Punjab adds just 500-MW capacity in last 10 years
Umesh Dewan
Tribune News Service

Patiala, July 8
The successive state governments in Punjab have failed to increase the state's power generation capacity in the last 10 years. After commissioning of the 420-MW Lehra Mohabbat Thermal Plant in 1998, Punjab has added just 500-MW power generation capacity with the commissioning of Lehra-Mohabbat Stage II in 2008.

To meet the power requirement, Punjab had been purchasing power from the open market annually. The short-term power purchase bill has witnessed a drastic increase from Rs 542 crore in 2005-06 to Rs 2,285 crore in 2007-08. In six years from 2005-06 to 2010-11, the PSPCL had spent Rs 9,261 crore on short-term power purchase alone.

Power sector experts and technocrats working with the PSPCL are of the view that due to failure of the successive state governments to plan for capacity addition, the PSPCL has to meet the growing energy requirement of the state by purchase power at exorbitant rates.

All-India Power Engineers Federation (AIPEF) chairman Padamjit Singh said instead of spending thousands of crores on buying power, setting up new thermal plants under the state sector would have been a better option. "The Punjab Power Generation Policy has failed miserably. Most of the thermal plants awarded to private players are in limbo," he said. Notably, the MoU of the Kot Shamir thermal plant has already expired and there has been not much activity pertaining to the Gobindpura Thermal Plants.

President of the PSEB Engineers' Association Baldev Singh Sran said the association had last year highlighted the PSPCL's deteriorating fiscal health and the "flawed" policy of awarding thermal plants through the MoU route. "The Punjab Power Generation Policy encourages MoU route for awarding thermal power projects instead of competitive bidding," he said.

Association leaders have demanded that power ccapacity addition should be planned and executed in the state sector. They demanded that the proposal to set up a 1,320-MW state thermal station at Mukerian must be taken up on a priority. Senior PSPCL officials refused to comment on the matter.

Cost of neglect

l To meet the power requirement, the PSPCL has been purchasing power from the open market at exorbitant rates

l From 2005-06 to 2010-11, the PSPCL spent Rs 9,261 crore on short-term power purchase alone

l Most thermal plants awarded to private players are in limbo

l Experts are of the view that instead of spending thousands of crores on buying power, setting up new plants under the state sector is a much better option