The growth of the economy, calls for a matching rate of growth
in infrastructure facilities. The growth rate of demand for power in developing
countries is generally higher than that of Gross Domestic Product (GDP). In
India, the elasticity ratio was 3.06 in the first Plan and peaked at 5.11 during
third plan and come down to 1.65 in the Eighties. For the Nineties, a ratio
of around 1.5 is projected. Therefore, in order to support a rate of growth
of GDP of around 7 percent per annum, the rate of growth of power supply needs
to be over 10 percent annually. Power Sector, hitherto, had been funded mainly
through budgetary support and external borrowings. But given the budgetary support
limitation, due to growing demands from other sectors, particularly social sector
and the severe borrowing constraints, a new financing strategy was required.
This had been recognised by the Government as reflected in the new policy enunciated
in 1991, allowing private enterprise a larger role in the power sector. The
information on the website includes the main features of the private sector
policy along with copies of importantcirculars,notifications,etc.
The Chief Ministers met on 16th October and 3rd December, 1996 to discuss and deliberate upon the issues pertaining to the power sector.
A national consensus evolved for improving the performance of the power sector in a time bound manner and the following was adopted.
I. National Energy Policy
The Government would soon finalise a National Energy Policy.
II. State Electricity Regulatory Commission
Each State/Union Territory shall set up an independent State Electricity Regulatory Commission (SERC).
To set up SERCs, Central Government will amend Indian Electricity Act, 1910 and Electricity (Supply) Act, 1948.
To start with such SERCs will undertake only tariff fixation.
Licencing, planning and other related functions could also be delegated to SERCs as and when each State Government notifies it.
Appeals against orders of SERCs will be to respective High Courts unless any State Government specifically prefers such appeals being made to the Central Electricity Regulatory Commission.
III. Central Electricity Regulatory Commission
Union Government will set up a Central Electricity Regulatory Commission (CERC) CERC will set the bulk tariffs for all Central generating and transmission utilities.
Licencing, planning and other related functions could also be delegated to CERC as and when the Central Government notifies it.
All issues concerning inter-State flow and exchange of power shall also be decided by the CERC.
To enable setting up of CERC, Central Government will amend Indian Electricity Act, 1910 and Electricity (Supply) Act, 1948.
IV. Rationalisation of Retail Tariffs
Determination of retail tariffs, including wheeling charges etc., will be decided by SERCs which will ensure a minimum overall 3% rate of return to each utility with immediate effect.
Cross -subsidization between categories of consumers may be allowed by SERCs. No sector shall, however, pay less than 50% of the average cost of supply ( cost of generation plus transmission and distribution). Tariffs for agricultural sector will not be less than fifty paise per Kwh to be brought to 50% of the average cost in not more than three years.
Recommendations of SERCs are mandatory. If any deviations from tariffs recommended by it are made by a State/UT Government, it will have to provide for the financial implications of such deviations explicitly in the State budget.
Fuel Adjustment Charges (FCA) would be automatically incorporated in the tariff .
There shall be a package of incentives and disincentives to encourage and facilitate the implementation of tariff rationalisation by the States.
V. Private Sector Participation in Distribution
State Governments agree to a gradual programme of private sector participation in distribution of electricity.
The process of private participation shall be initially in one or two viable geographical areas covering both urban and rural areas in a State and the State may extend this to other parts of the state gradually.
VI. Role of Central Agencies
The Central Government would make a comprehensive review of the role of Central Electricity Authority (CEA).
Techno-economic approval of competitively bid power projects will be simplified and CEA shall not be concerned with capital cost, tariff and other commercial aspects of the project. Powers regarding approval ofprojects shall stand delegated to the States in respect of thermal power stations upto 250 MW. However, in respect of thermal projects beyond 250 MW capacity and other schemes, CEA s appraisal will continue in respect of planning and other related matters, such as to promote best optimal development of the river and its tributaries for power generation including proper hydro-thermal coordination the suitability of location and size of thermal power stations; fuel linkages; adequacy of power evacuation facilities covering inter-state and intra-state and the transmission schemes form an integral part of the National Power Grid for maximization of benefits for the country as a whole. Subject to such technical clearances which shall be accorded within two months State Governments will have powers to accord approval for power projects.
The role of FIPB will be minimised by putting as many projects on the automatic clearance route as feasible.
Government of India will issue transparent guidelines and delegate more powers for environmental clearance to State agencies. State agencies should equip themselves with requisite physical and technical expertise.
Government of India will delegate more powers to the states for issue of forest clearances. Statutory amendments will be made in the relevant Central statutes.
Ministry of Environment & Forests have proposed the following delegation to the States for environment clearance :-
(i) All cogeneration plants and captive power plants upto 250 MW
(ii) Coal based plants upto 500 MW using fluidized bed technology subject to sensitive areas restrictions
(iii) Power stations upto 250 MW on conventional technology
(iv) Gas/Naphtha based station upto 500 MW
VII. Autonomy to the State Electricity Boards
States will allow maximum possible autonomy to the State Electricity Boards.The State Electricity Boards will be restructured and corporatised and run on commercial basis.
VIII. Improvements in the Management Practices of State Electricity Boards
State Electricity Boards will professionalize their technical inventory manpower and project management practices.
IX. Improvement of Physical Parameters
Government of India will carry out necessary amendments in the relevant Acts/Rules to allow private participation in transmission.
State Governments will provide higher allocation for early completion of public sector projects Renovation and modernization of existing power plants shall be done in a time bound manner. PFC and other financial institutions will give higher priority for funding of R&M schemes. Clearance to R&M projects will fully be delegated to the States and no clearance will be requiredfrom CEA.
PLF of those thermal power stations having less than 40% PLF at present would be increased by 3% annually, by 2% in case of those plants with PLF between 40 and 60%and by 1% for those plants with PLF over 60%. The
overall PLF in the State sector in the country must comeup to a minimum of 65% and the national average to 70%by 2002 A.D.Compulsory metering at substations and on all major feeders would be introduced. Compulsory metering of all new electricity connections as also of connections toagriculture sector exceeding 10 HP will be undertaken and completed in two years. All electric supplies would be metered by 2002 A.D.
Compulsory annual energy audit of large consumers i.e.,100 KVA and above would be undertaken.
Time of the day metering would be introduced for big power consumers for better load management.
X. Cogeneration/Captive power plants
State Governments will encourage co-generation/ captive power plants. To facilitate evacuation of power from these plants to the grids, States shall formulate clear and transparent policies for purchase of power and wheeling charges which provide fair returns to the Cogeneration/Captive power plant owners. Captive power plants could also sell power to a group of industries as well as other categories of consumers in the said industrial zone or area. Wheeling of power from captive power plants to consumers located at a distance or through displacement basis shall be encouraged and the States will issue clear and transparent long term policies in this regard.
XI. Advance Action and High Priority for Hydro Projects
A national policy on hydro power development will be evolved by the Central Government which, inter-alia, would include development of mega hydro projects, both in the public sector and the private sector, at locations with substantial hydro potential, along with concomitant transmission facilities for evacuation of power to other Regions/states. States shall prepare a shelf of fully cleared hydro projects for implementation on high priority.
Special efforts will be made to promote hydro-electric projects in Himachal Pradesh and Jammu & Kashmir.
XII. Due Emphasis for Investment in North Eastern Region
Since there are geographical constraints in the North-Eastern region, the Government shall constantly review the public and private investments being made in that region so that these States get equitable shares in the investments in the power sector.
XIII.Allocation of liquid fuels
Government shall finalise the linkages of allocation of liquid fuels for power plants in consultation with State Governments soon.
XIV. Mega power projects at pit heads
Development of mega power projects at mine pitheads, both in the public sector and the private sector, with transmission facilities for evacuation of power to other Regions/ states would be encouraged.
XV Setting up of washeries.
Coal India Limited and its subsidiaries shall put up washeries at pitheads, wherever necessary. In case CIL cannot set up the washery private sector would be permitted to set up such washeries at pitheads. In either case, supply, washing and transportation of coal shall be on the basis of legally enforceable commercial contracts.
CEA - Central Electricity Authority MCMD - Million Cubic Meter per Day CERC - Central Electricity Regulatory SERC - State Electricity Regulatory Commission Commission Crore - Ten million MOC - Ministry of Coal CPCB - Central Pollution Control Board MOE&F - Ministry of Environment CWC - Central Water Commission & Forests CCFI - Cabinet Committee on Foreign MOR - Ministry of Railways Investment CIL - Coal India Limited MOU - Memorandom of Understanding Deptt.Irrg - Department of Irrigation DPR - Detailed Project Report MP&NG - Ministry of Petroleum & Natural Gas EOUs - Export Oriented Units DOF - Department of Forest MT - Million Tonnes ECB - External Commercial Borrowing MU - Million Units EPC - Engineering, Procurement & MW - Mega Watts Construction NTPC - National Thermal Power Corporation E&F - Environment & Forest NAA - National Airport Authority E(S) Act - Electricity (Supply)Act, 1948 NHPC - National Hydro-electric Power Corp FIPB - Foreign Investment Promotion Board SIG - Standing Independent Group FSA - Fuel Supply Agreement PLF - Plant Load Factor FTA - Fuel Transport Agreement PPA - Power Purchase Agreement FR - Feasibility Report RFP - Request for Proposal GOI - Government of India RFQ - Request for Qualification HPB - High Powered Board ROE - Return on Equity IA - Implementation Agreement SEB - State Electricity Board IDC - Interest during Construction SG - State Government IOC - Indian Oil Corporation SIA - Secretariat for Industrial Approvals IPC - Investment Promotion Cell IPP - Independent Power Producer SLC - Standing Linkage Committee IRR - Internal Rate of Return SPAC - Standing Project Appraisal Committee KWH - Kilo Watt Hour KCal - Kilo Calorie SPCB - State Pollution Control Board LC - Letter of Credit TEC - Techno-Economic Clearance LOI - Letter of Intent UT - Union Territory Ckt.Kms - Circuit Kilometers CPP - Captive Power Project PSU - Public Sector Undertakings ICB - International Competitive Bidding
1.0 POWER GENERATION
The yearwise generation is as follows:
Year Generation (BUs)
1991-92 287
1992-93 301
1993-94 324
1994-95 351
1995-96 380
1996-97 394
1997-98 420
1998-99 448
1999-00 480
2000-01 499.45
2001-02 515.27
2.0 INSTALLED CAPACITY
The all India installed capacity of electric power generating stations under utilities was 104917.50 MW as on 31.3.2002 consisting of 26261.22 MW hydro, 74428.82 MW thermal and 2720 MW nuclear and 1507.46 MW wind.
3.0 CAPACITY ADDITION DURING 2001-02
A capacity addition target of 4764.7 MW consisting of 1536.20 MW of Hydro and 3228.50 MW of thermal was envisaged for the year 2001-02. As against the afforesaid capacity addition target, the capacity of 3115.25 MW consisting of 1106.25 MW of hydro and 2009 MW of thermal has been achieved up to 31.3.2002.
3.1 CAPACITY ADDITION
Since 1994-95, the following new capacities have been added: (Figures in MW)
| Year | Centre | State | Private | Total |
| 1994-95 | 1464.5 | 3134 | - | 4598.50 |
| 1995-96 | 987.00 | 806.55 | 330 | 2123.55 |
| 1996-97 | 823.50 | 548.5 | 252.4 | 1624.50 |
| 1997-98 | 333.00 | 1676 | 1217.5 | 3226.50 |
| 1998-99 | 991.6 | 1675.4 | 1575 | 4242 |
|
1999-00 |
1615.4 |
2329.1 |
588 |
4532.5 |
|
2000-01 |
659.0 |
2525.77 |
864.20 |
3848.97 |
| 2001-02 | 905.0 | 1393.95 | 816.30 | 3115.25 |
4.0 PLANT LOAD FACTOR (PLF)
The PLF figures since 1994-95 are as under: (Figures in %)
|
Year |
Centre |
State |
Overall |
|
1994-95 |
69.2 |
55.0 |
60.0 |
|
1995-96 |
71.0 |
58.1 |
63.0 |
|
1996-97 |
71.1 |
60.3 |
64.4 |
|
1997-98 |
70.4 |
60.9 |
64.7 |
|
1998-99 |
71.1 |
60.7 |
64.6 |
|
1999-00 |
73.6 |
63.7 |
68.9 |
|
2000-01 |
74.3 |
65.6 |
73.0 |
| 2001-02 | 74.3 | 67.0 | 69.9 |
5.0 RESTRUCTURING OF STATE ELECTRICITY BOARDS
i) Presently, restructuring and regulatory reforms are contemplated with a view to bring about reforms in the SEBs through establishment of State Electricity Regulatory Commissions.
ii) The establishment of Regulatory commissions, as provided in the Act passed by the Parliament, would lead to rationalization of tariff and also provide for transparency in the provision of subsidies, wherever required. The State Government can exercise the option of providing subsidies, over and above those recommended by the Regulatory Commissions, on condition that the State Governments compensate the SEBs by providing adequate budgetary support. When tariffs are rationalised and budgetary support is provided, SEBs are expected to improve their financial position.
iii) The Government of Orissa has already introduced a reform programme by enacting the Orissa Electricity Reform Act, by setting up Orissa State Electricity Regulatory Commission and by unbundling the SEB into Orissa Power Generating Company (OPGC), Orissa Hydel Power Corporation (OHPC) and Grid Corporation of Orissa (GRIDCO). The Government of Orissa has initiated privatisation of distribution sector by accepting the bid of BSES for Western, North-Eastern and Southern Electricity Supply companies. The Government of Haryana has also enacted the Haryana Electricity Reforms Act and has restructured the SEB into a Power Transmission Company (Haryana Vidyut Prasaran Nigam Limited) and a generation company (Haryana Power Generation Corporation Limited). The State Government has also set up the State Electricity Regulatory Commission. Similarly, Andhra Pradesh has also enacted the State Reforms Act and has set up the State Electricity Regulatory Commission. The APSEB has also been corporatised to form Andhra Pradesh Generation Company Limited (APGENCO) and Andhra Pradesh Transmission Company (APTRANSCO). Karnataka has promulgated the State Electricity Reforms Ordinance. Uttar Pradesh has also drafted the State Electricity Reforms Bill.
6.0 CONFERENCE OF CHIEF MINISTERS ON POWER
The Chief Ministers/Power Ministers met on 18th December, 1998 to discuss and deliberate upon the critical issues pertaning to the power sector. Recognising that significant changes have taken place in India=s power sector after the adoption of the Common Minimum National Action Plan for Power, it was decided that a new initiative needs to be taken to move India=s power sector into the next phase of reforms. It was concluded that reform of the power sector is essential not only to facilitate additional investments but also improve the availability of reasonably priced power to the common man. With this end in view, the following plan of action was adopted for implementation:
i. State Electricity Regulatory Commissions
Each State/ Union Territory shall constitute SERC before 31st March, 1999 to enable rationalization of tariffs and improvement of the financial health of State Electricity Boards and to avail the interest subsidy on loans by the Power Finance Corporation as well as other incentives available.
ii. Power Sector Reform Bill
Orissa, Haryana and Andhra Pradesh have already enacted the Reform Bills outlining a reform plan for their power sectors. Each State/Union Territory shall announce a power sector reform policy and initiate steps for drawing up a Reform Bill wherever necessary in a time bound manner.
iii. Corporatisation
State/Union Territories will endeavour to take steps to corporatise and commercialise generating companies, transmission companies and distribution companies so that they are able to operate on commercial principles, generate the required resources and ensure availability of reasonably priced power to the common man.
iv. Distribution Reforms
In view of the urgent need to reduce transmission and distribution losses, facilitate higher investments in system improvement and ensure availability of reliable power to the consumers, reform of the distribution sector will be initiated by establishing distribution companies in different regions of each State. The entry of private investors will be encouraged wherever feasible. To begin with, at least 25% of the State will be taken up for distribution reform. The whole state will be covered in 4 years.
v. Mega Projects
To take advantage of the benefits of mega projects, each State/Union Territory will take steps to facilitate setting up of mega projects in accordance with the guidelines issued by Govt. of India.
vi. Commercial arrangements for payment for power
Having regard to the large investments required to be undertaken by CPSUs for generation and transmission projects, State/Union Territories will adopt commercial arrangements such as opening of LCs of the required amount for payment of power from generating and transmission agencies and for prompt settlement of dues.
vii. Securitization
To enable CPSUs to take up new projects for generation and transmission and in accordance with the Government of India policy of securitization of the outstanding debts of Central Public Sector Undertakings. State Governments will take steps to facilitate orderly securitization of such debts.
viii. Hydel Projects
Recognising the need for expeditious development of hydel potential in the country, the State Governments will take necessary steps (i) to complete languishing projects, (ii) and to take up the execution of hydroelectric projects by resolving outstanding inter-State issues. The State Governments will also provide assistance to the CPSUs in acquiring land and other clearances/approvals to take up the execution of the hydel projects in the Central Sector for benefits in the 10th Plan(2002-2007).
ix. National Power Grid
Keeping in view the imperative need to speedily develop a National Power Grid with appropriate transmission linkages at the state level for optimum utilisation of available generation within the various regions, the Central and State Sectors will substantially step up investment in transmission to complete the critical transmission lines and overcome the present mismatch in investment between generation and transmission of power.
x. Energy Conservation
Realising the need to conserve energy, each State/Union Territory will formulate and launch an Action Plan for energy conservation. Government of India will introduce an Energy Conservation Bill in Parliament shortly.
xi. Increase in Power Generation
In order to increase power generation quickly and reduce power shortages, at least ten power projects will be enabled to achieve financial closure and start construction by March 1999.
xii. Electricity Tariff for Railways
Realising the need to maintain viability of Railways and State Electricity Boards, it will be the endeavour of the State Governments to rationalise Railway Tariff. Simultaneously, the Railway Ministry would look into and rationalise the cost structure of Coal movement for Power projects.
The New Electricity Bill
In keeping with the comprehensive approach, The Union Ministry of Power decided to come up with a comprehensive legislation so as to put together in one place all the legislative measures required to push the sector onto a trajectory of sound commercial growth and to enable the States and the Centre to move in harmony and coordination. It takes into account the move towards a competitive scenario, where regulators on the one hand and private power utilities on the other shall play increasingly significant roles. The Bill provides a comprehensive yet flexible legislative framework for power development. The salient features of the Bill are:
Energy Conservation Act, 2001 and other Demand Side Management Measures
Enacted on October 1, 2001, the Energy Conservation Act lays down concrete measures to ensure efficient use of energy and its conservation. The Act came into effect on March 1, 2002. A Bureau of Energy Efficiency (BEE) has been set up to make wide ranging regulations to further the objectives of the Act. Also, Central and State Governments have been empowered to facilitate and enforce efficient use of energy and its conservation. There are Provisions of penalties for failures and on the system of adjudication.
Besides implementing the provision of the Act, a detailed Action Plan on Demand Side Management is being prepared.
Accelerated Power Development & Reform Programe
Accelerated Power Development & Reform Programme (APDRP), introduced in February 2001 is being used in a structured way in the areas of Distribution reforms and transition phase financing of State Electricity Boards undertaking reforms. The objectives in the distribution reform segment of the program are to achieve 100% metering, energy audit, better HT/LT ratio, replacement of distribution transformers, IT solutions relating to power flow at critical points to ensure accountability at all levels. These should lead to a qualitative improvement at the consumers end so as to raise the level of satisfaction besides improving revenue realization for the utilities.
63 circles have been selected at present in the country (in many cases one circle is bigger than a district) which are being developed as “Centre of Excellence” for distribution reforms. The plan is to cover all the circles in a country in a phased manner.
States have been asked to form District Level Committees for distribution and generation resource planning. A comprehensive technical manual on preparation of projects for improvement in distribution network has been brought out.
States have to prepare detailed project reports for the identified circles, the progress of which is being closely monitored. In these 63 circles, efforts are on to supplement the efforts of the States for carrying out necessary improvements for which teams from certain central utilities are working in close coordination with the States. MOAs have been entered into with the States so that funds are released based on the performance of clearly specified and achievable milestones.
One Time Settlement of SEBs dues to central undertakings
Most of the SEBs are on verge of financial collapse. As a result they have not been able to pay for the power supplied to them. Their total outstanding dues to central power utilities have risen to more than Rs. 41,000 Cr.
After the Chief Ministers Conference in March'01 an Expert Group was constituted. The recommendations of the Expert Group have been endorsed by the Empowered Group of Chief Ministers and have been approved by the Union Council of Ministers in March 2002. Thus the recommendations have been operationalised. As per the recommendations, the outstanding dues of SEBs towards CPSUs are being securtised by concerned States with the clear understanding that they will pay their current dues. This would help the States to clean up their books and enable them to raise resources to fund their development schemes. In addition the Central Utilities would also be able to meet the equity requirements and leverage them for their expansion schemes. The scheme is making headway as a substantial number of State Governments have consented to it in the context of meeting their payment obligations to NTPC, the CPSU with the largest accumulated receivables from the SEBs and successor utilites. The States have been given incentives to make it attractive for them.
Environment Management
Seized of the current and emerging pressure, both local and global, on the front of environment management for the electricity sector, the Union Ministry of Power has taken a number of new initiatives in addition to strengthening the existing ones. Special Purpose Vehicle has been set up to effect compensatory afforestation to facilitate expeditious clearance from Ministry of Environment and Forests (MOEF) for new power projects. An MOU in this regard with MOEF is under finalization. An Action Plan on Clean Development Mechanism has been approved and TERI has been asked to prepare a pipeline of projects. A Fly Ash Utilization Action Plan is proposed to be formulated after discussions with all stakeholders.
Facilitating Private Investment
Financing of IPPs linked to progress of reforms undertaken by State Govts.
i. Transmission, Energy Management & Convergence
ii. Distribution
iii. Non fossil Fuel Generation
iv. Optimizing Existing capacity (R&M)
v. Fossil Fuel Generation
The conferences brought together several ideas concerning the entire range of power development related issues. The business meets showcased the investment opportunity in the power sector. The response was encouraging. As an example business opportunities with ongoing bids of Rs.1800 crore were offered by NHPC and Tehri Hydro Development Corporation(THDC). Also pre-bid conference for Main Plant Package of NTPC Sipat Thermal Power Project offered business worth Rs. 6,000 crore.
Facilitating Captive Power Capacity
Guidelines have been issued to all the States on Captive power development. This has been done keeping in view the needs of industry, the present availability of generating capacity including facilities for evacuation and the gestation time for creation of additional generation capacity with the objective that the industry should not suffer due to shortage of power in the overall interest of the economy.
Standing Committee on Training and Development has submitted its report on National Training Action Plan for the Power Sector.
A Standing Committee on Research and Development constituted to draw up a perspective Research and Development plan for the next fifteen years.
Rural Electrification Action Plan formulated for 62000 villages to be electrified by 2007 and 18000 remote villages to be electrified using renewable sources by 2012.
A Committee constituted to study to reduce the cost of delivered power has submitted its report and is under implementation
Developing broad political consensus on Reforms
The Meeting of the Chief Ministers on Power held in March 2001 helped in convergence of views not only on broad parameters but also on certain methods to be adopted in different areas of reforms alongwith indicative time frames. The follow up actions have been going on and despite some resistance from certain pockets, the reform agenda has been moving forward. Structural changes have been given momentum and 22 States have signed MOUs under Accelerated Power Development & Reform Programme (APDRP) as an example of political convergence on reforms.
Countrywide Awareness Campaign
A Mass campaign was launched to create general awareness amongst the public on the need for reforms in power sector. More than 2000 Road shows were held in the months of October-November 2001 in this regard. Students, opinion makers and common consumers were informed and sensitized about the need for reforms, especially distribution reforms and checking for power theft. A very encouraging response was received from the grassroot level from all over the country.
Projects formulation and implementation
Plan for National Grid
For all the generating plants likely to be commissioned during the 10th Plan, transmission projects have been identified and in some cases are already under execution. The objective is to ensure that the inter-regional power transmission capability increases from the present level of 4850 MW to 30,000 MW by year 2012 and realize the objectives of National Grid.
Towards the objective of formation of National Grid, a number of inter-regional schemes have been planned for phased development. In order to further strengthen the interconnection between regions, some more schemes have been approved which are under different stages of implementation and are expected to be commissioned by 2003.
Looking into the future demand and availability of generation resources, a Perspective Transmission Plan has been drawn up indicating the major inter-regional transmission highways to be developed by 2011-12. This will ultimately lead to the formation of a strong National Grid. These highways are proposed to be established in phases matching with the requirement of inter-regional power transfer.
Action Plan for Xth plan period formulated for R&M of old thermal and hydro units.
Ranking Study for Prioritizing Hydro Power Development and other Allied Measures
A preliminary ranking study of 399 hydro schemes has been prepared. These schemes, with an aggregate installed capacity of about 107,000 MW, have been prioritized in all the six River Systems of the country. This will be the document for basin-wise development of hydro capacity. The policy thrust is to improve the hydro-thermal mix so as to optimally meet the peak and base load requirements. Some procedural improvements have been brought about to curtail the gestation period of hydro projects and further improvements are under consideration. The thrust is to improve the hydro-thermal mix so as to optimally meet the peak and base load requirements. Some procedural improvements have been brought about to curtail the gestation period of hydro projects and further improvements are under consideration. The Preliminary Ranking Study has been released on 5th February 2002. The identified potential hydroelectric sites in the various river basins have been prioritized in the reports in the order of their attractiveness for implementation. The ranking study would serve as guide to the potential developers to choose hydro schemes for investigations and implementation.
Development of mini hydro and run of river projects Action initiated with MNES for development of mini hydro and run of river projects.
Power Reforms : Focus on Distribution Reforms
Funds under APDRP, cumulative as till end April ’02 :
Sanctioned Rs. 1435 Cr.
Disbursals Rs. 1404 Cr.
Facilitating Power trading
PTC role being strengthened to facilitate trading of power. It has already started operations.
Sustainable power development