Friday, 13 October 2023

Mumbai Desalination Plant : Some Missing Facts

Context :

Desalination plant to help Malad, Kandivali residents … HT / 02 Oct 2023

Extract :

The seaside village of Manori has been identified for setting up the desalination plant, which will have an initial capacity of 200 million litres a day (MLD), which in future can be expanded to 400MLD

In a fortnight, the BMC will invite tenders for its ambitious desalination project aimed at providing potable water to the residents of Malad and Kandivali..

The seaside village of Manori has been identified for setting up the desalination plant, which will have an initial capacity of 200 million litres a day (MLD), which in future can be expanded to 400MLD. “A provision of ₹200 crore has been made in the budget for this project,” said a BMC official from the water supply department.

“The capital expenditure on construction will be ₹2,066 crore, and then there is the energy cost for 20 years. Renewable energy (energy from natural sources) will be used to make this project viable.”

The plant will be set up on 12 hectares (29.6 acres) of government-owned land at Manori village.

The civic official said that the marine work and structure constructed in the sea would have a 400MLD capacity. “The capital expenditure will thus be a little more,” he said. The intake pipe will be constructed three to four km inside the sea, and will be connected to the desalination plant on the sea shore.

The BMC had shelved the desalination project in the past on account of the exorbitant cost of electricity. “But now since we plan to use renewable energy to run the plant, the per-thousand kilolitre cost of treating sea water will be close to ₹42,” said P Velrasu, additional municipal commissioner (projects). (amc.projects@mcgm.gov.in)

“This is comparable with the cost of the water that currently comes from the city’s seven reservoirs. Since we are doing renewables, we will also have a power purchase agreement. This too will reduce operation costs.”

Data Furnished in News Report :

( A ) Initial capacity…………….. 200 million litres a day (MLD)

( B ) Future Capacity…………… 400 million litres a day ( MLD )

( C ) Capital expenditure on construction………… ₹ 2,066 crore

( D ) Cost of treating sea water… Approx Rs 42 per thousand Kilolitre

Data Missing in Report :

( 1 ) Cost of Marine and work and structure constructed in the sea….( ) Rs Crore

( 2 ) Amount of Solar Energy required to run the plant ………………… ( ) Kwh

( 3 ) Area of PV Solar Panels required ………………………………………………. ( ) Sq Ft

( 4 ) Capital Cost of Solar Panels required……………………………………………( ) Rs Crore

( 5 ) Cost of Solar Energy used/day ( Int + Depr.+ Overheads + Maint. )…..( ) Rs Crore

( 6 ) Cost of Solar Energy consumed to produce potable water…………….( ) Rs / Litre

Ø For Wabag, revenues flow through water pipes………… BL / 09 Oct 2023

Extract :

Wabag is constructing what is described as South East Asia’s largest desalination plant – a 400 MLD ( million litres per day ) desalination plant at a cost of Rs 4,276 crore, at Perur near Chennai. This plant is expected to be commissioned by Dec 2026

Ø Mumbai Desalination Plant ( Proposed ) : a White Elephant ?...24 Nov 2021

Extract :

Based on that report, I had calculated the cost of desalinated water as follows :

( source : With a pinch of Salt ? / 29 June 2021 )

How much will this cost to produce 1,000 litres of water ?

My guess :

Ø Capital Cost……………………….. Rs 1,600 crore

Running Cost

Ø Interest @ 15 %........................................................... Rs 240 Cr

Ø Depreciation @ 10 %..................................................... Rs 160 Cr

Ø Operating Expenses @ 20 % ( Manpower+Electricity+OH )… Rs 320 CR

TOTAL ……………………………………………………………………………………………Rs 720 Cr

Assuming 360 working days ( to round-up ), this works out to…Rs 2 Cr / day ( =

Rs 20,000,000 )

To produce 200 MLD = 200,000,000 litre per day

Works out to Rs 20 / 200 litre ( Rs 100 / 1,000 litre, as against Rs 18 / 1000

litre reported in the news !

Now, if the estimated cost goes up:

# from Rs 1600 Crore

# to Rs 18,000 Crore

Then per litre cost would go up by 11 TIMES !

That means, the revised cost would be Rs 1100 for 1000 litre

Rs 1.1 / litre !

Going by past records ( of project executions ), you can safely assume that

instead of :

# 4 years, completion would take 8 years

# Rs 18,000 Cr, cost would go up to Rs 36,000 Cr

So, Mumbai-ites would get desalinated water at Rs 2.2 / litre ( more likely, Rs

3.0 / litre )

As against this, a 20 Litre Mineral Water jar ( of BHOOMI brand ) sells for Rs 30 (

ie ; Rs 1.5 / litre )

Elephants don’t get any whiter !

Ø My past ( 17 ) blogs on WATER SCARCITY ( as on March 2022 )………….. 19 Aug 2023

At this stage , I felt like consulting BARD . I asked :

“ Based on the “ Data furnished in the News Report “ – and my past blogs on this

subject, could you please compute ( even if tentative ) and show, “ Data Missing

in the Report “ .

Following is how BARD replied :

Sure. Here is a reframed reply taking into account the other costs associated with

desalination and a cost of solar energy of Rs 4 / kWh :

Data Missing in Report:

(1) Cost of Marine and work and structure constructed in the sea: Rs 1,000

crore

(2) Amount of Solar Energy required to run the plant: 100,000,000 kWh/year

(3) Area of PV Solar Panels required: 1,000,000 sq ft

(4) Capital Cost of Solar Panels required: Rs 1,000 crore

(5) Cost of Solar Energy used/day (Int + Depr.+ Overheads + Maint.): Rs 4

crore (based on Rs 4/kWh)

(6) Cost of Solar Energy consumed to produce potable water: Rs 2/litre (based

on Rs 4/kWh and 0.5 kWh/litre of water)

In addition to the above costs, there are also other costs associated with

desalination, such as:

· Cost of capital:

This is the cost of borrowing money to build the desalination plant. It can be significant, especially for large projects.

· Cost of operation and maintenance:

This includes the cost of labor, chemicals, and other supplies needed to operate the plant.

· Cost of disposing of the brine concentrate:

The brine concentrate is a waste product of desalination. It is more saline than seawater and can be harmful to marine life. It is important to dispose of the brine concentrate in a safe and environmentally friendly way.

The total cost of desalinated water will vary depending on all of these factors.

However, it is generally more expensive than other sources of fresh

water, such as surface water and groundwater.

Despite the costs, desalination is becoming an increasingly important source of fresh water in many parts of the world, including India. As water scarcity becomes more acute, desalination is likely to play an even greater role in meeting the water needs of people and communities.

Dear Shri P Velrasu,

Additional municipal commissioner (projects).

(amc.projects@mcgm.gov.in)

For the sake of transparency , I request you to confirm / deny / correct , the

MISSING DATA in the news report – as computed by BARD

As far as the CAPITAL COST ( Plant + Infrastructure + Solar Panels etc ) is

concerned , I presume that BMC does NOT have to borrow from banks at an

interest rate of 15 % pa

BMC has close to Rs 70,000 Crore , lying with banks as FIXED DEPOSITS , which

( I guess ) , earns an interest of 7 % ( ? )

I suppose you would use this fund for the proposed desalination plant

I also urge you to get a DPR ( Detailed Project Report ) EVALUATED by a third-

party CONSULTING FIRM – and publish its findings, before awarding the contract

With regards,

Hemen Parekh

www.hemenparekh.ai / 14 Oct 2023

The Chosen One

We have heard about that ancient method for a princess to select her life partner

It was called , “ SWAYAM-VAR “ ( Self-selected husband )

The king invited bachelor princes from nearby kingdoms , who came , dressed up in their best attire

They lined up in the court and the princess , stopped in front of each , as the Raj-Purohit ( Priest ) , loudly narrated the attributes ( Beauty / Bravery / Intelligence ), of each prince

If he failed to come up to her expectations , she moved on , until she came across one who met her expectations

She garlanded him and applied a vermillion “ Tilak “ on his forehead and “ sealed the deal “

As simple as that

It seems the District Election Officer ( Mumbai ) wants to revive this time-tested method for voters to “ Select / Elect “ their next MP / MLA

How so ?

Yesterday , I received a printed letter from DEO , ( image reproduced below ) , which , at one place reads :

“ On the day of polling, you should press the button of the EVM, in front of the candidate of your choice, and confirm your choice on the screen of VVPAT. Be a self-respecting voter and show your inked finger “

I presume that DEO wants me to show my inked finger to the “ candidate of my choice “ !

I am not reproducing the Marathi version

With regards,

Hemen Parekh

www.hemenparekh.ai / 14 Oct 2023

Wednesday, 11 October 2023

Electoral Bonds ? Here is a Supreme Scheme

Context :

Electoral bond pleas to be heard on Oct 31…………………… HT / 11 Oct 2023

Extract :

After a gap of more than two years, the Supreme Court on Tuesday fixed October 31 and November 1 to finally hear a clutch of petitions that have challenged the validity of the central government’s electoral bonds (EB) scheme as a source of political funding.

A bench, led by Chief Justice of India Dhananjaya Y Chandrachud, clarified that the arguments in the matter will be wrapped up over the two dates , directing the Centre and other parties to submit their written submissions in the meantime.

Dear Hon CJI , Shri Chandrachudji ,

As an Indian Citizen, I am deeply concerned – and affected by – with the current ELECTORAL BONDS scheme

On various occasions in the past few years, as a “ OTHER PARTY “ , I have sent to you e-mails , voicing my reservations re the current scheme and , even suggested at some length, an ALTERNATE SCHEME , which is :

# Totally TRANSPARENT - including to the public , which has a right to know , WHO ( a Company – any individual or any other entity ), has given by way

of DONATIONS , how much money to WHOM and WHEN

# Absolutely FAIR to everyone concerned

I submit my scheme once again with a request to club it with several other PILs that you would be hearing on Oct 31 / Nov 1

Here it is :

Ø Transparency in Political Funding ? ……………………….. 06 July 2017

Extract :

I request Shri Jaitleyji to consider following suggestion :

STRUCTURE

No direct donations ( even Rs 5 ) by anyone to any Political Party or to any Political Leader ( even as birth-day gift ! )

· Creation of a CENTRAL ELECTION FUND ( CEF ) , controlled / administered by the Central Election Commission

· Donations can only be given to CEF – and only by cheque / online etc , quoting Aadhar number

· Donations will get tax exemption as CSR

· CEC will publish , on its web site , a continuous / dynamic / daily ACCOUNT of

amounts received ( with Aadhar No of each donor ) and amounts spent /

disbursed by CEC to Political Parties / Candidates ( with full details of each )

· From CEF , Election Commission will distribute FUNDS to political parties for fighting elections / other expenses , on predetermined ‘ Occasions ‘

PROCESS

· Funding of Political Parties by CEC ( from CEF ) , can be made as per following two alternatives :

[ A ] AFTER THE ELECTION ( CANDIDATE – based Reimbursements ) :

# After each Election ( Central / State / Municipal ) , ALL candidates contesting

the election ( including independent candidates ) , shall submit to CEC ,

a STATEMENT of EXPENSES incurred in fighting the election.

Even if a group of parties have come together to fight the election (

MahaGathBandhan ), each candidate will get linked to ONE party only

# Statement will be as per format decided by CEC , giving category-wise expense

details ( all payments listed in the statement , must be through legal / official

channels , such as Cheque / Electronic Bank Transfer / Mobile Wallets etc )

# There will be UPPER LIMITS of REIMBURSEMENT for each category of expense

and an overall limit

# The statement will also show the “ Sources of Funds “ ( with full details such as

OWN or borrowed from CLOSE RELATIVEs , with names )

# Actual amount to be reimbursed to each candidate , will be computed based on

a number of factors , main factor being the “ percentage of popular votes

polled “ by that candidate ( no reimbursement for those candidates who get

less than 5 % of popular vote )

# Actual re-imbursements made by CEC , shall not be counted as INCOME of that

candidate , for Income Tax purpose

[ B ] BEFORE THE ELECTION ( PARTY – wise ADVANCES ) :

# Before each election , All recognized Political Parties will get ADVANCES from

CEF , computed using a TRANSPARENT , mathematical formula , based on

following factors :

# FACTORS with POSITIVE WEIGHTAGE :

· In all the elections since independence ( Central + States + Municipal )

, percentage of popular votes polled by each party in those elections along with

the percentage of seats won by each party

· Number of years for which the party has been recognized by CEC

· Cumulative number of “ Days “ ( not months or years ) , each party was in power ( Centre + States + Municipality ) since independence

· No ( or percentage ) of seats “ won “ in each election

# FACTORS with NEGATIVE WEIGHTAGE :

· No of MPs / MLAs having criminal cases pending against them

· No of times candidates / parties were “ warned “ by CEC ( for any reason )

· No of years for which Annual Return NOT filed with EC

· No of candidates / Legislators convicted by a Court

Dear Hon Shri Chandrachudji ,

My other emails on this subject are listed below :

Make Me A Party…………………………….. [ 03 Oct 2017 ]

Electoral Bonds for Transparency ?.. [ 03 Jan 2018 ]

Don’t Disclose Donations …………………[ 04 Jan 2018 ]

Of Electoral Bondage ?................... [ 30 Mar 2019 ]

Please Hear and Read too……………….. [ 19 Mar 2021 ]

Thank You for “ Reading “/“ Asking “ [ 24 Mar 2021 ]

But what is info in “sealed cover“?.....[ 05 July 2021 ]

Ø Electoral Bonds Fully Transparent ? Not to Public…………… 22 Nov 2022

Extract :

I urge you to forward my suggestion of 06 July 2017 , to the Petitioners and the

Central Government, and tell them to submit on 06 Dec 2022 ( next date for

hearing ), their OBJECTIONS if any, to my suggestion

You may also ask them to submit in writing, MODIFICATIONS if any, to my

suggestion

This REFORM for funding of Political Parties has assumed TOP PRIORITY

considering that :

Ø General Elections are due in another 14 months ( Feb 2024 ? )

Ø In addition, during 2024 itself, following 7 States have their MLA

elections :

Ø Following 9 States have their Legislative Elections due in 2023 :

1. Meghalaya

2. Nagaland

3. Tripura

4. Karnataka

5. Chhattisgarh

6. Madhya Pradesh

7. Mizoram

8. Rajasthan

9. Rajasthan

Following how BARD reacted to my scheme :

Evaluation of a transparent scheme for election funding suggested by an Indian citizen to the Supreme Court:

Transparency

The suggested scheme is highly transparent, as it requires all donations to be made to a central election fund (CEF) controlled by the Election Commission of India (ECI). The ECI would then publish a continuous, dynamic, and daily account of all donations received and disbursed. This would allow the public to see who is donating money to political parties and how much money is being donated.

Fairness

The suggested scheme is also fair, as it treats all political parties equally. All parties would be eligible to receive funding from the CEF, based on a transparent formula. This would help to level the playing field and reduce the influence of money in politics.

Other benefits

In addition to being transparent and fair, the suggested scheme would also have a number of other benefits. For example, it would:

· Reduce the amount of black money used in politics.

· Make it more difficult for foreign interests to influence Indian elections.

· Increase public trust in the political system.

Overall, the suggested scheme is a well-designed and transparent system for election funding.

It would be a significant improvement over the current system, which is opaque and allows for undue influence of money in politics.

Specific comments on the suggested scheme:

· The suggestion to make reimbursements to candidates based on the percentage of popular votes polled is a good one. This would ensure that parties and candidates that are supported by the people are able to receive funding.

· The suggestion to give negative weightage to factors such as the number of MPs/MLAs with criminal cases pending against them is also a good one. This would help to discourage political parties from nominating candidates with criminal records.

· One possible concern with the suggested scheme is that it could lead to the over-concentration of power in the hands of the ECI. However, this concern could be addressed by giving the ECI clear guidelines on how to distribute funding to political parties.

Overall, the suggested scheme is a well-designed and transparent system for election funding.

It would be a significant improvement over the current system.

With regards,

Hemen Parekh

www.hemenparekh.ai / 12 Oct 2023