW), Kayamkulam(GT-2nd . unit), Kathalguri Transmission System, HVDC back to back at Jeypore, Kaiga-Sirsi Transmission System, Augmentation of Transmission System in NER and Kayamkulam Transmission System. 19 projects are under Transmission which include Unified Load Despatch and Communication System in Northern, Southern and North-Eastern regions, an HVDC back to back station at Jeypore and Transmission Systems associated with Nathpa Jhakri, Vindhyachal Stage II, Unchahar Stage II and Kayamkulam CCPP. One project has been added during the year -Tuirial HE Project (60 MW) to be executed by NEEPCO. Thus there are 36 projects on the monitor of DPI at the end of Sept., 98.

    7.12.49 During the Ninth Plan, upto September,98, a generating capacity of 1265 MW has been added under the Central sector. Regarding Transmission projects, about 3000 ckm of 400 kV, 82 ckm of 220 kV and 184 ckm of 132 kV transmission lines have been added during the period. The status of the Mega and some of the Major projects has been highlighted in the following paragraphs.

    7.12.50 The projects in the power sector face a variety of problems in their implementation. At the beginning of the project formulation itself, demand pattern, linkage of coal mines to the specific project and the availability of transport for movement of coal/ gas pipeline, acquisition of land, availability of adequate amount of gas/coal and cooling water for running the plants, and sources of funding for projects need to be identified clearly. This is not done in all the cases and is usually left to be sorted out by the project authorities after the project is finally cleared by the government. These parameters which are not specifically cleared continue to haunt the project implementation process. In the case of hydro electric power projects, survey of the site should be thorough from geological and environment angle. This is not done or left for later investigation as and when the problem recurs. Along with these problems, the other constraints are slow mobilisation of resources by the contractors, slow rate of equipment erection, delay in deliveries of equipment and their non sequential supplies. From a survey of projects under implementation, major problems reported by various projects are pending of Environmental clearance (Doyang HEP) and Funds (for e.g. 3 mega & major projects) have this problem. Some projects report delay either in contract finalisation or in supply of local/imported equipment. This problem is affecting implementation of Dulhasti and Dhauliganga projects of NHPC. Other problems are inadequate supply of gas to projects which are already commissioned, Coal linkage and non completion of coal handling plant, Railway line -specifically merry go round system (Mejia TPP), inadequate transmission capacity (specifically in eastern region), Law & Order problem (Tehri HEP, Kathalguri Transmission project and Augmentation of Transmission System in NER) and land acquisition problems (Dhauliganga and Koel Karo H.E. projects).

    Mejia Thermal Power Project (DVC)

    7.12.51 Sanction was accorded for this 3x210 MW coal fired thermal power project on 20.3.1986 at an estimated cost of Rs.641.42 crores (3rd Qtr. 1983 price level). Revised project cost of Rs.1989.14 crores (3rd Qtr 1995 price level) has been approved by the Govt. in October’97. There was some intitial delay in the acquisition of land (2502 acres of land out of 2594 acres has been acquired). The project has been delayed mainly due to fund constraints, low productivity of workers on various fronts, mismanagement at all levels and also contractors not adhering to schedule, and instrasigent labour unions supported by politicians of the area. The first unit has been commissioned on a commercial basis from March’96 and the second unit synchronised with oil in March’ 97 and with Coal on 31.3.98. The third unit achieved Synchronisation with oil in March, 98 and with coal on 17.10.98. The delay was due to slow erection of Boiler and TG by BHEL. With this all the three units of the project have been commissioned., and only some balance works are going on.

    Tehri Hydro Electric Project (THDC)

    7.12.52 Tehri Hydro power complex was transferred to THDC by the State Govt. of UP in June, 1989. The Government of India have accorded approval in March, 1994 for execution of Tehri Dam and Hydropower project of 4x250 MW Stage-I alongwith the compulsory and committed works of Tehri Pumped storage plant and Koteshwer dam project at a cost of Rs.2963.66 crores at March, 1993 price level. Various infrastructure works have been completed at the project site. All four diversion tunnels completed. Excavation work of dam, power house and Transformer hall is in progress and for machine hall, it has been completed.. About 60% excavation for TRT has been done. Much of the rehabilitation work for urban and rural rehabilitation has been completed and the balance land for the purpose is being acquired. Expenditure as in Nov.’98 was around Rs.1775 crores. The rate of progress is slow and the project commissioning has been rescheduled to March, 2002.

    Dulhasti Hydro Electric Project (NHPC)

    7.12.53 The 390 MW Dulhasti Hydroelectric Project is located in Kishtwar Tehsil of District Doda in Jammu & Kashmir on the Chenab River to generate 1928 MU of energy annually in a 90% dependable year. Initial investment approval for the project was accorded in Nov.1982 at an estimated cost of Rs.183.45 crores including IDC of Rs.21.73 crores. It could not be executed for want of funds. A project proposal at a cost of Rs.1262.97 crores (October 1988 price level) including an IDC of Rs.96.20 crores, for turnkey execution by French Consortium was sanctioned on 12.7.89. The total off-shore cost of the project is to be met through French treasury grant of FF 190 million treasury loan of FF 987 million and a commercial loan of FF 1405.6 million. The order to commence work was issued on 11.10.89 and was scheduled for completion by 7/94 i.e. in a period of 57 months. The revised cost at Nov.,1996 price level, at Rs.3559.77 crores with completion of the project by March, 2001 has also been approved by the Govt. in Oct.’97. Right in the beginning, the approach has been for turnkey execution of the project by French Consortium led by M/s CGEE Alsthom. The civil works contractor (M/s DSB a French Firm) suspended work from 24.8.92 due to disturbed law and order conditions at the project site. The physical progress of various works achieved till then was completion of diversion channel, cofferdam, access tunnel to powerhouse and excavation and partial completion of Concrete Dam (18%), Head Race Tunnel (HRT) - 12% Power House - 52% Hydro mech. & Electro mech works - 50% Tail Race Tunnel (TRT) - 50% the overall progress was 27%. The NHPC had invited bids for balance civil works. The LOI was issued to successful bidder in September’96 and contract awarded to M/s JSAJV on 9.4.97. Diversion Channel, Coffer Dam and Dam excavation has been completed. The work of HRT - U/S with Tunnel Boring Machine has been started and a progress of 2190 meters has been achieved. Work on HRT - D/S with conventional method is going on and 2571 meters out of 3026 meters has been completed. Excavation in transformer gallery and powerhouse has been completed and concreting is in progress. Progress of work in HRT suffered due to poor rock conditions and breakdown of TBM. The commissioning schedule indicated by THDC as March, 2001 may not be possible.

    Rangit Hydro Electric Project (NHPC)

    7.12.54 Rangit Hydro Electric Project with a capacity of 3x20 MW was originally approved in April’90 at an estimated cost of Rs.181.15 crores with the date of commissioning of Sept’95. The estimated cost now anticipated is Rs.361.86 crores with the date of completion of March’99. It is a run of the river project on Rangit river and consists of diversion tunnel of 6 meter dia 358 meters long 45 meter high dam, 3 km long 4.5 meter dia HRT and an overground powerhouse. The diversion tunnel and adit to HRT downstream has been completed. The work of river diversion has been completed. The powerhouse excavation is going on. 100% of main tunnel has been completed. The concreting in the dam started in March’97 and 48% has been completed. The work on the dam concreting needs to be speeded up by mobilising additional tower crane. Most of the equipment has been received at site and EOT crane erected and commissioned. The commissioning schedule of March, 1999 appears to be very tight and all out efforts are needed to adhere to the schedule.

    Nathpa Jhakri Hydro Electric Project (NJPC)

    7.12.55 The project was sanctioned in 4/89 at an estimated cost of Rs.1678.02 crores. The project was initially in the state sector which was later on taken over by the NHPC. The project cost has been further revised to Rs.4337.95 crores (i.e. $1377 million at March 1993 price level). Now anticipated cost Rs.7179.64 crores. World Bank is aiding this project to the tune of Rs.1376 crores (around Rs.582.63 crores has already been utilised). M/s EUCONA (consisting of ABB, Siemens, Sulzer & BHEL) has been awarded the main contract of supply and erection of electrical generating unit in March’94. Dam and desilting chamber works contract (value Rs.439 crores), contract for Head Race Tunnel (length 16.05 kms) costing Rs.510 crores, contract for Power House complex (value Rs.475 crores) have all been awarded along with the other minor contracts, the infrastructural facilities required for the project are Augmentation works on National Highway -22, Shimla Bye Pass road, Rampur Bye Pass road. They are not fully complete and need to be expedited in the interest of the project. Construction is in full swing though not as per schedule due to under performance by the contractors. The progress has suffered due to delay in mobilisation, rock slide on the river Satluj at Nathpa Dam, geological problems in Daj adit, non-availability of adequate construction power and flash floods and land slides in July’97 caused extensive damage to the works and equipments. The expected schedule for synchronising Unit I - 12/2001, Unit II - I/2002, Unit III - 2/2002, Unit IV - 2/2002 and Unit V & VI - 3/2002.

    Vindhyachal STPP-II(2x500) MW & Kayamkulam Combined Cycle Power Project(400 MW) (NTPC)

    7.12.56 Vindhyachal STPP II project approved in Feb’95 is subsequent to the Vindhyachal STPP II advance action sanctioned in March’90 for preliminary studies and other works. Presently the project is anticipated to cost Rs.2858 crores. All major orders have been placed and work is proceeding as per schedule. The first unit is likely to be commissioned by Feb.’2000 and the second unit by Feb.’2001.

    Kayamkulam CCPP was sanctioned in Sept’96 and is to be financed by World Bank loan. Orders for main plant on turnkey basis has been placed on BHEL in Sept.’96. First unit of GT has been commissioned by NTPC in November, 1998 ahead of schedule. The second unit is expected by March, 1999 and the Steam Turbine (ST) by March, 2000.

    Unchahar TPP Stage II (NTPC)

    7.12.57 Unchahar TPP Stage II with an installed capacity of 2x210 MW being executed by NTPC was approved in April,1995 at an estimated cost of Rs.1279.51 crores with the commissioning date of July,2000. All orders have been placed including the C&I package which was delayed by about 15 months due to retendering and has since been awarded to BHEL in August,97. The supply and erection of steam generator and TG are going on. The project is on schedule.

    Doyang HEP (NEEPCO)

    7.12.58 The 3x25 MW Doyang Hydro Electric Project on the Doyang river is situated in the Wokha district of Nagaland, 105 km North East of Kohima. The project will utilise the discharge from the Doyang river, a sub tributary of the river Brahamputra and is capable of generating 227 MU in 90% dependable year and 364 MU on average after completion. The dam has height of 87.5 M with impervious core. Entire land is acquired. As per the latest indications, commissioning dates for different units are : Unit I 3/00, Unit II 3/99, and Unit III 12/99 (original date of commissioning for the entire project was 06/92 and revised date - sanctioned in 7/1989 - of commissioning of the project was 7/1995). The major civil works of the project are diversion tunnel, approach channel, and spillway, water conductor system, power house building and rock fill dam. Orders for TG, diversion tunnel, dam, P.H. excavation, spillway, power channel and PH (civil works) have been placed in 9/88, 3/89, 6/89, 6/92 and 6/92 respectively. Diversion tunnel has been completed and water diverted through this in Dec.’96. Boring of water conductor system has been completed and steel lining is in progress. Excavation and rock filling of Coffer dam has been completed.. Civil works of Powerhouse are running satisfactorily. 100% turbine parts and generator items have been received. Erection of TG units is in progress. EOT crane has been erected. Switchyard erection work has also been completed. Perennial law and order problem in the area is working against the smooth implementation of this project.

    Ranganadi HEP (NEEPCO)

    7.12.59 The project, (3x135 MW), is located on the Ranganadi, a tributary of river Brahamputra in the lower Subansiri district of Arunachal Pardesh. The main feature of this project is 68 meter high concrete dam with 6.75 m. dia, 9145 metre long horse shoe type Head Race Tunnel for supplying water to generate 405 MW power. Design head is 300 meter with a surface power house. This project will generate 1874 MU in 90% dependable year. HRT is being bored in a geologically unpredictable rock formation. Of the 282.12 Ha of land, 271.07 Ha has already been acquired. As against the original commissioning date of August 1994 for all the three units, now anticipated date is Unit I-3/00, Unit II - 1/01, and Unit III - 3/01. Diversion tunnel has been completed. HRT is the critical item of the project, the boring of 10.27 kms. long tunnel has been taken up at 8 faces with 2 adits for entry and exit. Boring for about 99% of length has been completed and concreting of about 90% done. The excavation for main dam is in progress. So far about 80% excavation has been completed. Concreting in river bed portion has started from Feb.’97 and the work suffered due to submergence of river bed by flood water during May’97. The excavation of powerhouse pit is completed. In regard to supply of TG units, BHEL has dispatched most of the turbine parts and some of them have been received and erected. The erection work of generating plant and equipment for all the units is progressing satisfactorily. All GTs have been received at Guwahati and further transportation to project site is being taken up. Erection of EOT crane in service bay has been completed.

    Simhadri TPP Stage I (2x500 MW) and Faridabad CCPP (400 MW) (NTPC)

    7.12.60 Simhadri TPP Stage-I to be executed by NTPC at Vizag district of Andhra Pardesh, envisages installation of two units of 500 MW each. The project has been approved in July’97 at an estimated cost of Rs.3650.79 Crores with the completion schedule of December, 2002. Though the executing agency is NTPC, the total output will be utilised by Andhra Pradesh only. The financing of the project is through OECF. The project is in its initial stages and the main plant award is expected by May, 98. The soil investigation and land acquisition is in progress and the bid documents for main plant package are under approval by OECF.

    Faridabad CCPP, with an installed capacity of 400 MW has been approved in July, 97 at an estimated cost of Rs.1163 crores with date of completion as January, 2001. The project is being executed by NTPC, though the only beneficiary is Haryana. OECF are financing the project. The project is in the initial stages and infrastructure works and land acquisition are going on. Land for critical main plant area has been acquired. The LOI for Main Plant turnkey package has been placed on BHEL on 23.11.98.

    Power Transmission, Load Despatch and Communication Facilities (Power Grid Corporation)

    7.12.61 There are 19 projects on the monitor which mainly deal with the power evacuation and load despatch in the Power sector. For interregional power transmission, an HVDC back to back station at Gazuwaka in AP alongwith associated transmission line is under execution. The 400 KV Line has been completed and the HVDC portion is likely to be completed by 2/99. In addition, one HVDC back to back station and a 400KV tie between Northern and Eastern region and Load Despatch Scheme for Eastern region have recently been approved by the Government and have been put on the monitor w.e.f. Nov.,98. Five transmission projects are likely to be completed by the end of March’99. The rate of implementation of some of the associated transmission lines which are being implemented by the Powergrid in North Eastern states is not satisfactory mainly due to law and order problems in the regions. The progress of Unified Load Dispatch centres for the Northern, Southern and North Eastern region are far from satisfactory. The limitations of grid operation in the Eastern region may pose problems in evacuation of power from the existing/ new projects in the area.

    7.12.62 On the overall, the implementation of thermal power projects and some of the Transmission projects has been satisfactory during the year 1998-99, whereas implementation of hydro projects was delayed due to various reasons. Some of the transmission projects are also delayed mainly due to law and order or contractual problem or due to deferring the associated generation projects.

    Railways

    7.12.63 During the period April - September’98, 13 projects already frozen / dropped by Railway Board (mainly due to reasons like fund constraints, lower operating priority and/or other reasons ) continued to be out of the effective list of monitoring of DPI and placed in a separate list of frozen/dropped projects. The projects on the monitoring system include 3 mega projects costing Rs. 4598 crores, 72 major projects costing Rs.19,113 crore and 99 medium projects costing Rs.4113 crore.

    7.12.64 The 174 projects of the Railways ( after excluding 10 projects completed during the Quarter ending September, 1998 ) on the monitoring system comprise Line Doubling projects (45 Nos.), New Line projects (40 Nos.), Workshops and Production Units (9 Nos.), Gauge Conversion Projects (39 Nos.), Traffic Facilities Projects (6 Nos.), Railway Electrification projects (12 Nos.) Metropolitan Transport Projects (8 Nos.), Signalling & Telecommunications Projects (7 Nos.), Freight Operation Information System Project (1 No.). Bridges & Structures Project (4 Nos.) and projects relating to setting up of New Railway Zones (3 Nos.). The present status and problems of some of the mega/major projects are outlined below.

    7.12.65 During the period April - December, 1998, 14 new projects (costing Rs.50 crores and more) have been examined in-depth by PMD of DPI for the Expanded Board. Out of 14 projects, 9 projects were approved and remaining 5 projects were cancelled and/or deferred.

    7.12.66 Some of the common problems being faced by the projects of Railway Sector are : frequent sanctioning of the projects without fully completing certain essential pre-project activities (like detailed estimates etc.) and also without due regard to the availability of adequate funds. This has resulted in a large number of projects remaining non-starters and/or making slow progress, as well as thin dispersal of limited resources over a large number of projects. The other factors affecting the path of implementation are delays in acquisition of land, award of contracts, civil work etc. Further, often large number of new projects are sanctioned, while old and continuing projects are remaining starved of funds. Some times this also leads to frequent freezing and de-freezing of existing projects.

    Freight Operation Information System (FOIS) Project

    7.12.67 The Freight Operation Information System (FOIS), a mega project originally approved in November, 1989 with its revised scope and cost of Rs.1098.00 crores is now under implementation by the Centre for Railway Information System (CRIS). The original objective of the project is to reduce the wagon turn around time by 15% and improve the quality of service to the customers. The original project provides for the installation of data input system at 700 locations called Area Reporting Centres. These will be hooked up to 5 zonal processing centres at Delhi, Bombay, Calcutta, Secunderabad and Madras. The main centre will be at Delhi. The date of commissioning for the Northern Railway Centre (at Delhi) was tentatively fixed as March, 1994, and that of the entire project as March, 1995. However, due to funds constraints, the scope of the project was later reduced to implementation in Northern Railway zone initially at a cost of Rs.267.20 cr. This consists of commissioning of over 12400 on-line terminals at over 32 locations, using railway owned or leased DOT line or Satellite telecom circuits, wherever necessary by December,1995. At present, pre-implementation trials with available hardware are in progress. But, recently, it has been reported that there are problems in customizing the software and IIT, Delhi has been assigned by the project authorities, with the task of evaluating the software and advising on the future course of action to make it functional and acceptable to the user. The IIT- committee has, among other things, recommended stoppage of further software development work alongwith trials and adoption of a modified approach to the development of software and then taking up software development in line with their recommendations. The report of the IIT has been considered and it has been decided in principle to award a consultancy contract to Computer Maintenance Corporation Ltd. (CMC) for suggesting ways and means of implementing the IIT Committee’s recommendations and helping CRIS in developing prototype of some modules of FOIS and test the same in actual field condition.

    Jogighopa-Guwahati (New Line) (North Eastern Frontier Railway)

    7.12.68 For the Jogighopa-Guwahati New Line Project (142.15 kms), expected to provide an alternative route for the Assam area, besides the Railways, there are two other funding agencies namely, Ministry of Surface Transport (MOST) and NEC (North Eastern Council). The latest estimated cost of the project is Rs.641.95 Cr. Rail-cum-road bridge along with railway line upto Goalpara (20 kms.) was opened for goods traffic /passenger traffic on 15th April, 1998. Finishing works on the Project are likely to be completed shortly. Balance Section between Goalpara to Kamakhya (125 kms.) is likely to be completed by March’99.

    Guna-Etawah (New Line) (Central Railway)

    7.12.69 The Guna-Etawah New Line (348.25 Kms.) with an anticipated cost of Rs.256 cr., has been divided into 3 phases out of which Phase-I between Guna-Shivpur (102.40 Kms) has been completed. In phase-II between Shivpuri-Gwalior (124.55 Kms.), so far 2 sections viz. Gwalior -Panihar (24.85 Kms) and Shivpuri-Khajuri (15.9 Kms) have been completed. In Phase-II, Panihar-Mohana Section was opened for traffic in July,1998. For the Section between Mohana-Khajuri (46 Kms.), earth work and bridges are 98% and 99% complete respectively. The Section is likely to be completed by December,1998. In Phase-III between Gwalior-Itava (117 Kms.), Birlanagar-Sanichera (15.6 Kms.) was opened for goods traffic in March,1993. For Nonera-Bhind (50 Kms.), contracts for earth work and bridges have been finalised and earth work is in progress. For Bhind-Etawah (36.44 Kms.) Section, construction of 3 major bridges on Chambal, Yamuna and Konwari rivers is being planned for which approval of Inland Water Way Authorities is awaited. Overall physical progress is 62% till November’98. Anticipated dates of commissioning for Nonera-Soni and Soni-Bhind Sections are Feb.99 and June’99 respectively.

    Rail Coach Factory (RCF), Kapurthala (Northern Railway)

    7.12.70 The Phase-I of the project has been completed as per schedule in March’88 and manufacture of ICF (Integral Coach Factory, Perambur) design coach has commenced in March’88. While RCF manufactured 1025 coaches in 1993-94 based on old design against the planned capacity of 1000 coaches per annum. The implementation of the new coach design has been delayed due to failure of the Ministry of Railways to obtain the least cost option. Project Report for manufacture of new design coaches has since been submitted to the Railway Board for approval.

    Jammu Tawi - Udhampur (New Line) (53 Kms.) (Northern Railway)

    7.12.71 This project was originally sanctioned in March’1991 at a cost of Rs.50 crore with the original date of commissioning March, 1994. Presently, the cost of the project is Rs.350 crore and the anticipated date of commissioning is December,1999. Overall physical progress is 73%. Land acquisition was completed. Work relating to the longest tunnel in the Section is held up due to the failure of two contractual agencies. Ministry of Railways has directed that fresh tenders may be invited for this Section. Likely anticipated date of commissioning is December’99.

    Bagaha-Chitauni (New Line) (28 Kms) (North Eastern Railway)

    7.12.72 This project was originally sanctioned in April,1994 at estimated cost of Rs.6.74 crores with the objective of restoring the rail link between Bagaha & Chitauni. The project remained suspended for several years and is now estimated to cost Rs.184.68 crores The project is being jointly funded by the Ministry of Railways, Govt. of U.P., Govt. of Bihar and Ministry of Water Resources. The work on rail bridge has been completed and work on road bridge has been awarded to M/s IRCON which is yet to start. Date of commissioning is not known.

    Delhi-Ambala-Ludhiana (Railway Electrification) Project (314 Kms.)

    7.12.73 This project was originally sanctioned in March’1992 at a cost of Rs.136.32 crore with a date of commissioning of December’1996. The entire section has been energised. The scope of the project has been enhanced by including electrification to more branch lines namely Sirhind-Nangal Dam and Ambala-Kalka and electrification of these branch lines is liekly to be completed by March, 2000.

    Gondia-Chandafort (Gauge Conversion )(242 Kms.) (South Eastern Railway)

    7.12.74 This project was originally sanctioned in December’1992 at a cost of Rs.158.83 crores with a date of commissioning of December’1996. The revised cost of the project is 232.82 crore and anticipated date of commissioning is December’98. Gondia-Wadsa-Nagbhir (132 Kms.) has been completed and opened to traffic. Work on balance Section from Nagbhir to Chanda Fort (110 Kms.) is in progress. Overall progress is 75% as on September,1998.

    Lumding-Dibrugarh (Gauge Conversion)(628 Kms.) (North Eastern Frontier Railway)

    7.12.75 The project was approved in October,1993 at a cost of Rs.300 crore. Revised cost is Rs.700 crore. The Section between Lumding to Dimapur was opened for goods traffic in June,1995 and for passenger traffic in October,1995. Passenger services between Dimapur to Tinsukhia started in May’97. Passenger services on Furkating - Mariani (85 Kms.) and Simaluguri and Moranhat (54 Kms.) have started from August’98. Residual works in yards and blasting are in progress.

    Hotgi-Gadag-Gauge Conversion Project (300 Kms.) (South Central Railway)

    7.12.76 The project sanctioned in June’1995 is presently costing Rs.266 Crores and its anticipated date of commissioning is December,2000. This project is divided into 3 parts viz., Part-I- (Hotgi-Bijapur) (94 Kms.), Part-II (Bijapur-Bagalkot) (97 Kms.) and Part-III (Bagalkot-Gadag) (95 Kms) out of which Part-II & III are being implemented under Build, Operate, Lease & Transfer (BOLT) scheme.

    Udhampur-Srinagar-Baramulla (New Line) (290 Kms) (Northern Railway)

    7.12.77 The project has been sanctioned in March’1995 at a cost of Rs.2500 crore. This project was sanctioned as a project of national importance which would be funded outside the Railway’s plan budget. Design Consultancy for all major bridges awarded. Final location survey from Kaba to Baramulla was to be completed by August, 1998. Technical bids for 6 tunnels out of 7 tunnels and major bridge Nos.2 and 3 have been finalised. Progress on the project was hampered by Snowfall in the valley. Overall physical progress is only 1%. The project has funds constraint.

    Brahmaputra Bridge at Bogibeel and Link Lines (54.30 Kms.) (North Eastern Frontier Railway

    7.12.78 This project was sanctioned in April, 1996. The major objectives of this project are construction of rail bridge across the river Brahamputra at Bogibil (in Assam) and link lines between Dibrugarh and North Bank line. Presently, final location survey and the detailed investigation for the bridge and approaches by M/s RITES are in progress. RITES submitted an Interim Report to Railway Board. A Technical Advisory Group was appointed which met on 1.12.97 to consider design of the bridge. Final Report by RITES was to be submitted by September, 1998.

    7.12.79 Madras Beach - Chengalpattu - Trichy (401 Kms) (Gauge Conversion)

    The project was approved in April, 1992 at an original cost of Rs.200 Crore revised to Rs.467.20 crore. Original date of commissioning was December, 1995. Phase-I was commissioned in August,1998. Phase-II work is in progress.

    Arsikere - Hassan - Mangalore (Gauge Conversion) (236 Kms.) (Southern Railway)

    7.12.80 Tenders for supply of ballast and earth work have been finalised and work started. Presently, various activities like earthwork, construction of major and minor bridges etc. are in progress. The progress of Arsikere - Hassan is 98% and it has .

    Erode - Ernakulam (Railway Electrification) (324 Kms.)

    7.12.81 Erode - Palghat - Shoranur (217 RKM) has been energised. The section Shoranur - Ernakulam which was earlier proposed to be done under BOLT scheme has been discharged from BOLT and approved under Railway funding. The overall progress is 70%. Against original date of commissioning of March,1998, anticipated date is March,2000.

    Nangal Dam - Talwara (New Line) (113 Kms.)

    7.12.82 The original cost of the project was Rs.37.60 crore (March,1981) which was revised to Rs.150 Crore. Original/Revised dates of commissioning are not fixed. Nangal dam - Una Section (17 Km) was opened to passenger traffic in January, 1991. Estimate for Una (Himachal Pradesh) to Chuaru Takaila (Rs.38.63 Crore) was submitted to Railway Board for sanction . Work frozen in 1992-93 after Nangal Dam - Una Section was opened was restarted in 1997-98. After follow-up, Himachal Pradesh Government handed over a part of land for the section beyond Una and balance land acquisition is going on. Overall progress is 22%.

    Surface Transport

    7.12.83 There were 44 projects on the monitoring system during the year (upto December, 98). These includes 2 Inland Water Transport Projects, 19 Port Projects, 20 National Highway and bridges and 3 shipping projects. During the year for the period April, 1998 upto December, 1998, 4 projects were completed and 12 projects are expected to be completed by March, 1999. The projects were regularly monitored, reviewed by the DPI, Committee of Secretaries and the Prime Minister's office. The status of some of the major projects has been highlighted below:

    Major Ports

    Construction of a new port at Ennore (near Madras) :

    7.12.84 The new port at Ennore (near Madras) is being built to receive 6,500 DNV Geared/Self-Loading Coal Vessels from Paradip Port. The Coal is required for existing power station of Tamil Nadu Electricity Board and for future coal based power plant to be setup in the coastal region of South India. The proposed port at Ennore will have an enclosed harbour basin surrounded by northern and southern backwaters. The entrance to the port will be in the eastern side and would be about 250 meters wide, around 9 million cubic capital dredging will be done. The dredging will be carried out by combined application of cutter trailing and hopper suction dredgers. Coal from the port berth to the stock yard of northern Madras thermal power station will be transported by suitable conveyor system. To mitigate the possibility of erosion on the northern side of the Ennore port due to construction of breakwaters, suitable coastal protection measures would be provided. The offshore civil works include construction of staff quarters, office building, road and bridges, etc. The scope of the project also includes procurement of 4 nos. Tug boats of 30 ton bollard pull, 2 nos. of Pilot Launches, 4 nos. of Mooring Lauches and 1 no. of Survey Launch and provision of suitable Navigational Aids. The project is funded by Asian Dev. Bank (ADB). The project consultants are M/s HASKONING (Netherlands) and RITES (India). The project consultants were appointed on 17.8.94. The anticipated date of completion of the project is Sept.'2000 against the original date of commissioning of April , 1998. A close monitoring is being done with the help of a High Powered Committee. The project has made significant progress in 1998-99. All the orders have been placed and construction work is in full swing.

    Creation of Mechanised Coal HandlingFacilities and two Coalberths at Paradip Port, Orissa (Paradip Port Trust):

    7.12.85 The Tamilnadu State Electricity Board (TNEB) is setting up 2130MW Coal Fires Thermal Power Station at Ennore in 3 stages and the project is referred as "North Madras Thermal Power (NMTPP)". The Coal demand of NMTPP along with the coal requirements of the already existing power stations of TNEB at Ennore and also at Mettur are to be handled at the new port at Ennore. The coal will be supplied from the Kalinga Block of Thalchar Coal Fields (Orissa) located about 200 kms. West of Paradeep Port. The existing facilities at Paradip Port are not adequate to handle the bulk movement of coal, accordingly the govt. had sanctioned this project in April 1993. The project is financed by the Asian Development Bank. The contract for detailed engineering, design and supervision was award in April'1994. The contract has been divided in 3 phases (i) Concept Development (ii) Detailed Engg. (iii) Construction. The following works are being carried out departmentally (i) Survey & Soil Testing (ii) Housing & necessary infrastructure (iii) Rehabilitation (iv) Power supply (v) Reclamation of stock yard; and (vi) Procurement of equipment. The orders for equipment and construction of jettie have been placed. The work has started in full swing. The work is reviewed regularly by a Highpowered Committee headed by ex-Secretary of the Ministry of Surface Transport

    Mumbai Port-Replacement of the very old band of seven submarine pipelines connecting the Marine Oil Terminal at Jawahar Dweep and the Pir Pau manifold

    7.12.86 The Marine Oil Terminal at Jawahar Dweep was developed in the mid 1950's to cater to the needs of the two refineries of BPCL & HPCL set up at Trombay. The terminal at Jawahar Dweep will three oil jetties is connected to the main land by set of seven submarine pipelines. These pipelines are now 40 years old (C.E. to accounting life of 20 years) and need urgent replacement. As measure of safety, the operating pressure in the lines are reduced from 150 psi (Pounds per square inch) to 120 psi. Apart from the oil pipelines are very old., the sizes are also inadequate to handle the present parcel size resulting low pumping rates which increase the service time of the tankers, and pre-berthing detention. It was, therefore, decided to replace the 40 years old submarine portion of the six oil pipelines and one fresh water pipeline connecting the Marine Oil Terminal at Jawahar Dweep and Pir Pau Manifold. Detailed project report for the project was prepared by the Consultants M/S Engineers India Ltd. In June'1993 and estimate amounting to Rs.165.15 crores was sanctioned by Government in March'1995 M/S KRJ Browns was appointed on 24.4.97 for detailed engineering. There has been very little physical progress during the last 30 months due to delay in award of contract. The project as anticipated may be delayed beyond the present date of commissioning of 12/99. The estimated cost of the project at Rs.272 crores is yet to be approved.

    Bombay Port-Modernisation of MOT Berths 1,2 & 3 at Jawahar Island

    7.12.87 The project forms the second part of the improvement of oil handling facilities in Mumbai Port. The scope of the works covers replacement of the on shore pipe lines from JD manifold upto MOT jetties replacing the present ship shore transfer using flexible hoses by marine loading arms, upgrading the fire finghting facilities, examining the adequacy of ballast water treatment plant based on IMO requirements and safety audit & review of environmental safeguard. Detailed Project report for the project was prepared by the consultant M/s Engineers India Ltd. In October 1994 and estimate amounting to Rs.167.99 crores was sanctioned by Govt. in August 1997. Consultant M/s K.R.J. Brown Ltd. Were appointed on 26.9.97.

    Ahmedabad -Vadodara Expressway

    7.12.88 This project is the first high speed toll express in the country and has reported maximum time and cost overrun due to the failure of the road contract twice. The balance road work is to be implemented by NHAI. The Bridge package has achieved 86.8 percent progress. The progress of the road package is about 50.9%.

    Varanasi bypass and bridge across the river Ganges

    7.12.89 This was the most badly delayed project in the road sector. The work, if completed by the now anticipated will have more than 10 years gestation period against 4 years indicated initially. The bridge portion has been completed and that of road work is in advanced stage. This project has seen the light of the day only after active compaigning by the DPI. The project is likely to be completed by 3/99.

    Calcutta-Palsit Section of Durgapur Express Way: (West Bengal PWD):

    7.12.90 The work of six lane Calcutta Durgapur Expressway was originally started in early 60s but it was shelved after land acquisition, partial embankment construction and construction of cross drainage work due to meagre fund mobilisation. In 1975, Ministry of Surface Transport declared this project as a National Highway project. In 1984 a proposal for 4 laning Calcutta-Durgapurt Expressway over existing lining constructed embankment with interchange for cross roads was submitted to Ministry of Surface Transport with provision of service roads on either sides throughout the entire expressway to segregate the slow moving and local traffic for inclusion in the World Bank aided expressway project. Ultimately two lane road at grade interaction was sanctioned in Jan'86 at an estimated cost of Rs.48.60 crores with completion date of June'90. It was a World Bank aided project but due to extremely slow pace of work, the aid from the World Bank was discontinued 64..5KM stretch of road was originally divided into 6 road and bridge packages. The main reasons for extremely slow progress of the work are, (a) poor contract management of the project by the Bengal PWD and (B) litigation between the State Govt. and its contractors. The work in package VIII (Bridge) has been completed. The packages being executed by M/S L&T were completed. But the packages being executed by Central Concrete & Allied Products Ltd. (CCPA) and Bridge & Roof were to be completed by 1998. The progress of overall road work was 98%. Work in respect of bridge position has been completed. The Phase 1 of Calcutta-Durgapur Expressway opened to traffic for 48 kms. Out of 65 kms. Total length in August'97. With introduction of toll and balance portion of the road is likely to be opened 3/99. The project along with service lanes is now expected completion by 3/99.

    4-Lane Widening on NH-3 Indore Dewas Section and Construction of Indore Bypass:
    Project Background:

    7.12.91 The project of 4-lane widening on NH-3 on Indore-Dewas Section and Indore Bypass in the State of Madhya Pradesh were sanctioned in February 1992 and January 1992 respectively. The work could not be taken up due to delay in award of contract. Final Bid documents for the project have been submitted to World Bank for approval. Approval of World bank has been received . Prequalification of contractors is complete. Notice for bidding issued on 5.8.96. Tenders received. Evaluated and sent for the concurrence of the World Bank. The work has been awarded in August, 1997 and is in progress. Physical progress upto 12/98 is about 7%. Contractor to be persuaded to accelerate the pace of work as the progress till 3/98 was negligible.

    4 Lane Widening of Cuttack-Jagatpur, Orissa

    7.12.92 The Ministry of Surface Transport (MOST) communicated a provisional administrative approval of the project in June'92 at an estimated cost of 126.7 crores which was later on revised as Rs.133.982 crores in April'93. The sanctioned gestation period of the project is 5 years from April'92 e.g. to be completed by March 1997. The work is supervised by an international consultant (CEC) for quick transfer of technical knowhow. The State PWD agency charges are restricted to 3% instead of the usual 9%.

    The project is divided into 4 packages:

    Package – 1 Roadportion including minor bridges, flyover bridge at QMP junction and 2 vehicular underpasses, at a cost of Rs.79.04.crores

    Package – II Mahanadi Bridge at a cost of Rs.28.628 crores
    Package – III 4 Major Bridges of Palasuni, Kuakhai, Kathjori and Taldanda canal bridge Rs.25.74 crores.
    Package - IV Road over Bridge at Rusulgarh Rs.0.57 crores.

    The project is financed by the World Bank load package II. Project envisages 4 laning of existing road from Bhubaneswar to Jagatpur (27.8 Kms.) and construction of a major bridge across the river Mahabadi near Cuttack. The State PWD has awarded the work after clearance by EFC & M/Fin. Revised sanction issued on 25.8.95. The pace of work has improved. The project is now expected to be completed by 3/2000. The overall physical progress upto December 1998 for ORI was 39% OR II-35% and OR III 75%.

    Four laning of Alwaye to Vytalla-Aroor to Sharthalai NH-47 in Kerala (ADM.II)

    7.12.93 The project is sanctioned with the Asian Development Bank (Package-II). The estimate for these works was sanctioned for Rs.60.59 crores in March'93. Revised estimate is for Rs.134.00 crores. The project has been delayed by 1 year and is now expected to be completed by 3/99. The project suffered additional delay due to change of design of the Edapally Bride required by the Greater Cochin Development Authority (GCDA). The present physical progress is over 94%.

    4-Lanning & Strengthening of NH-1 KM 132.675 to 212.161 from Karnal to Haryana/Punjab Border:

    7.12.94 The project is sanctioned with the assistance of World Bank (Project Package-II). The estimate for the works for Rs.166.71 crores was sanctioned on 31st March'1993. Revised estimate is 28777.22 crores. The project has been divided into two lots. Lot HR-I and Lot HR-II. Due to lack of efficient forward planning and site management leading to problem in material supply and equipment failure, redesign of elevated highway and grade separate interchange with associated retaining walls and structures and poor mobilisation by the contractors the project has been delayed. The present physical progress is about 60%. Unless the contractors increase the rate, the project may slip beyond the present date of completion of 12/98.

    4-Lanning of Mathura-Agra Section of NH2:

    7.12.95 The project was originally approved in November, 1993 at an estimated cost of Rs.103.21 crores with completion date of April 1999. The 4 Laning of 51.33 km length between Mathura and Agra is marginally delayed due to initial delay in start of road and asphalt work and delay in taking up of Flyover work. The project completion is expected by December, 1999 (contract date) at an anticipated cost of Rs.125.75 crores. The project is being executed under the supervision of UP, PWD from Km.148.33 to Kms.199.06. Due to initial delay in award and start of road and asphalt work and delay in taking up flyover work. The project has made over 60% progress upto12/98. The project is likely to make substantial progress in 1998-99. The UP, PWD may have to keep a close watch to ensure implementation of the approved programme. They have also to ensure that the obstruction are removed so that the fronts are available. The contractor must put adequate supervision/technical staff and mobilise resources to remove the front line constrraints.

    4-Laning of NH-1 from KM 212.20 to KM 252.25 in Punjab:

    7.12.96 The project was approved in August'93 at an estimated cost of Rs.166.71 crores with completion schedule of 7/98. The present estimated cost of Rs.240.00 crores and completion date 9/99. It is a World Bank aided project. The project is being executed under the supervision of Punjab., PWD. The road will have four lane divided carrriageway and the existing road pavement will be strengthened. The project has been divided into two packages (Lot PB-1 212 to 228 kms. & Lot PB -11 228 to 252.25 kms.). The work was awarded on 4.1.1995 to M/S Som Dutt Builders for Lot PB-1 and to M/S L & T Ltd. For Lot PB-11. The work commenced on 25th March 1995 on both the contracts with schedule completion date of 24th September 1998 and defect removal liability up to 24.9.99. Work is in progress in all the sections. The overall physical progress of the project is 69.04% (6/98) (Lot 1-53.46% and Lot 11-65.58%).

    Improvement of NH-2 Bihar:

    7.12.97 The project was sanctioned in early 1995 and is funded by the Asian Development Bank under Loan Scheme No.III. The project is strengthening and widening of existing 2 lane road to 4 lane road. The total length of the road being strengthened and widened to 4 lane is 42.69 kms 398 to Km 441.44). There is no physical and financial work progress reported by the NHAI since the approval of the project by the Government in March'1995. NHAI had called the tenders for the Civil work and after evaluation, the work has been awarded. Establishment of a field unit is still to be done by the NHAI. The project is scheduled for completion by 6/2000. The overall physical progress is about 14 percent.

    Improvement of NH-2 in West Bengal (NHAI)

    7.12.98 The project was sanctioned in early 1995 at an original estimated cost of Rs.143.35 crores. The project is strengthening and widening of 42 kms (Km 474 to 516) length of road. The project is funded by the Asian Development Bank under Loan Scheme No.III. The anticipated cost of the project is Rs.236.00 crores. The physical progress till 12/98 is only 6% since the approval of the project by the Government in March'1995. The NHAI had invited tenders for the civil works and before the issue of the letter of intent by the NHAI for the contract one of the tenders appealed to the Delhi High Court and the Delhi High Court in August, 1996 had cancelled the award as decided by the NHAI. The Delhi High Court also directed the NHAI to retender the work. The work has been awarded (24.7.97). The Project Director had been appointed by the NHAI in February'1996 and the project office is being set up at Durgapur. The expected completion date is January, 2001.

    Action
    Mobilisation by the contractor.
    Submission of the detailed implementation plan..

    Improvement of NH-8 in Haryana & Rajasthan:

    7.12.99 Mobilisation The project was sanctioned in early 1995 and is funded by the Asian Development Bank under Loan Scheme No.III, As per the original estimate, the cost of the project in the State of Haryana is Rs.177.86 crores and in the State of Rajasthan is Rs. 120.06 crores (total Rs.298.50 crores). However, as reported by the NHAI as the cost of the project has gone up and is now anticipated to cost Rs.304.12 crores. The project now expected completion by March, 2001. The physical progress was 50% (12/98) after the sanction of the project by the Government in March'1995. The NHAI had issued the Letter of Intent (LOI) on one of the tenderers for the civil construction work on July 1,1996. The agreement was signed in August'1996. However, one of the unsuccessful tenderers had gone to the Delhi High Court appealing against the decision of the NHAI. Though, the Delhi High Court has not set aside the award of contract by the NHAI, but it has made execution of the work of the present contractor condition to the final award by it. NHAI has appointed a Project Director in January'1996 and he has set up a field office at Gurgaon. The letter of acceptance issued on 1.7.96. Agreement signed on 19..8.96. But the work could not be taken up. It has been communicated by MOST that the work had to retendered. The new contract was signed on 27.8.97.

    NH2 4 Laning between 438-474 Kms. West Bengal (WBPWD)

    7.12.100 The project was sanctioned in early 1995 at an original estimated cost of Rs.88.21 crores. The project is strengthening and widening of 42 kms (Km 438 to 474) length of road. The project is funded by the Asian Development Bank under Loan Scheme No.III. The physical progress till 12/98 about 7% since the approval of the project by the Government in March'1995. The NHAI had invited tenders for the civil works and before the issue of the letter of intent by the NHAI for the contract one for the tenderers appealed to the Delhi High Court in August, 1996 had cancelled the award as decided by the NHAI. The Delhi High Court also directed the NHAI to retender the work. Further action in the matter is to be taken by NHAI. The Project Director had been appointed by the NHAI in February'1996 and the proejct office is being set up at Durgapur. The work was finally awarded in September, 97. The expected completion date is 9/2000.

    Telecommunications

    7.12.101 There are 14 projects on the monitor including one project of Department of Telecommunications and 13 projects of Videsh Sanchar Nigam (VSNL). Out of these, two projects namely, International Gateways at Ernakulam and Jullundhur under VSNL were commissioned in March’98 and April,1998 respectively. Others are in advanced stage of implementation.

    Urban Development (Others)

    7.12.102 There are 13 civil construction projects which are being implemented by the CPWD of the Department of Urban Development. Of these only four projects belong to the Deptt. Of Urban Development and 4 others belong to other organisations. The estimated cost of these projects is Rs.5810.55 crores. Three projects namely, Bhasa Bhavan at Calcutta, IGNOU campus and General Pool Residential Accommodation at Bombay were originally due for completion in the VIII Plan have slipped to IX Plan for various reasons like delay in tendering and mobilisation, delay in award of contract, fund constraints, court cases and delay in obtaining approval from various civil bodies. A review meeting was held under the Chairmanship of Minister of State in October 1997 to avoid further slippages. The construction for the Parliament Library is progressing as per the revised schedule. Three projects are nearing completion. The General Pool Accommodation project at Bombay is to be redesigned by the Department of Urban Development. One of the major projects included in this that of Delhi Metro. The status of the project is highlighted below:-

    Delhi Metro Rapid Transit System (Delhi Metro Rail Corporation)

    7.12.103 The Delhi Metro Project has several sections in a sequence based on traffic density. The Phase I of the project consist of the following sections :

      1. ISBT - Central Secretariat - Metro Corridor.
      2. Shahdra - Nangloi Rail Corridor
      3. Sabji Mandi - Naya Azadpur - Rail Corridor.

    The phase I now consists of only 55.3 kms. The present estimated cost of the metro rail project is Rs.5211.0 crores and is scheduled for completion by March 2005. The main consultant has been appointed which will look into the preparation of detailed estimates and action plan for implementation of the project. The deposit work on Shahdra - Nangloi has already started. The work on the preparation of civil construction tenders and procurement of rolling stock etc. is now in progress.