Project: "KAUSTAVA"

Emerging INDIA’s: ORISSA

Project : Kaustava

………Lets take the Road less traveled by,And that will make a Big Difference……..

Project: "KAUSTAV"

ORISSA

Project: "KAUSTAVA"

Structure of PresentationStructure of Presentation

Orissa’s Vision

Competitive advantages

Orissa – the State on path of progress

Human Resources Development

Infrastructure

Opportunity Orissa

Project: "KAUSTAVA"

State at a GlanceState at a Glance Capital – Bhubaneswar Area – 1,55,707 square kilometers

Same as New York + Connecticut Population 2001 – 36,804,660

Same as the population of California in 2006 Major industries – Steel, Aluminum, Power, Cement, Mineral-

based, Paper, Higher Education Connectivity

Air: Bhubaneswar Roads: A leg of the Golden Quadrilateral passes through it Rail: Howrah –Chennai and Howrah – Mumbai Major Port: Paradeep

Project: "KAUSTAVA"

Vision of Orissa

““To usher in balanced socio-economic To usher in balanced socio-economic growth of Orissa that hinges on growth of Orissa that hinges on sustainable development with strong sustainable development with strong fundamentals of industrial growth, right fundamentals of industrial growth, right harnessing of natural resources and harnessing of natural resources and actualization of employment potential.”actualization of employment potential.”

Shri Naveen PatnaikShri Naveen Patnaik HonourableHonourable Chief MinisterChief Minister OrissaOrissa

Project: "KAUSTAVA"

Did you know this about Orissa?

A “MIT” (NISER Bhubaneswar), a Berkeley (NU Bhubaneswar) and a Stanford (Vedanta University Puri) are currently being built in the Bhubaneswar - Puri area of Orissa. IIT’s First batch started AIIMS MOU Signed, Second in the country Vedanta University in Puri – a $3 billion university with a $1

billion initial pledge 10 existing universities, 15 more being made; 39 existing

engineering colleges, 12 more in pipeline; 15+ Management colleges, 4 Medical Colleges and many more……..

Rated as “OXFORD” of India

Project: "KAUSTAV"

Project: "KAUSTAVA"

Did you know this about Orissa? The making of a transportation “CHANNEL”!

Ports (existing and in pipeline) Paradeep Dhamara Gopalpur Kirtania Jatadhari (for POSCO) Astaranga, Puri Bahuda Muhana, Ganjam Baliharchandi, Puri Barunei, Kendrapada Chudamani, Bhadrakh Inchudi, Balasore Palur, Ganjam National waterway 5

Project: "KAUSTAVA"

Emerging PortsEmerging Ports

Dhamra Gopalpur

Developers Tata Steel and Larsen & Toubro

Orissa Stevedores and Noble Shipping (Hong Kong)

Capacity 80 mtpa (13 mtpa by 2009)

30 mtpa (10 mtpa by 2010)

Berths 13 6

Channel 18 metres 13.5 meters

Vessels Cape size Panamax

Project: "KAUSTAV"

Project: "KAUSTAV"COAL

Mineral % Reserve

Iron Ore 34%

Bauxite 63%

Nickel 95%

Chromite 98%

Coal 24%

Mineral sand

32%

Graphite 77%

Project: "KAUSTAVA"

Power TariffPower Tariff

State Industrial Power Tariff (Rs./ KWH)

Orissa 2.90

West Bengal 3.50

Jharkhand 3.20

Andhra Pradesh 3.80

Kerala 3.50

Gujarat 4.00

Maharashtra 5.00

Haryana 4.00

• Orissa is a power surplus State

• Orissa has successfully carried out power sector reforms - Distribution privatized

Project: "KAUSTAVA"

Density of RoadsDensity of Roads

Road length per 1,000 square kilometer of area

States 1991-92 2002

Orissa 1,260 1,522

Andhra Pradesh 553 713

Chhattisgarh 321 262

Jharkhand 492 144

West Bengal 700 1,037

India 615 776

Project: "KAUSTAV"

Project: "KAUSTAVA"

Number of Strikes & LockoutsNumber of Strikes & Lockouts

Number of strikes & lockouts (2002)

State Strikes Lockouts Man days lost :2001

Orissa 7 - 32,676

Andhra Pradesh 30 30 10,48,457

Jharkhand 4 - -

West Bengal 21 172 1,48,16,437

India State Average

8 8 10,74,931

• Source: Indian Labor Year Book, Labor Bureau, Ministry of Labor, GoI, 2002

• Industrial Disputes in India, 2001

Project: "KAUSTAVA"

Competitive AdvantagesCompetitive Advantages

In a Global scenario, Orissa has drawn attention of investors with strengths:

Natural Rich mineral resources Coastline – gateway to SE Asian & Far Eastern markets Adequate fresh water available for industrial use

About 10% of India’s utilizable water (surface & ground): 108.147 Billion Cubic Meters.

Discovery of natural gas off the coastInstitutional Proactive policy framework for developing key economic

sectors and for infrastructure buildup

Project: "KAUSTAVA"

Competitive AdvantagesCompetitive Advantages

Developmental: Land contiguous to ports available for industries Surplus quality power at most competitive rate Part of the mainline national rail and road grid

Economic: Low cost labour and availability of skilled workforce Predominance of organized industrial activity

Infrastructural: Major port at Paradeep moving 50 mtpa 90 industrial parks / growth centers (9000 hectares) Seamless connectivity by rail & road Highest density of roads in eastern India

Project: "KAUSTAV"

Competitive AdvantagesCompetitive Advantages

Investor Investor friendly policiesfriendly policies

Investor Investor friendly policiesfriendly policies

Port facilityPort facilityPort facilityPort facility

Mineral Mineral resources resources

in proximityin proximity

Mineral Mineral resources resources

in proximityin proximity

Plentiful Plentiful waterwater

Plentiful Plentiful waterwater

Land bankLand bankLand bankLand bank

Rail connectivityRail connectivityRail connectivityRail connectivity

CompetitiveCompetitivepower tariff power tariff CompetitiveCompetitivepower tariff power tariff

Skilled Skilled manpower manpower

Skilled Skilled manpower manpower

Government Government facilitationfacilitation

Government Government facilitationfacilitation

Road networkRoad networkRoad networkRoad network

Lowest cost producer Lowest cost producer of Steel / Aluminaof Steel / Alumina

Lowest cost producer Lowest cost producer of Steel / Aluminaof Steel / Alumina

Project: "KAUSTAVA"

The state on the move…Developments during the last three years

Metal Sector

Preferred destination for Foreign & Domestic Investors

45 projects for over 70 mtpa of Steel (28 plants partly commissioned). More than US$45 Bn investment

4 new aluminum complexes with more than 4 mtpa alumina and 1 mtpa aluminum smelter capacity under implementation (US$ 10 Bn)

Rare earth projects thru FDI mode (US$ 0.50 Bn)

Major investors in the metal sector - POSCO, Arcelor-Mittal, Tata Steel, Bhusan, Jindal, Essar, Aarti, Hindalco, Vedanta, L&T – Dubai Aluminium,

Rourkela Steel Plant

Workshop

Project: "KAUSTAVA"

The state on the move…Developments during the last three years

Chemical & Petrochemical

15 mtpa mega petrochemical complex by IOC (US$ 6Bn)

Deepak Fertilizers implementing 2 chemical projects at Paradeep

Mega Petroleum, Chemicals & Petrochemicals Investment Region (PCPIR) under development in Paradeep area (284 Square kilometers)

Cement 3 Cement Projects- Rs 2180 Cr

Chemicals

Petrochemicals

Project: "KAUSTAVA"

The state on the move…Developments during the last three years

Energy and Power

13 Thermal Power Projects under implementation with capacity of 13,500 MW (US$ 11 Bn)

Major names include Tata Power, Reliance Energy, Sterlite Energy, Mahanadi Aban, Monnet Ispat, Essar Power, Lanco Group, NavBharat Power, CESC and GMR Energy

Project by Reliance Industries Limited for hydrocarbon based power generation & gas grid (US$ 1.5Bn)

Various Mini-Hydel projects with a combined capacity of 200 MW

Non-conventional projects with 100 MW

Energy & Power

Power Sector

Project: "KAUSTAVA"

The state on the move…Developments during the last three years

Special Projects Mega shipbuilding & repair yard at Dhamra ($ 0.6

Bn)

Auto components park by RSB

Tourism 5.3 million tourists visited Orissa in 2006 (growth

rate >13%)

Foreign tourists 40,000 (growth rate 17%)

Hospitality sector investments by some of the most respected hotel chains

Special Tourism Area (STA) near Puri spread over 1000 acres already under implementation

Infrastructure up gradation projects in the Buddhist and beach-based circuitsExotic Beach at Puri

NALCO

Project: "KAUSTAVA"

The state on the move…Developments during the last three years

Mega Infrastructure Projects Development of industrial, economic & social

infrastructure in steel & mining corridors Major expansion of Paradeep Port underway 12 SEZs including 4 IT SEZs approved by GoI 4 new ports (US$ 2Bn) at Dhamra, Gopalpur, Jatadhari

Muhana and Kirtania in progress and more being explored on 480 km long coast line of the state

Bio-pharma Park in Bhubaneswar through PPP

Integrated Textiles Parks at Choudwar

Auto complex at Choudwar - Rs 365 Cr

Extensive rural electrification

Bhubaneswar Airport modernization – Rs. 250 Cr

International Convention Centre at Bhubaneswar

Infocity, Bhubaneswar

Paradeep Port

Project: "KAUSTAV"

Project: "KAUSTAVA"

The state on the move…Developments during the last three years

Information Technology Sector

Orissa emerging as an IT / ITES powerhouse with presence of Infosys, Satyam, Wipro, TCS, Mindtree, ICICI Bank, Genpact (200,000 software professionals by 2015)

SMEs: More than 300 units and 12000 software professionals engaged in the state

Group of investors from Silicon Valley setting up 5000 seater IT/ITES facility

Target of exporting software to the tune of US $ 1000 mn by 2011-12

Integrated IT City over 500 acres underway

Satyam Campus, Bhubaneswar

Infosys Campus, Bhubaneswar

Project: "KAUSTAVA"

Recent FDI projects in OrissaRecent FDI projects in Orissa

Largest FDI of US$12 Bn by Korean Steel Largest FDI of US$12 Bn by Korean Steel Giant POSCO in steel sectorGiant POSCO in steel sector

Other big FDI projects:Other big FDI projects:

SteelSteel Arcelor-MittalArcelor-Mittal

Alumina / Alumina / AluminumAluminum

Dubai Aluminum, Alcan, VedantaDubai Aluminum, Alcan, Vedanta

Titanium Titanium ProductsProducts

JSC Technochim Holding (Russia)JSC Technochim Holding (Russia)

LimeLime Lhoist (Belgium)Lhoist (Belgium)

PortsPorts Noble Shipping (Hong Kong)Noble Shipping (Hong Kong)

Industrial Industrial GasGas

Air Liquide (France)Air Liquide (France)

Biju Patnaik International Airport

Nine hole Golf Course at Infocity

Project: "KAUSTAVA"

InfrastructureInfrastructure

ROADS & RAILWAYSROADS & RAILWAYS Monitoring by Prime Minister’s office of priority infrastructure projects catering to the steel and mines

corridor Over $ 5 Bn investment in road sector in next 5 years

About $ 1.5 Bn investment in railways in next 5 years

Massive urban infrastructure up gradation through national level programmes

Investment through public funding and private participation

Road in PPP mode

XIM, Bhubaneswar

States Cement Consumption per capita in Kg 2005

Orissa 101.26

Andhra 97.67

Chhattisgarh 92.16

Jharkhand 80.05

West Bengal 73.73

Project: "KAUSTAV"

SUNDARGARH

B A R A G A R H

B A L A N G I R

NUAPARHA

NABARANGAPUR

KALAHANDI

DHENKANAL

SAMBALPUR

JHARSUGUDA

MALKANGIRI

KORAPUT

RAYAGARHAGAJAPATI

GANJAM

KANDHAMAL

CUTTACK

KHURDA

S O N E P U R

B O U D H

NAYAGARH

A N U G U L

DEOGARH

MAYURBHANJ

BALESHWAR

P U R I

JAGATSINGHPUR

KENDRAPARA

BHADRAK

Rourkela

BHUBANESWAR

RAJ AMUNDA

KENDUJHAR

Kanaktora

Chitrakonda

Balimela

Malkangiri

SunabedaDamanjori

Koraput

PANIKOI LI

Udala

Karanjia

Nilagiri

Basudebpur

Soro

Anandapur

Athargarh

Chaudwar

Parsala

Balugan

KhallikotAsika

Gunupur

Junagarh

Nabarangapur

Bhawanipatna

Sambalpur

J HARSUGUDA

Sundargarh

Deogarh

Boudh

Balangir

Phulabani

Chhatrapur

BrahmapurDigapahandi

Nayagarh

Puri

Jagatsinghpur

Kendraparha

Jajpur

Cuttack

Bhadrak

Baleshwar

Baripada

KEONJ HAR

Sonepur

Bhanjanagar

Dhenkanal

Rayagarha

Kantabanji

ANUGUL

Dashapalla

Khandaparha

Kantilo

Rairangapur

Jaypore

Umarkot

Nuaparha

Padmapur

Barpali

Burla

Binika

Redhakhol

Sarapali

Jamankira

Bhojpur

Biramitrapur

Panposh

Gorakhapur

Kashipur Gurbari

J K Pur

Daringbarhi

Nisha

Chhendipada

Ambani

Ganjam

MANGULI

Hindola

Chikiti

Jaleswar

Patamundai

Paradwip Port

BhubanKamakhyanagar

Pala Laharha

BARAKOT

Banei

Dhenkikot

Barbil

Mankamanacha

Nuapatna

Banki

Chandragiri

Lanjigarh

Kesinga

Titlagarh

Patnagarh

BrajarajnagarKUCHINDA

Hirakud

Banapur

Khurda

Paralakhemundi

JAJPUR

Gopalapur

LEGEND

DISTRICT BOUNDARY...............

VI S A K H A P A T N A M

F J N B NJF

G K O C G K O

H HL L PP D

E I E IM A

F J N B

G K O

64 73

65 74

NF

NE

44 45

NF

NEBAY OF BENGAL

INDEX TO 1:2,50,000 SHEETS

44 45

Talcher

G.Udaygiri

STATE BOUNDARY................

NATIONAL HIGHWAY........

Motu

ChordaDuburi 12

Dangadi

Brahmani Rd.

3

4

11

Bramanipal

5

Bamberi

7Bamshapani

Bhadrasahi

6

KoiraTensa 9

Kalunga

12

8

10

13

SH. .......

MDR ..............EXPRESS WAY .........ODR ..............

INDUSTRIAL HUB .........

MINNING HUB .........

NH-6

NH

-201

NH-200

EXISTING NH...............

RAI PUR

GUM

LA

Motu

Daitari

Chandikhol

Bargarh

Zone I

Zone III

Zone VI GOPALPUR PORT

PARADEEP PORT

DHAMRA PORT

Zone II

Zone IV

Zone V

Circle I Steel, Power, IT, Tourism & PortsZone III Mining, Power, SteelZone VI Alumina

INDUSTRIAL ZONES AND BIG PORTSINDUSTRIAL ZONES AND BIG PORTS

KIRTANIA PORT

Project: "KAUSTAV"

State Capital - Bhubaneswar

• Bhubaneswar is the 2nd planned city in the country and is the safest and most economical Capital in the country making it very popular with the young masses in Eastern India

• Well connected to major cities in the country • Among 5 fastest growing cities in real estate• Pollution free environment with very pleasant and

comfortable living conditions• Excellent residential, recreation and entertainment

facilities• Top quality schools & colleges.• Large multidisciplinary hospitals by AIIMS & Apollo;

Specialty Centers for cancer, heart, eye, diabetic research, spinal injury and trauma care.

• Fascinating weekend getaways, pristine beaches, exotic flora & fauna and wildlife sanctuaries, at proximity

Shopping Malls

Hotel Swosti Plaza, Bhubaneswar

Well planned Residential Complexes

Project: "KAUSTAVA"

Bhubaneswar as a knowledge hub

Existing Universities

IIT Bhubaneswar NISER Bhubaneswar Utkal University Orissa Univ of Agriculture and

Tech. Ravenshaw University IIIT Bhubaneswar Utkal Univ. of Culture Sri Jagannath University KIIT deemed University SOA deemed University 39 additional four year

engineering colleges, 30+ Colleges offering Bachelors in

non engineering subjects

Upcoming universities

Vedanta University National University (WCCU) AIIMS Bhubaneswar National Law University Sri Sri University ICFAI University Jagadguru Kripalu University Orissa open university National Institute of Design (?) 6 deemed university applications

in pipeline 12 four year engineering colleges

Project: "KAUSTAV"

Medical Colleges Around Bhubaneswar

Existing

SCB Medical College Hi-tech Medical College Kalinga Institute of Medical

Sciences SUM Hospital and Medical

College

Upcoming

Medical College of Vedanta University

AIIMS Bhubaneswar Capital Medical College Medical College of Sri Sri

University Medical College of National

University

Project: "KAUSTAVA"

Human Resources Development Human Resources Development in Orissain Orissa

Higher Education

Hub of engineering, management & medical education in Eastern India

Tripling of engineering/MCA technical education capacity since 2001

30,000 B.Tech / MCA, 3000 Management professionals and 50,000 general graduates pass out every year

Apeejay implementing integrated Knowledge Park

Besides IIT, NISER, & World-Class Central University, a central University in Koraput and a IIIT in Berhampur.

Utkal University, Bhubaneswar

RIE, Bhubaneswar

Project: "KAUSTAVA"

Orissa: What the experts say

Mckinsey 2005: “Orissa’s economy is poised to grow at 7.1% over the next 10-12 years, the highest in Eastern India”

CMIE 2006 & 2008: “Orissa accounts for 15% of total investment in hand in the country. It tops in terms of Industrial investment ($133 Bn) and project implementation ahead of Maharashtra & Gujarat”

World Bank 2008: “Orissa is a State on the move. GSDP has grown at the rate of 8.5% on average during 2002-07”

Alastair King, CEO of UK-based India investor Eredene Capital (Quoted in a Reuter article): "Relative to building the 10th new retail mall in a suburb of Mumbai ... I'd much rather build the first distribution park in the steel industry of Orissa, where you've got great demand."

Project: "KAUSTAVA"

Why Orissa?

Vibrant industry sector

Proactive and positive Government with a modern outlook

Stability of political regime and policy framework for developing key economic sectors and for infrastructure buildup (Legislative framework to reduce transaction time & cost for investors)

Strong institutional support and Single Window facilitation by Team Orissa

Harmonious industrial climate and relations Team Orissa

Chief Minister is the captain of TeamInstitutional framework of the Government that is

engaged in industrial facilitation and investment promotion

Mukteswar

Secretariat Building, Bhubaneswar

Project: "KAUSTAVA"

Why Orissa?

Government promoting inclusive growth for sustainable & balanced development:

People oriented R & R policy

Strong institutional mechanism to promote periphery development with involvement of all stakeholders

Stress on environment management

Focus on SME sectors

Strategy to leverage natural resources for all-round prosperity and enabling rural livelihoods

Rapid infrastructure development through PPP framework and policy

KIIT University, Bhubaneswar

Well planned Roads

Project: "KAUSTAVA"

Opportunity OrissaOpportunity Orissa

Education and Knowledge Sector Automobile sector Ancillary / downstream / construction phase projects of mining /

steel / aluminum / petrochemicals Equipment and technology suppliers & vendors Heavy engineering and fabrication Plant and machineries for ports, roads, industrial water supply, mining

equipments, etc Power projects – coal washing, modernization of existing units,

renewable energy Marine fisheries & infrastructure Services sector Tourism Information Technology / ITES

Project: "KAUSTAVA"

Opportunity OrissaOpportunity Orissa

Development of industrial parks and Special Economic Zones

Critical economic & social infrastructures in industrial and mining corridors – roads, water supply, housing, hospitals, etc

Construction domain including industrial construction, townships, roads, ports, real estate and other infrastructure

Technology applications in utilization of flash and blast furnace slag

Clean development mechanisms projects – green manufacturing processes and technology

Project: "KAUSTAVA"

Focused Investment Sectors Roads ,Rail and Township

Capital Region Ring Road -87km Estimate Cost- 600Cr Bhubaneswar – Paradip Roadd-94Km- 650 Cr Four laning of Sambalpur-Rourkela Road from existing two lane road. 86 Km Integrated Residential Township, Ranasinghpur, DBT, the estimated project

cost(cr) – 493 Aviation Training Academy at Bhubaneswar Establish a Convention Complex and Golf Course at Bhubaneswar

Infrastructure-Ports, Airport Airport at Jharsuguda in PPP mode International Airport in PPP mode New Ports at Bali-harichandi( Puri),Palur (Ganjam), Astaranga (Puri), Inchuri

(Balasore),Chandipur (Puri) Ship building at Dhamra (Bhadrak) and Gopalpur (Ganjam)

Project: "KAUSTAVA"

Focused Investment Sectors

Renewable Energy

Orissa has a potential to generate 4500Mw from renewable source. Orissa Electricity Regulatory Commission has made mandatory to Govt.

to purchase 10% of Power from Renewable Energy source. Govt of India has identified 8sites for setting up wind mills generating

1500Mw. Gopalpur, Chandbali, Puri, Paradip,Konark and Damonjodi are the

potential sites. Power Purchase Agreement with Govt Potential from Solar Energy is 2000Mw. Orissa has signed MOU to generate 100Mw from Solar Photo Voltaic. 8nos of Projects finalized to generate 200Mw from biomass source. Mini/Micro/Small hydel projects have potential to generate about

1000Mw. Grid connectivity for commercial production

Project: "KAUSTAVA"

Invest in Orissa and be a

preferred partner

CAPEX database of The Centre for Monitoring Indian Economy (provider of project-wise information of new and ongoing capital expenditure projects in the country)

Ranks Orissa first in terms of value of total envisaged projects for the period ending December 2007.

Estimated investment of Rs 599,181 crores (= $150 billion) Ranks Orissa first in terms of value of total projects under

implementation in the country at Rs 308,589 crore. There are 483 projects being carried out in Orissa: 52% are

under implementation stage while 48% are in the announced stage.

Project: "KAUSTAVA"

Issues and Challenges

Providing encroachment free land for the projects. Providing support for removal of utilities and stopping of future

encroachments. Providing adequate legislative &administrative support Suitably structuring the concession agreements to insulate against

future political/ administrative changes keeping in view the long concession periods.

Setting up of robust dispute redressed mechanism. Protecting rights of all Stake holders including exempt categories of

users. Availability of equity and long term debt. Continued Government and Concessionaire’s interest in the projects

keeping in view their long gestation and concession periods.

Project: "KAUSTAVA”

Lets take the Road less traveled by,And that will make our Future a Big difference

Thank You