UP's power woes may end by 2012

UP has chalked out a roadmap to break even in the power sector by 2012, by when it will be able to do away with rostering, will have 100 per cent rural electrification and 100 per cent household electrification. No peak hour shortage is expected then.

This looks a tall order compared with the situation now. The power sector made a loss of Rs 3,600 crore in the 2005-06. The present availability of power is of 5,336 Mw and the present shortfall is 2,361 Mw.

To meet the target by 2012, another 17,340 Mw is required for generation only. This increase will require an investment of Rs 68,000 crore. The extent of rural electrification is only 68 per cent and only 20 per cent of rural households are electrified. Power capita consumption is 237 units, to be increased to 1,000 units. Above all, transmission and distribution losses are at 33 per cent and aggregate technical and commercial losses are at 44.1 per cent.

In this adverse environment, Ashok Khurana, principal secretary (power) and also chairman of UP Power Corporation Ltd, says with the state government making increasing investment in the power sector and with the steady, if marginal, progress made till now, "we will be able to achieve our goal".

To do that, major investments by private firms are envisaged in generation. In fact, the state is looking towards the private sector to achieve its goals. More than half the increase in power output will be done by the private sector.

The principal projects are: Reliance-promoted Dadri phase I and II, each to contribute 1,496 Mw; others are 1,000 Mw Anapara C, promoter not yet decided; Rosa power, Birla, 600 Mw; 1,000 Mw Sonebhadra project, promoter not yet decided; Chola, Tata, 800 Mw; Vishnuprayag of Jaiprakash Associates, 352 Mw; Srinagar, 264 Mw; and 105 MW from co-generation. These total 7,113 Mw.

The state will add 2,740 Mw""1,320 Mw from Anpara D, 500 Mw from Harduagunj, 500 Mw from Paricha 2nd ext; and 420 Mw from Paricha ext.

The central sector will contribute 1,440 Mw through the projects of NHPC and NTPC.

Besides, the state sector will enhance its capacity by 710 Mw through renovation and modernisation. All this takes the enhanced installed capacity to 12,003 Mw.

The state proposes to bring in investment of Rs 11,258 crore, of which equity is Rs 3,174 crore and loans of Rs 8,085 crore.

In transmission, an investment of Rs 11,220 crore is envisaged, financed through Rs 3,081 crore equity and Rs 8,139 crore loans.

Similarly, under the Rajiv Gandhi Gramin Vidyut Yojana, the plan is to electrify 30,852 villages. For this, Rs 3,381 crore has been allotted, although the sanctioned cost is Rs 2,291 crore. Now to electrify all households, an additional sum of Rs 4,182 crore has been allocated, of which UP's equity contribution is Rs 418 crore or 10 per cent of the plan and the remaining Rs 3,764 crore is in the form of grant.