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Impressive strides made in the power sector in the last two years: addition of record generation capacity, moves towards one market in power, reform of discoms and development of renewable energy

Budget - Dated:- 26-2-2016 - Time is ripe for industries to absorb excess generation capacity through Open Access to energize Make in India A progressive tariff structure can reduce costs for the poor without unduly burdening the rich The Economic Su .....

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Capacity enhancements have brought down the peak electricity defecit to its lowest ever level 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 .....

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way to becoming a reality with auctions under the National Solar Mission resulting in all time low tariff of ₹ 4.34 per KWh. The Survey points out that the complexity of the tariff structure because of different tarriffs for different sectors .....

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ng of discoms has traditionally been a major bottleneck for the power sector. The States with highest losses are those where tariffs fail to cover the costs of electricity supply. Several states are now attempting to close this gap under the UDAY sch .....

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t. The use of diesel generators in on the rise to protect against uneven power supply with total capacity around 72 GW and growing at the rate of 5 GW per year. High tariffs and erratic supply have led to a slow but steady decline in the growth of in .....

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ilities. 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. Need of making India One Market in Power - Providing Open Access The Survey states .....

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markets was the first step towards discovering a single market price for power around the country. Power Exchanges were set up in 2008 to operationalize the OA policy and create a national electricity market where price discovery occurs through compe .....

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financial ability of discoms to purchase electricity has diminished. This has resulted in current power plant load factors reaching their lowest mark at around 60% as The Survey notes that the time is ripe to allow industries with higher power demand .....

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