Update on India’s States: July 3, 2019

The Ministry of Power orders discoms to maintain assured payment guarantees with banks to address the financial health of the power sector at large; Andhra Pradesh cancels permissions for bauxite mining; Madhya Pradesh passes new reservation policy for economically weaker members of the state; Rajasthan reverses decision to sell the state government’s stake in two power plants; Goa’s cabinet approves amendment to the Factories Act; Himachal Pradesh increases tariffs on domestic consumers; NITI Aayog releases a second edition of its States Health index; and more.

Center – State relations

The Ministry of Housing and Urban Affairs sanctioned funding for over 250,000 additional affordable houses in 10 states under the Pradhan Mantri Awas Yojana (Urban), bringing the total number of houses funded under the program to 8,400,000. Source: Live Mint In detail: Twitter Announcement

The Ministry of Power issued an order aimed at taming defaulting power distribution companies (discoms), asking them to maintain assured payment guarantees with banks for electricity purchases. Experts said the move is a bold measure by the central government and can address almost four-decade old issue of indiscipline by discoms. Source: Economic Times In detail: Press Release

NITI Aayog released the second edition of its State Health Index, ranking Kerala as the healthiest state in India, and Uttar Pradesh as the unhealthiest. Source: The Hindu Business Line In detail: Healthy States Progressive India Report – 2019

The National Thermal Power Corporation and PowerGrid Corporation of India Limited have jointly agreed to set up the National Electricity Distribution Company Limited, a joint venture where each company would hold 50 percent of the equity. Source: The Hindu Business Line

The center signed a loan agreement worth $400 million with the World Bank to help treat and eliminate tuberculosis from the country. The World Bank-supported program will cover nine states and will support the government’s National Strategic Plan to end tuberculosis  in India by 2025. Source: All India Radio In detail: Press Release

The center signed a loan agreement of $328 million with the World Bank for improved health services in Andhra Pradesh. Source: APN news In detail: Press Release

Andhra Pradesh, which has the second largest bauxite reserves in India, announced it would scrap permissions given to a state-run company by the previous government to mine bauxite for aluminium production in the tribal areas of Eastern Ghats. The state is estimated to have 600 million tons, or nearly 22 percent, of India’s bauxite reserves. Source: Economic Times

Nothing critical to report this week.

The Delhi government announced that it has deployed the first electric vehicles under its freight pilot program to deliver online orders. Over the next year, it plans to deploy up to 1,000 such vehicles. Source: NDTV

The Gujarat government announced it will pay an additional three percent dearness allowance to over 900,000 government employees and pensioners effective January 1, 2019, benefiting 961,638 employees and pensioners. Source: Business Today

Wind turbine maker Inox Wind announced it has commissioned the common power evacuation facilities at Dayapar site in Bhuj in Gujarat, which is capable of supporting power evacuation of over 600 megawatts (MW). Source: Money Control In detail: Press Release

 

Cleanmax Solar announced an investment of $86.8 million to set up a 150 MW of solar farm project in Haryana’s Sirsa district. Source: Economic Times

The Board of Directors of Haryana Rail Infrastructure Development Corporation Limited approved the detailed project report for the Haryana Orbital Rail Corridor Project, a new double rail line of around 80 miles (130 kilometers) route length from Palwal to Sonipat. Source: Daily Pioneer

 

The Karnataka government announced that state legislature’s monsoon session will be held from July 12 to 26. Source: Times of India

The 15th Finance Commission visited Karnataka and held discussions with key stakeholders, panchayat institutions, urban local bodies, political parties’ members, as well as Chief Minister H D Kumaraswamy and key government officials. Commission Chairman N.K. Singh raised concerns about rising inequality in the state, the rising debt to gross domestic product ratio in the state, and a very high poverty rate of 21 percent.  Source: News Today Net

The Congress government in Madhya Pradesh approved a proposal to reserve 10 percent of government jobs and seats in government-funded universities for “the economically weaker section” of the general category. The government defined this section as candidates whose family income does not exceed $11,580 annually. Source: Financial Express

 

Maharashtra finance minister Sudhir Mungantiwar presented a budget with a revenue deficit of $2.9 billion. The budget focuses on agriculture and employment generation, as well as subsidies for women and physically handicapped people, which was seen as a populist measure ahead of the legislative assembly elections later this year. Source: India Today

The Energy Efficiency Services Limited issued a Request for Selection to install 100 MW of solar power generating systems in the state of Maharashtra. The bid submission deadline is July 9, 2019. Source: Mercom

 

The Rajasthan government reversed the previous BJP government’s decision to disinvest the Kali Sindh and Chhabra power plants. While the previous government had decided to disinvest from the plants in order to reduce the losses of state power companies, the Rajasthan state cabinet reversed the decision following improvements in operational efficiency and financial condition of the thermal power plants. Source: Economic Times

The government of India, government of Rajasthan, and the World Bank signed a $250 million loan agreement for the Rajasthan State Highways Development Program II Project to build the state’s capacity to better manage and improve traffic flows on 476 miles of selected highways in Rajasthan. Source: Devdiscourse In detail: Press Release

Nothing critical to report this week.

Telangana recorded a 17 percent decline in sex ratio at birth from 2015-2016 to 2017-2018 according to a report titled “The Healthy States Progressive India Report ” by NITI Aayog. While the sex ratio at birth was 918 during the 2015-2016, it has come down to 901 in 2017-2018. Source: Times of India In detail: Healthy States Progressive India Report – 2019

The Telangana government has invited bids for companies to design and implement the One Telangana Card, a smart card ecosystem, which can be used for payment related to travel services in the state. Source: Live Mint

U.S. smart home and building automation company Hogar Controls announced an investment of $14.4 million to set up manufacturing facility and research and development center in Hyderabad. Source: The Hindu Business Line

The National Thermal Power Corporation announced that it has won 40 MW solar energy projects in an auction conducted by Uttar Pradesh New and Renewable Energy Development Agency recently. The company quoted a tariff of $0.04 per kilowatt-hour for a period of 25 years to win the auction. Source: Sau Energy

West Bengal government has announced a crop insurance scheme in collaboration with the Agriculture Insurance Company of India, for the 2019 kharif, or monsoon, season. The scheme called Bangla Shashya Bima (BSB) is applicable for farmers in 15 districts in the state. Source: Economic Times

Best of the Rest

Arunachal Pradesh

The Arunachal Pradesh Energy Development Agency introduced a tender for over 1 MW of off-grid solar photovoltaic (PV) projects to be installed in the state. The bid submission deadline is July 5, 2019, with the entire capacity divided into four packages. Source: Mercom

Goa

The Goa cabinet approved an amendment to Factories Act which will allow industries to employ women for night shifts. Deputy Chief Minister Vijai Sardesai said the amendment bill would be tabled in the upcoming monsoon session of the legislative assembly. Source: India Today

Himachal Pradesh

The Himachal Pradesh Electricity Regulatory Commission revised power tariffs for all domestic consumers, except below poverty line consumers. The commission increased power tariffs for these consumers by $0.007, and also increased fixed charges for all consumers not covered under demand-based fixed charges by $0.14 per month. Source: Times of India In detail: HPERC Order

Jharkhand

The World Bank approved a $147 million loan agreement to provide basic urban services to the people of Jharkhand and help improve the management capacity of the urban local bodies in the state. Source: India.com In detail: Press Release

Kerala

The World Bank approved a loan of $250 millio  to Kerala to rebuild the state following the August 2018 floods. The amount was given as part of its first tranche of the Development Policy loan to Kerala for post-flood rebuilding of infrastructure in the state. Source: The News Minute In detail: Press Release

Nagaland

The Nagaland government announced the creation of the Register of Indigenous Inhabitants Certificates of Nagaland (RIIN), with an objective to prevent issuance of fake indigenous inhabitant certificates. Source: Morung Express

Odisha

Finance Minister Niranjan Pujari presented the Budget for 2019-20 in the state assembly with a total budgetary allocation of $20.1 billion. Odisha chief minister Naveen Patnaik said with this budget the state government had fulfilled all the promises made before the recently held state elections. Source: Business Standard

Punjab

The Punjab Energy Development Agency issued a tender for 54 MW of solar-biomass hybrid projects to be developed in the state. The project requires the bundling of biomass and solar PV power in the ratio of 1:2. The bid submission deadline is July 23, 2019. Source: Mercom In detail: Request for proposals

Tripura

The Tripura government has increased the daily wage rate under Mahatma Gandhi National Rural Employee Guarantee Act program in the state from $2.50 to $2.77 per day. Source: Times of India

Uttarakhand

The World Bank signed an agreement to provide a $31.58 million loan for a project to improve Uttarakhand’s financial systems and provide better utilization of development resources in the state. A tripartite agreement was inked between the central government, the Uttarakhand government and the World Bank for Uttarakhand Public Financial Management Strengthening project.Source: Economic Times In detail: Press Release

The Uttarakhand assembly unanimously passed a bill barring people with more than two children from contesting panchayat polls and established new minimum educational qualifications for rural election candidates. Source: First Post

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