AI bandwagon

Enterprises jump on AI bandwagon, but seat belts are few

by | Sep 4, 2020 | Analysis, Artificial Intelligence

An EY-Nasscom study says 74% of organizations have initiated AI adoption, but lack of risk-assessment prototypes is a challenge that needs to be overcome.
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Artificial intelligence (AI) is swiftly moving to the mainstream and emerging as a powerful engine for many organizations, prompting them to jump on the AI bandwagon to accelerate growth, innovate, and disrupt the market. The Indian government and industry bodies are extensively focusing on building an AI ecosystem that could help the country to develop and implement cutting-edge solutions (See: New CII forum formed to help build an AI ecosystem). 

However, according to a recent study, Indian enterprises need to beef up their risk-management capabilities to leverage AI’s potential and dodge threats that may emerge after scaling up AI deployments.

The study titled, Can enterprise intelligence be created artificially?, commissioned by global consulting major EY and trade association body Nasscom, says that 60% of Indian executive leaders believe that AI will disrupt their businesses within three years. Yet, only 25% of enterprises have deployed AI solutions. Over 500 top CXOs across India participated in this survey and shared their AI adoption journey highlights along with the critical challenges faced by their companies.

The findings of the EY-Nasscom survey also disclosed that the majority of the enterprises are still battling out governance and risk management concerns for mass AI adoption. According to the EY-Nasscom survey, 74% of the respondents said that they had established a formal strategy or obtained C-suite sponsorship to initiate or scale up their AI programs. However, despite riding the AI bandwagon, a whopping 88% of the respondents stated that their risk management frameworks required improvements to address AI-specific concerns in areas such as ethics, accountability, and explainability.

After a couple of years of rigorous prototype testing and its applicability in the modern-day technology ecosystem, Indian enterprises are now finally waking up to the potential of AI and plan aggressive deployments. There is a broader understanding that AI adoption will help enterprises strengthen their cost-optimization efforts, operational efficiency, customer experience, and revenue growth. The time is now to move away from the development aspect to model validation.

A good governance structure is missing

AI tools are largely statistical models. They can be customized and come in wide ranging forms. Such models have their benefits and challenges.

One of the critical advantages that AI offers is its incredible competence to simplify the decision-making process. The integrated analytics and data science act as a catalyst for transformation, enabling enterprises to review in-depth insights and make precise decisions. It empowers leaders to transition time-consuming, complex, and repetitive tasks to AI-driven tools, thus assigning more meaningful responsibilities to them while freeing up the resources.

It is a well-known fact that various AI tools, such as robotic process automation (RPA)  and natural language processing (NLP), need diverse technology combinations to demystify their true potential.

Like every technology, AI deployment needs strategic planning and strongly interconnected governance models to make it a success in any ecosystem. Some of the core risks allied with AI include algorithm-related bias, legal compliance, concealed cyber attacks, programmatic errors, and overdependence on the technology. AI systems handle vital and sensitive organizational data, and hence, these risks, if not appropriately managed, can cause ambiguous and misleading results, leading to massive loss of corporate reputation and revenue.

“AI needs to be understandable, auditable, and grounded on reliable data. Integrated governance is needed to promote the reliability of data gathering, storage, and its usage, with adequate safeguards built-in through a robust risk management framework. Almost half of the surveyed enterprises state that their data strategy, specifically as it relates to harmonizing data from disparate datasets and strengthening data security, has significant scope for improvement to ensure AI-program success,” the EY-Nasscom study adds.

Some of the other elements that may influence the AI-success in any organization include the availability of accurate data, the digitization level of an enterprise, and the maturity of the partner network.

Debjani Ghosh, President, NASSCOM

 “As industry witnesses a rapid advancement in new technologies, Artificial Intelligence increasingly becoming an imperative for businesses across industries. Implementing AI will not only catalyze the innovation to stay competitive but also generate long-term value for enterprises. The NASSCOM – EY survey is ready reckoner that AI adoption is a critical competitive lever. It enables business leaders to infuse technology at speed.” 

Vijay Bhaskaran, Partner – Technology Consulting, EY

“AI has immense capability to unlock exponential value for businesses and navigate the complexities of the ever-evolving digital economy. However, enterprises too need to equip themselves with the right AI platform that can help them rapidly adopt and scale AI solutions, resulting in faster, smarter and future-ready businesses. It is our constant endeavour to help organizations transform by automating intelligently with our unique propositions in artificial intelligence (AI) consulting.”

Nitin Bhatt, Partner & Technology Sector Leader, EY India

“AI holds tremendous potential in helping companies innovate, enhance competitiveness and generate significant long-term value. AI adopters have already achieved remarkable success in transforming their business models, operational processes and stakeholder experiences. As business leaders continue to push the frontiers of technology and the future success of AI will be driven only by our inspiration and imagination.”

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Wind power companies to get lease rent waiver

Wind power companies to get lease rent waiver

The Ministry of Environment, Forest and Climate change has decided to relax the mandatory charging of lease rent of Rs 30,000 per MW for wind power projects.

In a review meeting Union Minister for Environment, Forest and Climate Change, Prakash Javadekar took a conscious decision to relax the condition of charging the lease rent of Rs 30,000 per MW for wind power projects. Javadekar said that it is expected that this step will boost the investment in wind power projects and will help in providing wind power at cheaper rate.

“The government envisages to meet maximum energy requirement by tapping renewal energy resources and, to achieve the target of clean energy in a time bound manner, various policies and regulations are being constantly updated,” said the Environment minister.

Currently, to establish wind power project over forest land, the existing procedure requires payment of mandatory charges for compensatory afforestation and Net Present value (NPV). In addition to mandatory charges, the wind power companies had to pay additional lease rent of Rs 30,000 per MW. This additional cost is not mandatory for other renewal energy projects such as solar power and hydel electric projects. Additional cost for generation of clean energy through wind power, in turn escalates the per unit cost of power at consumer level.

Promotions of such projects are part of Government of India’s growing commitments towards International Agreements. One of the National Commitment pledged in Paris in 2015 was to have 40% of the power from renewable resources by 2030 .It is noteworthy that currently India has over achieved the target and is well on track to ensure that more than 50% of the installed capacity will come from renewable by 2030.

Karnataka tops rooftop solar ranking index

Karnataka tops rooftop solar ranking index

RK Singh, Union Minister of State for Power and New & Renewable Energy (IC) and Skill Development & Entrepreneurship, launched the State Rooftop Solar Attractiveness Index (SARAL) in New Delhi yesterday. The State of Karnataka has been placed at the first rank in the Index that evaluates Indian states based on their attractiveness for rooftop development. Telangana, Gujarat and Andhra Pradesh have got 2nd, 3rd, and 4th ranks, respectively.

Launching the Index, RK Singh said that it would incentivize rooftop solar by creating healthy competition among the states. He encouraged all states to adopt the best practices being followed by top ranking states.

SARAL has been designed collaboratively by the Ministry of New and Renewable Energy (MNRE), Shakti Sustainable Energy Foundation (SSEF), Associated Chambers of Commerce and Industry of India (ASSOCHAM), and Ernst & Young (EY). It was launched during the Review Planning and Monitoring (RPM) Meeting with states and state power utilities. SARAL currently captures five key aspects:

  1. Robustness of policy framework
  2. Implementation environment
  3. Investment climate
  4. Consumer experience
  5. Business ecosystem

It encourages each state to assess the initiatives taken so far, and what it can do to improve its solar rooftop ecosystem. This will help states to channelize investments that can eventually help the sector grow. In addition, such an exercise is likely to create a more conducive environment for solar rooftop installations, encourage investment and lead to accelerated growth of the sector.

The Ministry of New and Renewable Energy (MNRE) has set a target of 175 GW of renewable energy capacity by 2022, of which 100 GW solar power is to be operational by March 2022, of which 40 GW is expected to come from grid connected solar rooftops. The Indian Grid Connected Rooftop PV (GRPV) segment is slowly gaining momentum with substantial interest from entrepreneurs, developers, financial institutions, development banks, end users and government entities. On a very positive note, rooftop solar PV has already achieved grid parity for commercial and industrial consumers and is fast becoming attractive for residential consumers as well.

To achieve our rooftop solar targets, it is important to develop an ecosystem that ensures information symmetry, access to financing and clear market signals. Thus, the MNRE has developed the State Rooftop Solar Attractiveness Index–SARAL that evaluates Indian states based on their attractiveness for rooftop development. SARAL is the first of its kind index to provide a comprehensive overview of state-level measures adopted to facilitate rooftop solar deployment.

Review, Planning & Monitoring Meeting held
Power Minister RK Singh chaired the Review Planning and Monitoring (RPM) Meeting with states and state power utilities. In his address to the state representatives, he emphasized the need to make power sector sustainable and viable so as to ensure 24/7 power supply to all consumers. The meeting discussed various schemes and issues pertaining to the sector such as Deen Dayal Upadhyay Gram Jyoti Yojana (DDUGJY), Integrated Power Distribution Scheme (IPDS), UDAY, 24/7 power supply, etc, said the PIB release.

The meeting was attended by the Secretary, Power, Subhash Chandra Garg, Secretary, MNRE, Anand Kumar, Special Secretary, Power, Sanjiv Nandan Sahai, Senior officers of the Ministry of Power & MNRE, Principal Secretaries/Secretaries (Energy) of States, CMDs & MDs of Discoms and Power Sector PSUs.

 

Drive to eliminate single use plastic gathers pace

Drive to eliminate single use plastic gathers pace

A day after Lok Sabha Secretariat said it has banned the use of single-use plastic within the Parliament complex, Ministry of Railways has already issued a circular to ban single-use plastics, while Department of Animal Husbandry and Dairying under Ministry of Fisheries, Animal Husbandry & Dairying, has also initiated steps in the direction.

Ministry of Railways issues a circular
Ministry of Railways has directed all Railway units to enforce ban on single use plastic material, with less than 50 micron thickness from 2 October 2019. Emphasis is on making necessary arrangements to minimize generation of plastic waste and its eco- friendly disposal.

In this regard, the Ministry has issued a circular stating the following instructions are to be enforced:

  • Ban on single use plastic material
  • All railway vendors to avoid use of plastic carry bags
  • Staff should reduce, reuse and refuse plastic products and to use inexpensive reusable bags to reduce plastic footprint.
  • IRCTC to implement return of plastic drinking water bottles as part of Extended Producer Responsibility.
  • Plastic Bottle crushing machines to be provided expeditiously.

Strict enforcement of these instructions is to be from 2 October, to give enough time to all concerned to prepare for “Plastic Free Railway,” said a release from the Ministry.

Ministry of Railways has also instructed its Railway units that a pledge can be administered on 2 October 2019 to cut use of plastics. Also, Information, Education & Communication (IEC) measures are to be adapted to create awareness among railway users.

Department of Animal Husbandry & Dairying’s move
The Secretary, Department of Animal Husbandry & Dairying has requested Major Dairy Federations like Gujarat Milk Federation (Amul), Karnataka Milk Federation (Nandini), Punjab Milk Federation (Verka), Maharashtra Milk Federation (Mahanand) to encourage reuse of plastic milk pouches, in a campaign mode, with 3R strategy – Reduce, Rebate and Reuse. i.e. REDUCE consumption of plastics by subsidizing price of 1 litre pack over ½ litre pack, REBATE to customers for bringing back plastics, REUSE of pouches for users such as Road construction, recyclers.

Secretary, Animal Husbandry and Dairying has requested all Cooperative Milk Federations and Private Dairies to at least halve plastic use by 2 October.  Media was requested to start a campaign like Swachcha Bharat to discourage plastics and thereby improve environment.

AMUL and Mother Dairy were requested to formulate action plan/protocol to recycle milk pouches and share with Department of Animal Husbandry and Dairying for circulation to other Milk Federations for implementation.

NPC holds meet on sustainable food safety

NPC holds meet on sustainable food safety

A two-day National Conference on Capacity Building of Sustainable Food Value Chains for Enhanced Food Safety and Quality organized by National Productivity Council (NPC) in collaboration with Asian Productivity Organization, Tokyo, Japan began in New Delhi today. The Conference was inaugurated by Secretary, Department for Promotion of Industry and Internal Trade (DPIIT), Ministry of Commerce & Industry and Chairman of NPC, Dr. Guruprasad Mohapatra. In his inaugural address, Dr. Mohapatra highlighted the relevance of sustainable food value chains and the international standards enacted through the Food Safety and Security Act, 2006. He also acknowledged the demand for food safety assurances leading to proliferation of food safety and quality assurance programs, a PIB release said.

Director General, NPC, Arun Kumar Jha, in his address, emphasized on the importance and potential of food processing industry. Chairperson, Food Safety and Standards Authority of India, Ministry of Health and Family Welfare, Rita Teaotia, in her keynote address said that there is a need to develop the mitigation strategies for curbing food wastages, enhancing food security and food quality.

Dr. Manickam Asaithambi, Asian Productivity Organization, Japan, lauded the efforts of NPC to organize this program on sustainable food value chains which is an international phenomenon. Dr. Manickam Asaithambi expressed hope that the outcomes of the conference will lead to developing sustainable strategies for food safety in India. Technical sessions on various aspects of food value chains, food safety and quality will be conducted during the conference which will conclude tomorrow.

Environment min opens draft NREP for comments

Environment min opens draft NREP for comments

Natural resources form the backbone of any economic development. India, as one of the fastest growing economies with GDP at 2.6 trillion USD, has increased its material consumption to six times, from 1.18 billion tonnes (BT) in 1970 to 7 BT in 2015. The material consumption is expected to increase further to provide for an increasing population, rapid urbanization and growing aspirations. Enhancing resource efficiency and promoting the use of secondary raw materials has emerged as a strategy for ensuring that the potential trade-off between growth, resource constraints and environmental well-being can be minimized.

Ministry of Environment, Forest and Climate Change released Draft National Resource Efficiency Policy, 2019 on 25 July 2019 inviting comments and suggestions from stakeholders including public/private organizations, experts and concerned citizens on the draft policy.

The Draft National Resource Efficiency Policy (NREP) envisions a future with environmentally sustainable and equitable economic growth, resource security, healthy environment (air, water and land), and restored ecosystems with rich ecology and biodiversity. The Draft National Resource Efficiency Policy is guided by the principles of (i) reduction in primary resource consumption to ‘sustainable’ levels, in keeping with achieving the Sustainable Development Goals and staying within the planetary boundaries, (ii) creation of higher value with less material through resource efficient and circular approaches, (iii) waste minimization, (iv) material security, and creation of employment opportunities and business models beneficial to the cause of environment protection and restoration.

The Draft National Resource Efficiency Policy provides an overarching collaborative framework for resource efficiency across all sectors in the country, covering both biotic and abiotic resources and life cycle stages and aspires for cross-sectoral stakeholder partnerships for the cause of resource efficiency for sustainable development.

The Draft National Resource Efficiency Policy (NREP) is available online on Ministry’s website at http://moef.gov.in/draft-national-resource-efficiency-policy2019-inviting-comments-and-suggestions-of-stakeholders-including-publicprivate-organization-experts-and-concerned-citizens/.

Comments and suggestions in prescribed format will be accepted till 24 August 2019.

MoHUA workshop lays focus on tech usage

MoHUA workshop lays focus on tech usage

Dr. Thawar Chand Gehlot, Union Minister, Ministry of Social Justice and Empowerment (MoSJ&E) has stated that the Government is fully committed to eradicate manual scavenging through the ‘The Prevention of Employment as Manual Scavengers and their Rehabilitation Act, 2013.’ He was speaking at the national Workshop Cum Exhibition on Sustainable Sanitation organized by MoSJ&E and the Ministry of Housing & Urban Affairs (MoHUA) in Delhi today.

Through a series of panel discussions through the day, the workshop saw discussions and presentation of best practices on topics such as Municipal Solid Waste (MSW) based biomethanation under Sustainable Alternative Towards Affordable Transportation (SATAT) initiative of Ministry of Petroleum and Natural Gas (MoP&NG), MSW to Bio-CNG through biomethanation and cotreatment of organic fraction of MSW with sludge.

The national workshop aimed at providing a comprehensive roadmap for ensuring sustainable sanitation in urban areas. (Image tweeted by @HardeepSPuri)

The day long interaction among stakeholders is aimed at providing a comprehensive roadmap for ensuring sustainable sanitation in urban areas. States and ULBs will take these insights into their respective areas to further strengthen their strategy for achieving safe, sustainable and holistic sanitation.

Hardeep Singh Puri, Minister of State (I/C) for Housing & Urban Affairs, Durga Shanker Mishra, Secretary, MohUA, Nilam Sawhney, Secretary, MoSJ&E and more than 500 representatives including the Principal Secretaries (UD), Mission Directors of AMRUT & Swachh Bharat Mission-Urban (SBM-U) in States/Union Territories, Municipal Commissioners of 500 cities with population of 1 lakh and above and development partners besides senior official from both the ministries attended the workshop.

Gehlot added that the Government has been laying increasing emphasis on mechanical cleaning and preventing human entry into sewer and septic tanks to the extent possible through the use of modern technologies. Further, he said, “Through the National Safai Karmacharis Finance and Development Corporation (NSKFDC) formal integration of these workers is being done through the disbursement of grants, provision of loans and livelihood training programs. I am happy to see that this workshop cum exhibition today will showcase the varied measures, best practices and technologies available that will go a long way in preventing fatalities due to hazardous cleaning of sewers and septic tanks. Swachh Bharat is indeed the first step towards Swasth Bharat.”

Addressing the gathering Puri said, “Our Ministry has consistently made efforts to devise efficient systems, processes and technologies for mechanical cleaning of sewer and septic tanks. The Ministry has undertaken various initiatives to eliminate human entry into septic tanks and sewers and create an ecosystem for sustainable sanitation – the publication of documents such as the CPHEEO Manual on Sewerage and Sewage Treatment Systems (2013) and Standard Operating Procedures for Cleaning of Sewers and Septic Tanks (2018) or organizing of the Global Technology Challenge, being some of them. The workshop today will be another step in this direction. The launch of the guidance document on “Emergency Response Sanitation Unit (ERSU) will go a long way in preventing fatalities of sanitation workers and guarantee their safety and well-being.”

He further added, “The Manual on Stormwater Drainage Systems, 2019 released today, shall add a feather to the recently launched Jal Shakti Abhiyan by the Government and help cities and towns in water conservation, protection from flooding and water security. The Ministry is fully committed to support the endeavors of States & Urban Local Bodies as they progress towards total sanitation or Sampoorna Swachhata.”

Durga Shanker Mishra, Secretary, MoHUA said, “While the Directory of Sewer & Septage Cleaning Equipment launched today will be a guiding book for Urban Local Bodies as well as practitioners, the exhibition by prominent manufacturers and vendors showcasing emerging technologies, equipment and best practices on sewer and septic tank management will help provide customized solutions to city specific requirements in this area.”

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