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December 14, 2012
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Wholesale Price Index shows modest monthly rise and lower annual inflation rate for reported month.
Wholesale Price Index (base 2004-05=100) for November 2012 rose marginally to 168.8 with an annual inflation rate of 7.24 percent. Primary Articles saw a small increase led by food and non-food agricultural items while minerals declined. Fuel & Power fell overall due to lower petroleum-related prices despite higher LPG. Manufactured Products rose slightly with mixed subgroup movements. Annexes provide detailed month-on-month, year-on-year and build-up from March figures for major groups and selected commodities.
December 14, 2012
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Four laning ceiling increase allows BOT toll mode expansion and EPC use for mid traffic routes to expedite awards.
The policy increases the four laning ceiling under NHDP Phase IV and prescribes that four laning be undertaken on Build Operate Transfer (BOT) (Toll) basis where traffic justification under IRC guidelines supports toll concessions, while projects in an intermediate traffic band that are not viable as toll BOT may be developed directly on EPC basis to expedite awards and implementation.
December 14, 2012
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Reserve price adjustment for spectrum bands affects incumbent operator charges pending auction pricing adjustment framework.
The Cabinet set revised reserve prices for specified 1800 MHz and 900 MHz service areas, reducing the 1800 MHz reserve by thirty percent and linking 900 MHz reserve prices to the revised 1800 MHz level or auction results. Incumbent operators in affected areas will be charged at the revised reserve price on their applicable spectrum quantum until auction-determined prices are available, and payments made on the reserve-price basis will be adjusted against amounts due once auction pricing is determined.
December 13, 2012
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International cooperation on MSMEs: memoranda of understanding to promote capacity building, investment and exchange activities.
The Ministry of Micro, Small & Medium Enterprises concluded Memoranda of Understanding and related agreements with several foreign counterparts to create a platform for bilateral cooperation in MSME capacity building, investment promotion, joint surveys and feasibility studies, partnership projects, exhibitions and trade fairs, and exchange of business missions and information; no new agreements were recorded in the 2011-12 and 2012-13 periods.
December 13, 2012
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Restrictions on cable operators to prevent monopolistic control may be recommended to protect competition and consumer interests.
The Ministry seeks TRAI recommendations on imposing reasonable restrictions on MSOs and LCOs to prevent monopolistic accumulation of market power and to ensure fair competition, quality of service and equity, including suggested amendments to the Cable Television Networks (Regulation) Act, 1995 and Rules; noting current registration requirements and observed State-level monopolies with no existing limits on market share accumulation.
December 13, 2012
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Resettlement and Rehabilitation obligations upheld under R&R Plan; NHPC rehabilitated affected families and implemented CSR measures.
NHPC implemented Resettlement and Rehabilitation (R&R) Plan measures for families affected by the Rangit and Teesta Stage V projects, providing compensation for land, housing and other properties and delivering basic services and facilities; additionally, NHPC carried out corporate social responsibility initiatives in Sikkim including school renovation, vocational training and scholarships, community infrastructure works, medical camps and health facility upgrades, disaster relief support, agricultural technical assistance, and establishment of an ITI.
December 13, 2012
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Interest subsidy scheme: eligibility tied to state reform progress; projects with prior disbursements are excluded under NEF.
The National Electricity Fund (Interest Subsidy Scheme) provides interest subsidies to state power utilities for distribution improvement, with eligibility and subsidy amount linked to state classification and progress on reform-linked parameters; only projects with no lender disbursements prior to proposal submission will be considered by the Steering Committee, so earlier-sanctioned and disbursed feeder schemes are ineligible under NEF Guidelines.
December 13, 2012
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Full foreign direct investment permitted in the power sector under automatic route, enabling foreign entry and joint ventures.
The policy permits full foreign direct investment in the power sector under the automatic route for generation and transmission from hydro, coal/lignite, oil and gas based thermal plants; non conventional energy generation and distribution; distribution to households, industrial and commercial users; and power trading, enabling foreign power companies to enter the sector and form joint ventures or wholly owned subsidiaries for manufacturing, technology transfer and project development.
December 13, 2012
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Anti-dumping investigation may affect imports of solar cells and modules and influence domestic manufacturing incentives.
BHEL proposed an integrated PV manufacturing complex but deferred major investments because domestic capacity is under utilised due to cheaper imports; the Board granted in principle approval to make PV modules, with further investment contingent on government domestic industry incentives. Separately, authorities have initiated an anti dumping investigation into imports of solar cells and modules to address import competition affecting domestic manufacturing.
December 13, 2012
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Compulsory jute packaging requirements upheld; exemptions permitted for supply shortfalls and enforcement actions initiated against defaulters.
Compulsory packaging obligations under the Jute Packaging Materials (Compulsory Use in Packing Commodities) Act, 1987 were applied for jute year 2012-13 allowing minimum 90% of foodgrains (after an upfront exemption) and 40% of sugar to be packed in jute; the Standing Advisory Committee found a supply shortfall and recommended exemptions, and enforcement action was directed against defaulting sugar mills by District Magistrates under the statute.
December 13, 2012
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Loan waiver and credit support for handloom weavers combines waiver, subsidised credit and yarn subsidy under central schemes.
The central scheme implements a two part financial support framework: the first provides loan waiver and recapitalisation for overdue loans of handloom cooperatives and individual weavers with interest subvention, credit guarantee and NABARD implementation supported by state MoUs and special audits; the second provides margin money assistance, time limited interest subvention and credit guarantee for fresh credit, a 10% yarn price subsidy with distribution via yarn passbooks, and enhanced freight reimbursement to ensure subsidised yarn availability in remote clusters.
December 13, 2012
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Integrated Skill Development Scheme advances textile worker upskilling and funding allocations across Powerloom Service Centres.
Government implements four principal programmes for textile worker welfare and capacity building: the Group Insurance Scheme, Group Workshed Scheme, Textile Workers Rehabilitation Fund Scheme and Integrated Skill Development Scheme. The Group Insurance Scheme details central premium share and enrolments; the Group Workshed Scheme and TWRFS record statewise fund releases and beneficiaries. ISDS finances capex and opex for 14 Powerloom Service Centres and records PSC-wise allocations and training targets and achievements, showing overall shortfall against targets.
December 13, 2012
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Index of Industrial Production: general index 171.3, up 8.2% in October 2012; manufacturing and consumer goods led growth.
Quick estimates of the Index of Industrial Production (base 2004 05) for October 2012 show a General Index of 171.3, up 8.2% year on year, with April-October cumulative growth of 1.2%. Manufacturing rose 9.6% to 181.9, Electricity rose 5.5% to 160.5 and Mining fell 0.1% to 122.5. Seventeen of twenty two manufacturing groups expanded; use based indices show Basic Goods +4.1%, Capital Goods +7.5%, Intermediate Goods +9.4% and Consumer Goods +13.2%. Revisions for July and September 2012 are noted.
December 13, 2012
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Consumer Price Index release: November 2012 provisional CPI and point to point inflation rates for rural, urban and combined areas.
Provisional Consumer Price Indices (CPI) on base 2010=100 are released for November 2012 with final October 2012 indices; All India general indices are 126.9 (rural), 123.4 (urban) and 125.4 (combined). Provisional point to point annual inflation rates are 9.90% (combined), 9.97% (rural) and 9.69% (urban). Detailed group and sub group indices and State/UT wise provisional general indices are provided in annexures; price data are collected by NSSO (selected towns) and Department of Posts (selected villages) and transmitted via NIC web portals.
December 13, 2012
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International technical and financial cooperation to prepare Comprehensive Integrated Master Plan for Chennai Bangalore Industrial Corridor; project remains conceptual.
International technical and financial cooperation was proposed to prepare a Comprehensive Integrated Master Plan for the Chennai Bangalore Industrial Corridor covering ports, industrial parks and surrounding facilities; a foreign agency's study team submitted a Draft Final Report on the preliminary study and modifications to that report were conveyed in December 2012. The project remains at a conceptual stage and its structure and financing modalities are yet to be determined.
December 13, 2012
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NIMZ dispensations expand incentives and regulatory support to facilitate manufacturing unit setup and infrastructure development.
The National Manufacturing Policy provides dispensations for National Investment and Manufacturing Zones, including an exit mechanism, subsidies for technology acquisition and green technology, token incentives for clean manufacturing, private-sector skill development initiatives, finance support for small and medium enterprises, and measures for creation of physical and institutional infrastructure; states are requested to identify land banks for NIMZs and proposals have been received from several state governments.
December 13, 2012
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Price sharing formula ensures equitable distribution of tea sale proceeds between green leaf suppliers and manufacturers.
A fixed base price for green tea leaf in Assam is not prescribed; instead a Price Sharing Formula under the marketing control framework apportions net sale proceeds between growers and factories. The formula accounts for growers' cost of production, factories' manufacturing cost and the out-turn percentage, allowing monthly variation in green-leaf prices tied to quality and market conditions. When an individual factory's price is at or below the state average growers receive a larger share; any premium above the state average is shared equally between grower and factory.
December 11, 2012
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Clearance delays hinder coal production despite long-term reserves, prompting government consultations to resolve approvals and evacuation bottlenecks.
Estimated proved coal reserves exceed current production and are projected to last over one hundred years, but a widening gap arose between projected demand and domestic availability during the XI Five Year Plan due to implementation barriers. The government identified delays in Environment & Forestry clearances, Land Acquisition and related rehabilitation and resettlement issues, law and order problems, and coal evacuation constraints as the main impediments and has engaged State and Central authorities in consultations to address these obstacles.
December 11, 2012
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Cancellation of coal block allocations followed administrative review and triggered preliminary enquiries into alleged allocation irregularities.
De-allocation of coal blocks was effected on recommendations of an Inter Ministerial Group reviewing coal and lignite block development, while separate Preliminary Enquiry proceedings were registered into alleged irregularities in past allocations to private and public entities, with subsequent FIRs in some cases; this information was disclosed in a parliamentary reply.
December 11, 2012
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Coal washery guidelines permit washeries on public sector land to increase washed coal supply and capacity.
Guidelines permit coal washeries on public sector coal company land to bridge washed coal supply gaps, noting existing private washeries by operator, capacity and status. Coal India Limited plans a programme of twenty washeries including both coking and non coking facilities to increase aggregate raw coal throughput, communicated via a ministerial written reply as an administrative development initiative.

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