Wired Broad band in India

Wired broad band is one of the most cost effective of building the backbone to deliver high speed connectivity to Tier II, Tier III cities and rural India. While providing "Open Access" on the existing fiber and copper is one of the best ways there are other interesting possibilities as well waiting to be exploited.

And that is the Optic Fiber run on Transmission Lines. Composite Optic Power Ground wire, which is run on existing Transmission Lines serve two distinct purposes. It acts as earth wire for the Line(shielding) and also provide Optic fiber (up to 24 fibers as a standard).

With the Electrical utilities, already having a ready made "Right of Way" , these Optic Fibers which are run on thees lines with the end equipments housed in various stations provide the opportunity to take Fiber along all the main state trunk routes. It also saves enormous costs for the utilities who are increasingly going on for Automation of billing, etc for which they are currently hiring broad band from ISPs.

With the enormous reach of the Electrical utility in the state and their established mechanism to provide O&M services, the Optic fiber once laid will provide additional revenue streams. It is also easy to break the fiber at intermediate Substations and add signals, This facilitates additions of intermediate stations which are other wise unattractive locations from the revenue point of view of Service Providers. One can also look at the possibility of leasing out space for the Mobile operators in the substations, along with back bone connectivity to provide wireless signals for the last mile.

For the utilities this provide a new stream of revenue and the government a cost effective solution.

Once the Optic fiber is in place connected, the Government can lease some of the fibers for its educational services, Telemedicine and e Governance. The surplus fiber can be either leased out as "Dark Fiber " or the utility can provide bandwidth as well.

TRAI shall take the decision to provide "Automatic" state level Service Provider's Licence to the Electric public utility as a starter.

PGCIL has already laid the fiber and is generating revenues. Some of the forward looking electricity boards are already working on it and has commenced the work. The time is right to take a decisive move on this initiative.

Olympic Myths

Olympic Myths

An interesting locals perspective on the Olympics has been presented in this article. While I agree with the views presented, it would do us all lots of good if we look at a possible solution as well for this "distortion" to ordinary lives and permanent alterations(damage!) to the locale.

Given the proven business model of Olympics, any progressive thinker like you (Mike) should propose an alteration to the model so that part of the business model stays. Any effort to totally alter the scheme will bring with it the enormous clout of the forces that stand to benefit from this once a 4 year show.

Some of my suggestion are:

1. Leverage technology: With the enormous capability of technology one can synchronize multiple locational events and present a coherent continuous spectacle to the Television audience which is the key funder of such extravagance.
   
2. Allow to bid for hosting specialized events only instead of the entire games. Such an effort will make it easier for new comers to look at creating a part of the facility and not burden itself with the issues of hosting the entire paraphernalia of the Olympic teams. It will drastically reduce the logistics effort required to move men and materials for the event, while bringing in more live(read physical) participation to encourage the sport and the participants.
3. Make use of the created facilities game after game. Such large facilities can be wasted away for a once in life time function. It has to be reused to conserve energy if not anything else. It also brings in enormous savings in costs of hosting subsequent Olympics.
4. Such an approach reduces the risk of security and partly saves the games from the efforts of evil minded eliminating the possibility of whole some interruption.

What would be the objections and who would be the objectors? Policy makers should think it out and act out the next steps.

Accounting for Power

Minimizing the human effort at the stage of collection and assimilation of consumption data through IT enabled environment will bring in the much needed transparencies and accountability to the Power Sector. Data accuracy will improve and so will the revenue. Efforts are needed to bring in this change across all levels of consumption.

Under the Accelerated Power Development and Reforms programme (APDRP) an effort to bring in energy accounting system was launched. This failed to take off, for the consumers did not see the benefit from this. The consumers were not educated on the likely benefits which accrue to them due to the possible reduction of commercial losses. A lesson is available for all, to therefore not repeat the same mistake when we grapple with new technologies and initiatives.

To bring in IT enabled accounting system, as your leader suggests, should be done with innovative tariff mechanism with inbuilt incentives for the consumer. A classic instance is that of the group accounting system. Each of our multi storied apartments has a dedicated transformer (if not more). Each of these transformers shall be metered and reconciled with the energy consumed as measured through the individual meter recordings to record the losses. Allowing for technical losses, the rest of the losses shall be recovered from all the consumers at a flat rate. This brings in a collective responsibility to the consumers in that apartment block as they see immediate benefit to themselves. The same model can be replicated across a commercial street where the losses could be substantial because of influential elements interests. Villages, with the promise of continued supply will also join the effort if for instance a scheme is drawn up where say for the "day and peak power" the villagers pay and the "night power" it is free.

Today technology (read IT) is available to make this whole effort automatic and with minimum human interface. Once the system is established the housing society's representative (or the local representative of the commercial street) can themselves tally and zero in on the reasons for losses. To start this entire exercise we need to prepare simple and easily understandable tariff models.

Today the tariff for say, TNEB is uniform across the state for identified slabs and has factored in it the aggregate commercial and technical losses as allowed by the Regulator. As and when we move to collective accountability system the new tariff called "Group Tariff" which shall not have any losses loaded in the base tariff (Losses as applicable for the appropriate voltage levels) but will have provision to load at actuals arrived at every reading.The recovery for the cost of providing this IT enabled environment should be spread over say a 5 year period, through BOT models for which I am sure we can find dedicated and competent firms.

One should put in special efforts to educate the consumer after launching such an incentivized scheme, so that popular will supports the implementation and minor vested interests are not allowed to derail the effort. Data generated through such dedicated IT enabled metering system could be used for planning, monitoring and establishing the performance of equipments and systems, so on & so forth.

My comment of AVOIDABLE BURDEN - an Editorial in Business Line

AVOIDABLE BURDEN - an Editorial in Business Line

Dear Editor,

Due to our inadequacies in handling the globalisation process we allow ourselves to be surprised by the international prices of Wheat or rice or pulses or other commodities. As in the case of price of crude oil, which the "Oil Cartel" has hijacked to the ill fate of so many, the trend is continuing to other commodities. We saw the coffee prices zoom a few years ago and recently Rubber was very volatile. Base metals copper and Zinc played out their scintillating run towards the latter part of 2006.

Now it is the turn of wheat which affects many who are otherwise normally not concerned with globalisation.While we may believe in the strengths of market economy to provide the best to the consumer, we cannot be seen to be doing nothing in the case of wheat a basic commodity which will hurt the poor very badly.

It is therefore essential to build a system where the poor and needy are insulated from these shocks, lest the "price shocks" sway the government itself. As a first step it is essential to bring in efficiencies in handling the farm produce. As your paper through its numerous articles on related topics, have highlighted, there are serious inadequacies in proper storage, Distribution and logistics. As the leading industrialist of the country opined in a popular channel, there are forces both in and outside the administration who have vested interests, which do not drive efficiency.

In an era of globalisation, where some of our actions are influenced based on happenings elsewhere in the globe which are beyond our control, it is necessary for us to have in place an efficient system which is lean and functional. It is time non performing monoliths like the Food Corporation of India are given a quite burial and the handling switched to more efficient hands. Technology (read IT) should be brought in to bring in transparency and accountability. Functional and independent management shall be assigned the responsibility of driving down holding costs and create surpluses.

The need to purchase wheat at $390 dollar per tonne, should galvanise the government in to action to bring in more efficiency and transparency int he whole management of the farm produce.

Regards,
Balakrishnan

An interesting Article from my favorite columnist Swaminathan Ankaleswara Iyer (with my editorial flourish)

The slump in global stock markets since July has wiped out an estimated $5 trillion of wealth, five times the GDP of India. So, world inequality has fallen dramatically. Are poor people across the world celebrating the great reduction of global inequalities? Are socialists celebrating increased equality ? No, not at all.

But why not? For years, analysts have worried about rising inequalities in India. Rapid growth has sent the stock markets soaring, and several Indians have entered the Forbes list of top billionaires of the world. Simultaneously, 300 million remain below the poverty line. This stark contrast has evoked much outrage.

Prime Minister Manmohan Singh says that unless the poor participate in fast growth, uprisings could disrupt our nationhood - over 150 out of 600 districts are affected by Maoist violence. The same theme is echoed in a recent study of Asian inequality by the Asian Development Bank. The ADB chief economist has been widely quoted as saying that high levels of inequality disrupt social cohesion, and could lead to civil war.

If this were really true, then the stock market slump should have healed social tensions. An Indian Express story on August 12 estimated that the richest five Indians had lost more than $10 billion in the previous fortnight. The total wealth lost by all shareholders was $52 billion (Rs 210,000 crore), almost equal to the GDP of Bangladesh.

So, inequalities in India have fallen dramatically. Not even the most draconian tax measures could have reduced the wealth of shareholders by $52 billion.

But are the 300 million poor people of India celebrating? Are landless labourers in Bihar delighted that the wealth of the Ambanis has suddenly fallen by billions? Are the tribals of Chattisgarh and Jharkand joyous that the Tatas have become poorer? Are illiterate Dalit women, the most oppressed and powerless section of our population, ecstatic that the stock market slump has improved income distribution?

Of course not. And this has consequences for theories of social tension. Now that the stock market slump has significantly improved India's Gini coefficient of wealth, will Maoist insurgents in Chatttisgarh give up insurrection? Will ULFA in Assam cease its depredations because of greater equality between the people of Assam and those of Dalal Street? Will the militants in Kashmir become less militant because of an improved income distribution?

To even suggest this would be farcical. Yet that farcical notion is deeply entrenched in much socio-economic analysis. The millionaires of Nepal are deeply invested in Indian stock markets. Does the ADB think that their stock market losses, which have reduced inequalities, will ease tensions in the neglected Himalayan region of Nepal?

Economists focus on measures of inequality like the Gini coefficient. But ordinary folk have very different concerns. Bihar is the poorest state and Goa the richest, but the poor Bihari does not worry about the disparity. He knows that his travails are due to local politicians and mafia, not rich Goans. He is not interested in impoverishing the Ambanis, he wants to become rich himself. He welcomes a booming stock market that might bring investment and jobs to Bihar.

Many analysts think society is happier when inequalities fall and unhappier when inequalities rise. Really? In an economic recession, profits fall much faster than wages, so equality improves. But do the poor enjoy a recession , with its unemployment and weak wages? Not at all. They far prefer an economic boom, even though profits rise much faster than wages.

People want more income, not better Gini coefficients. They are concerned with inequality only when they see some powerful people gaining at their expense. They don't grudge Sachin Tendulkar or Shah Rukh Khan their riches. Both these gentlemen are from families of modest means, and have become billionaires through talent. That makes them role models, not hate objects. They are examples of what ordinary Indians seek - a chance to become rich and famous themselves They do not want a slice of Mao's China, they want a slice of Deng's China. They want the opportunity to rise.

The ADB review is dead right in its key conclusion: governments in Asia must do much more to improve equality of opportunity. In India, it is shocking that after six decades of independence and the spending of millions of crores, literacy is barely 65%, and most people who complete school cannot read simple paragraphs or do simple maths sums.

It is outrageous that every village does not have a functioning school and health clinic; does not have electricity, telecom and a pukkaroad ; does not have access to effective rule of law or judicial redress.

This is the inequality that I keep complaining about. Instead of doing something about it, socialists point fingers at the rising wealth of Ambanis and Tatas, as though that is responsible for the sad plight of our villages. It would be as ridiculous to blame Tendulkar and Shah Rukh Khan.

The shocking denial of access to basic facilities at the village level institutionalises inequality of opportunity, and prevents the poor from rising. Urban facilities provide some social mobility. But rural facilities are typically so pathetic as to become poverty traps.

For this, our netas and babus are fairly and squarely to blame. These heroes of the Left are the zeros that have ensured continuing inequality of opportunity, poverty and powerlessness. Their solution is to compete in offering castebased reservations, not in providing the equality of opportunity that might make caste irrelevant.

I too am outraged that 300 million Indians remain poor. I am outraged not that a few Indians have become billionaires but that thousands more have not, for want of equality of opportunity. I look forward to an India with thousands of billionaires and millions of millionaires. I do not wish to give the poor a few doles, keeping them as objects of pity. I want to them to be given equal opportunity so that they too can be independent and aspire to provide to their progeny what they did not have but always wanted.( convert them to millionaires, to objects of envy).

TRAI initiative on DTH

(Telecom Regulatory Authority Initiative of India initiative on Direct Transmission to Home)
It is important to understand that at the core of the initiatives of the TRAI(Telecom Regulatory Authority of India) should lie the consumers interest and the investor's healthiness so that the consumer gets to access to latest technology at competitive costs over time.

It is therefore obvious that convergence of technologies need to be encouraged and starting from brand related barriers to technology related barriers need to be broken down. Today the business models of the telecoms have to be dynamic to capture the fast changing impact that technology advancements are bringing. While continuity in policy and guidelines to nurture an enterprise is essential, TRAI must be complemented in addressing the consumers interests simultaneously.

DTV is one such convergent technology tool which will have to be exploited to the larger consumers' benefit. Individual players who have outbid others to corner bandwidth(be it satellite or Air Spectrum) should not be encouraged to drive away consumers by imposing artificial restrictions which are purely based on short term revenues considerations.

(My letter to the Editor of Economic Times)

Going over the Hill

I know that at some age one is supposed to feel old and that it is not fixed that one should feel old say at fifty. It varies from person to person.

But when you do feel it, it is shocking.

It is shocking because suddenly you are aware of things which are common knowledge to you but are historical facts for many!

It is shocking because, even though you want to do something, your body does not respond as it has been for decades and you know that you have to slow down.

It is shocking because, you eat less and you do not crave for food.

It is shocking because you have joined the walking group till recently you used to avoid because they were slow

It is shocking because that you know that you have limited (but still lots and lots) time to complete the things you set of to do.

One of the person whom I respect used to say that when you cross fifty you realise that the world can do with out you and when you cross Seventy the world is better off with out you. Now that I have crossed fifty, I do not have that feeling. I am relaising that the infinite energy and time which I had always assumed to be my birth right is no longer true. They are limited and I have used up quite a lot.

I need to commit myself to the job at hand more diligently and complete what I had been made for and that too as early as possible

OPGW - A communication solution for Power Utilities

Any Power utility has to set up dedicated communication links connecting all its operating centers spread through out its geographical area. This network primarily conveys voice signals (conventional telephone conversations), data regarding the operating parameters of the system and electrical protection of transmission line. As on date this is achieved through Power Line Carrier Communication (PLCC) and Microwave. Microwave is weather Dependant and does see rare interruptions, but is expensive as the utility has to pay annual license fees. PLCC has a limitation as it can carry only narrow band signals.

The alternative is Fiber Optic based communication, which has phenomenal band width. For this purpose one has to lay the optic fiber physically connecting the end points. Since the electricity board has dedicated transmission lines Cris crossing the entire state, a scheme was thought of to exploit this "Right of Way" which is other wise lying idle.

In this scheme the earth wire ( a galvanized steel wire which is run on the peak of transmission lines) is replaced with a OPGW (Composite Optical Power Ground Wire) which serves the purpose of acting as earth wire and has an embedded stainless steel tube which carry a bunch of fibers.The transmission line terminates at Receiving stations or generating stations and at these locations the OPGW is terminated and the fiber carried to special equipments called Optical Line Terminal Equipments(OLTE). These OLTE are similar to the ones currently used by the major telecom companies and carry signals in the SDH format. ( An international telecom standard accepted across globe).

The signals of the utility which may start from their telephone exchanges or computer network such as Ethernet or their Data Commendation equipments called RTU(remote terminal unit) or connected to the SDH gateway through specialised equipment called Primary multiplexer at the sending end. At the receiving end these are again "dropped" out of SDH gateway through another set of similar equipment and connected to the exchange or ethernet.

Some of the major advantages of this system over existing comparable communication links of Electricity utilities are the phenomenal increase in band width at a low investment. With increased automation being taken by TNEB in terms of computerisation of billing and collection, accessing their main load center points and generating stations on Real time basis, this network will go a long way in providing fail safe & effective communication link.

Last but not the least - the replacement of existing earth wire typically should call for shutting down the concerned power lines. In this case M/s BGR Energy System, the agency executing this project on a turnkey basis are adopting a system called "live Line working" where they will replace the existing earth wire with optic fiber embedded Ground wire(OPGW) under live conditions, minimising inconvenience to consumers.

Once the Optic fiber is laid and commissioned, TNEB has in its asset a dedicated link which can be used by other state departments. TNEB can also lease out to outsiders after complying with the necessary regulatory compliance's.

Till recently PGCIL the central power utility has been implementing these schemes at the central level across states. TNEB's efforts is pioneering in this regard as this will connect their main data centers across the state with their own network