Planning Commission doubts proposed capacity addition in 11th plan

Submitted by Gagandeep Singh... on Thu, 19/03/2009 - 10:33pm

Punjab Newsline
Planning Commission doubts proposed capacity addition in 11th plan
VINOD KUMAR GUPTA
Thursday, 19 March 2009
NEWS DELHI: The Planning Commission has raised doubts over achieving the targeted power capacity addition of over 78,700 MW planned in the 11th. Five-Year Plan period (2007-2012).

According to sources the generation capacity of 40000 MW can definitely be added and a target of 60000 MW cab be tried. It may not be possible to touch the proposed target of 78700 MW as many firms have not yet reported financial closure.
As on date only 12000 MW has been added in the first two years of current five year plan. Due to financial meltdown a number of companies in the private sector have failed to raise money from the market necessary for financial closure.

It may be added that even during ninth and tenth five year plans capacity addition targets could not be met and only 50 percent of planned capacity had been added.

Sushilkumar Shinde Union Power Minister had only said last month that the capacity addition target of even over 90,000 Mw was achievable. Central Electricity Authority had revised the generation capacity addition upwards in the 11th. five year plan to 78700 MW in a major review in June last. CEA had decided to drop 26 projects with an aggregate capacity of 11464 MW which can not be commissioned in time and instead had identified projects with cumulative capacity of 11587 MW that can be commissioned during plan period

India currently has an installed power generation capacity of around 145,000 MW and is planning to add another 78,577 Mw in the current Plan period. This includes over 75 per cent of thermal power generation capacity and the balance is expected to be set up for hydro and nuclear power generation.