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December' 07
Focus

In this issue we look at a few contemporary topics such as wind energy in India; telecommunication infrastructure in India; jurisdictional limits of Electricity Regulatory Commissions; social infrastructure; health infrastructure in Orissa; and modeling the public transport system for privatization.

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Wind Energy in India : The Future and the Challenge
Telecommunication Infrastructure in India: An Uphill Journey
Jurisdictional Limits of Electricity Regulatory Commissions
Social Infrastructure: A Key Factor in Harnessing Demographic Dividend
Health Infrastructure in Orissa: An Inter-District Analysis
Modeling the Public Transport System for Privatization: An Empirical Study
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Wind Energy in India : The Future and the Challenge

-- A Lakshminarasimha and S Rath

The world urgently needs energy from non-fossil fuel sources and the best alternative has been wind energy which is totally environment friendly. Denmark is the first country to adopt wind energy as its prime source of energy. As a matter of fact, Denmark is the leading wind power nation in the world. Wind energy is green and clean, but it employs 20,000 people in the manufacturing of the equipment required. India too needs the help of wind energy and in an increasing quantum. The paper looks at the energy scene in India. It elaborates on the Indian wind energy industry and projects the future of wind energy in India. It also looks at the challenges to be faced when investment is planned in this source.

Article Price : Rs.50

Telecommunication Infrastructure in India: An Uphill Journey

-- Sumanjeet

The telecom services have been recognized the worldover as an important tool for the socioeconomic development of a nation. Telecommunication is one of the prime support services needed for rapid growth and modernization of various sectors of the economy. It has become especially important in the recent years because of enormous growth of information technology and its significant potential for the impact on the rest of the economy. Therefore, making the development of an adequatetelecommunication infrastructure has become one of the major goals of policymakers. The `adequate' level of telecommunication infrastructure in a country is necessary from both a policy and business point of view. The Government of India has already taken a number of initiatives in this direction. As a result, telecommunication infrastructure has registered a remarkable growth in India. This paper mainly aims at studying the present status of telecommunication infrastructure in India. The paper also provides an overview of the uphill journey of Indian Telecom sector.

Article Price : Rs.50

Jurisdictional Limits of Electricity Regulatory Commissions

-- Vipul Shah

Electricity Regulatory Commissions, at the State and Central level, are the principal pillars of electricity reforms. The Electricity Act, 2003, which has laid a strong foundation for electricity sector reforms in India, also places a significant emphasis on Electricity Regulatory Commissions. A Central Commission and State level commissions have been constituted. The commissions derive their power and mandate from the statute, viz., the Electricity Act, 2003. Among others, the commissions are quasi-judicial authorities, have powers to frame and enforce rules and regulations, and have the powers of a civil court. There has been a lot of debate on the jurisdictional boundaries of the regulatory commissions. Several such cases have come before the Appellate Tribunal of Electricity formed under Section 110 of the Electricity Act, 2003. An analysis of these case laws provides very interesting and valuable insight into the jurisdictional issues. This article presents such an analysis based on 36 case laws covering several appeals tried before the Appellate Tribunal.

Article Price : Rs.50

Social Infrastructure: A Key Factor in Harnessing Demographic Dividend

-- Vijay Kumar Mishra

The Indian economy is a growing and developing economy. After the economic reforms it has started growing faster and is now amongst the fastest growing economies. The growth of the economy is around 9.4% in terms of GDP during the year 2006-07 and most importantly the growth is with democracy. The growth rate is really remarkable. The growth momentum has been created due to a number of factors. To continue this dream run and sustain the momentum, there is a need to check the bottlenecks. The biggest bottleneck at this juncture is the infrastructure. The growth momentum which has been created in the economy can come to a halt in the times to come if infrastructure does not grow at a faster rate. Infrastructure both social and economic, can seriously affect the growth of the economy. Infrastructure is the base on which the economy grows. India is a populous country. Its population is growing at a faster rate. It can be said that India is the hub of human capital. The quality of its human capital is low and hence the economy is not able to realize the benefits of its growing population. There is need to develop the social infrastructure to garner the demographic dividend. This paper is briefly trying to understand the bottlenecks in the areas of social infrastructure and the ways to overcome it.

Article Price : Rs.50

Health Infrastructure in Orissa: An Inter-District Analysis

-- Himanshu Sekhar Rout

The linkage between infrastructure and economic growth is multiple and complex, because it not only affects production and consumption directly, but also creates many direct and indirect externalities. Health infrastructure in terms of hospitals, hospital beds, doctors, nurses and pharmacists, has a significant direct and positive contribution to health outcomes of any country. In this context, the present paper is a modest attempt to analyze the inter-district availability of health infrastructure in Orissa through the construction of Composite Index of Health Infrastructure (CIHI) and suggest some policy measures for better health outcomes in the State. Availability of health infrastructure is the necessary condition for a good health outcome but not the sufficient condition. The sufficient condition is the efficient utilization of the available infrastructure which is not in the purview of this paper.

Article Price : Rs.50

Modeling the Public Transport System for Privatization: An Empirical Study

-- Kartikeya P Bolar and Soumya Gaddam

The privatization of the public transport system has been consistently working well in certain areas. However, it has not worked well in big cities where there is a lot of traffic and congestion on roads. The basic idea behind privatization of public transport is to bring convenience to the public in terms of efficient transport service at any time of the day. However, for the owners of these public transports it only means revenue. If the revenue does not meet their expectation they will never be interested in continuing with this venture. Many a time it becomes difficult for them to even meet their operating costs, let alone the initial investment. Distance becomes the prime constraint for the private vehicles. The turn-around time will be directly proportional to the distance. Another concern is the waiting time due to various physical constraints on the route. This paper gives an overview of the rationale behind the privitazation of the public transport system, using an empirical study method through simulation, modeling and observation survey methods to the possible relation that can be built between the variables, which have an impact on the revenue generation and the constraints in the process. It also highlights the application of operations research to resolve the issue of the optimal distance, which the private vehicle owners could adopt for the successful running of public transport considering the various constraints possible. A simulation model is proposed based on the problem and the solution to which can suggest strategies that could be adopted for successful privatization of public transport system.

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

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

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

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

Indian Scenario

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

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