Warning that slippages in power sector may trip economic growth, Prime Minister Manmohan Singh today asked both state governments as well as the Union power ministry to control power theft, raise generation capacity and attract private investment to provide electricity to all households by 2012."The scene in the power sector does not look very promising... In fact, time is running out, and unless we are able to arrest the growing shortages, the effect on our economy may well prove disastrous," he said at a conference of state chief ministers on power sector.Singh said electricity was vital for sustained economic growth and a commensurate growth in power supply was required to ensure that the economy keeps growing at 9-10%.The states and the central government must take effective steps to check losses during transmission and distribution (T&D) of electricity. The current level of T&D losses, ranging between 30-45% in many states, threatens the financial health of the sector... Theft is the cancer of power sector," the prime minister said.The Prime Minister also expressed concern over the slow pace of capacity addition, with only half of the 10th plan target of 41,000 MW being met in the five-year period."This reflects poorly on the planning process as well as the implementation capability of the various agencies in the states and the central government, who were entrusted this task," he said.Singh said the sector required a "crash programme" for capacity addition to eliminate shortages by 2012 and pegged the investment needs at over Rs 600,000 crore during the 11th Plan period.
