Ministry Plans Capacity Addition To Square Off Earlier Slippages

In the light of significant slippages in power generation capacity addition target during previous plan periods, the ministry of power has prepared a comprehensive plan for capacity addition during the Tenth Plan period and has projected an addition of around 36,500 MW in the worst case scenario over the next five years. The capacity addition target for Tenth Plan has been pegged at 46,185 MW.

"As per our calculations, even in the worst case scenario a capacity addition of 36,500 MW would be achieved during the Tenth Plan," Union power minister Suresh Prabhu said. On the optimistic side, the ministry has worked out two more case scenarios where capacity addition of around 43,500 MW and 51,000 MW have been envisaged, Prabhu said.

Even though the ministry is focussing on structural reforms on the distribution front as the key area for overcoming energy shortages, the slippages in capacity addition during the past few plan periods are being viewed seriously.

Only 53.77 per cent of the capacity addition target of 30,538 MW was achieved during the Eighth Plan (1992-97). During the Ninth Plan period (1997-2002), the total capacity addition of 19,213 MW is expected to be realised against the target of 40,245 MW, an achievement of just 48 per cent.

In case of the firm identified capacity addition plan for the Tenth Plan, the central sector is expected to contribute 12,670 MW, with 9,309.23 MW and 7,255 MW is expected to come from the state sector and the private sector, respectively. Other ministries are expected to pitch in with about 6,000 MW during the five year period.

Proactive monitoring mechanism has been put in place by the power ministry to ensure realisation of targets. The system of weekly reviews has been initiated wherein the central sector projects as well as the ones coming up in state and private sector are being reviewed, Prabhu said.

In its quest for providing "power on demand" by 2012, the ministry of power is targeting a capacity addition of 1,00,000 MW over the next two plan periods. A capacity addition of 46,185 MW has been fixed for the Tenth Plan and balance 60,885 MW in the Eleventh Plan period (2007-2012).