Time to shift
focus to non-fossil fuel based generation of power
The Minister of
Power Shri Suresh Prabhu has said the time has come to shift focus to non-fossil
fuel based generation of power. This is the only way ahead if the aim of "Power
to all by 2012" is to be achieved.
The Minister was speaking while delivering the inaugural address at the International
Conference and Business Meet on Non-Fossil Fuel Generation here today. He said
non-fossil fuel sources for generation of power have many advantages over fossil
fuel sources. Many of them are obvious like environment friendliness. He said
they also have other hidden advantages. These include longer life spans.
Hydro projects have a life span of around 60 years, while fossil fuel based plants
have a shorter span of 30 to 35 years. Hydro projects are not affected by increase
in costs due to inflation and can also address peaking shortages, which is one
of the major problems in the Indian power sector. The Minister said studies have
shown that over time hydropower is 24 times cheaper than fossil fuel based power.
Highlighting changes being undertaken by his Ministry in the sector, Shri Prabhu
said the Electricity Bill 2001, which is now before Parliament proposes major
changes, one of which includes power supplier of choice for bulk consumers. In
addition the Ministry of Power is now giving a major thrust to reforms in the
distribution sector. For this the center is working with the state governments
as they have direct control over distribution. The aim is to improve efficiency,
reduce thefts and improve quality, the Minister said.
Releasing the Report on the Preliminary Ranking Studies of Hydro-Electric Schemes
prepared by the Central Electricity Authority (CEA), Shri Prabhu said this is
for the first time that the basin wise prospects for hydro schemes are available
at one place.
The Minister of State (Independent Charge) for Non-Conventional Energy Sources,
Shri M. Kannappan in his address said the efforts of his ministry have resulted
in substantial achievements over the past decades. With over 3,000 MW installed
capacity, the country now has over 3 percent of its power from non-conventional
sources. He said this is no small achievement looking at the constraints of new
technologies, high interest rates and above all - institutional barriers that
affect the whole gamut of infrastructure investment in the country. He added that
efforts are on to source at least 10 percent of fresh capacity addition from renewables
by 2012. This would require mobilization of over Rs. 60,000 crore. Shri Kannappan
estimated that about 90 percent of this amount would be required from private
sources. He said his view was that further growth of renewables would depend on
how institutional problems can be addressed and how industry could be motivated
to further take-up renewable energy programmes.
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