Annual Reports of companies and their carbon foot prints.

Annual Reports of companies and its Carbon Foot Print:
A Corporate Social Responsibility Issue:
Genesis:
There are about 7,000 listed companies in India, who are governed by the rule of having to publish their annual reports and circulate them to the share holders.
Out of these, the NIFTY and the SENSEX themselves cover a total of 80 companies (Sensex 30 and NIFTY 50) with about 1,50 Million individual share holders. As per the statute, each one of them is supposed to be sent the annual reports of these companies. Of the about 6,920 companies, the average share holders nos. are about 10,000 per company.
This gives a total figure of about 220 Million individual share holders, each one of whom receives a copy of the annual report of their company. It is a fair estimate that almost about more than 70% of the share holders are in three states alone, viz: Gujrat, Maharashtra and Rajasthan, majority of whom can not read a balance sheet and understand the nuances of the annual report.
The environmental impact:
Considering an average weight of say 100 gms. of paper per annual report, this gives a whopping figure of about 2,200 MT of annual paper used for this purpose.
The associated details with this figure are;
a- @ an average of 1,100 Kwh of electricity used per MT of paper production, this results in to an annual electricity consumption of about 24,200 Mwh of electricity, which in turn means about 30,000 MT of CO2 emission (@ about 1.3 MT CO2 per MwH) in to the atmosphere, annually, in addition to depriving some more needy users.
b- The timber resources used to make wood pulp are referred to as pulpwood. Wood pulp comes from softwood trees such as spruce, pine, fir, larch and hemlock, and hardwoods such as eucalyptus, aspen and birch.
Land marks: Ecological footprint (hectare)
Fibre requirements of the pulp and paper sector are met by bamboo, hard wood, agrowaste and wastepaper. The amount of land required by a mill to meet its raw material needs equals the ecological burden that the mills’ fibre sourcing has on the environment.
Company Land needed by mills to produce one tonne of paper
BILT-Ballarpur Unit 4.85
The West Coast Paper Mills Ltd 1.3
Indian average 2.17
The average Indian mill's footprint is 2.17 hectares (ha) for every tonne of paper it produces. Taking the total annual production of paper to be around 3.2 million tonnes, the total land requirement of the Indian pulp and paper sector would be 6.4 million ha. India has over 60 million ha under forest land and more available under private wasteland.
It is the combined responsibility of all the stake holders, viz: The investors (whose money is being spent for the purpose, which otherwise could have been reported as net profit of the company). The Government, which can save about 48,000 hectares (@ an average of 2.17 hectare per MT of paper) of forests every year from deforestation (and its resultant effects on environment).
Impact on water resources:
Needless to say, water is becoming scarce day by day. And, paper industry is a major user of water for processing paper. A 1989 study conducted by the Bureau of Industrial Costs and Prices showed that the pulp and paper mills in India consumed around 805 million cubic metres (cum) of water to produce 2.7 million tonnes of paper — on an average around 300 cum per tonne of paper produced. They also reported that the water demand was not similar in all the mills and drastically varied between 130 cum to 450 cum per tonnes of paper produced, with about 80 per cent of the units consuming less than 325 cum per tonne of paper and 47 per cent consuming less than 300 cum per tonne. In general, requirements for water is least in straw and paperboard mills (75-1,000 cum per tonne) and highest in specialty paper mills (370-1,220 cum per tonne). And mind it, the paper we use for the purposes of the annual reports generally falls under this category of specialty paper.
Today, almost two decades later, the water consumption pattern has not changed much. According to the CSE study, on an average, large-scale Indian mills still consume about 250-350 cum of water per tonne of paper produced. Water consumption patterns and effluent discharges of Indian mills still vary substantially from mill to mill, even when the same process and equipment is used, which should not be the case. In contrast to the Indian scenario, the average water consumption in US mills has come down from 142 cum per tonne of paper produced in 1989 to 72 cum in 1995. The poor showing of the Indian mills can be blamed on the water-pricing policy of the government. Water literally comes dirt cheap to the mills so there is no attempt to regulate its use.
Based on the above information, we can safely conclude that by avoiding the annual reports printing, the government could help the nation by avoiding the use of about 9 billion litres of scarce water annually (@ 400 cubic meters per MT of paper). In terms of usage, this would mean total annual water requirement of about 2,45,000 persons annually (@ 100 litres per person per day).

Shareholders Responsibility too:
Are the share holders not equally responsibility. If all those decide not to insist on getting a printed copy of the annual reports, this amount of money can be taken out of the expenses and would straight away be added to the net profits of the companies. Considering an average cost of printing, packing, forwarding, postage etc. at say Rs. 20 per copy (at the lowest), this would mean an addition of about Rs. 44 Billion added to the net profits of these companies.
The bonus point will be the immense mental and administrative relief to the companies , who would not be required to undertake this voluminous unproductive work.
What about the role of the various governmental bodies and ministries like the Company Law Board, Finance Ministry, SEBI etc. etc.
The foreign exchange angle:
During the FY 2008-09, India’s import of paper stood at Rs. 370,630 Lacs and by quantity we had imported and Rs. 792,178.11 lacs respectively in the category nos. 47 and 48
This gives us a total of Rs. 11,62,808 Lacs. And that is huge amount of money in foreign exchange, which we can ill afford.
Considering the portion of imported paper/pulp, which is normally the paper used for all the annual reports, it will be a great service to the Indian Economy if such a step is taken.
The imports of pulp and waste paper have registered a 14.04 per cent rise during the last fiscal. The value of the imports stood at $558.22 million in the fiscal 2005-06 compared with $489.51 million in the previous fiscal.
The imports of paperboard were on the rise as well witnessing a 39.55 per cent increase during the last fiscal to $982.03 million compared with $703.7 million in the corresponding period last year, according to Government data.
Analysts attribute the jump in imports to the rising cost of raw materials for writing and printing paper, duplex board and newsprint. While pulp, waste paper and paperboard have registered a significant rise in imports, the increase in newsprint imports has been around 10.08 per cent during the last fiscal.
According to Mr R.R. Vederah, Joint Managing Director, Ballarpur Industries Ltd (BILT) and President of the Indian Paper Manufacturers' Association: "The primary reason for the import of pulp and other intermediary products is because it is more cost-effective to do so." Analysts point out that the quantum of pulp imports is only going to increase in the future on the back of robust demand for paper in the country which is expected to grow in line with the GDP.
While companies such as BILT are resorting to acquisitions abroad to satisfy their raw material requirements, other paper firms such as Orient Paper and Industries Ltd (OPIL) are relying on local plantations to meet their needs. Mr M.L. Pachisia, Managing Director, OPIL, said: "We are not importing any pulp so far as we are able to meet our requirements though the local plantations."
Further, speculation is rife about the entry of two foreign newsprint companies into India, which are looking to set up a newsprint production unit in the country with the material sourced domestically. This, analysts observe, could lead to a fall in the quantity of newsprint imported.
The Business Line of the Business Daily from THE HINDU group of publications, dated Friday, Aug 21, 2009 (Ref: http://www.thehindubusinessline.com/2009/08/21/stories/2009082151340300.htm
Coated paper import into India has seen nearly a 70 per cent upswing during the first quarter of the current financial year. Industry observers note that the export incentives by China have helped firms from that country make inroads into India affecting the local industry even as the latter reiterated its demand for the creation of a robust raw material base.
“Against imports of 25,097 tonnes in the January-March quarter, the imports of coated paper went up to 42,971 tonnes in the April-June quarter. Almost 50 per cent of the import is from China. The import of coated paper from China went up from 13,345 tonnes in January-March to 19,165 tonnes in the April-June period,” the Indian Paper Manufacturers Association (IPMA) said.
According to Mr R. Narayan Moorthy, Secretary-General, IPMA, “In view of the global melt-down, the Asian paper market continues to remain vulnerable and major players from countries such as China and Indonesia are pushing large quantities of coated and uncoated wood-free grades of paper into the Indian paper market.”
He said that the cost, insurance, freight (CIF) price reigning at more than $800 a tonne in January is now at little more than $700 a tonne leading to a surge in imports. India is among the fastest growing paper markets in the world, despite the economic slowdown.
Printed matter worth Rs 3,500 crore in the form of books and journals is imported into the country at zero rates of duty affecting the paper industry as well as the 1.5 lakh small and medium printers.
The industry has reiterated its demand for the creation of a robust raw material base through implementation of the multi-stakeholders partnership model proposed by the Ministry of Environment and Forests.
The solution:
While we claim that we are implementing the e-governance, what stops us from incorporating a simple clause or a law that henceforth Annual Reports of the companies SHOULD NOT be printed but only made available to the users on an assured platform. And such an assured platform is none other than the web. In any case, this is already made available on the web sites under the existing law. The provision in the law can also incorporate a clause that if some one desires a printed hard copy of the annual report, the same would be made available at a cost. (This can be easily printed from the soft copy, even at a much higher cost). Once such a statute is put in place, no one can insist on getting hard copy.
The effected parties:
Of course, any such a harsh step would effect some quarters, viz:
1. The printers and publishers (for whom it may mean loss of opportunity and business)
2. The transporters: With an average of 10 MT per truck load, this accounts for usage of about 2,200 truck loads of transportation per year. These operators would loose this portion of the business. However, this also has its own share of carbon emission.
3. The packers and forwarders
However, the mute question is: Should we be really concerned about such loss of opportunity for a totally unproductive purpose, and at the cost of such an environmental impact. Should we also not be bothered about the environmental impact and should the government be not bothered about it’s own Corporate Social Responsibility?
Its time we ask a few soul searching questions, and put the much required statue in place for a productive purpose.

Share Market game

Dear Friends,
There is nothing wrong in one's own beleifs and feelings. So is with me.
For a long long time, almost 25 years, I have been debating with my colleagues about the share market.
Do we, I mean all those who spend time and play in the stock market, really know the dynamics of the whole issue.
After all, what are we up to?
When I buy a share or sell a share, excepting the BSE, who gains? Does any part of my transaction money find it's place in the accounts of the company I am dealing with?
NO.

Then, what are we really up to?
Do you see any sense in buying a share at an investment of Rs. 3,000 per share (, Remember, the face value of the share is only Rs. 10).
Even if the company declares a dividend of 100% (which is rare and impossible), all you will get is Rs. 10 per year, and that, on an investment of Rs. 3,000. Does it really make any sense?

Then the question is, What the hell are we doing?
Just playing amongst ourselves. To put it in simple terms, GAMBLING.

And in our foolishness, the only agency that makes the real money is BSE or the NIFTY or the broker companies, who are always the gainers, whether you loose or win.

Just think about it.

Application of Value Engineering in Medical Science

Value Engineering applied in Medical Solutions

White Paper on ECAct 2001 implementation

White paper on ECAct2001:

Its Criminal to use electric geysers

It is criminal to use Electric Hot Water Geyser

When you use the electric geyser to heat water for your bath, Do you realise what you are contributing to the climate change through carbon emission:

Well, the 1 Kw water heater is the most common gadget in any house. And we proudly tell all the guests that we have geysers in all the bathrooms.

Did we realise what we are doing?

A 1 Kw heater consumes 1 Kwh or one unit of electricity in one hour.
This unit is available at our plug point after having consumed the about 30% transmission and distribution losses from the generating station.
This means, some one is generating 1.43 units somewhere else. ( for evey .7 Kw at the user end, another .3 Kw has to be generated, hence for 1 unit at user end, 1.43 units generated)It takes about 700 gms of coal to generate one unit of electricity.
So, for 1.43 units, some one is burning about 1000 gms of coal or one Kg. If we consider the ovrall efficiencies of the geysers, you could as well multiply the figures by almost 2.5 times.

This one Kg coal generates it's own part of the carbon di oxide.

Now look at the other way. 1 Kg coal contains about 4000 KCals of heat.

One more way of looking at this is to know that we burn coal to heat water, then make steam out of it, run a turbine through this steam, generate electricity, transmit it all the way, distribute it through the network, bring it to our plug point and then again use it to heat water.

Think seriously. Is it necessary for us to use electricity for heating water. Just try taking cold water bath. Its so soothing. And in turn, help environment, by contributing your own little bit.

I am doing it for more than twenty years. You can try it too.

After all, coal is not going to last for ever. A day will come when we will not have it at all.

My Social Responsibility project: Energy conservation and Renewable energy use at Dwarka Tirumala Temple town

This was sometime during the year 2003 when I happened to visit the temple town o Dwarka Tirumala, in West Godavari District of AP state. As I was to attend a marriage unction, I was lodged in one of the dharmashalas in the town.
In the early morning, when I got up and wanted to get ready for the marriage function. I could hear many voices out side my room, when every one was asking where and how to get hot water for taking bath. The host was finding it difficult to supply water to every one at the same time, as there was only one watchman in the dharmashala who used to help people with hot water. I was wondering as to why every one can't take bath with normal water like I have been doing for the past about 15 years.
Out of curiosity, I wanted to see how this man was heating water. There it was. The most conventional Indian way. Put water in a vessel on the chulha and feed wooden logs and fire them.
This immediately caught my attention and I started wondering as to how much fire wood might be burnt every year just for this one purpose. I started calculating the estimated consumption of fire wood per year and some back calculation as to how many trees might be used for the purpose. Further back calculation took me to the hectares of forests required to supply this wood and so on right up to the level of environmental impact, deforestation, carbon emission etc. etc.

It was a mind boggling figure that emerged. I started thinking about why not to do something about this subject. I asked myself as to what I can do about it and how I can do my own bit.

Incidentally, I was also a member of the Energy Conservation Mission (ECM) formed under the umbrella of the Institution of Engineers (India). I of course still continue to be the member. As a part of this institute, many of us like minded members had decided to devote some of our time for a good cause.

It was Captain Jalagam Rama Rao, honourary chairman of the ECM who initiated the process. He had a direct contact with the Chairman of the Temple trust, Mr. S. V. Sudhakar Rao, whose family is the patron of the temple too. Capt. Rao spoke to the chairman and fixed a meeting for me. This was one occasion when I happened to meet an open minded and forward looking person in the chairman of the temple trust.

In the first meeting, I shared my experience and observations during the previous trip. He immediately realised the larger impact of the situation. He himself was an environmentalist. I shared with him the idea as to why the temple town should not use the solar energy for this purpose. he readily agreed to implement it. My part of the job was very simple now. I identified one of the manufacturers of the solar water heating systems in hyderabad and asked him to the temple town and meet the authorities.
In the first instant, the temple got one of the 500 Litres per day capacity. Having seen the impact and the over all effect and advantge, the temple town has subsequently added more capacity in other dharmashalas and as of date, the temple town has a total of about 5,500 litres per day capacity.

I still remember the day I revisited the temple town and spoke to the authorities. While expressing their happiness about the systems, they however expressed that the capacity in the dharmashala was not enough. I started wondering as to why a dharmashala with just about 20 rooms can consume 500 litres per day of hot water. I decided to take a quick observational study and there it was. The management had given connections of hot water in all of the rooms individually. This is where the social responsibility of individual comes to surface. It was observed that generally, no one bothers whether the neighbour was getting enough water. There was an observed carelessness in usage of water, and also avoidable wastage.

As there was no possibility of educating the lodgers (every day a new set of people are staying in the rooms), I wanted to find an answer to the problem.

After considering all the possible ways, the simplest solution was implemented. All the connections to the bathrooms were disconnected and the connection was given in the open yard out side the rooms, and only one bucket was provided in each room. If any one wanted hot water, he or she has to come out of the room and fill the bucket in the open. This arrangement immediately solved the problem, as normally no one wants to come out half the way in the bath.


After this exercise, the management desired that I take up a full fledged study of the total energy system at the temple complex. The study was undertaken and many of the recommendations were promptly implemented by the management.

Recently, the management has approached the Ministry of New and Renewable Energy (MNRE) GOI and received a sanction to install a 700 watts solar photovoltaic lighting systems. There are plans to undertake some similar projects in the Goshala of the temple.

Reduction of Ferro Manganese Consumption in Steel production

Ferro Manganese consumption

Decision making process in a public sector unit: The “IF IT WERE SO SIMPLE” Syndrome
During the year1985, there was a call from a Steel Plant to my office. The call was from the Training Manager of the company. He wanted that they are intending to organize a training program on Value Engineering for their engineers. I was requested to visit them for finalizing the program details. I visited the plant and met the training manager. The company wanted to conduct a three days program. After discussing the course contents and schedule, I insisted that the program will not be conducted unless it is designed as a three tier program. The first tier of half day Appreciation program will be for the top management, to be attended by the Managing Director and other members of the top management. The second tier Orientation program of two days will be conducted for the senior management group covering the DGMs, Sr. Managers and Managers, and in the third tier, the detailed application oriented training program will be for the shop level engineers up to the levels of Senior Engineers, of a duration of five weeks. The training manager was of course surprised to hear such a stand by a consultant. He said that it is just not possible to get the top and senior manager teams for a program of this nature and it was meant for only the shop floor engineers.
I regretted and said that unless the program is conducted as suggested,I will not conduct the program. I, upon returning to his office, did confirm the above discussions through a formal letter, with a copy to the Managing Director of the company.
Interestingly enough, there was a telephonic call to me stating that the Managing Director desired to meet me.
I made another visit and met the MD. The MD said that he wanted to see the person who is insisting that the top and the senior managers should attend a training program on a subject which is meant for the shop level engineers.
I explained as to why this condition was being laid out. In the past, whenever I had conducted the program, the participants invariably came out with very potential suggestion for changes in processes and products, which were felt to be very much implementable and practical, but again, invariably they were never being implemented. This was due to the fact that while the shop level engineers have the time and energy to go through the details and work on the alternative designs, they did not have the required delegation of powers to take decisions to implement the suggestions. In companies, normally the senior managers have the powers and authority to vet out the alternative designs and processes based upon their techno economic considerations, and the green signal or permission to try out is invariably in the hands of the top management. This was precisely the reason that I was insisting upon the three tier program, where the top management would give a moral undertaking that if any suggestions are put forth, they would indeed look at them seriously, and it will be the responsibility of the senior management to evaluate the suggestions and submit them for action and decisions for trial to the top management.
The MD was convinced and offered to attend the program as suggested.
The program was conducted as planned.
As the detailed program was designed as an application oriented program, the participants were to undertake projects within the company to get a hands on experience of application of the learnings from the training program.
I offered to the MD that I would like to include a project which was a burning issue for the management, and was being discussed at senior levels. Although the MD had his own doubts about the competence of the trainer to handle purely technical subjects, he agreed and suggested that one of the projects to be undertaken by the teams should be the burning issues of high consumption of Ferro Manganese in the Steel Melting operation.
The company was operating at a consumption level of 22 Kgs. of Ferro Manganese per MT of steel and the company was producing about 1.2 Million Tons of this grade of steel per year. A committee was set up to look in to the matter and a target of 20 Kgs. per MT of steel was set for achievement.
On questioning, it came out that TISCO was operating a similar process and they were able to manage at a consumption level of 18 Kgs. of Ferro Manganese per MT of steel.
The main issue raised by me was as to why they have taken TISCO as the standard. Even TISCO could be wrong.
The need is to start from the basics. Exactly how much of the Ferro Manganese is required to get the expected metallurgical properties. The team took some samples and from the stochiometric principles, arrived at a figure of 1.5 KG equivalent of the Ferromanganese going in to the steel. Then the basic question was as to where is the rest of the 22 Kgs. going.
Teams study of the whole process brought to light that the way the material is prepared and added in the process is the main culprit. The finer parts of the material were observed to be flying out with the high draft to the chimney and the medium sized material was getting oxidized much before reaching the steel.
Also, the stage at which the ferromanganese was being added also needed a review as to whether it can be added at a different stage of the process instead of in the furnace. The team had come with an option that perhaps the ferromanganese can be added while the steel is being poured in to the ladles. This was expected to be avoiding the flying off and oxidizing conditions.
And this is where the “IF IT WERE SO SIMPLE” syndrome seemed to come in to action. A series of discussions with the concerned Manager, Sr. Manager, DGM and the GM of the shop were held. However, unfortunately enough, every one was raising the same question again and again. The question was “IF IT WERE SO SIMPLE, wouldn’t the Russians or the Germans or the TISCO or other steel plants in the country try it and do it.”
No one was ready to try it out on the same plea. Further probing brought to light the inherent fear of the people that “IF SOME THING GOES WRONG, MANY HEADS WILL ROLE”. The experiment or the trial called for testing the hypothesis on a batch of 9 laddles of steel, each of 250 MT. That ment that unless the experiment was carried out on 2,250 MT of steel, it can not be ratified, even if the experiment is felt to be possible. This is exactly what in many cases and in most of the industries happens. No one wants to bell the cat. This is not a case of belling the cat but having or developing the technical confidence and acumen.
No one in fact was ready even to take up the case at higher levels stating that it is not worth any trials and would any way fail.
At this stage, I decided to bring in the top management in to picture who had promised the necessary interface when ever required after the first tier program.
While trying to get an appointment with the MD, I had the routine obstruction at the MD’s office by his personal assistants, who would not even fix up an appointment with the MD for this purpose. The plea was that MD is far too busy for subjects like this and it is the shop floor managers who take decisions. If they had said that it would not work, it means it will not work.
All I could do was to take a slip of paper, jot down four sentences about the status of the project and got it sent to the residence of the MD.
The very next morning a meeting was fixed with the MD in chair and all the concerned managers of the section in seats along with me.
Every member in the gathering objected to the subject saying it was not worth wasting on a critical subject like that with a rank outsider who doesn’t even know how steel is made. The MD took a review of the whole proceeding and asked the team members just five questions.
Q1: What is the confidence level of the team about the success of the trial? And
Q2: What is the loss if the experiment fails? It will be a one time loss.
Q3: What will be the gains if the trial succeeds? It will be perpetual for the rest of the future.
Q4: What is the probability that the experiment may fail?
And finally,
Q5: What will be the consumption level as per the team members’ gut feeling?
The answers were very simple.
A1: 90%
A2: Rs. 12,00,000 one time loss because all of the 2,250 MT of steel would be required to be reprocessed.
A3: It was expected that the consumption level may come down to about 16 to 17 Kgs. per MT, there by offering a scope and potential of saving about 5 to 6 Kgs. of ferromanganese per MT of steel. This was projected to be about Rs. 4 crores per year (At Rs. 6.5 per Kg. for 1.2 Million MT steel per year)
A4: 10%, because no one else in their knowledge has ever tried it before.
A5: 16 to 17 Kgs. of ferromanganese per tone of steel.

This was the real decision making point for the MD and he juggled with the figures that with a chance of failure being as low as 10%, with a 90% confidence level, the company could save about Rs. 4 crores per year perennially, and if at all the experiment fails, the company would only loose about rs. 12 lacs one time.
He gave his nod and permission to go ahead.
The team went ahead with the production with the new process and Lo and Behold, they achieved a final figure of just 9.8 Kgs. per MT of steel. Subsequent upon this, just to reconfirm the trials, the company produced another set of 10,000 MT of steel with similar results.
There was enough reason for every one to be happy about.
HOWEVER,
After a period of about two years I decided to visit the plant and see whether any further improvements were effected. UNFORTUNATELY, the company was found to be working on the old norms and consumption levels of 22 KGs. per MT of steel. This was a shocking revealation. Upon enquiry it came out that since the MD was promoted as Director Technical at SAIL and I any way was not expected to visit a second time, no one bothered to regularize the process. All that was needed was to install an additional crane for this process, for which a budgetary sanction was accorded. BUT, just one Sr. Manager, who was in charge of this work didn’t take action.
WHOM DO WE BLAME?
Having been very badly hurt with such attitude of executives, I decided to go over to Delhi and meet the ex-MD. I met him and narrated the whole episode and expressed his unhappiness and sadness over the issue.
An action was initiated and at present, at the time of writing this article, the company was reported to be achieving consumption levels of about 12 Kgs. of ferromanganese per MT of steel.

Waste Heat Recovery System for a Glass Industry

Under the financial support from the PCRA (Petroleum Conservation research Association), a demonstration study was undertaken at Firozabad in the Glassware industry. One of the demonstration projects was to develop a Waste heat recovery system from the exhaust gases of 1 MW DG set (Gas based). The project was undertaken at M/s Farooqui Glass Works are located in Firozabad town. The company is engaged in manufacturing of glass ware of many types. M/s Nannumal Glass Works is a sister concern of this company.
To meet the power requirements of both units, M/s Farooqui Glass works have installed a Natural gas based power generation unit of 1,000 Watt (1 MW) capacity.
Parallely, the company has a huge requirement of air for their glass melting furnace.
The existing practice of the company was to use the atmospheric air at ambient temperature as the secondary air for the furnace.
On a careful observation, it was observed that the exhaust air of the power generator was of the order of about 4900C.
A heat exchanger was designed which uses the heat from the exhaust gases of the natural gas based Generator set of 1 MW rating, to pre heat the secondary air, which then is fed to the furnace. While the project formulation and hardware development was already undertaken by the company, the system was not functional as the desired amount of hot air was not being generated.
Appropriate system modifications for raising the differential pressure to assist proper flow of the hot air were worked out and implemented.

The temperatures of the pre heated secondary air could be raised to a level of 190 degree C. This has effected a savings of about 7% of the gas. At the level of about 5000 cubic meters of gas per day, the savings were of the order of about 350 m3 per day or about 1,10,000 m3 per year. This has helped the company in bringing down the expenses by about Rs. 7,00,000 per year. At an investment level of about Rs. 15,00,000 towards the heat exchanger system, the payback period of the investment was about 2 years. This was a very welcome proposition for the management. Supporting photographs are provided in detailed write up below.

My Value Engineering services

During the years of my consulting, I developed a special flair for Value Engineering. Having got many chances to work on the subject, I developed an "Application Oriented Training Programme". This approached used a part class room teaching for a group of midddle level managers from production, process, procurement, costing, finance. Following this training, the groups were formed in to small teams of 3 to 5 members and very specific projects were undertaken under my guidance. These projects were from their own areas of operations. The results were very encouraging, because the pparticipants were able to personally realise the potential of the subject in their own work environment. I have provided these services to the following major industries: BHEL: Bhopal, Hyderabad, Jhansi, Trichy, Bangalore Hindustan Aeronautics Limited, Nasik, Electronics Corporation of India Ltd., ECIL, Hyderabad Madura Coats (Coats Viyela of UK), Madurai, Cochin, Tuticorin, Ambasamudram Philips India Limuted, Salt lake City, Kolkata National Mineral Develpopment Corporation, Bacheli, Kirandul, Donimalai Hindustan Copper Limited Hindustan Zinc Limited Kalyanpur Lime and Cement Industries Ltd. Corramaandel Cements P. Ltd. J. K. Tyres Limites, Kankroli, Rajasthan Andrew Yule & Co. Ltd., Chennai Balmer Lawries Limited New Givernment Electric Factory (NGEF), Bangalore MEI (Mysore Electrical Industries), Bangalore SAIL: Bhilai Steel Plant, Bhilai Bharat Earthe Movers Limited, Kolar Bharat Earthe Movers Limited (BEML), Rail Coach Division,Bangalore, Southern Railways< Trichy Indian Railways, Rail Coach Division, Perambur, Chennai Bharat Dynamics Limited (BDL), Hyderabad and Medak Defence Research and Development Organisation (DRDL), Hyderabad Vijay Electrical Limited, Hyderabad Gopal Starch Industries, Peddapuram, Kakinada, AP SS Gears Limited, Bangalore Greaves Chitrams Limited, Chennai Greaves Semi Conductors Limited, Hyderabad BMF Belting Limited, Hyderabad Mishra Dhatu Nigam Limited (MIDHANI), Hyderabad Nuclear Fuel Complex Limited, Hyderabad Gajra Gears P. Limited, Dewas, MP GBGL, Dewas, MP Gajra Automotives Limited, Dewas, MP Indo Gulf Fertilisers Limited, Jagdishpur Pennar Alluminium Limited, Nagpur Pennar Steel Limited, Hyderabad Nagarjuna Steels Limited, Hyderabad Nagarjuna Fertilisers Limited, Kakinada, AP Goa Port Trust Madras Port trust Mumbai Port Trust Hindustan Shipyards Limited, Visakhapatnam Naval Dock Yards Limited, Visakhapatnam Dredging Corporation of India Limited, Visakhapatnam, AP Bhartiya Ispat Nigam Limited, Visakhapatnam, AP Gujrat State Transport Corporation AP State Transport Corporation Kattabomman Transport Corporation, Tamilnadu Tonthai Periar Transport Corporation, Tamilnadu West Bengal State Transport Corporation, Paikpara, Kolkata Delhi Transport Corporation Rural Electrification Corporation, Tamilnadu, Andhra Pradesh, Madhya Pradesh and Karnataks MP Oil Federation OILFED, Bhopal, MP State Finance Corporation Petroleum Conservation Action Group (PCAG) Petroleum Conservation Research Association (PCRA) Glass Industries Cluster, Firozabad, UP Ministry of Renewable Energy (MNRE), GOI Appropriate Technology division of Ministry of Industries, GOI Aligarh Lock Industries cluster, Aligarh, UP

The ECAct2001 status

The Indian ECAct2001 was published. The effective implimentation was scheduled in 2007, whereby all the industries and consumers under the specifications of the act were expected to adhere to the expectations of the act.

Till March 2010, it has not been mandated. There are many complex issues involved in the process, and the governmental labyrynthine ways are holding the promulgation of the act.

A round table conference was initiated and organised by Energy InFraLine. For details

On the occasion of lighting the inaugural lamp for the workshop on Solar Green Buildings organised by UPNEDA in Noida, UP. In the picture is Dr. Ms. Sarika Mohan, IAS, Chief Development Officer, Greater Noida, UP.

Creating a Bench Mark instead of Following one.

Even the best can be improved further:
1975-76: Under the Ministry of Petroleum, GOI, a nationwide study was undertaken for Diesel Conservation in Organised Road Transport Sector. The study covered about 28 states in the country. I, being the team leader of a team comprising about 24 members, had analysed the performance of all the State Road Transport Corporations across the country. With his firm belief that NOTHING is PERFECT and that even the best can be improved further, decided to undertake the study of a corporation which was adjudged already to be the best performing states in the country as per the evaluation of the ASRTU (Association of State Road Transport Undertakings).
In that year, While the average diesel performance at all India level was 4.65 Kilo meters per litre of diesel for the Ashok Leyland make of buses, the Gujarat State Transport Corporation (GSRTC) was showing a performance at 4.85 KMPL.

The field study started with an initial meeting with the Vice Chairman and Managing Director, Mr. Rathore, IAS, along with a large team of his executives and managers. They welcomed the idea of the study, which would validate their claims of being the best.

Further, it was decided that while all the regions and the depots were not performing equally, the best of the regions and the best of the depots in that region will be taken up for the study. Accordingly, the Mehsana Region and Ambaji Depot of the region was finally selected for the study. In that particular year, while the average diesel performance was 4.65 Kilo meters per litre of diesel for the Ashok Leyland make of buses, this particular depot was reported to be performing at 4.85 KMPL.

A full diagnostic study of the operating practices of the depot was conducted over the following one weeks time. The study brought out two major areas needing improvements, viz:
1- The driving habits of the drivers, and
2- the inadequacies in infrastructure and facilities for proper upkeep and maintenance of the vehicles. A report was prepared and was presented to a large group of management team, which was also attended by a team of the Indian Oil Corporation, who were the major suppliers of the petroleum products to the corporation.

The major findings of the report were presented and it was expressed by the author that if;

1: An additional complement of technical manpower (fitters and mechanics) of five was placed in the depot, and
2: An additional maintenance pit was provided,

Then, the performance of the depot can be raised from the existing level of 4.85 KMPL to about 4.95 KMPL.

Major comments:
At this stage, I faced the questions, which were oft repeated in my career, as below:

1: Mr. Chari, can you drive a bus?
2: Do you know how a bus is maintained?
3: Do you know what a FIP (Fuel Injection System) is.
4: Do you know that we are the best in the country.
5: Do you know that we have the best of the maintenance practices adopted in this depot.
6: Do you know that we have the best of the drivers deployed in this depot?

The answers to all the questions was a simple “No” from me.

Then they said when you don’t know how to drive a bus, or what is an FIP or how to maintain a bus, how do you think you can train our staff who are already giving the best performance? Added to this, when our own experts could not beat the figures, what can you, who doesn’t even know how to drive a bus or how to maintain a bus, can say that the figures of performance can be further improved.

However, I could not stop appreciating the objective and dynamic leadership of the Vice Chairman and Managing Director, Mr. Rathore, an IAS person, who went ahead saying that “All right, Mr. Chari. Here is my sanction for the additional five crew members as suggested by you, and I am right now giving my consent and sanction for an expenditure of Rs. 3 lacs for the additional maintenance pit, as asked by you.

As we have not been able to do beyond what we have achieved, and you think that it can be further improved, I would suggest that you take over the administration of the depot. I am offering all the technical, administrative and financial support to you. Just take over and show me your promised performance level of 4.95 Kms.

He further added that “While I know you wouldn’t be able to do what you are recommending, just show us an average of 4.86 from the existing 4.85 KMPL, and I will still be happy.

And the final nail in the coffin was put by his statement “I only hope Mr. Chari, that you will at least be able to retain our figures of 4.85 KMPL. Even at that I will be happy that we are really the best.”

The presentation meeting ended on the note that the implementation would start immediately, as all the required sanctions were already made.

It was of course a difficult situation and a bit embarrassing too, however, I decided to first learn at least to drive a vehicle, to get a feel of the steering and the clutch and gear systems. I approached Ashok Leyland, Chennai, suppliers of the vehicles, with a request to help me learn driving a vehicle. The company, which was participating in this all India study, readily agreed and requested the concerned State Road Transport Corporation in Chennai to help me. A date was fixed and the concerned Works Manager of the depot on Anna Salai advised me to come down to the depot/workshop at 23:00 hrs. of that day, when all the members would be free and the roads will be comparatively free of traffic. Having earlier driven many types of two wheelers, I, though had some uncomfortable feeling and nervousness, could indeed drive the vehicle on the main Mount Road in Chennai. Subsequently, I spent one more day in understanding what was an FIP, which turned out to be the Fuel Injection Pump, it’s setting, and other major maintenance needing components and assemblies of the bus.

After completing this orientation, I came down to Ambaji depot and the assignment was started in full vigour, on the 1st of January 1976. By this time, the concrete structure of the maintenance pit was also completed.

Two major activities incorporated were,
i- Training the maintenance crew on adjustments of the FIPs, Breaks, Accelerators, Air pressures in the tyres etc., and
ii- On a pre identified standard route, and using a specially refurbished bus, with a glass tank for diesel measurement, a series of driving tests, alongwith instructions on using the clutches, accelerators, breaks, and maintenance of optimum speeds, a drivers team was trained.

A new insight:

While undertaking the training of the maintenance crew, I noticed that suppliers of the Fuel Injection Systems, viz: M/s MICO Bosch, Bangalore have already provided the maintenance schedules to each and every corporation and they were strictly adhering to those schedules.
However, one new dimension was realised during these interactions.
It turned out that the Chassis manufacturers, viz: M/s Ashok Leyland manufactured only one type of the chassis and a standard engine. The buyers of these chassis used them to convert them in to either a truck or a bus.
This was the most critical observation. It was realised that if a chassis is used for a truck, it carries loads of almost up to 15 MT (of sugar cane) and still runs in the speed ranges of 60 to 80 kms/hr on the highways. However, if the chassis is converted to a bus, it also runs at the same speed range.
A bit of engineering knowledge and application of fundamental principles of Physics revealed that there was a class difference in the power required under the two different operating conditions.
Condition 1: When the chassis is converted to a truck: It carries about 15 MT (Though meant for 10 MT) and runs in speed ranges of 60 to 80 km/hr
Condition 2: When the chassis is converted to a bus: It carries about 3.5 MT (max 50 passengers with an average weight of 60 Kgs. Per person (including children) and an additional luggage weight of about 10 kgs./head) and also runs in speed ranges of 60 to 80 km/hr

If one goes by the power requirement, using basic and fundamental principles of physics, the bus requires just about one fourth of the power as required by the truck.
The natural question was “Why should we use the same engine for these two extreme conditions and requirements.
In this sequence, the author met the management representatives of the Ashok Leyland and it came out that as the requirement of the chassis for bus bodies is a very meagre portion as required by the trucks, it is not economical for them to design a separate engine for buses and hence they were supplying the standard design.

Looking for an alternative sub optimal solution:

Having come to know that there is a limitation in designing a separate engine for the buses, a small group meeting was organised and a brain storming session was conducted. Out of many ideas, one idea that emerged was “Can we reduce the power of the engine?”
Deliberations were held with engineering personnel and a study and understanding of the very fundamental operation of an engine was discussed. It came out that the power generated by an engine is a function of the fuel pumped in to the cylinders per stroke. If the fuel injected is lower, then the power generated will be lower. However it will bring down the efficiency of the engine.
Finding out a technical solution:
Taking off from the above, the groups spent time on finding out ways and means to achieve and try out the option. At this stage, I felt “Why not to talk to the manufacturers of the FIP?” Accordingly, I spoke to the manufacturers, viz: MICO Bosch, Bangalore, who readily invited me for a discussion.
The engineers of the company informed that it is technically possible to reduce the power of an engine by controlling the injection of the fuel, and in their terms they call it “DERATING” the system.
They also informed that by adjusting the springs in the FIP settings unit, this can be done, but they informed that technically the derating can not be and should not be done more than 12% of the normal settings, as otherwise the system will malfunction.
During the course of implementation, this measure was effectively implemented.
Other measures:
Having identified one of the major contributing factors, I could identify a few other parameters, which hamper the performance of a vehicle. They were identified as;
a- Air pressure in the tyres. A less inflated tyre adds to the drag on the road, and thereby results in the driver trying to accelerate the vehicle beyond the capacity of the engine, thereby consuming more fuel. An over inflated tyre would result in to jumping of the vehicle and uncontrolleable conditions, which normally force the drivers to reduce the speeds.
b- Timely calibration of the measuring instruments like the pressure gauges, diesel dispensing nozzles, Feeler gauges used for adjustment of the tappets of the cylinders etc. As regards the feeler gauges, it was observed that the gauges were very old, and over period, they have reduced in thickness, and thus they effected the actual dimensions.
c- Proper use of Clutch in combination with the breaks. The habit of clutch riding by drivers was rectified by properly explaining them the technical implications.
d- Use of gears appropriately synchronised with the speeds. The drivers were observed to be having a tendency of starting the bus in second gear, stating that the engine is powerful enough.
e- Proper gears to be used in up hill and down hill drives
f- Periodic lubrication of the various parts, as per the maintenance schedules. Changing of the gear oil in the gear boxes at proper intervals or use of vehicle, as old used oil carries metal debris and filings, which damage the cylinder liners and thereby effect the performance.
g- Speed controls: By discussing the subject with the manufacturers, it was identified that if the buses are operated in the speed ranges of 55 to 60 km/hr speeds, they give the best fuel performance. Over or under these ranges, the specific fuel consumption is higher.
h- Etc. etc.

Comparison of the pre and post training impact:
For ensuring that the pre and post training comparisons are fair, it was decided that all the trials and training of the drivers will be conducted on a standard route and a standard vehicle, thereby eliminating chances of any major variations.
Accordingly, with the help of the management, a standard route was identified which was about 15 kms. from the depot. All the trials were conducted on this standard road.
Similarly, to avoid any variations in different vehicles, one vehicle was specifically identified for use in all the trials.
Through the route of Drivers’ training and better maintenance of the vehicles, I was able to demonstrate a performance at 4.96 kmpl in a two weeks’ association. Specially designed formats were developed to keep records of this exercise.
The results were very much applauded by the management. At this stage, I offered that the depot may be run on the prescribed norms for a further period of at least a month and then only the performance be measured.
The new Bench Mark:
The corporation was impressed with the results and continued the efforts, to report an achieved figure of 5.1 kmpl over the next six months period.
Net Impact:
The corporation, subsequently decided to establish Diesel Conservation cells in all of their 72 depots across the state of Gujrat, and ever since, GSRTC has been maintaining the best performance status.
As of today, in 2009, the corporation is reported to be achieving average figures of about 5.25 kmpl.
Conclusion:
I am of firm view and believe that nothing is perfect and everything can be improved further.
The results mentioned above are only stopgap targets. If the manufacturers of the vehicles can design appropriate engines to meet the needs of the buses, the performance can be improved by leaps and bounds. Thus a real breakthrough can be achieved, and we can perhaps reach the western performance figures of almost about 8 to 9 kmpl..
This can be seen and understood in the light of a typical and privately run Bajaj autoriksha, used in the rural areas for inter town transport system in almost all the states in India. It is a very common sight to see them carrying up to 15 to 16 passengers and still running at speeds of 50 to 60 km/hr. That shows the power and capacity of the small engine used in the autoriksha, and so also the design of the chassis. On these lines, the much talked about Nano brought by TATAs is a case in sight. If only we could modify the shape, engine sound, add one more wheel and improve comfort levels and looks of the autoriksha, to make it look more like a car.
What is needed?
If we really want and desire to set benchmarks, there is a need for a total shift in the paradigm. The conventional ways of improvements have their own limitations, due to the inherent design of the system. Unless we prepare ourselves to give a totally new look to the products and processes, and prepare ourselves to consider all possibilities of change, these breakthroughs will not be realised.
This has happened in all those cases where people talk about latest of the technologies.
It is to be clearly understood that if it was not for Madam Curie, there would not have been radium. Same is the case with Thomas Alva Edison for his Incandescent bulb, Louis Pasteur for Penicillin, Abraham Bell for Telephone and so on and so forth.
Business Process Reengineering calls for a totally new way and new look at how things are being done and how differently they can be done.
The need is:• A totally OPEN Mind.
• Will to Change:
• Determination that if someone else has done it, why can’t I do it even better.
However, as all such landmark improvements take place only when decisions are taken. And the decision making power lies in the hands of the top management. The lower rungs of management and staff and workers do have ideas, but if they have to be implemented, some one has to take the decisions. And, further more, when we consider something entirely new, there always is a risk factor involved. The technical acumen, experiential and technical gut feeling and combined wisdom of the team members will always deliver the desired goals.

Who is the Government

WHO IS THE GOVERNMENT?
During the period 1985-86, the MP OILFED has assigned a study for preparing a DPR (Detailed Project Report) including a detailed Techno Economic Feasibility for a Soyabean oil extraction plant. During the discussions, I suggested to the Managing Director that not only that a study is not required, there is in fact no need for it as there is no case for adding one more industry when the existing ones financed by MPSFC, which infact is public money, are not running to their full capacities and the gross capacity utilization was very low. I quoted examples of similar ventures like the Mini Paper Plants, Mini Steel Plants, HDP Woven sacks units etc. This was of course a surprise to the MD, because no consultant would turn down a request for a consultancy assignment. Instead, I suggested that perhaps what the corporation can do is to undertake a statewide study of Soya bean production and to establish that there in fact is additional soya bean available warranting the commissioning of a new plant.
This idea was well received by the MD but he said that the soya bean production activity falls under the purview of the Agricultural Department and Agro Products development corporation. He however was convinced that something like that should only be done. The proposed study however would have been far more costly compared to the earlier one. This also involved another governmental organization called MP OILFED ( Oil federation). A meeting with the Secretary (Finance) was fixed up. In the meeting it was decided that as the case belongs to the state government organization and because more than one organization are involved and also that the financing is being done by the MPSFC (State Finance Corporation) , it is advised that the study will be undertaken jointly by a total of five organisations. These organizations were identified as Finance Secretariat, MPSFC, Agricultural Development Corporation, Industries Development Corporation and the OILFED.
The committee decided to share the total fee between five organizations, each sharing equally.
At this juncture, I expressed that it will not be possible for me to deal with five clients and hence the committee must identify one single agency who will be coordinating the whole study and the report will be discussed only with that agency and also that the payment will have to be made by this lead agency. MPSFC was identified as the front agency for the study. A formal agreement was signed by the author’s organization and five IAS officers representing the five state organizations.
As per the terms of reference, 50% of the fee was to be paid in advance for mobilizing the teams. The MD of MPSFC expressed his inability to immediately release the advance and requested the team leader (the author) to start the study pending the release of advance money.
The study was undertaken state wide and the final report was submitted sometime in the month of October 1985.
After waiting for the payment till the end of March 1986, when nothing was coming, the author decided to visit the office of the MPSFC in Indore to meet the MD.
After meeting the MD at about 10:30 a.m., the MD advised the author to meet the General Manager who would look in to the matter. Upon meeting the General Manager, the GM said that while the payment is definitely over due, however, as the MPSFC has not received the payments from the other four co participants, it can not be paid. I reminded him about the terms and conditions of the assignment, but the GM expressed his inability to do anything on it, stating that unless the government sanction is received, the amount can not be paid. He however suggested that perhaps I may like to meet the Sr. Manager in accounts who could help out.
The meeting with the Sr. Manager brought out the same response as earlier, quoting the non receipt of government sanction. He instead suggested that I should meet the Deputy Manager accounts. The meeting with the Dy. Manager also brought out the same response that unless the government sanction is received, nothing can be done.
All this continued till the evening about 16:30 hrs.
Frustrated with the whole episode, I decided to call on the MD. The MD also expressed his inability saying that unless the government sanction is received, the payment can not be effected.
I was frustrated and decided to leave the things to fate and left the MPSFC office. Hallf the way to the bus stand, I decided to take the bull by the horn and returned back to the SFC office and met the MD. The MD was seemingly irritated and told me that when they have already told that the payment can not be made, what is the point in again meeting him.
I requested and sought permission of the MD stating that I promise that I will not ask for the payment, but will feel happy if the MD at least gave me a patient hearing. The MD agreed to this, making sure the subject of payment will not be discussed.
I nerrated the whole episode during the day and asked the MD that when every one is insisting upon the government sanction for payment, WHO IS THIS GOVERNMENT. WHEN FIVE IAS OFFICERS OF THE RANKS OF PRINCIPAL SECRETARIES, AND ONE OF THEM BEING THE FINANCE SECRETARY HIMSELF, had in fact siogned the document, is the document not a government document and what more sanction is required. SIR, WHEN WE (ANY PUBLIC) ENTER THE OFFICE OF THE MD OF MPSFC, WE THINK WE ARE ENTERING A GOVERNMENT OFFICE, AND THINK THAT THE MD IS THE GOVERNMENT. IF THE MD, AN IAS OFFICER HIMSELF SAYS THAT GOVERNMENT SANCTION IS REQUIRED, WHOSE SANCTION IS REQUIRED, If the MD could please tell him as to who is that person in the government THE AUTHOR COULD TOUCH HIS FEET AND BEG FOR THE PAYMENT. IS IT ONE OF THOSE CLERKS IN THE FINANCE DEPARTMENT, WHO IS THE GOVERNMENT, THAT UNLESS HE PUT UP HIS THUMB IMPRESSION, THE DOCUMENT DOESN’T BECOME A GOVERNMENT DOCUMENT. This did have the right impact on the MD and he asked the author to stop the talk and sit quiet. The time was 16:55 hrs. of the 31st March 1986, closing day of the financial year. Only five minutes were left for end of the working day. He called the GM and asked him to make a cheque for the total amount of and be handed over to me within the next five minutes. The GM tried to say something but the MD asked him to do just what he is asked to do. The cheque was prepared and was signed by the MD on the spot and was handed over to me, just a minutes before the closure of the financial year.
After this event, the MD thanked me for telling him that he was the government. He did agree that this was the general way of working in state government offices and he never, till that day, realized that public do have their expectations from senior officers and they think that they are in fact the government.