Way ahead in IT, Karnataka lags behind on power front

 Even as Andhra Pradesh and Tamil Nadu are going ahead full steam in power generation, Karnataka's private power projects are facing so much of problems that the companies are vexed and literally shutting shop even after sinking huge funds as investment.

 Consider this: Cogentrix Power Plant of 1000 mw capacity which faced a lot of litigation eventually was a failure. Twenty three licences have already expired. These licensees spent more than Rs 500 crore toward all expenditure during the last eight years.

 Andhra Pradesh and Tamil Nadu too started liberalising the power sector around the same time as Karnataka. But they have raced ahead, while the state is having much to catch up with.

 In the post-reforms era, in AP six plants have come up, adding 2000 mw, and four more plants are likely to come up, adding another 1600 mw. In the case of Tamil Nadu, six power plants with a total capacity of 1500 mw have been commissioned, and 500 mw more capacity is under construction.

 Said a highly placed Karnataka state government official: