Construction World - Indian Edition | February 2003 Issue

Project Update

Krishna drinking water project by 2004
The Rs.1000 cr. Krishna drinking water supply project is planned to be completed by early 2004. The project will supply 90 million gallons water per day to Hyderabad-Secunderabad.

Private water scheme favoured by Kerala industry
The Cochin Industrial Scheme (CIWS), when implemented, will reduce costs and imported quality of seafood processing. There are 81 seafood factories in this belt, and it is believed that CIWS will supply potable quality water for the various types of industries, commercial establishments and other bulk consumers, which include 42 EU approved plants. CIWS is to be implemented on a BOT basis with private sector participation and 11 per cent equity by government agencies. Mahindra Infrastructure
Developers Ltd.,Mumbai, Construction Industry Development Board, Malaysia and Subhash Projects and Marketing Ltd., Bangalore have sent in their expressions of interest. Contact: KSIDC, Keston Road, Kowdiar, Thiruvananthapuram-695003, Kerala. Tel: 0471-3 18922. Fax: 0471-3 15893. Email:

4 EPZs to be converted to SEZs
The Government has issued notifications for conversion of Export Processing Zones (EPZs) at Noida (Uttar Pradesh), Falta (West Bengal), Chennai (Tamil Nadu) and Visakhapatnam (Andhra Pradesh) into Special Economic Zones (SEZs) with effect from April 1, 2003. for EOUs/ SEZ units, B-4, Pal Mohan Mansion, 26/34 East Patel Nagar, New Delhi-I 10008 Tel: 011-25787325, 25819237. Fax: 011-25819237. Email:

Vizag-Hyderabad LPG pipeline near completion
The Rs.490 cr. Visakhapatnam-Hyderabad LPG pipeline project of the Gas Authority of India Ltd. (GAIL) would be completed by April 2003.
Manager, 16, Bhikaji Cama Place, New Delhi- 110066. Tel: 01 1-6182955. Fax: 01 I-6 I 85941. Email: and

Kerala Govt. to invest in tourism projects
The Government of Kerala plans to invest Rs. 1,100 cr. in three projects in the tourism sector: the Skybus at R'Khiiusort at Kumarakom, and a golf course at Vallarpadam. The three projects will be executed with the Singapore Tourism Board, which has expressed its willingness to sign an agreement for the projects.

Natural gas pipeline in A.P.
GAIL (India) Ltd. is examining the feasibility of using the 580 km. long pipeline from Visakhapatnam to Secunderabad to transport natural gas instead of the originally planned liquefied petroleum gas. The change in strategy is being contemplated in view of the major gas finds in the Krishna-Godavari basin. Natural gas will be provided by the pipeline by GAIL in Visakhapatnam, Vijayawada, Amalapuram, Bhimavaram,
Rajahmundry, Kaldnada and Secunderabad, to industrial, commercial, domestic and transport sectors.

Bengal to set up mineral park
At the instance of Capexil, the Vvest Bengal Government is in the process of finalising a state export policy to undertake a detailed feasibility study for setting up a mineral park. It has been suggested that the establishment of such a park in the state will not only help develop some of the least developed regions, but also regularize mining activities in the state and create new resources. Important economic minerals found in West Bengal are coal, granite, rock phosphate, tungsten, quartzite, fire clay and china clay; all of which have a great export potential as well, worth at least Rs.600 cr. Water scarcity in the initially identified areas of Purulia and Bankura for the mineral park could impede the project, and Capexil has urged that a solution for this lacuna must be found before undertaking the project. Contact: Ashok Bhattacharya, Minister of Urban Development & Town & CountryPlanning,

Kerala to set up food processing plants
The Kerala Government has identified the food processing sector as a major thrust area. On the anvil are a hi-tech park at Kalamassery near Kochi (at a cost of Rs.139 cr.), a biotech park at Thiruvananthapuram (Rs.43 cr.), food processing parks at A door and Palai (Rs.30 cr.), an irradiation facility at Kochi (Rs.12 cr.) and post-harvest handling and cold storage facility for fruits and vegetables (Rs.30 cr.). There is also a separate scheme for setting up an integrated export infrastructure for fresh vegetables to Gulf countries.
The idea is to establish a chain of activities starting from the farm gate to the consumer, supported by fast and economic movement of perishable goods. Other projects on the anvil include the setting-up of a herbal park, a Rs.3 cr. project for coconut-based products, a fully-automatic banana chip plant, and several separate projects to be set up as appendage to these parks for the manufacture of microbial bio-pesticides, neem pesticides, bacterial bio-fertilisers and algal bio-fertiiisers. Contact: K.R. Gouri Amma, Agriculture Minister, Kowdiar House, Kowdiar Palace

New projects in Orissa
Around Rs.8,000 cr. worth of investments, particularly in metal-based industries and power projects, are slated to mature in Orissa within the next 30 months. Amongst projects being pursued currently are a 3 million TPA iron ore pellet plant, 1 million TPA DRI plant, 1.8 million TPA stainless steel plant and a 2.8 million TPA steel plant, along with a captive power plant at a location between Jharsuguda and Sambalpur. The last two are being set up by Jindal Strips Ltd. and Bhushan Steel respectively. The Shyam Group proposes to set up a 1 million TPA integrated steel plant at Lapanga. Cargill India Pvt. Ltd. is investing over Rs.100 cr. in a vegetable oil refinery project in Paradip. An alumina refinery project is also being set up at Kalahandi at an estimated cost of Rs.4,000 cr. Better infrastructure, such as adequate air connectivity between Orissa's state capital Bhubaneshwar and other metros, would hasten investments in the state, particularly in the IT sector. Contact: Principal Secretary - Industries, Bhubaneshwar, Orissa.Tel.: 0674-536640, Fax: 0674-536819

BWSSB project to plug leakages in water distribution
The Bangalore Water Supply and Sewerage Board (BWSSB) is in the process of short-listing bidders for its Rs.47 cr. pilot project to reduce unaccounted for water in its distribution system. A shortlist from 19 Expressions of Interest is being drawn up, and work on the project is expected to start from February 2003 onwards. The Japan Bank for International Co-operation (BIC) is willing to finance the extension of the project to the entire city - estimated at Rs.400 cr. - at the end of the pilot project. The current turnkey package involves detection of leaks, repairs, monitoring of water networks, and training of BWSSB staff in the rehabilitation programme. Contact: M. N. vidyasnankar, Chairman. Bangalore Water Supply and Sewage Board, Cauvery Bhavan, K.G. Road, Bangalore-S60009.Tel: 080-2213658, 2215417, 2221 124, 2243869. Email: Website:

Another agri-export zone planned in TN
A second agri export zone (AKZ) is set to come up in one of the southern districts of Tamil Nadu and will cover Tirunelveli, Theni, Dindtgul, Ramanathapuram, Madurai and Virudhunagar. The Government will shortly enter into an MoU with the Agriculture and Processed Food Products Exports Development Authority (APEDAJ for setting up an AEZ for horticulture crops. The project envisages an integrated approach to commercial exploitation of horticultural crops with facilities and technology provided from soil-to-market. The Government, which aims to set up eight AEZs, proposes to involve the private sector. The Tamil Nadu Industrial Development Corporation (TNIDC) would be the state-level nodal agency for establishment of the AEZs, while the Department of Agribusiness and Marketing, the nodal department.
Contact: M. Velmurugan, IES. Additional Director,Tamil Nadu Industrial Development Corporation Ltd., 19-A, Rukmani Lakshmipathy Salai, Egmore, Chennai-600008. Tel: 044-8588364, 8553866. Fax: 044-8553867.

41 projects to come up in A. P.
The Andhra Pradesh Government entered into MoUs and Lois (Letter of Intent) for 41 new projects to come up in the state, including a Rs.12,000 cr. petroleum project with Transworld Corporation USA. Inc. and a Rs.260cr. speciality paper project of ITC. Corporation (KINFRA) is in the The petroleum project is planned to come up near Visakhapatnam.The Andhra Pradesh Industrial Infrastructure Development Corporation (APIDC) entered into MoUs for three projects, which included a Rs.300 cr. ethanol-based project, a Rs.50 cr. project of Pacific Healthcare Ltd., and a Rs.12 cr. fatty acid project. Other projects signed up for include a project proposal for bulk drugs, anti-cancer molecules, and other biotech projects. A silk-processing project and a tuna fish processing plant at Nellore are also proposed. A series of tourism projects have also been initiated, including Agri Gold Entertainment Resorts, development highway amenities.

Corporation (KINFRA) is in the process of establishing four industrial development zones (IDZs) at Thiruvananthapuram, Kochi, Palakkad and Kozhikode. The first phase will involve developing the Kochi IDZ, where because of non-availability of land in a large tract, the zone will be set up more as an 'industrial corridor'. KINFRA, as the nodal agency for development of the IDZs, has identified 1,100 acres of surplus land in the Kochi Port Trust, 300 acres with the Kochi International Airport, 180 acres at the Kinfra Export Promotion Park and 240 acres currently in its possession. Development work is expected to start in about six months, and will be completed here and in the other three of multiplexes and betterment of zones by 2005.
Contact: KINFRA, Kinfra House 14/1026, Coordination, AP Infrastructure Authority, Kerala. Tel: 0471-324285. Fax: 0471-324473. Gen. Admin. Depts., Secretariat Hyderabad - Email: kinfra@giasmdui.vsnl.n ".in Website: 500022. Tel.: 040-23453 77, Fax: 040- Website:

West Bengal to have projects in chemical sector
The chemicals sector attracted Rs. 500 cr. towards development of the maximum amount of invest- three new fields, which are expected to developments in West Bengal in 2002, for- yield up to 1.3 million tones of oil and lowed by the hotel sector, indicative oil equivalent gas. The 'fields' are that the negative perception about located in the Krishna-Godavari basin, the mineral-rich Durgapur-Asansol belt Mumbai, and east of the gigantic Vasai once again attracted investments for gas field, the latter lying east of India's setting up of iron and steel units. largest gas field at Vasai. Tenders for Fifty units of the expected to begin production by March 2003.
Contact: Buddhadeb Bhattacharjee, Minister of Government of Bengal, DF-8, Sector-I, Salt Lake. Kolkata- 700064. Tel: 033-22145497, 22143853. Email:

ONGC to develop three new fields
The Oil and Natural Gas Corporation (ONGC) will be investing the state has begun to change. The exploration block in offshore Kolkata Leather Complex are Projects under consideration in Kerala deepwater drilling rigs have already been floated for the Krishna-Godavari project. Meanwhile, ONGC has sought lifting of ban on the export of indigenous crude. Aging Natural Gas Corporation, 8th Floor, 124, Delhi-I I 000 I. Tel: Contact: Subir Raha, Chair Director, Oil Ltd., Jeevan Bhavan Indira Chowk, New Delhi-1 I 000 I. Tel: 01233 10156/58, 23310880, 23310878. Fax: 233 164 I 3. Email:

KINFRA to Set up 4 industrial Zones
The Kerala Industrial Infrastructure Development

TN to allow private sector in core sector projects
The Tamil Nadu Government plans to enact a legislation to encourage greater private sector participation and public-private partnership in infrastructure projects. Such legislation is expected to pave the way for the private sector to come up with ideas and projects. Under this scheme (known as the Swiss challenge) a private infrastructure company can come up with a project proposal and even provide detailed reports on the project, its cost, financing and similar issues. If the Government decides that the project is necessary, it would invite bids for it, with the company which has initiated the proposal being given the opportunity to match the lowest bid, or be reimbursed the development costs, normally 2 to 3 percent of the project cost. Already some companies like L&T have submitted proposals to improve important stretches of roads in Chennai, particularly the Old Mahabalipuram Road,
Tamil Nadu and Malaysia MoU
The Tamil Nadu Government has signed MoUs with the Malays Government for carrying out detailed studies for the proposed administrative city at Tiruvidanthai village near Mahabalipuram, and for a project to beautify the Marina. The Marina Sea Shore Area
Redevelopment project will take into account all social, economic and environmental aspects. The new proposed administrative city would be an integral part of the IT Corridor, and is aimed to provide for efficient operation of the Government, strengthening economic development, expanding employment opportunities and providing adequate infrastructure facilities. The new city is expected to be on the lines of the new administrative city in Malaysia.
Contact: V Subramanian, CE-Projects I (PWD) I, Government of Tamil Nadu, New Street, Alandur, Chennai-600016. Tel: 044-22325252, 22344044. Website:

Three pipeline projects for PSL Holdings
PSL Holdings Ltd. has bagged the New Tirupur Area Development Project, the Chennai Water Supply Augmentation Project and the Narmada Main Canal to Dharoi Reservoir Pipeline Project. The orders exceed Rs. 400 cr.
Contact: Rajan Bahh, Director, PSL Holdings Ltd., 309-317, Vardhaman Chambers, Sector 17, Plot No. 84, Vashi, Navi Mumbai-400705. Tel: 022-7685297/98. Email: pslhd_ad I @san-

New water supply scheme
'Swajaldhara', a new water supply scheme, was launched by the Prime Minister of India recently. The scheme aims to achieve self-sufficiency in drinking water in rural areas. Its initial implementation will be on 882 projects in the eight states of Andhra Pradesh, Orissa, Himachal Pradesh, Haryana, Maharashtra, Madhya Pradesh, West proposals involve mini-pipe water supply, bore well, tube well, water harvesting and rejuvenation of water bodies.
(DWS), Department of Drinking Water Supply, Ministry of Rural Development, Govt. of India, New Delhi. Tel: 011-3010207, 3010245. Fax: 011-3012715. Email:

Funds for rural drinking water released
The Ministry of Rural Development has released Rs.22.44 cr. for implementation of sector reform pilot projects in Cuddalore and Vellore districts of Tamil Nadu, and Rs.12.90 completion of schemes to provide safe drinking water facilities to rural habitations and schools.
Contact; S.S. Meenakshi Sundaram, Secretary {DWS), Department of Drinking Water Supply, Ministry of Rural Development, Govt. of India, New Delhi. Tel; 011-3010207, 3010245. Fax: 011-3012715. Email: secyd-

Aban to supply GRP pipes for effluent discharge
Chennai-based Aban Constructions is to supply and install 42 km. of glass reinforced fibre pipes (GRP) for effluent discharge in Gujarat. This is the first time GRP pipes are being introduced in the state for water and sewage transportation. The project, worth Rs.32 cr., is being implemented for Bharuch Eco Aqua Infrastructure Ltd., and includes operation and maintenance for the first year.
Crest, I I 3 Pantheon Road, Egmore, Chennai-600008. Fax: 044-822581 7. Tel: 044-8222400,

Oswal plans ammonia plant in Australia
Oswal Projects Ltd. plans to set up the world's largest ammonia plant in the state of Western Australia on the Burrup Peninsula near Karratha. The plant, when operational, is expected to produce 2,200 tonnes of liquid ammonia from natural gas each day for Australian and international markets. Contact: Pankaj Oswal, Chairman, Oswal Projects Limited, Village Piprola, Jalalabad Road, Shahjahanpur-242001, Uttar Pradesh. Tel: 3715242. Fax: 3716276. Website:

Lanco-Electro Steel firm up agreement
entered earlier, Hyderabad-based Lanco Industries Ltd. allotted an additional equity capital of Rs.22 cr. to Kolkata-based Electro Steel Castings Ltd, enabling the latter to acquire controlling stake. Both the companies are in the manufacture of pig iron. Contact: Gowri Shankar Tekriwal, Managing Director Lanco Industries Ltd, Lanco House, 141 .Avenue No. 8, L.V. Prasad Marg, Banjara Hills, Hyderabad-500034. Electrosteel Castings Ltd, 40, Stephan House, 4, B.B.D. Bag (East), Kolkata-700001 .Tel: 033-2484071/2. Fax; 033-2209634.

ABB India to set up turnkey substations in Syria
ABB India will be setting up six new 230/66/20KV substations in Syrian towns such as Dera, Al-Fayha, Bebila, Telhamis, North Aleppo and Sarakeb. The turnkey order is worth Rs.168 cr. Contact: ABB India, Asea Brown Boveri Ltd., Floor, Eastern Wing, Bangalore- 560001. Tel: 080-2250295, 2254543/6. Fax: 080-22801 13. Website;

Call centre planned in Gandhinagar
US-based Global Response Corporation in a joint venture with Creative Infocity (CIL) is planning to set up a business process outsourcing facility at Infocity, a state-of-the-art IT infrastructure park at Gandhinagar. The call centre is expected to become operational within a couple of months. Infocity is being managed by CIL, which in turn is a joint venture between Gujarat Informatics and Creative IT.
Contact; Global Response Corporation, 777 South State Road 7, Margate, Florida-33068.Tel:

UPSIDC to set up modern cold stores
The Uttar Pradesh State Industrial Development Corporation (UPSIDC) proposes to set up two major Agro Parks at Kursi Road, 15 km. from Lucknow, and at Babatpur Karkhiyaon, 14 km. from Varanasi, both with modern multi-chamber cold storage including CA cold store with cleaning-sorting-grading line, on build-own-operate (BOO) basis and/or on O&M basis. UPSIDC has invited offers from investors, companies and established groups (including joint ventures or consortium of companies) with sound technical and financial capabilities and having relevant experience. Development, Uttar Pradesh 5tate Industrial Development Corporation, UPSIDC Complex, A-1/4 Lakhanpur, Kanpur.Tel: 0512-2582851, 2582852, 2582853. Fax: 0512-2580797. Email:

Apparel park in Karnataka
The Karnataka Government has received a good response from foreign as well as domestic companies for joint venture and technical consultancy for its proposed apparel park, tentatively to come up near Doddaballapur. Financial and technical evaluation of the bids is on. The project is likely to be implemented on a build-own-operate (BOO) basis, through a special purpose vehicle (SPV), in which the private partner is likely to pick up equity stake.

GAIL plans investment in gas grid
Gas Authority India Ltd. (GAIL) plans to invest around Rs.12,000 cr. in the next 7-8 years towards laying a 6,400 km. gas pipeline grid across the country. The gas grid would link the eastern offshore to the markets in southern and western India, and the southern markets to eastern parts, which in turn would be connected to markets in the north. The pipelines to be laid as planned are Uran-Kakinada (1,250 km.), Kolkata-Chennai (1,700km.), Kolkata-Jagdishpur (1,000 km.), Hazira-utan- Bangalore (1,290km.),
Kochl-Kasargod-Miingalore (370km.) and Bangalore- Chennai(340 km.).
Contact- GAIL 16 Bhika'i Cama Place New Delhi- I 10066. Tel: 01 1-6182955, Fax: 01I-
6185941, Email:

Reliance Infocomm completes laying OFC backbone
Reliance Infocomm has completed the process of laying a 1,500 km. long optic fibre cable (OFC) backbone between Mumbai and Delhi. This is part of the overall target of putting in place 60,000 km. of optic fibre to be spread across 673 countries. Links between Mumbai and the southern states are also stated to have been completed, and the process of laying OFC across the country should also be romnlerpd within the next few completed Within me next few months.
Contact: Reliance Infocomm Limited, DWrubhai Ambani Knowledge City, DBI2, 1st
Floor, B-Block, Thane Beiapur, Navi Mumbai- Website:

L&T looks for overseas contracts
L&T hopes to expand by executing construction contracts abroad The company has already executed projects in West Asia, Bangladesh, Sri Lanka, Bhutan and Malaysia, and has got jobs in African countries, Saudi Arabia, Kuwait, Oman and Abu Dhabi. Overseas projects are not confined to infrastructure, but cover a wide range of works from hospital construction to electrical works, sub-stations, bridges, IT Parks and buildings. In India, currently the group has been engaged in three mega projects: Bangalore Airport, Vivekananda Bridge in Kolkata and Exhibition Ground at Hyderabad.

Contact: S. Shivaraman, Corporate Communications Department, Larsen 8 Toubro Limited, LST House, Ballard Estate, NarotamMorarji Marg. Mumbai-400038.Tel: 022-2261 I 171. Email:
Tecumseh plans to develop India as export hub
Tecumseh, through its 100 percent owned Indian subsidiary Tecumseh Products India Ltd., plans to develop India as an export hub for compressors and compressor components. The parent company has decided to relocate its compressor component plant to India, primarily due to cost efficiencies and availability of skilled labour, Capacity expansion is very much on the anvil, as the company wants to manufacture 3 million compressors for refrigerators and a million for air-conditioners in India.
Contact: Tecumseh Products India Ltd. Balanagar Township, Hyderabad-500037. Andhra Pradesh. Tel: 040-23078103-4 (4 lines) Fax. 040-23078945, 23078847. Email:


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