1st Round-Table with Shri Gopinathrao Munde
on “ Mahrashtra Economic & Industrial Challenges”

10th August 2007 at Cricket Club of India

         
Mr. Nandkishor Kagliwal, welcoming the guests.
Others from L to R are :
Mr. Vithal Kamat, Vice-President, MEDC, Mr. Gopinathrao Munde,
Mr. Shamrao Chougule, Vice-President, MEDC
Mr. Gopinathrao Munde, addressing the audience

Audience at meeting

MEDC organized an special interactive meeting on “Mahrashtra Economic & Industrial Challenges” on 10th August 2007 at CCI. Mr. Nandkishor Kagliwal, President MEDC welcomed the distinguished speaker.

Shri Gopinathrao Munde flagged issues like Agriculture and Power situation, present and future scenario along with the problems and some ways to tackle these problems.

Shri Gopinathrao Munde gave an out line of the state’s Electricity and Agriculture demand. He said that Maharashtra, the most industrialized state in the country, has a power shortfall of 5500 MW. In agriculture sector the agricultural demand on electricity is seasonal but a must. He said there is a huge difference in supply and demand of Electricity.

MOU with government has been done and 10 Power projects were passed out of which 10,000 MW was expected. 2 years have been passed after signing but no further development is seen just because of electricity available was less.

1/3 Budget of Maharashtra was for Electricity but from past 3-4 years 1000 – 1200 cr was not given because of electricity problems.

In Enron Project – Enron was to supply 2100 MW out which 700 MW was in first phase and 1400 MW was to be supplied in the second phase of the project. Enron has already spent Rs 500 Cr for this project. Gas, which is being supplied from Gujarat, is also not sufficient for this project.

Maharashtra generates electricity on coal and this would be sufficient only for a period of 35 years and after that any alternative has to be suggested i.e., Power situation has to be checked and it should be pre planned instead of planning it after the situation arises. Industries should come forward to support and tackle such an issue. When we compare the Tariff paid by the Industries for electricity with other countries its high but its low among others in India. Steel Industry will be more affected, as it is one of the industries, which consumes more power.

Mahrashtra, U.P., Gujarat and Rajasthan have come up with new power projects. Government should make some policy to make such projects viable.

India should Import coal for less price, again Ethanol can also be looked into for alternative. After investing 2000 Cr 20% fuel can be utilized to generate electricity and can also be used as a fuel along with petrol for the vehicles.

Maharashtra has 174 sugar factories they can come up with power projects so that 2000 MW of electricity can be made from the baggas. The only problem in making these projects viable is because of the lack of the Equity with the sugar factories and that is where these power project ideas are stuck up. Joint Ventures should be made and private and corporate industries should come and support such projects.

There are number of Dams in Maharashtra and small power projects can be made through canals and around 2000 MW can be generated from the same. Similarly, at night electricity should be utilized to take water up at the heights and same water can be used at peak period to generate electricity which can then be used.

Agriculture:
Farming should be made viable so that farmers will not come to cities and hence the present alarming urbanization can be stopped. Almost 15% of the population works for 6 months in the villages and rest they go out of their villages in search of some work.

More than 30% of the land is under Non Agriculture land where water can be planned and the same can be made productive, 16% of land in maharashtra can be possible by planning water itself rest 14% of potential land is still lagging behind which needs to be targeted.

The present scenario of farmers committing suicides will not stop until the farming/farms are made Economically viable. Nobody is ready to invest in capital in farms, the old approach has to be changed and modern technology should be adopted.

4 Agricultural Institutes in Maharashtra has to be consulted and their suggestion has to be implemented and taken into account.

Almost 95% of farmers don’t have their own lands and even if they have then it would be either the piece of land and not the whole on which he works, Agriculture will be viable only if they have their own land.

Proper Crop planning has to be done which is lagging also Pre planning has to be done which no farmer is looking at and it has to be brought in.

Co operative and Corporate Farming is the only solution.

Israel University experiments are made practical which is not being done in Maharashtra even after having 4 valuable agriculture colleges and this has to be taken into account and looked into. Universities have 1000 acres of land, which is of no use now these lands should be put into actual practices. Green houses to be made which can be a solution for less water utilization especially in places where water is scarce.

After the farmer grows the crop there is no further experiments made on the grown part for example in case of sugarcane after extracting sugar the baggase left out can be used further for producing power, such topics has to be tackled and subsidy should be given so that these kind of projects will start and become viable.

Constant and Quality supply has to be done then only Mahrashtra will go ahead in the world agriculture competition for example constant Onion export should be started like Mangoes.
The meeting concluded with a Vote of thanks by Mr. Vithal Kamat, Vice-President, MEDC.