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Unit 7: Market and Demand Analysis




          8.   Infrastructural Facilities:  Availability and  characteristics  of  roads, bridges,  railway  Notes
               facilities (like station, yards), air transportation, waterways, ports, etc. depending upon
               their relevance to the assessed requirements of the project at both implementation and
               operation stages need to be studied. After studying the appropriateness of the infrastructure
               existing around the project location, the infrastructural  requirements at the project site
               itself. A large part of the land area is normally required to be reserved for service roads,
               storm water mains, railways, over-ground or overhead gas, steam, and air  pipelines,
               water reservoirs, and even harbors for certain large-scale industrial projects. A detailed
               study of all such requirements, and of their implications in terms of time, resources, and
               approximate costs is necessary to avoid surprises later on.
          9.   Manpower: The availability in needed numbers, of manpower of requisite skills where
               and when required, has to be studied. This covers both the project implementation and the
               operation (and maintenance) phases. In case imparting of training is also involved, timely
               availability, and costs, of the training facilities have also to be assessed.

          7.5.1 Environment Impact Assessment (EIA)

          This study-
          1.   identifies the environment in which a project is to be implemented,
          2.   assesses the short- and long-term impacts the former is likely to be subjected to as result
               of the project activities during construction as well as operation phases, and
          3.   generates preferred alternative courses of action, if possible.
          Its inclusion at the feasibility study stage is  necessary for  certain projects since, under  the
          Environmental Impact Assessment Notification, 1994, issued by the Ministry of Environment &
          Forests, Government of India, any expansion or modernisation of an existing activity which is
          likely to increase the pollution load, or setting up of a new project listed in Schedule I, ibid., is
          not permissible unless cleared by the Central Government. The Schedule covers about two and
          a half dozen projects including petroleum refineries, chemical fertilisers, bulk drugs, asbestos,
          thermal power plants, paper, cement, and even highway projects.
          The EIA process can prove to be of immense benefit to the project promoter, if sincerely carried
          out, by ensuring that the natural resources are conserved or used efficiently and serious problems
          likely to arise out of any adverse effects on community or natural systems are duly anticipated
          and provided for at the planning stage itself. For identification of impacts, a list of parameters
          relevant to the project is drawn up, covering natural physical resources, natural biological/
          resources, and quality-of-life values including aesthetic and cultural values. For instance, for
          rail/road/highway project the following parameters have been identified:
          1.   surface water quality
          2.   air quality

          3.   seismology/geology
          4.   erosion
          5.   land quality
          6.   fisheries
          7.   forests

          8.   terrestrial  wildlife





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