Hi Friends,

Even as I launch this today ( my 80th Birthday ), I realize that there is yet so much to say and do. There is just no time to look back, no time to wonder,"Will anyone read these pages?"

With regards,
Hemen Parekh
27 June 2013

Now as I approach my 90th birthday ( 27 June 2023 ) , I invite you to visit my Digital Avatar ( www.hemenparekh.ai ) – and continue chatting with me , even when I am no more here physically

Friday, 5 April 2019

RE: Attn : SHRI ARUN JAITLEYJI / IGNORING HAS ITS PRICE !


Purchase of Electric Vehicles ( Motor Cycles - Rickshaws - Cars - Buses etc ) by ( mostly ) Public Transport Authorities, will cost Rs 10,000 CRORE , by way of subsidy , under FAME II


That is tax-payer money ( yours and mine )


But, what is supposed to be an initiative to :

# Boost faster adoption of Electric Vehicles

# Cut down on vehicular emission to improve air quality ,


- seems headed to become a BIG SCAM


This is something which may be " unintended consequence " of a well-meaning scheme but , Can BJP government afford to be " accused " of " Complicity " , with general elections merely days ahead ?


I hope , Shri Arun Jaitleyji , finds time to issue instructions to limit the damage !



E- Bus :  without ETA [ Expected Time of Arrival  ]  ?


Here is why :


Extract :

The automobile manufacturer has been pulled up by the government for failing to honour the deadline regarding the timely deliveries of the vehicles along with a warning that it could be proscribed from getting future contracts under FAME II  if the dispatches are not expedited.


Tata Motors in March 2018, had won a contract for supplying 40 electric buses each to the cities of Guwahati, Kolkata, Jaipur, Jammu & Kashmir, and Lucknow, the deadline of which according to the report has been missed

======================================================================

MY  TAKE


If the supplier could not deliver even 40 buses after ONE YEAR , what can we expect the “ Shape of Things to Come “ under FAME II , which calls for delivery of 7,090 e-buses in next 3 years  ie :  some 2300 per year ?


Is FAME II headed for an “ Unmitigated Disaster “ ?


Some 50 years back , on the northern border of Canada, USA government installed a series of Radar installations , to give it an early warning of a few minutes , for arriving Russian missiles


It was popularly known as DEWDistant Early  Warning ]  system .


Forewarned is forearmed  !


I urge the Central Government to IMMEDIATELY install the following DEW system for all E – Bus purchase – even if that means cancelling the existing orders – and retendering


Central Government to release a STANDARD AGREEMENT for all public authorities for purchase of E – Buses , to become eligible to get subsidy under FAME II



That agreement must include following clauses :


[ A ]    Lease

          There will be no “ outright purchase “ . All tenders will be only for “ Wet Leasing “ of buses


          Wet leasing tariff shall only be on “ Per Km “ basis and never on “ Per Day –Week –Month “ basis

          ( This will put the ball in the court of the bus supplier to ensure that the buses are in working conditions , all
            the time. Supplier will ensure plenty of spare parts / availability of drivers / network of Charging Stations )




[ B ]    Risk Purchase

          If delivery is delayed by 30 days beyond committed delivery date , buyer will have recourse to wet lease
          buses from any source – the cost of which, the original supplier will have to bear



[ C ]   Liquidated Damages

         For each day of delay beyond the committed delivery date , supplier will be liable to compensate the buyer
         an amount equal to the “ average daily operating cost of an alternate diesel bus x number of e – buses on
         order “



[ D ]   Bonus cum Penalty

          Early delivery :

         For each week of early delivery , supplier will be paid 1 % additional “ Per Km “ tariff for the
         first year of running ( Km ) of the number of buses delivered earlier ( than stipulated date )


         That means , should supplier deliver 5 buses , 4 weeks earlier , then supplier will be entitled to get paid as
         follows :


         “ AT / km ( Agreed tariff ) + 4 % AT = BT / km ( Bonus tariff )


          Bonus Amount =  BT x No of buses delivered early ( ie 5 ) x Guaranteed Km / year ( may be 30,000 Km at
         150 km / day X 200 days )


         Late delivery :

         Reversal of above calculation by deducting 1 % of AT per week of late delivery , to arrive at PT ( Penalty
        Tariff and Penalty Amount )



[ E ]    Termination

         In the event of supplier failing to deliver beyond 3 months of the stipulated date, buyer reserves the right to
         terminate the contract without notice but without prejudice to its claims under aforementioned clauses


=======================================================================

It is the same sad story of late ( by 2 years ? ) deliveries of 10,000 Electric Cars ordered by EESL on TATA Motors and M&M , in March 2017


As of today, only 1,000 cars have been deliveredafter 2 years of waiting !


Starting with my first email ( 16 Aug 2017 ) till the last one ( 12 Oct 2018 ) , I have sent 16 emails to EESL , urging it to cancel this order and retender for Wet Leasing


EESL : It is your move now !     ……………….  12  Oct  2018  ]


Moral of the ( Hi ) – Story  :


#   Fool …………………………… Keeps making the same mistake , again and again . Never learns

#   Learner …………………….. Does not make the same mistake twice . Learns from own mistake

#   Wise person  …………….. Learns from mistakes of others – and avoids making mistake in first place

#    ?  ?  ?  ?  ? ………………. Goes to extreme length to defend a mistake as something “ Unavoidable “

===============================================================================
05  April  2019





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