No free power, first pay and then get electricity, says R K Singh

India is moving towards a new regime where a power consumer would pay first and then get power supplies, which would eventually deal with the issue of non-payment in the sector, Union minister R K Singh said Monday.

The minister also made it clear that states can give free power to certain sections of society but they would have to pay for it from their own budget.

"That is what we are going to do. We are putting a connect between payment and delivery. You make the payment first and then you will get the power... there is no such thing as free power. You cannot produce power without an investment," Singh said addressing at 20th Annual Day of PTC India here.

He further said, "Power has a cost and somebody has to pay for it. If you want to give free power then go ahead. But you (states) have to pay for it from your budget. That is what we are going to do."
"People felt, it will pay dividends if you give free power to various segments. They (states) are not willing to actually recover the price of power for political gains. But a system like that is not sustainable. That also shows that government (centre) has not taken steps to ensure that sustainability come to fore."
Speaking about coal availability, he said, "Second big thing is that you (power generator) would get coal (supply) without bothering about power purchase agreement. Anybody should be free to set up a generating unit and get coal."