CII calls for holistic reform in power sector

The Confederation of Indian Industry (CII) said a holistic reform of the power sector is imperative to put the power sector on a strong growth path. The problems in the power sector are multifarious, relating to fuel shortages, lack of adequate finance, poor financial health of distribution utilities, absence of cost-reflective tariffs and peaking power shortages. In addition, land acquisition and environmental clearances too discourage investments. CII director general Chandrajit Banerjee in the publication titled “Policy Watch” said fuel availability has emerged as a severe bottleneck for power generators.