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Failed power projects shackle India's energy growth

About 75 projects in the energy sector worth about Rs 70,000 crore, which could have generated 30,809 mega watts (MW) of energy—enough to supply 11% of India's annual power-generation capacity—were terminated over the last seven

India TV News Desk Updated on: December 09, 2015 14:35 IST

“Active participation from various sections of the society in all the important decision-making processes is critical,” Sharma said.

The lack of coordination between the state and central governments also contributes to the hold-up: As many as 47 delayed projects are multi-state projects.

The Electricity Act, 2003, mandates central and state electricity regularity commissions. The Act states that the commissions need to be independent regulatory bodies for proper administration of the power sector.

“In practice, the appointment of chairman and members of these institutions are done politically,” Singh said.

Queries sent via e-mail to power minister Piyush Goyal, chairman of the Central Electric Regulatory Commission Gireesh B Pradhan, and secretary, Central Electric Regulatory Commission Shubha Sharma did not elicit any response.

Experts believe the government needs to re-work its strategy. Instead of maximising electricity production, it should focus on minimum electricity needed to electrify a household in rural areas at the lowest cost, Sharma said.

(Indiaspend.org is a data-driven, public-interest journalism non-profit)

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