3/2014

I N S I D E

! Proposal to Legalise Bribes

! Indoor LED Farm

! Best State in Literacy

! Check on Inflation

! Metro Updates

Even after two decades of economic reforms, India continues to figure at the bottom in most indicators with its overall rank in the World

Bank�s (WB) �Ease of Doing Business� dropping from the 131st positionin 2013 to 134th in 2014 out of 189 countries. Moreover, the Bank�slast available Subnational Doing Business data (2009) for Jaipur, among17 cities in India showed its poor ranking in the category of �dealingwith construction permits� as can be seen in the table. In this category,India�s position is a dismal as being 182 out of 189.

The category of �dealing with construction permits� is a good example to show whyJaipur is at the bottom end of the pile among the 17 Indian cities. Upon submission ofmunicipal drawings for approval to Jaipur Development Authority (JDA), drawings forfire security approval based on National Building Code are also submitted. The detailedbye laws of JDA refer to fire requirements at many places but specifically at clausenumber 14.7. A perusal thereof leads one to believe that the approving authority (JDA)would examine the fire security drawings submitted vis-a-vis the National Building Codeand clear the municipal drawings for construction to begin, subject to inspectionsduring and on completion of the proposed construction to ensure compliance.

In practice, however, the JDAseeks from the applicant a �NoObjection Certificate� (NOC) tobe issued by the FireDepartment of Jaipur MunicipalCorporation (JMC), among otherNOCs, such as from the AirportsAuthority of India in addition toan affidavit declaring that theapplicant will procure suchNOCs before approving themunicipal drawings.

On applying to the FireDepartment, a standard letter is issued by the department, normally after 15 days orso, asking for arranging a �site visit� to enable them to process issuance of a temporaryNOC. Interestingly, the Fire Department, too, needs an affidavit from the applicantdeclaring inter alia that inspections by the fire officer will be arranged from time to timeand after completion of construction, another NOC would be required before makinguse of the building. The actual site visit can take anytime between 30-45 days from thedate of the original request. It is not clear what a site-visit to an empty plot of land is for.After several failed appointments, the fire officer did visit the plot and stayed there forjust 60 seconds and returned! A hint was dropped for grease, but we politelydeclined�knowing fully well that this is going to be an annual feature.

Then begins another waiting period for the Fire Department to actually issue thetemporary NOC consulting the JMC Zone, under which the plot of land falls. In ourcase, it has already been over 70 days, since we applied to the Fire Department but stillawait the requisite NOC. Sorry, the temporary NOC!

Progression from permit raj to NOC raj is one factor responsible for Jaipur laggingbehind 12 other cities in the country in dealing with construction permits.

From Permit Raj to NOC Raj

Pradeep S Mehta, Secretary General

www.google.com

N O C

Topic/Category Jaipur’s rank Top city among 17 in India

Indian citiesStarting a Business 3 New DelhiDealing with Construction Permits 13 BengaluruRegistering Property 3 GurgaonPaying Taxes 2 LudhianaTrading across Borders 14 BhubaneswarEnforcing Contracts 7 HyderabadResolving Insolvency 14 HyderabadSource: WB�s Doing Business in India, 2009 Report

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About 2.5bn Smartphone UsersNearly 2.5bn people or 35 percent

of the global population is expected touse smartphones by the end of 2015,according to the report of the US basedIndustry Tracker Strategy Analytics. Thereason behind this surge is the expansionof low-end smart-phones by globalplayers that has helped them makeinroads into emerging markets in thedeveloping countries like India.

The report also pointed out that theAsia-Pacific region holds the mostnumber of smartphone users whileEurope and North America have thehighest portion of people holding thehigh-tech handsets among all mobilephone users.

That means more than three in every10 people will be smart phone users.According to the market research firm,the number of global users had surpassedone billion in 2012. (HT, 29.07.14)

Top Richest IndiansThe top five Indian billionaires led

by Reliance Industries Chairman,Mukesh Ambani collectively control$85.5bn (about M5,23,897cr) inpersonal wealth, accounting for nearlyhalf of the country�s total billionairewealth, according to a new study.

According to the analysis by wealthresearch firm, Wealth-X of India�s richestindividuals, Mukesh Ambani remains therichest man in the country with anestimated net worth of $24.4bn (aboutM1,49,474 cr).

Ambani is followed by steel tycoon,Lakshmi Mittal; drugmaker Sun Pharma�sDilip Sanghvi; IT giant, Wipro�s AzimPremji and Tata Son�s shareholder,Palonji Shapoorji Mistry among the topfive wealthiest individuals from India.

(BL, 14.08.14)

Village or a Museum?Erriadh is one of the oldest villages

of Tunisia in North Africa. It has kept itsauthenticity by its narrow streets andpreservation of the typical architectureof �houch� (house built with a patio,which is surrounded by rooms and livingareas).

These houchs are painted with whitechalk decorated with blue woodwork ora yellow straw decorated with green trim.The architecture of the village is low, itis rare to find more than one floor.

The village Erriadh is also the firstJewish village, which houses the oldestsynagogue in North Africa and thesecond largest worldwide. Street artproject �Djerbahood� in the village ofErriadh on the island of Djerba, Tunisiawas initiated by Tunisian-French artist,Mehdi Ben Cheikh and aims at enliveningthe village and attracting tourists.

(RP, 07.09.14)

�Pink Lane� for Female Drivers A new concept of an exclusive �pink

lane� for female drivers has beenproposed by Sheila�s Wheels, a Britishcar insurance company in London. The�pink lane� includes exclusive overpassesand sidewalks for women.

It is suggested that women can relaxand drive a car on the highway and thereis no need to worry about the recklessbursts of speed from men�s cars.

Despite being utterly preposterousand riddled with negative genderstereotypes � about both men andwomen � after extensive research it hasbeen determined that this is not in fact

satire, nor is it a parody, however, it ishighly likely to be �churnalism� � a PRstatement released by a company in theform of news story.

(www.womenofchina.cn, 20.08.14)

Latecomers to Take LeaveDozens of officials in the Information

and Broadcasting Ministry were left red-faced when after an unexpected visit byPrakash Javadekar, Minister of State forInformation and Broadcasting walked intothe office sharp at 9 am, found more than100 of the officials absent from the desks.

Sensing that the attendance levelswere thin, he decided to take a round ofthe office soon after around 9:15 am.He randomly walked into the offices andfound only a few present. The Ministerthen left a message for the latecomersthat he had come to meet them.

The Minister later met the officialsand politely told them that as it was theirfirst time he would let them go. But hefirmly suggested that since they havearrived late they should take casualleave and go home, one official reported.

(DNA, 01.07.14)

First 3 D Printer Vertebra The wonders of the 3-D printer are

just beginning to populate the commonconsciousness and for one 12-year-oldboy, the fantastical invention is changing

Proposal to Legalise Bribes

Rajiv Ranjan, a senior Janata Dal(United) MLA, said that he was

driven to make this extreme demandout of frustration and anger he feltowing to the BiharGovernment�sinabil ity toc o n t r o lcorruption.�The fairthing to doin theprevailingsituation isto legislateand adopta new lawby thename ofRight to Bribe, on the lines of Right toInformation (RTI) and Right to Service(RTS)�, said Ranjan.

�If you cannot rein in corruption,you should legalise it�, argued Ranjan,who is the MLA from Islampur assemblyconstituency in Nalanda. �I will move aprivate member�s bill for a law to lendlegal sanctity to the all pervadingpractices of taking bribe, during thenext session of the Bihar legislature�,he added.

Ranjan�s �outburst� embarrassed theJitan Ram Manji Governmentsufficiently for it to vow to take suitabledisciplinary action against the MLA, atthe earliest. (HT, 19.08.14)

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his life. Minghao of China learned abouttwo months ago that he had a tumorlodged on the second vertebra ofhis spine. The usual treatment for this isremoving the bone and inserting atitanium tube.

Minghao�s doctors decided to trysomething different. Using the researchand technology developed by the 3-Dprinter, the doctors at Beijing�s PekingUniversity Third Hospital fabricated anextract replica of Minghao�s vertebra.When it is implanted surgically, they willbe able to forego the usual surgicalscrews or cement. This makes him thefirst recipient of a vertebra created by a3-D printer. (AN, 16.09.14)

High-tech BenchesMoscow authorities decided to

replace ordinary park benches with high-tech scales that will tell the users� weight.Designed to raise fitness consciousness,the benches will replace the ones alreadyexisting in the city�s most popular parks.

Inspired from a similar campaign thatis already taking place at a public bus

stop in The Netherlands, one of the firstparks in Moscow to embrace the changeis northern Sokolniki. The benches willalso give tips on healthy eating as well asadvertising nearby fitness clubs.

The idea might seem a bit awkwardbut obesity has become a problem ofover 25 percent of Russia�s population.After an annual examination of 1,500people across the country, scientistsfound that 55 percent of Russians hadexcessive weight. (OC, 23.09.14)

Bottled Water BanSan Francisco became the first major

city in the US to ban the sale of plasticwater bottles on public property, buildingon a nation-wide effort to curb wastefrom the billion-dollar industry.

The proposal by the Board ofSupervisors, President, David Chiu,navigated a number of challenging issues,from the city�s drinking-waterinfrastructure to impact on events, such

as the Folsom Street Fair or lower-keynon-profit events that often rely on thesale of bottled water for revenue.

The ban will phase out the sales ofplastic water bottles holding 21 ouncesor less on city property, indoor oroutdoor. The proposal was supportedby the� Think Outside the Bottle�campaign, a nation-wide effort thatencourages restrictions of the �eco-unfriendly product�. (DB, 23.07.14)

Testing Track on TerraceLingotto in district Turian, Italy had a

building that once housed an automobilefactory built by Fiat. The construction ofthe building started in 1916 and thebuilding was opened in 1923.

The design was unusual as it had fivefloors, with raw materials going in at theground floor and cars built on a line thatwent up through the building. Finishedcars emerged at rooftop level to go ontothe test track.

It was the largest car factory in theworld at that time and was influentialand impressive and was called one ofthe most impressive sights in industry,and �a guideline for town planning�.About 80 different models of cars wereproduced there in its lifetime. (DB, 16.07.14)

Absolute Water CrisisThe ice bucket challenge craze going

viral has caused absolute chaos to the135 residents of the island of Colonsay,in Inner Hebrides of Scotland as theywere left without water. There is abrewery on this tiny island and waterengineers were called out to it five times.

The ice bucket challenge has spreadround the island like wild fire! Because

of the huge demand placed upon it.The system is such that the water supplyautomatically stops to cut wastage butcan be switched back on manually.

The craze has affected other areas too,in South Shields on Tyceside, UK the Tescosupermarket ran out of bagged ice. Thechallenge is to raise awareness and fundsfor motor neurone disease. (ST, 29.09.14)

Indoor LED FarmHumans have spent the last 10,000

years mastering agriculture. But a freaksummer storm or bad drought can stillmar many a well-planted harvest. AJapanese plant physiologist, ShigeharuShimamura, has moved industrial-scalefarming, under the roof.

Working in Miyagi Prefecture inEastern Japan, which was badly hit bypowerful earthquake and tsunamis in2011, Shimamura turned a formerSony Corporation semiconductorfactory into the world�s largest indoorfarm illuminated by light emittingdiodes (LEDs). The special LEDfixtures were developed by GeneralElectricity (GE) and emit light atwavelengths optimal for plant growth.

The farm is nearly half the size of afootball field (25,000 square feet). It wasopened in July and has been producing10,000 heads of lettuce per day.

(DB, 23.07.14)

Desolated City of RussiaElena Chernyshova�s Days of Night �

Nights of Day is the story of Norilsk,Russia, a city of 170,000 residents,isolated from the rest of the world andshrouded in a thick pollution of minesand factories.

Four hundred miles north of thepolar circle and 3000 km from Moscow,the community has no outgoing roadsand is only accessible by plane. Beingthe seventh most polluted city in theworld, Norilsk has an extremely low lifeexpectation and its populace aboundswith cancer, respiratory disease anddepression.

With 2mn tons of gas expelled intoNorilsk�s atmosphere annually andtemperatures plummeting tounimaginable conditions, the people ofthis desolate Tundra region live adangerous and lonely existence.

(DB, 06.09.14)

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Greater Civic EngagementA �Dissemination cum Advocacy Meeting� was organised by CUTS in

Jaipur on August 28, 2014, under �MyCity� Project with the objectiveto improve service delivery of JMC through an enhanced civic engagementand to measure the status of service delivery and identifying the level ofcitizens� satisfaction.

Jyoti Khandelwal, Mayor of JMC said that the Ward Committees shouldbe formed and there is even a provision in the Municipal Corporation Actfor the same.

George Cheriyan, Director, CUTS International, pointed out that inaccordance with the 73rd Amendment of Constitution has been functioningwell in rural areas, however, there is no progress on the implementation of74th Amendment like formation of �Ward Sabhas� in urban bodies. Othereminent guests comprised Dr Sagar Parsai, country representative, the AsiaFoundation; Rao Rajendra Singh, MLA and Manish Pareek, Deputy Mayor ofJaipur.

First Health and Wellness MallIndia�s first Health and Wellness

mall would come up in Jaipur in thefollowing two years. The Health andFitness mall, to be built at a cost ofM110 cr to 120 cr, is especially

designed where all verticals of doctors,chemists, pathology laboratories,ayurvedas, homeopathy, gymnasium,swimming pool, jogging track andfood court and everything one canthink of in terms of health and

wellness would be available at onepoint.

Mental health is important as wellas physical health. The mall will be aone-stop shop for everyone. The CEOof GTM Builders and PromotersGroup�s, a conglomerate of diversebusiness interests, Tushar Kumar, saidthat initially there was no tie-up withany government and the projectwould be the first in Jaipur and in India,for every class of society, especiallythe middle class. (DNA, 31.08.14)

Good Investment ProspectThe US Ambassador, Kathleen

Stephens, said that the US seesRajasthan as a good �prospect� as faras investment tie ups are concerned.She said that Rajasthan is a beautifulplace with massive investment

opportunities where the relationshipbetween the two countries can growstronger.

She said that currently India-UStrade stands at US$100bn and sheexpected it to increase five folds toreach US$500bn in times to come.Both the countries stand on a platformwhere one can support the other inpartnership and improvecommunication.

Speaking about the tourism andeducation sectors she said that in thecurrent year, the number ofapplications by Indian students tostudy in the US has increased by 60percent. This shows the belief thatIndia has in the US. (DNA, 04.09.14)

Clinics� Registration MandatoryThe State Government is gearing

up to keep a check on private clinics,hospitals and other establishmentsincluding diagnostic centres, whichoffer health care services withoutensuring minimum facilities.

According to the sources, theClinical Establishments (Registrationand Regulation) Act 2010, pending formore than three years will beimplemented in the State soon. Theprevious Government failed toimplement it due to protests fromprivate doctors as they feared that theAct would encourage �Inspector Raj�.

According to an official, there isno such Act in the State, which keeps acheck on private clinics and hospitalsby registering them. (ToI, 04.08.14)

Best State in LiteracyOn the occasion of International Literacy Day,

President Pranav Mukherjee awarded Rajasthanas the �Best State� for encouraging literacy andfor the efforts in making literacy programmebetter. Human Resource Minister, Smriti ZubinIrani was also present on the occasion.

The Governor of Rajasthan, Kalyan Singh,was the chief guest for the programme. NiveditaMehru, Director of Continuous Education inRajasthan and Joint Director, Shish Ram Chawlagot the honour from the President.

According to Nivedita Mehru, Rajasthan hasmade efforts to spread literacy in this covetedcategory. Moreover, efforts have been made tomake people literate through retired teachersand soldiers, unemployed youth and volunteersof Literate-India Programme. (DN, 09.09.14)

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More Control for Metro ProjectVasundhara Raje, after meeting the Union Ministers

requested for greater control for the State Governmentin Jaipur Metro Rail project. Raje pointed out that whilethe Centre intends to get 50 percent share in capitaland wants to appoint its Chairman in Metro projects ofthe State, the share of Centre is limited to only 20 percentof the total cost of the Metro project.

She demanded eradication of this imparity andsuggested that the Centre should either provide 20percent of its share as a subsidy or demand for only 20percent of share in the capital of metro project. She hadearlier raised the demand for only 20 percent of sharein capital of Metro project. (ToI, 04.07.14)

Load Testing in Final PhaseAfter three successful

rounds of load testing,the officials began fourthand final round of loadtesting on the elevatedmetro road fromMansarovar toChandpole. In this phase,a load of 372 tonne waskept on the elevated road, which has been constructedbelow the Metro track on Ajmer road.

Earlier, three phases of load testing were conductedto check the strength of road and track, which wouldbear the burden of trains carrying passengers when thecommercial run of trains commence.

Officials of Jaipur Municipal Rail Corporation (JMRC)and Delhi Metro Rail Corporation (DMRC) haveexpressed happiness over the success of load testingexercises. (DNA, 23.07.14)

Metro Run DelayedWork on Jaipur Metro Phase-I (B) will be further

delayed due to the retirement of the Commissioner ofMetro Rail Safety (CMRS) in August. The process ofprocuring final safety certification and opening of corridorfor commercial run is expected to be postponed.

The JMRC made a final announcement that thecommercial run will start from September first week.

However, the CMRS safety check, which is the last statutorycertification before opening the corridor, is yet to becarried out.

The average speed of the Jaipur Metro on the 9.25km route will be 32 km per hour. �Metro trains will notbe allowed to cross 42 km per hour at curves�, accordingto an official. (ToI, 19.08.14)

HC Rejects PetitionRajasthan High Court has rejected the request for a

stay on the construction of the Jaipur Metro project inthe �Walled City� areas claiming that it posed a seriousthreat to the heritage buildings of the old city.

A public interest litigation (PIL) was filed by YadunathDashanan in the court of acting Chief Justice, Sunil KAmbabani and V S Saradana seeking an immediate stay

on the construction of theMetro project in the �WalledCity�. He contended that theconstruction of the tunnel anddigging could pose a seriousthreat to the old heritage.buildings.

The JMRC pointed out thatit has already got the necessary

approval from the State Pollution Control Board, DistrictCollector and the Archeology Department. (ToI, 23.08.14)

Metro�s Dry RunThe Jaipur Metro Rail Corporation (JMRC) plans to

conduct a dry run for 45 days that will start from mid-October. This is being done to equip the staff and checkthe operations thoroughly before the Metro corridor isopened for public.

Although elevated corridors of Phase I are almostcomplete, the trains can only ply between Mansarovarand Chandpole in mid-December. The Chief ManagingDirector (CMD), JMRC, N C Goel said, �The Metro canbe commercially operated from mid-December. Before thata dry run for one and a half month will be conducted andthis will be the testing period�.

According to the officials, the staff and trains willfunction just as they would when operational. The exerciseis to made the system smooth. (ToI, 02.09.14)

Metro Updates

Check on InflationChief Minister, Vasundhra Raje,

has asked the Food and Civil SupplyDepartment to come out with a planto sell vegetables and pulses throughPublic Distribution System (PDS) atlow prices in the State. The step wastaken as a measure to put a check oninflation and rise of prices of essentialcommodities.

The State Government would takeurgent measures against hoarding of

essential commodities, vegetables andfood grains by black marketers, saidRaje to review price rise and steps tocheck the same.

Raje set up a four memberCommittee to review the inflationindex, availability of foodgrains,vegetables and other essentialcommodities in the market. TheCommittee will conduct a study onthe price variations of various foodproducts in the State and wouldsubmit its report to the ChiefMinister�s office.

(DNA, 09.07.14)

CityMattersCityMattersCityMattersCityMattersCityMatters is a quarterly newsletter published by Consumer Unity & Trust Society (CUTS), D-217, Bhaskar Marg, Bani Park, Jaipur 302016, India,Phone: 91.141.2282821, Fax: 91.141.2282485 Email: cuts@cuts.org, Web site: www.cuts-international.org, and printed by Jaipur Printers P. Ltd., Jaipur, India.

CUTS offices also at Kolkata, Chittorgarh and New Delhi (India); Lusaka (Zambia); Nairobi (Kenya); Accra (Ghana); Hanoi (Vietnam); and Geneva (Switzerland).

Sources: AN: Amazing News; BL: The Hindu Business Line; DB: Dainik Bhaskar; DNA: Daily News Analysis; HT: Hindustan Times; OC: Oddity Central; RP: Rajasthan Patrika; ST: Shocking Times; ToI: Times of India

OpinionOpinionOpinionOpinionOpinion

CtrlAltRefreshRajasthan Budget: Leaving Unanswered Questions

Chief Minister, Vasundhra Raje�s Budget tries to answerquestions surrounding the economy of the State

through her budget speech, including that of job creation.However, questions remain over how the Government willachieve the target of creating 15 lakh jobs over the nextfive years or how the Public Private Partnerships (PPP)would be executed to the advantage of the end user. Indeed,job creation is a core agenda of any government in thecurrent dismal scenario, but not the only one.

Addressing the availability of basic needs and at theright price is always a challenge. However, inflation, growthand corruption as issues played a distinct role when peoplevoted to change and elected new governments in the Stateand at the Centre. Managing expectations will, therefore,remain critical throughout Vasundhara Raje�s currentregime.

Jobs can only be created when there is a job-orientedgrowth and a clear strategy to achieve a goal of doublingof our Gross State Domestic Product (GSDP) from thecurrent level of M4.8 lakh cr to M10 lakh cr by 2020. If thispath is forged then creating 15 lakh jobs will fall in line.The how to go about it has not been spelt scientifically inthe Budget speech.

The achievement of higher growth needs higher labourintensive manufacturing and services. For that to happen,many things have to be done in parallel and not just inlinear mode in both the hardware and software ofgovernance. While the Government has already announcedreforms in Labour Laws, the draconian Land AcquisitionLaw is yet to be addressed at the level of the State, even ifthe Centre moves slower.

Land and other related issues will be a problem inroad building agenda. However, opening up the roadtransport sector to private participation is a welcome

feature, but road safety, which costs three percent of ourGross Domestic Product (GDP), is tragically missing.

The proposed road regulator should be a compositebody, which should oversee all the three areas: roads,transport and safety. A PPP approach to build roads isalso welcome but the contracts will need to be drafted ina pragmatic manner, otherwise we will suffer the fate ofthe stalled National Highway projects. But tolling thesesmaller roads will be a problem with disruptive localdynamics. Real cost pricing for water too is welcome, buthow can the State ensure water supply when factors arenot in their control and Rajasthan is a problem State.

Turning some of the city Discoms (distributioncompanies) into PPP ventures too is welcome but onceagain care will be needed to ensure that consumers do notend up in the frying pan, and that the State does not loseits rightful revenue share. Our experience with most PPPprojects in infra is that they are grabbed by resourcefulpeople through crony capitalism and costs are inflatedthrough gold plating as we see in our major PPP airportsor even the oil exploration contracts.

Many of the reforms proposed will be opposed by vestedinterests. Administrative reforms have not been spokenabout at all, and good governance features in one para inthe context of road transport. Without administrativereforms the Government machinery will move in abusiness as usual manner i. e. while the spirit may be strongthe flesh will be weak.

Our bureaucracy is so opaque and unresponsive, andfor that to change in feudal Rajasthan will need a clarioncall from the Chief Minister. If that is done, many of thereforms can be carried out by Team Rajasthan, comprisingall stakeholders including the civil society, which she speaksabout so beautifully in her speech.

Every budget is a reboot of the previous year�s planning.The 2014-15 budget presented by Vasundhara Raje,however, is more than a reboot where she decidedly takescontrol over State�s finances, takes alternate routelike PPP model to fund infra development and tinkerswith tax structure in a way that taxes luxury goods andservices to refresh the flagging economy of the State.

* Secretary General, CUTS International. This article was published in DNA on 15.07.14

Pradeep S Mehta*