econimic development and pollution of india

8/9/2019 Econimic Development and Pollution of India

1/38


2/38

Presented by

Gopi GosaiAmit Gurav Sachin Ghulyani

A

Presentation on

Economic Development & Pollution

Zeel SharmaHitesh Aswani

Presented to :

Prof. Nisarg Joshi

Dt: 06/04/2010


3/38

Content

Economic Development

and Pollution.

Changing role ofGovernment.

Increased Pollution

Levels.

Regulations and its

impact on business &

industry.


4/38

India: From 1991-2008

16 Years

6 Government

5 Prime Ministers

ALL ARE AIMING FOR ONE THINGTHAT IS 8% GDP GROWTH

GDP Growth Forex FII Flow FDI Per

Capita

Inflation

1990 4.9 percent < USD 1 billion USD 1 million

(1993)

USD 97 million USD 390 9 percent

2008* 8.7 percent USD 309 billion as

on Mar 28, 2008

USD 16.1 billion

in 2007-08

USD 12.7 billion

in 2007-08 till

December (USD

16 billion in

2006-07)

USD 740 7.4 percent

as on March

29, 2008


5/38

India's GDP at Current Prices: 2002-07

469 556638 737

8301006

0

200

400

600

800

1000

1200

2002-03 2003-04 2004-05 2005-06 2006-07 2007-08

(AE)

USDB

illi

India: in terms of GDP & Development of sectors

AE - Advance Estimates

Fastest GDP growth of 9.4 percent in 2006-07, since last 18 years (at constant

prices)

Indias GDP has witnessed high growth, and was the second fastest growing

GDP after China in 2006-07


6/38

Per Sector Performances

105 105 135 145176

103 125204 231

270

561

191237

398453

0

200

400

600

800

1,000

1,200

1999-00 2002-03 2005-06 2006-07 2007-08

USD

Billion

Agriculture Industry Services

The sound performance of each industry segment is

leading to the overall robust performance of the Indian

economy


7/38

India: Robust Economic Platform

India's For

x Reserves: 2001-08 (Till 28 Mar

h 2008)

5475

112

141 152

199

309

0

50

100

150

200

250

300

350

2001-02 2002-03 2003-04 2004-05 2005-06 2006-07 2007-08

(Till28

March)

USD

Billion

External Debt-to-GDP Ratio

21.120.4

17.817.3

15.816.4

10

13

16

19

22

2001-02 2002-03 2003-04 2004-05 2005-06 2006-07

Ratio

Steadily

increasing Forexreserves offer

adequate

security against

any possible

currency crisis or

monetary

instability

Increased

confidence of

investors in

Indian

companies hasled to a surge in

cross border

borrowing by

corporate houses

In 2007-08 (till 28 March),Forex reserves witnessed a

growth of approximately 55

percent over 2006-07.

Indias Forex

reserves are in

excess of external

debt

the decreasingexternal debt to GDP

ratio indicates that India

has a sound economic

platform


8/38

India: Surging Exports

India' Imports: 2002-08

6278

112

150

191 192

0

50

100

150

200

250

2002-03 2003-04 2004-05 2005-06 2006-07 2007-08

(April-

De ember)*

USDB

illi

I ia's Exp rts:2002-08

5364

84

103

126 124

0

20

40

60

80

100

120

140

2002-03 2003-04 2004-05 2005-06 2006-07 2007-08

(April-

De

ember)*

USDB

illi

Petroleum products

are the majorcontributors towards

Indias growing imports

Quality and cost

advantage are the two

important parameters

leveraged by the Indian

producers to increasingly

market products and

services* - 2007-08 provisional data for period of April to December only

* - 2007-08 provisional data for period of April to December only


9/38

Net FII into India: 2001-07

1.8

0.6

10.0 10.29.4

6.7

16.1

0

2

4

6

8

10

12

14

16

18

2001-02 2002-03 2003-04 2004-05 2005-06 2006-07 2007-08

USDB

illio

149 percent

Increase

India: Attractive Investment Destination

With improved performance on PE ratio and ROE, Indian markets have attracted large investments

FDI Inflow - India: 2001-08

4,2223,134

2,634

3,755

5,546

15,730

12,699

0

4,500

9,000

13,500

18,000

2001-02 2002-03 2003-04 2004-05 2005-06 2006-07 2007-08 (t il l

December)

USD

Millio

185 percent

Increase

Electronic equipment,

manufacturing and telecom

have witnessed significant FDI

inflow

Large FII activity inIndia has led to an

upsurge in the

Sensex


10/38

India: Vibrant Capital Market

FIIs have infused

large investments

into the Indian

stock market

Encouraging

industry

performance

Increased local

investors

confidence

0

5000

10000

15000

20000

25000

1-Jul

-97

1-Jan-

98

1-Jul

-98

1-Jan-

99

1-Jul

-99

1-Jan-

00

1-Jul

-00

1-Jan-

01

1-Jul

-01

1-Jan-

02

1-Jul

-02

1-Jan-

03

1-Jul

-03

1-Jan-

04

1-Jul

-04

1-Jan-

05

1-Jul

-05

1-Jan-

06

1-Jul

-06

1-Jan-

07

1-Jul

-07

1-Jan-

08

11 December

2007 Crossed20,000 mark

07 February 2006

Crossed 10,000 mark30 December 1999

Crossed 5,000 mark


11/38


12/38

Major M&A Deals Undertaken Abroad by India Inc.

USD 12.1 billionUSD 12.1 billionTata Steel buys Corus PlcTata Steel buys Corus Plc

USD 6 billionUSD 6 billionHindalco acquired Novelis Inc.Hindalco acquired Novelis Inc.

USD 2.3 billionUSD 2.3 billionTata buys Jaguar and Land RoverTata buys Jaguar and Land Rover


13/38

USD 1.6 billionUSD 1.6 billionSuzlon Energy Ltd. acquires

REpower

Suzlon Energy Ltd. acquires

REpower

USD 11 billionUSD 11 billionVodafone buys HutchVodafone buys Hutch

Bharti buys stake in ZainBharti buys stake in ZainUSD 10.7 billionUSD 10.7 billion

Major M&A Deals Undertaken Abroad by India Inc.


14/38

Latest Indian Economy

Data


15/38

Video

A glimpse of Indian economy from youtube


16/38

Changing Role of Government


17/38

Introduction:

The market is the most appropriate instrument for

realizing economic growth & improving human

welfare

In the three and a half decades between 1960 &1995, government western economies assumed new

role & expanded existing ones.

As a result, in the 35 year period from 1960 onwards

the central government expenditure rose from less

than 20% of GDP to over 30%.


18/38

ECONOMIC ROLES OF THE

GOVERNMENT after 1991:

That is Globalization, Liberalization

and Privatization took place


19/38

As Regulator:

Laws & Policies were made to assure that

competition is maintained if not enhanced

The Antitrust laws The Government today prefers to rely more on

fiscal and monetary measures

Todays regulatory structure consists of old

and new.


20/38

As Promoter:

Infrastructure development

Introduction to advanced technical process

Promotion of Financial institution to functionas development agencies


21/38

As Planner

Adoption of economic planning after world

war-II for

- Achieving higher Growth rate- Better standard of living

- Efficient allocation of resources


22/38

As Facilitator

State-owned utilities provide electricity, gas

and water.

Also play a significant role in transport andcommunications.


23/38

After this facts andfigures

where we want to focus

is that

how this development

has negatively affected

humanity

andnature..???


24/38

What is Pollution?

It is contamination of Earths environment withmaterials that interfere with human health, thequality of life, or the natural functioning ofecosystems (living organisms and their physicalsurroundings).

Introduction by man, waste matter or surplus

energy into the environment, which directly orindirectly causes damage to man and hisenvironment.


25/38


26/38


27/38


28/38


29/38


30/38

What can we do?

Such as:

Copenhagen meet

Carbon creditpolicy

Small but effective

individual efforts


31/38


32/38

The Indian Fisheries Act, 1897

Indian Ports Act, 1908

The Indian Forest Act, 1927

HAZARDOUS WASTES

(MANAGEMENT AND HANDLING)AMENDMENT RULES, 2003

Environment Regulations in India


33/38

IMPACT

High compliance costs

Entire value chain

From the manufacturing of a product to thegeneration and disposal of waste and the reporting

of release of hazardous wastes,

High investment in clean technology

Small scale industries will be the most affected


34/38

Factors affecting the firms level of

compliance

Incentives like tax breaks, investment subsidyetc.

Market based instruments

Probability of detection

Penalties


35/38

Causes of poor Compliance to Environment

regulations

Lack of Flexibility,Over-Ambitiousness ofLaw and Standards

Weak Enforcement

Poor Monitoring

Lack ofEffective Punitive

Measures

Paucity of Funds

Incentive to Invest?


36/38

Measures for improving compliance

Public performance audit

Community pressure

Capital markets

Pollution levy

Emission trading


37/38

Questions


38/38

econimic development and pollution of india

Documents