Financial Daily from THE HINDU group of publications
Tuesday, Feb 05, 2002
Financial Daily from THE HINDU group of publications Tuesday, Feb 05, 2002 |
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Industry & Economy
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Power Government - Policy Power Ministry blueprint for sectoral development Vinson Kurian
THIRUVANANTHAPURAM, Feb. 4 THE Union Ministry of Power has scripted a `Blueprint for power sector development', which is holistic in its approach and encompasses the requirements of a fast-evolving economy with special focus on the consumers. The power sector is at a crossroads and a fragmented approach to any one particular aspect of its development would not solve the entire gamut of problems confronting it, the Union Minister for Power, Mr Suresh Prabhu, observed in a recent circular (a copy of which is available with Business Line). The blueprint envisages an intervention strategy straddling six levels, namely (i) national level (covering policy and legal framework, (ii) States (tariff fixation, unbundling and subsidies), (iii) State electricity boards (restructuring, accounting and MIS), (iv) distribution circles (outage reduction, reliability and accountability), (v) feeder (reliability, voltage stabilisation, metering, HT/LT ratio correction) and (vi) consumer level (metering, billing and consumer satisfaction). The blueprint outlines individual strategies for each specific problem issue for solution, Mr Prabhu added. After taking into account all the feasible resources and keeping in mind the need for energy security in a vast country such as India, it has been planned to add 10,000 MW by 2012 to ensure that the economy does not suffer for want of generating capacity. Similarly, a detailed action plan has been drawn up for the development of inter-regional transmission capability to achieve the goal of National Grid by 2012. Accordingly, the Ministry has been entrusted with the following five-point programme for priority action, viz., (i) to provide power on demand by year 2012, (ii) to make the power sector commercially viable and self-sustaining, (iii) to provide reliable and quality power at affordable price, (iv) to achieve environmentally-sustainable power development and (v) to promote general awareness so as to achieve consensus on reforms. Consequently, the following control subjects have been listed in the blueprint which are on top of the Ministry's agenda - (i) augmenting the generating capacity, (ii) accelerating development of hydro projects, (iii) encouraging investment in power sector, (iv) streamlining the power wheeling/transmission capability and improving grid discipline, (v) distribution reforms, (vi) energy conservation and reducing the cost of power, (vii) upgrading the technical efficiency and skill levels, (viii) environment protection with sustainable power development, (ix) rural electrification and (x) awareness amongst general masses and building political consensus on the need for power reforms.
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