bihar on the move
TRANSCRIPT
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EMAIL ID:-
http://industries.bih.nic.in/Archiv
e/Presentation%20at%20IIM.pdfPresentation by
SHRI NITISH KUMAR
Chief Minister,
Bihar
BIHAR ON THE MOVE
CHALLENGES AND OPPORTUNITIESBIHAR
The land of enlightenmentBIHAR IS PROUD OF
Great Thinker : Chanakya
Scientist : Aryabhatt
Grammarian : Panini
Originator of yoga : Patanjali
Great kings : Bimbisar, Ajatsatru,
Chandragupta and Ashoka
RELIGIOUS AND SPIRITUAL TOURISM
Budhist : Bodhgaya, Rajgir, Nalanda,
Vaishali, Bikramshila and
Kesharia
Jain : Pawapuri & Vaishali.
Sikh : Patna.
Sufi : Patna, Sasaram.
Ramayan : Sitamarhi, Gaya.
http://industries.bih.nic.in/Archive/Presentation%20at%20IIM.pdfhttp://industries.bih.nic.in/Archive/Presentation%20at%20IIM.pdfhttp://industries.bih.nic.in/Archive/Presentation%20at%20IIM.pdfhttp://industries.bih.nic.in/Archive/Presentation%20at%20IIM.pdf -
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THE FAMOUS HANDICRAFT FORMS ARE
Mithila Painting, Manjusha Painting, Patna Kalam & GudiyaBIHARS RICH HERITAGE
Unique distinction of being the cradle of three religions Buddhism,
Jainism and Sikhism
Buddha attained Enlightenment at Bodh Gaya ,Mahavira attained
Nirvana at Pawapuri and 10
th
Sikh Guru , Guru Gobind Singh was
born in Patna Sahib
A great Hindu pilgrimage destination Vishnupada Temple for
Pitripaksha
A holy place for the followers of Sufi faith
Headquarters of the great Magadh empire
Vaishali in Bihar is credited as the first republic of world
Ancient university of Nalanda and Vikramshila
The land of rishis and thinkers like Chanakya , Parasuram, Gautam,
Yagyavalkya, Maitreyee, Gargi,Vidyapati,Mandan Mishra etcOUR STRENGTHS
TOP CLASS HUMAN RESOUCE
FERTILE LAND
ABUNDANCE OF WATER
CHEAP AND INDUSTRIOUS LABOURBUT THIS IS WHAT WE
INHERITED
BAD LAW AND ORDER PEOPLE FELT
INSECURE- WHICH LED TO FLIGHT OF CAPITAL
AND TALENTED HUMAN RESOURCE
CENTRALISED POWER STRUCTURE LACK OF
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TRUST IN THE HIERARCHY
LIMITED INTERACTION - UNIPOLAR COMMAND
SYSTEM
LOW MORALE OF THE BUREAUCRACYLOW PER CAPITA INCOME LOW GROWTHRATE
LOW CREDIT
DEPOSIT RATIO
LOW HUMAN DEVELOPMENT INDICES
OUR OPENING BALANCE
(this is where we started)
7690
21142
3776
3334
0
5000
10000
15000
20000
25000
1993-94 2003-04
66
27.8
20.7
56.7
0
10
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20
30
40
50
60
70
2001 2005
5.5
7
8.5
2.9
4.01
0
1
2
3
4
5
6
7
8
9
9th
Plan
10th
Plan
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11th
Plan
India
BiharMOTTO FOR A NEW BIHAR
AGENDA OUTLINED IN THE
COMMON MINIMUM PROGRAMME (CMP)COMMON MINIMUM PROGRAMME (CMP)
SOME MAJOR THRUST AREAS
GOOD GOVERNANCE
DECENTRALISATION OF POWER
EDUCATION
HEALTH
EMPLOYMENT
ROADS
POWER
IRRIGATION
AGRICULTURE DEVELOPMENTCOMMON MINIMUM PROGRAMME (CMP)
SOME MAJOR THRUST AREAS
IMPROVEMENT IN THE CONDITION OF THE CANE GROWERS
RURAL DEVELOPMENT
LAND REFORMS
INDUSTRIALIZATION
SOCIAL JUSTICE AND HARMONY
MINORITY WELFARE
TOURISM
URBAN INFRASTRUCTURE
YOUTH WELFARE , SPORTS AND CULTURESTRATEGY FOR
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DEVELOPMENTDEVELOPMENTAL STRATEGY
Multi dimensional approach for improving
educational and health outcome through
working with private, public and non
governmental organizations.
Administrative Reforms, capacity build up
and strengthening of the institutions for skill
upgradation.Utilisation of idle capital assets.
Efficient use of existing potential.
Direct investment from Central Government.
Initiatives in areas of strategic importance
e.g., Infrastructure such as Road, Bridges,
Power, Increased Agricultural Productivity,
Water Management including Flood Control
& Interlinking of Rivers.
Policy Initiatives for increased Private
Investment.
STRATEGY FOR 8.5% GROWTHPublic investment postulated to go up from Rs
21,000 cr in 10th Plan to over Rs 58,000 crores in
11th Plan
Share of private investment in total investment
postulated to go up from the present 59 % to 65 %
State intends to attract large share of private
investment and FDI
Strategy would be through Infrastructure
Development as well as Investments in Social
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Services (Education, Health and Nutrition)
INVESTMENT 40% Growth in Plan Expenditure in 2005-06
60% Growth in Plan Outlay 2006-07
Per Capita Plan Expenditure has gone up
from Rs 275.75 in 2002-03 to Rs 558.19 in
2005-06
THE NEW THRUSTGood Governance throughTransparency & right to information
Ensuring wide participation of citizens/NGOs
in developmental programmes.
Office management reforms
Use of IT
ADMINISTRATIVE REFORMSEffective control of crime through enforcement of rule of
law and speedy
trial
Administrative Reforms Administrative Reforms Commission set up
Land Reforms Land Reforms Commission set up
E-governance with the help of TCS and IL&FS- Institute of Smart
Governance appointed as consultant
Appointment of reputed consultants for various specialised activities
Restoring morale of civil service
Holding of JANTA KE DARBAR MEIN MUKHYAMANTRI
Institutionalised mechanism for Public Grievance Redressal
Mukhyamantris Gup-Shup session to provide an opportunity to all
sections of people to give suggestions on various aspects of governance
Attack on corruption
GOOD GOVERNANCE Decentralization of power power of sanction
enhanced from Rs. 1 lac to 20 crores for
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Departments
Enacted the Bihar Fiscal Responsibility & Budget
Management Act 2006 (FRBM) to eliminate the
revenue deficit by 2008-09
To raise non-tax revenues
FISCAL REFORMS To prescribe norms for prioritization of capital
expenditure & pursue expenditure policies
Presented the states first Medium-Term Policy
Statement
Full Budget before March 31
Finance Bill was presented for the first time in 15
years
Presentation of White Paper on the state of
finances before the legislature
FISCAL REFORMS50% Reservation for Women in
Panchayat Election and reservation for
EBCs
50% reservation for women in
appointment of over 2.36 lakh teachers
Empowerment of long-deprived
sections of societyINDUSTRY INDUSTRYIndustrial Growth low at 0.38% during 10
th
Plan as
against National average of 7.8%.
Lack of quality infrastructure, inadequate finance and
credit facilities for availability of power & lack of
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entrepreneurship are the reasons.
Bifurcation of the State industrial base and
infrastructure went to Jharkhand.
STATUSNational goal for industrial sector & manufacturing
during 11
th
Plan is 10% & 12% respectively.
For Bihar to contribute to achieving these growth
rates the goal for its industrial growth rate as to be at
least 15%.
The industrial growth in areas in which the State has
comparative advantage such as
9 Agro processing
9 Handlooms & Textiles
9 Handicrafts
9 Leather
9 Drugs & Pharmaceuticals
are to be promoted.
VISIONFor creation of employment opportunities
To develop rural economy.
To generate additional resources for
Government for poverty alleviation.
NEED TO PROMOTE INDUSTRYValue Addition Potential
9 Food Processing
9 Leather
9 Drugs & Pharmaceuticals
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9 Textile
Downstream petrochemicals engineering.
Access to market.
Out migration of skilled and un-skilled labours.
STRENGTHSMajor impediments to investment
9 Absence of long term policies, non
implementation/ reversal of policy and approach
of contract.
9 Inflexibility of labour laws.
Poor infrastructure Government has already
initiated steps to remove impediments.
They are:-
9 Creation of enabling environment, legislative
action, administrative reforms.
9 Improvement in public delivery system.
INVESTMENT CLIMATEBihar Single Window Clearance Act-2006
Bihar Infrastructure Development Enabling Act 2006.
New Industrial Policy -2006
Price Preference Policy- 2006
New Policy Initiatives for Entertainment, Tea
Processing and Sugar Sectors - 2006.
Policy for establishing higher Technical Institutions
in Private Sector - 2006.
Simplification of VAT Regime - 2006.
RECENT POLICY INITIATIVESNew Industrial Policy, 2006
9 Salient Features:
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- Exemption from Stamp Duty & Registration
Fees.
- Land allotment at concessional rates.
- Reimbursement of 80% of VAT deposited.
- Incentives upto 50% on captive power
generation.
- Packages for rehabilitation of closed & sick
units.
GROWTH PROMOTING POLICIESSugar Incentive Policy
9 Reimbursement of Central Excise Duty on Sugar.
9 Exemption of purchase tax on sugar.
9 Exemption from Stamp Duty & Registration Fees.
9 Grant of 10% subsidy on capital investment with a
ceiling of Rs.10 crore.
9 Exemption of administrative charge on molasses.
9 Reimbursement of VAT on molasses.
9 Grant for 10% subsidy on capital investment with
a ceiling of 3.5 crore.
9 Exemption of electricity duty on co-generation
power laying of transmission line from factory to
the grid station by Electricity Board.
GROWTH PROMOTING POLICIESSalient features of the new Policy on the anvil.
9 Sandy/ non agriculture land or one crop
land to be preferred.
9 Existing agriculture farms to be utilised for
agro based industries, so as to reduce land
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acquisition to minimum.
Compensation
9 Additional compensation amount to be
offered over and above the rates provided
under the land acquisition act.
LAND POLICYEmployment
9 Employment of one member from
displaced family to be assured.
9 Additional 80 days of guaranteed
employment over & above 100 days
under NREGP, to agricultural labourers.
LAND POLICYTotal No. of Investment proposal
approved in the last 6 months by SIPB 54
Investment in Proposals approved 12,000cr
Direct Employment generation potential 20,000
e-governance project launched to monitor
implementation of programmes, for expeditious
decision and for transparency in governance.
MILESTONES19.72
284.76
14.81 11.75 14.52
0
50
100
150
200
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250
300
2002-03 2003-04 2004-05 2005-06 2006-07
YEAR
Rs. in Crore
PLAN EXPENDITUREFood Processing
Dairy
Sugar Sector
Textile Sector
Tourism Sector
Drugs & Pharmaceuticals
Leather
Service Sector (Hotels, Hospitality etc.)
Information Technology
Automobile/ Auto components
Agricultural Implements including Tractors.
AREAS OF OPPORTUNITYTraditionally, one of major sugarcane
growing states
Lowest sugar recovery in the state 9.45
% against national figure of 10.36 %
Most sugar mills closed down
OPPORTUNITIES SUGAR INDUSTRYNew Incentive Policies for Sugar Sector
resulted in 14 green field proposals from sugar
majors such as M/s Rajshree Sugars, Indian
Glycols etc.
Sugarcane cultivation area can be increased
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manifold
Appropriate land resources along with suitable
climate available
Investment in Sugar and ethanol production
need of hour
Expansion proposals for the existing Private
Sector Sugar Mills received.
OPPORTUNITIES SUGAR INDUSTRYState has taken appropriate measures
9 To promote new high yielding
varieties
9 Development of tissue culture labs
9 Coverage under tube well irrigation
programme
9 Revitalisation of closed sugar mills
OPPORTUNITIES SUGAR INDUSTRYTotal number of weavers in the State is more
than 90,000.
Strong weaving traditions in the state.
Bhagalpur known as leading silk city.
Gaya another major weaving centre around
8000 powerlooms operational.
Most of textile centres in state on decline,
producing low value goods.
Need of the hour- To move up the value added
chain.
Skilled and Cheap labour available.
TEXTILE INDUSTRYStrong traditional handloom clusters in the districts
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of Bhagalpur, Gaya, Nalanda, Darbhanga, Madhubani,
Siwan, Patna.
Infrastructure Leasing and Financial Services is
preparing Project Report for Textile Parks and also for
Cluster Development Programmes.
Govt. have announced series of measures for
improving the competitiveness.
Action already initiated for strengthening the training
institutions.
Training in Computer Aided Design has been
introduced.
Nathnagar Silk Institute is being revamped and
strengthened.
TEXTILE INDUSTRYDesign Centre at Patna and Dye & Processing
Centre at Nalanda & Darbhanga are being
strengthened.
Schemes for modernizing looms & construction
of work sheds are under implementation.
TEXTILE INDUSTRY 1145 Agriculture graduates trained in
agri clinic /agri-business management
Hard working farmers
QUALITY HUMAN
RESOURCES
Annual Rainfall 1297.2 mm.
Irrigation Potential
Surface water 6.33 million Ha
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Ground water 4.85 million Ha
Total 11.19 million Ha
Irrigated Area 4.88 million Ha
QUALITY WATER
RESOURCES
* Type Alluvial Plain *Texture Loam
* pH 6.57.5 *Medium to rich in NPK
QUALITY LAND
RESOURCES
AGRICULTURE IS CORE
COMPETENCE OF BIHARWHAT AILED AGRICULTURE
Inadequate Market- low prices & low income
No vision and policy
No respectability and attraction in farming
Basic infrastructure, like soil testing, etc. not
available
No farmer accountable efficient delivery
machinery
Dormant Research & Development MARKET INITIATIVES
Repeal of Agriculture Produce Market Act
Promotion of farmer interest groups and its
federations
Encouragement to Private & Co operative
Markets
Encouragement to private investmentMARKET RESPONSE
Widespread enthusiasm among farmers
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Investment proposal for 24 sugarcane based
& 4 maize based Industries
Sugarcane production to be increased 10
fold in 2-3 years
Proposals for export of fruits and vegetablesPOLICY INITIATIVES
Bihar to be compared to the National Best not
National Average!!!
5% Growth rate for food grains, 6% for
vegetable & 10% for fruit production
Focus on Maize, Sugarcane, Aromatic Rice,
Fruits and vegetables
Market led growth in production
contdPOLICY INITIATIVES
Better Nutrient Management including
organic manures & vermi-culture
Mechanization and conservation
Integrated Pest Management
Natural Resource management
Risk management
contdRESTORING CONFIDENCE IN FARMING
Best Farmers to be rewarded
Kisan Sri and a cash prize of 1 lakh at
block level (No.534)
Kisan Bhusan and a cash prize of 2
lakh at district level (No.38)
Kisan Ratna and a cash prize of 5 lakh
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at state level (No.1)
To to be nominated for Padma AwardsRESTORING CONFIDENCE IN
FARMING
Constitution of
Kisan Aayog
( Farmers Commission)
to look into the problems of farmersBUILDING BASIC INFRASTRUCTURE
FOR RESEARCH AND EDUCATION
Establishment of College of Horticulture
Establishment of New Colleges of
Agriculture
Establishment of College of Agri-Business
Management
Strengthening Bio Technology Research
contdStrengthening of Rajendra Agriculture
University and its constituent colleges
of
Agriculture,
Veterinary,
Dairy Technology,
Fisheries,
Agriculture Engineering and
Home science
contd
BUILDING BASIC INFRASTRUCTURE
FOR RESEARCH AND EDUCATION BUILDING BASIC INFRASTRUCTURE
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FOR QUALITY ENFORCEMENT
ESTABLISHMENT OF INFRASTRUCTURE
FOR
Soil testing at block level
Seed testing at district level
Micro nutrient testing at divisional
levels
Fertilizer testing
Pesticide testing
Pesticide residue testing
Bio control laboratoriesBUILDING BASIC INFRASTRUCTURE
FOR SEED SUPPLY
Revival of Seed production by Bihar
Rajya Beej Nigam
Revival of Seed production on Govt.
Farms
Establishment of Pusa Seed Society
Seed production by R.A.U & K.V.K
Seed production by farmers in seed
villages
Promotion of Private seed
companiesREORGANIZATION OF PROGRAMME
DELIVERY INSTITUTIONS
All existing models of extension to be
merged into one
ATMA created in all districts
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KVK created in all districts
Block and District levels to be
strengthened
Promotion of PPP mode in extension
& execution
Use of ICT in extension
Farmers to be involved in extensionINFRASTRUCTURE - ROADS
The State has
- 3629 Kms of National Highways
- 3232 Kms of State Highways
- 7714 Kms of Major District Roads The State had not done work of more than
25 Crores under Plan in any one year
for the past 5 years.
The allocations under Plan prior to our
taking office was as follows:
Financial Year Amount in Crore
2004-05 - 15.31
2003-04 - 9.65
2002-03 - 24.70
2001-02 - 14.80
INHERITANCE STATEMENT OF INTENT
In three years the State will
have Road Infrastructure which
will rival the best in the countryAll major corridors to be 4-laned:
718 Kms being 4-laned under Golden
Quadrilateral and East-West Corridor
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programmes - progress expedited by
ensuring swift land acquisition,
environmental clearances, shifting of utilities
and providing a sense of security progress
on these now much better than in
neighbouring states. Bihar sector of GQ
nearing completion.
INFRASTRUCTURE ROADS4-laning (contd)
890 Kms to be 4-laned under NHDP-III
earlier in Phase B as major companies
were reluctant to come to Bihar for PPP
projects now all major companies in the
road sector have expressed interest and
NHDP-III programmes in Bihar decided to
be shifted to Phase A by GoI.4-laning (contd)
Over 1900 Kms are being 4-laned
205 Kms under NHDP-I
513 Kms under NHDP-II
890 Kms under NHDP-III
245 Kms under Buddhist Circuit Project
127 Kms State Highways (under BOT)INFRASTRUCTURE State Highways
All State Highways being 2-laned
- DPRs prepared for 2045 Kms (22
packages)
- 10 Packages (984 Kms) tendered
- 11 Packages (900 Kms+) - DPRs approved
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to be tendered in the next 15 days.
- 1 Package DPR pending approval
1054 Kms Newly declared State Highways
DPRs under preparation Major District Roads being upgraded to
intermediate lane
- 4000 Kms - tenders received work allotment in
progress
- 509 Kms work in progress under RIDF
- Another 2000 Kms to be taken up in 2007-08
Patna Roads Project 157 Crores - Tenders
received under consideration
Works worth Rs. 494 Crores in progress
under Plan
INFRASTRUCTURE Major District RoadsTotal anticipated expenditure in the major
roads
sector in the next three years:
- 4-Laning - 11400 Crores (NHAI)
- State Highways - 4000 Crores
- Major District Roads - 2500 Crores
Total - 17,900 Crores
INFRASTRUCTURE ROADS contd The State Govt. shall provide all weather
connectivity to all unconnected villages
With a population of 1000 and above within the
next three years
With a population between 500 999 within the
next five years
Villages with a population of below 500 in three
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years thereafter.
Funding
PMGSY (Pradhan Mantri Gram Sadak Yojana)
Mukhya Mantri Gram Sadak Yojana
State Plan
RURAL ROADS Works taken up
Construction of 2400 Km of link routes and
upgradation of 2000 Km of through routes
costing Rs. 1416.88 Crores under Pradhan
Mantri Gram Sadak Yojana
Construction of 1000 Km of link routes costing
Rs. 300 Crores under Mukhya Mantri Gram
Sadak Yojana
Upgradation of 2460 Km of through routes
costing Rs. 599 Crores under State Plan
RURAL ROADS contdMukhya Mantri Setu Nirman Yojana
To cater to
Unbridged gaps
Replacement of narrow and dilapidated bridges
Requirement of additional waterway in North Bihar
roads that are regularly breached by floods
People-driven programme priority list decided by
peoples representatives
Bridge works worth Rs. 900 Crores taken up Outlay - increased the outlay under
Plan by
24 times to 678 Crores.
Systems - rationalised the procedures for
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Technical Sanction and Administrative
Approval - DPRs prepared - Technical
Sanction & Administrative Approvals given -
tenders invited for 1550 Crores within 3 to 4
months of the financial year.
INTERVENTIONS Standardised systems for contracting and quality
control to bring it in tune with current industry
best practices
- Contract Management - introduced the two bid
system.
- Introduced Standard Bidding Document
providing incentives for early completion and
disincentives for time over runs
- Provided for quick measurements and release of
payments for work done.
- Decided that no time extension shall be allowed
except in cases of force majure (A review of
schemes taken up in the past 15 years indicated
that no scheme had been completed within time)
INTERVENTIONS contd Quality Control - increased the defect liability
period to three years.
- Restarted the almost defunct quality control
laboratories
Construction Capacity - steps to enhance
capacity
- by tying up with banks to provide loans to
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contractors to procure machinery
- by National tendering so as to mobilize
construction capacity from other States
INTERVENTIONS contdNew Power Policy on the anvil whose
CORE COMPONENTS are :-
Augment generation and distribution by
encouraging Private investment
Bring down Average Transmission and
Commercial losses (AT&C) by 3% p.a. in
the next five years
Stop cross subsidy and recover costs
POWER REFORMS 5 Nuclear Power Project 2000 16,000
8 X 500 / 4 X 2000 16,000
1000
4 Pirpainti T.P.S., Bhagalpur
Total :=> 7750 59,350
5750
2000
2000
500
250
Total
Capacity
(MW)
23350
8000
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16000
2250
1100
Estimated cost
(Rs. in crore)
4 X 500
8 X 500 / 4 X
1000
2 x 250
1 x 250
Capacity (MW)
MTPS Stage I
Extension: Stage II
1
Total
3 Katihar TPS:
2 Nabinagar TPS
Sl. New Projects
No
PROPOSED THERMAL PROJECTS
TO AUGMENT GENERATION
NIT has been issued for tariff based competitive bidding
for RFQ and offers received from national industry leaders
like TATA, RELIANCE, CESC etc Shell companies being formed to
secure coal linkage, environment
clearance, land acquisition etc.
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PROPOSED THERMAL PROJECTS9SEB is being re-organized into 8
companies. Power Finance
Corporation appointed consultants
for implementation
9 State Regulatory Commission is in
place and application filed for tariff
revision
POWER REFORMS9 Appointment of Franchisee in all 11 KV
distribution lines to be completed by Nov. 2006
for IMPROVING CUSTOMER SERVICES &
BOOSTING revenue collection
9 Already 31 such lines have been handed over
to private parties for maintenance, minor
repairs, fuse calls, billing and revenue
collection and revenue has increased
substantially in most of them and in some
nearly by 100%
POWER REFORMSHYDRO POWER IN BIHAR
After partition Bihars hydro power potential had been
estimated at 3318 MW, the break up of which is as follows:-
Small projects (upto 25 MW capacity) MW
46 projects 72 MW
Big (above 25 MW capacity)
Indrapuri Reservoir Project 450 MW
Pumped Storage Plants 2570 MW
Kosi river (Run of River) 226 MW
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Steps have been initiated to renovate and modernize the Kosi
Hydro-power Station (19.2 MW) which has been running in recent
years at a derated capacity of 1 MWThe pace of urbanisation has been slower in
India as
compared to other countries in the world.
LEVEL OF URBANISATION
11.78
17.3
30
32.1
27.8
47
1951 2001
China
India
World
% of urban populationURBAN INDICATORS
The level of urbanisation in Bihar (10.5%) is
much below the national average (27.78%); way
behind states like Maharastra (42.4%).
Using per capita water supply as a surrogate
variable, Bihar (61 litres per day) is woefully
below the National average (142 litres per day)
and that of Maharastra (175 liter per day) in
civic amenities.
Urban poverty in Bihar (32.91%) is much above
the national average of 23.62%.81
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219
77
37
623
0
100
200
300
400
500
600
700
2002-03 2003-04 2004-05 2005-06 2006-07
Year
PLAN EXPENDITURE/OUTLAY
(in Rs. crore)
Introduction of a system of Introduction of a system of
URBAN REFORM INITIATIVES
In order to attract investment in multiplexes and malls,
State Government has computerised registration of land
URBAN REFORM INITIATIVES INVESTMENT IN URBAN INFRASTRUCTURE
Emphasis on creating and augmenting basic
infrastructure facilities in water supply, sewerage,
storm water drainage, solid waste management,
roads and bridges in all the 122 ULBs in the State.
Master Plans and GIS Mapping of major towns
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have been taken up.
The City Development Plan for Patna and BodhGaya under the National Urban
Renewal Mission
have been posed to the Government of India,
envisaging an investment of Rs. 3580 crore for
Patna, (posed for JBIC assistance) and Rs. 420
crore for Bodh-Gaya.
Patna Regional Development Authority to enter
into project preparation and partnership
agreement with IDFC for Urban Infrastructure
projects.INVESTMENT OPPORTUNITIES
There is tremendous opportunity for both private
and public sector investment in the urban sector
in Bihar:
Multiplexes and Malls
Housing Complexes
Mass transit systems
Tourism
Communication facilities
Basic infrastructure such as water
supply, drainage, solid waste
management. Birthplace of two religions Buddhism & Jainism
and of the 10
th
Guru of the Sikhs
Vision for exploiting the comparative advantage
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Provide world class connectivity air
connectivity, expressways
Construction of 5 Star Hotels, Golf Courses,
Yoga and Meditation Centres at Gaya, Bodh
Gaya, Rajgir, Pawapuri & Vaishali market
these as centres for peace and rejuvenation
International University at Nalanda
TOURISMFirst Steps .
Development of Airport of international
standard - International airport at Gaya -flights
from Thailand etc land for extension being
made available.
International Golf Course (18 Holes) designed
by PGA - Land acquired at Bodh Gaya
Further Steps
Development of Natural Hot Springs at Rajgir
International Conventional Centre at Nalanda /
Rajgir
Consultant from WTO visiting to draw strategic
plan
TOURISMOPPORTUNITIES IN NALANDA-RAJGIRBODH GAYA
9Conceptualization of the development of the entire region
9Some of the projects at different stages of development
University of Nalanda
International Convention Centre
International Golf Course (18 Holes)
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Development of Airport of international standard
Integrated Forest Dev Project (Eco Tourism)
Development of Hot Water Spring (Health Tourism)
Hotels and Resorts/ Water Sports
Ordinance Factory, CRPF Training Centre, PTC, Sainik
Schoolalready coming up
Ordinance Factory, CRPF Training Centre, PTC, Sainik
Schoolalready coming up
Ordinance Factory, CRPF Training Centre, PTC, Sainik
Schoolalready coming up
Virayatan (Jain Centre), Nalanda Maha Vihar: existingPATH BREAKING INITIATIVES
Addressing quality of secondary
education
Additional rooms, repairs, games
and sports, computers
Infrastructure improvement
12,000 backlog, 10,000 additional Expansion of access by 33%
teachers
Expansion of access to
secondary education
Commitment to equal opportunity
and social justice
Implementing the NPE 1986/92
and Right to Free Education (21A)
Common School
Commission
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Towards free education and
equity
CCT- uniform,stationeries, TLM,
improved MDM services
For children
40 children per CR in 2-3
years,quality improvement
Integrated school development
approach
Make a school, not add
classrooms
40:1 (PTR), conditions for
improved GER and enrolment of
out-of-school children , women
teacher- 40%.
Decentralized (PRI), technology
driven, merit based ,transparency
abolish para-teachers
Recruit 2.36 lakh elm and
sec school teachers
Initiatives Salient features ImpactOPPORTUNITIES AHEAD
To bring them on the central university pattern, to give
autonomy and facilitate raising of private finances, scope
for PPP
Comprehensive amendments of
existing university laws and
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restructuring HE bodies
Scope for PPP in secondary and senior secondary
schools in the area of skill building, vocational /IT..
Skill building, vocational courses and
IT in secondary schools
States resolve, opportunities to participate in the
development of these institutions
Establishment of Chankya National
Law University and BIT extension
An international university of excellence being set up at
Nalanda, land acquisition has begun, a harmonious
combination of classical and modern courses planned,
scope for PPP
The University of Nalanda
Opportunities for opening private technical &
professional institutions and affiliate with this University,
market of 30,000 students migrating from the state for
technical courses, scope for PPP
Aryabhatta National University of
Technology and Management Bill
2006
Enabling platform Investment opportunitiesGoal
To Raise the Infrastructure and
Services in Health Sector to Indian
Public Health Standard.Where we started
Full Immunization-11% (India 54%; Census-2001)
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Maternal Mortality Rate-452 (India 407; NFHS-II)
Patient attendance at PHC - in Jan 2006 Avg.per PHC
39 per month
More than 85 % patients are going to Pvt. Sector
Recent Initiatives
Infrastructure
Public Private Partnership/ Out Sourcing of Services
Routine Immunization
Drug DistributionAverage No. of Patients Visited Per Month Per
PHC
Average No. of Patients Visited
39
648
1010
868
1303
1542
2727
3015
0
500
1000
1500
2000
2500
3000
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3500
Jan-06 Feb-06 Mar-06 Apr-06 May-06 Jun-06 Jul-06 Aug-06
Month
Average No. of Patients
Visited per Month per PHCWhy Private Investment in Health
Sector ?
Large no. of patients go out side for
specialized treatment.
In the AIIMS, about 1.5 million OPD
and 80,000 IPD cases are treated
annually.
According to un-official estimates up
to 50% of the patients treated in AIIMS
are from Bihar.
Limited super Specialty Services
availablePrivate investment is
required in the State of Bihar
Govt. has adopted two mechanism to facilitate private
investment
1. Private Investment
2. Investment through Public Private PartnershipAmbulance Services
Rogi Kalyan Samitis (RKS) to
arrange for ambulance in all
the hospitals.
Max. rate of Rs.500/day as
rent Contract for one year.
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Fuel Charges per Km to be
decided by RKS
Ambulance User charges to
be decided by RKS
PPP
Pathology Services
Radiology Services
Hospital Maintenance
Ambulance Services
Mobile Medical Units
Operationalisation of
APHCsAPHC- Outsourcing
36 APHCs outsourced, another 50 on the
anvil
Rs.6,28,906 per year per APHC
Service Package
General OPD
Immunization
Gynae services.
Routine pathological tests
Minor operations
Family planning operation (with the help
of PHC)
One ambulance for referring patients
Manpower
One doctor and 5 para medics/assistants
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PPP
Pathology Services
Radiology Services
Hospital Maintenance
Ambulance Services
Mobile Medical Units
Operationalisation of
APHCsFREE MEDICINE SUPPLY
Free Medicine (13
essential OPD drugs
and 24 IPD drugs, all
drugs under national
Programmes) to be
given to patients.
From November 2006 all
expenses on Medicines
for indoor patients will
be provided free of Cost.Hospital Maintenance Services
Maintenance of Hospital
Premises.
Generator Facility.
Cleanliness of Hospitals.
Washing
Diet.
Centralized rate contract finalized
and each district given three
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parties to choose from.
23 districts have already started
using these services
PPP
Pathology Services
Radiology Services
Hospital Maintenance
Ambulance Services
Mobile Medical Units
Operationalisation of
APHCsInvestment already made for
Infrastructural Development
Total
Referral Hospitals 15
District Hospitals 27
Sub-Divisional Hospitals 23
APHCs 73
PHCs 398
Up gradation of Health Facilities
FRUs 76
ICUs 22
District Hospitals 11
Sub-Divisional Hospitals 20
PHCs 62
Health Sub-Centres 751
Construction of New Health No.
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Facilities
Rs.222 Crores
Rs. 2.43 crores
Rs 95 Lakhs
Rs. 95 Lakhs
Rs. 24 lakhs
Rs 23 lakhs
Rs. 34 Lakhs
Rs. 6.42 Crores
Rs 4.91 Crores
Rs 60 Lakhs
Rs 6.4 Lakhs
Unit Cost of ConstructionMobile Medical Unit (MMU)
APAN ASPATAAL
Rajbhra Consultants Pvt. Ltd. New
Delhi @2.24 lacs/unit. Monitoring
and Payment through DHS
Service Coverage
General OPD,
Gynae clinic
Infant and Child Care
Minor lab investigations,
Radiology Services
Minor surgical operations (where
specialist is available)
Emergency services
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Sasaram 1 1
Arrah 2 1
Patna 1 -Opportunity for Private Sector
Investment
1. Land available for Medical
College/Hospitals with Housing
Board at Patna.
2. Land also available with
BIADA at Patna, Fatuha,
Hazipur, Muzaffarpur,
Darbhanga, Purnia, Bhagalpur,
Katihar, Madhepura.
3. Private land in the State is
available at much cheaper rate
than in other States
Private Investment
Investment through Public
Private PartnershipOpportunity of Investment in
Pharmaceutical Sector
In Bihar Total consumption of Drugs is worth Rs.
1500 Crores
The value of Drugs Manufactured by
Pharmaceutical Companies in Bihar is Rs. 50
Crores. (Including Aurvedic & Homeopathy)
There is huge gap in consumption of drugs in the
state & present manufacturing capacity.
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Untapped potential exists for setting up
pharmaceutical firms in the state. Pathology & Radiology-PPP
District hospitals to have Labs
Collection Centre at PHCs
Reports within 24 hours
Sen Diagnostics & Central Diagnostics -
19 districts each
Radiology- all 38 districts IGEMS
Silvassa
All units to be functional by Dec2006
Space being provided to them against
rent, no Investment by Government
Govt. patients to be charged for
identified tests as per the prefixed rates
for both pathology & radiology. Party
free to charge as per their rates for other
tests.
Party free to charge for all the tests as
per their rates from other patients
PPP
Pathology Services
Radiology Services
Hospital Maintenance
Ambulance Services
Mobile Medical Units
Operationalisation of
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APHCsPPP
We want the doctors/paramedics to be free from the
management of support services, so that they can
concentrate on providing the specialized services they
are meant for.
Pathology Services.
Radiology Services
Hospital maintenance
Ambulance services
Mobile Medical Units
Operationalisation of APHCs
Recent Initiatives
Infrastructure
Public Private
partnership/Out
Sourcing of Services
Manpower
Routine Immunization
Drug distributionSetting up super specialty center through PPP mode
Patna Medical College , Patna
Nalanda Medical College, Patna
S.K.M. Medical Collage, Muzaffarpur
A.N. M. Medical College, Gaya
J.L.N. Medical College, Bhagalpur
IGIMS, Patna
Jay Prabha Hospital, Patna
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Guru Govind Singh Hospital, Patna City
Pilgrim Hospital, Gaya
IDFC has already been contacted for preparation of DPR & bidding documents.
Private Investment
Investment through Public
Private PartnershipRoutine Immunization in Bihar
Year 2006 declared as Routine
Immunization Year by Chief
Minister.
Alternate vaccine delivery system to
the Sub- Centre through Private
Couriers instituted
In addition to Wednesday, Saturday
declared as regular RI days
Full Immunization increased from
11% to 43%
Recent Initiatives
Infrastructure
Public Private
partnership/Out
Sourcing of Services
Manpower
Routine Immunization
Drug distributionMAJOR INITIATIVES IN RURAL
DEVELOPMENTBELOW POVERTY LINE (BPL) LIST
Earlier BPL list very defective
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Special Gram Sabhas held on same dates throughout State
for intensive verification of Household Survey list.
Spot verification again of all families in draft lists with
scores between 0 and 20, and SC, ST and Extremely
Backward Caste families scoring above 20.
State-level Observers deputed for spot verification
Appeals decided by SDO & DM on basis of this process
Final computerised list ready (will be placed on website after
cut-off is decided)
Ranking as per numerical scores with poorest at top and
less poor below
Two reputed local institutions, AN Sinha Institute & ADRI,
doing random sample verification
BPL list will ensure targeted delivery of basic necessities of
ration, education, health services including free medicines
to poorestINDIRA AVAS YOJANA
Several complaints about corruption & ineligible families being
given IAY
IAY allotments now strictly as per prioritised BPL waiting list after
verifying that family is really houseless or has kuccha house
Minimum 60% for SC, ST
Accounts opened in Banks in name of beneficiaries
Payments @ Rs.24,000 each out of Rs.25,000 so beneficiaries dont
have to approach authorities repeatedly
Payments not to individuals but to groups of beneficiaries through
consolidated cheque for whole group to Bank along with advice slip
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with names of beneficiaries
Beneficiaries being made into Self Help Groups so that they can go
to Bank as group & buy house construction material collectively
with greater bargaining power
Beneficiaries also advised about programme & warned not to
misuse the money
New process eliminates discretion of officials in selection &
paymentSWARNAJAYANTI GRAM SWAROZGAR
YOJANA
Monthly meetings & joint reporting by DRDA & Banks at
Block & District levels
Stress on Self Help GroupsGRAM VIKAS SHIVIR
Like Janata ke Darbar mein Mukhya Mantri, Gram Vikas
Shivir takes entire Block-level Govt machinery of all
departments to Gram Panchayat
Every Wednesday, BDO, Revenue Officer (Anchal Adhikari),
Block Medical Officer, Animal Husbandry Officer, other
Extension Officers of all departments, Officer-in-Charge of
Police Station camp on rotational basis in different Gram
Panchayats and dispose of work there
Gram Sabhas held, Govt schemes explained, inspections
conducted, pending revenue cases disposed of, public
grievances attended to
All Gram Panchayats in Block will be covered in 10 to 20
weeks depending upon number of Panchayats in Block
This will also activate & institutionalise Gram SabhasRURAL EMPLOYMENT
GUARANTEE
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SCHEME
Out of 38 districts, Centre notified 23 under National Rural
Employment Guarantee Act
Bihar covered remaining 15 districts under State Rural
Employment Guarantee Scheme identical to NREGS
Centre requested to permit merging Sampoorna Grameen
Rozgar Yojana (SGRY) into SREGS