Governance Now Visionary Talks Series

Addition of record power generation, focus on renewable energy development

GN Bureau | February 26, 2016


#Economic Survey   #Budget Session   #Arun Jaitely  

In view of the sweeping changes made in the power sector in the last two years, 2014-15 witnessed the highest ever increase in generation capacity of 26.5 GW. Capacity enhancements have brought down the peak electricity deficit to its lowest level ever of 2.4%. Central and state governments have come together to address problems related to the health of distribution companies and the debt overhang problem via the Ujwal DISCOM Assurance Yojana (UDAY). The economic survey suggests that the tariffs for the poor can be reduced while covering costs and without unduly burdening those better off.

The economic survey states that steps have been taken towards “Making One India” in the power sector. The open access (OA) policy introduced under the Electricity Act 2003, which allows consumers with electricity load above one MW to procure electricity directly from electricity markets, was the first step towards discovering a single market price for power around the country.

High tariffs and erratic supply have led to a slow but steady decline in the growth of industrial electricity purchases from utilities and a gradual transition towards captive generation.

The compound annual growth rate (CAGR) of captive power generation between 2006-07 and 2014-15 is 9.3% compared to 4.6% for electricity procured from utilities. This could be exacerbated in the coming years as decline in oil prices and costs of renewable energy alternatives may prompt a further shift to captive power.

The survey states that renewable energy targets have been revised from 32 GW to 175 GW to give a policy push to the renewable sector and sustainable development. Grid parity for solar generation is on its way to becoming a reality with auctions under the national solar mission resulting in all time low tariff of Rs 4.34 per KWh.
 

Comments

 

Other News

TRP-driven model bred irresponsibility: Sudhir Chaudhary

News profession is organic in nature, requires responsibility and discipline, and there is no room for mistake. To maintain high standards of accuracy you need discipline and hygiene in the newsroom. Sudhir Chaudhary, editor in chief of Zee News, Zee Business and Wion, has said that a TRP-driven business m

This Mumbai NGO empowers children with skills

When Dharmendra Pandey, a fruit-seller had to leave Mumbai after the imposition of the lockdown during the Covid-19 pandemic, and return to his village in Uttar Pradesh, he was staring at economic uncertainties ahead. Little did he know that his 16-year-old son, Mahavir, had acquired skills that would come

Masks: Awareness: near-total, compliance: half-way

Wearing a face mask is the first line of defence against the novel coronavirus, along with maintaining social distance and frequently washing hands with soap. More than six months after the outbreak of Covid-19, nearly 90 percent of people in India have become aware of the necessity of wearing a face mask,

Covid-19: Daily recoveries cross 1 lakh mark, new cases far fewer

Is India finally gaining an upper hand over the Covid-19 pandemic? After weeks of new cases hitting 90,000-plus every day, the tide seems to be turning, as the number came down to 75,083 on Tuesday, and the recoveries were not only higher than that but crossed the 1 lakh mark too. The countr

A travelogue of an inner pilgrimage

Sit Your Self Down A Novice’s Journey into the Heart of Vipassana By Gayatri Jayaraman Hachette India, 212 pages, Rs 399   As stress and strife increase in daily life, more and more people are turning to meditation as an all

Vote in the time of Covid: EC hosts global webinar

On completion of one year of the chairmanship of the Association of World Election Bodies (A-WEB), the Election Commission (EC) of India on Monday hosted an international webinar on the theme of “Issues, Challenges and Protocols for Conducting  Elections during COVID-19 : Sharing Country



Archives

Current Issue

Opinion

Facebook    Twitter    Google Plus    Linkedin    Subscribe Newsletter

Twitter