No discrimination in Power allocation

 In conversation with Hardnews, Union Power Secretary Anil Razdan sheds light on the key measures being taken by power ministry to improve power availability in the country. He also replies to the allegation from some states that the centre is discriminating in allocation of central pool power

How is the capacity addition programme progressing? How much capacity is likely to be added in the 11th Plan?Our power generation capacity addition programme is on track. A total of 81,000 MW power generation capacity including 12,000 MW captive is envisaged to be added for benefits in the 11th  Plan. Of this, 11,300 MW capacity has already been commissioned while the rest is under construction. Equipment orders were placed for implementation of over 26,000 MW capacity in the financial year 2007-08. The process of placing orders for equipment supply for the remaining capacity should be completed soon.

Meanwhile, 10,750 MW of power generation capacity is also under implementation for benefits in the next Plan. This comprises 10,010 MW of thermal and 740 MW of hydroelectric generation capacity. Although our track record in adding power generation capacity in the previous Plans is not good, we are hopeful on meeting the target of the current Plan. On an analysis of the past performance, we found that delay in ordering for equipment by developers was the main cause of shortfalls in capacity addition target set in the previous Plans.

So now we are now trying to ensure that most of the equipment supply orders for 11th Plan power projects are placed by developers in the initial years of each Plan. The country's energy requirement is growing fast. To achieve matching capacity addition, we need to ensure that equipment orders for at least 20,000-25,000 MW capacity is placed every year. Ordering of equipment supply fshould not be spasmodic or come as a knee-jerk reaction.

We need to encourage captive power generation capacity addition. It helps in cutting power transmission and distribution losses. While the country already has 23,000 MW of captive power generation capacity installed, another 12,000 MW is planned for benefits in the current Plan. These captive power projects are expected to be commissioned as per schedule. Supercritical technology offers new hope for converting our power shortages into investment opportunities in the power equipment manufacturing sector.

Given the huge capacity addition requirement, we need domestic manufacturing of supercritical power generation equipment. This will provide a sense of ownership of technology besides making repair and maintenance of installed equipment easier.

BHEL alone cannot meet this increased demand. To remove bottlenecks in supply of supercritical power equipment, we need to seek foreign investment. If we do not set up a diversified manufacturing hubs  we might miss the bus for next 20 years.

In view of the huge shortfall in the 10th Plan power generation capacity addition target, what additional measures are being taken by the Union power ministry for project monitoring in the current Plan?

We have appointed one official from the central electricity authority (CEA) to report on every power project under construction in the country. We have set up an independent monitoring panel to advice on power project implementation. The panel's role is to hunt for problems in project execution and solve them. However, we need to set up an IT-based online monitoring system for all under-construction power projects. Such a mechanism will help us in monitoring status of equipment supply to power projects as also of implementation work. That will, in turn, ensure adherence to commissioning schedules drawn up for power projects.