To provide relief to the power sector, which is reeling under a fuel crisis, the Planning Commission has circulated a paper on public-private partnership in electricity generation. In the paper, the commission pointed to the problems faced by power producers using domestic, as well as imported fuel. It has suggested bidding be carried out at capacity charge, while the variable charge (which comprises fuel charges) would be passed on to consumers.

Capacity charge is the billed amount that covers the difference between the power a customer expects to be available and the power the customer actually uses.

If the ministry has its way, rates will not be fixed by appropriate commissions, but by competition

In a bid to provide a much-needed relief to crisis-hit power companies, the power ministry has proposed changes in the Electricity Act to reform the tariff determination mechanism. If the ministry has its way, rates will not be fixed by appropriate commissions, but by competition. However, the Forum of Regulators (FoR), a representative body of regulatory commissions in the country, has taken strong objection to the power ministry’s ministry’s proposal to amend the Section 62 and 63 of the Act, citing the Indian power market was still evolving and there was no need for such amendments at this point in time.

Even as the Coalgate is likely to take a toll on power sector by leaving fate of a number of private power companies captive coal mines in limbo, Planning Commission is banking high on private sect

Shaken by the recent failure of the northern grid and subsequent collapse of the eastern and north-eastern grids, the Union Power Ministry has decided to take up the work of connecting the southern grid with the national grid on a war footing, a task likely to be achieved by 2014.

Ministry officials said that after having learnt a lesson from the two-day blackout in major parts of the country, the Ministry has stepped up the work of integrating the southern grid with the national grid that could not only help in efficient and effective transfer of electricity from various regions, but also provide a huge relief to the power starved South.

New Delhi Top executives of private power companies such as Tata Power, Reliance, Lanco and Torrent Power met Union power minister Veerappa Moily on Friday to seek his intervention to ensure a speedy resolution to pending fuel issues relating to the sector.

A huge generation capacity is facing the prospect of being stranded due to shortage of fuel — both coal and natural gas. Developers feel the resolution of fuel issues would help boost sagging investors' confidence in the sector.

With investment running into thousands of crores of rupees languishing due to fuel supply constraints for power plants, a mega delegation comprising heads of 24 private sector power companies will meet Power Minister M Veerappa Moily on Friday.

Private companies contributed 26 per cent — Rs 166,000 crore — of the total expenditure of Rs 618,000 crore in the power sector during the eleventh Plan period. The government wants private sector’s contribution to the overall funding in the sector to go up to more than a half over the next five years.

The Central Bureau of Investigation is finalising a report on its probe into the allocation of coal blocks and is understood to have unearthed discrepancies in the allocations, with the involvement of officials of State governments at various levels.

The CBI is preparing the ground for lodging of a first information report (FIR), which could well become the basis for cancellation of allocations. Sources in the government said the CBI scrutinised around 1,400 applications and found that a number of private players had either misrepresented facts to get allotment or were recommended by the respective State governments.

ITANAGAR: Arunachal Pradesh has urged the centre for speedy commissioning of the 2000 mw Lower Subansiri Hydro Electric Project at Gerukamukh on Assam -Arunachal border saying agitation in Assam by some organisations over the proposed dam resulted in huge loss to national exchequer.

A delegation led by MP Takam Sanjoy submitted a memorandum to Union Power Minister Veerappa Moily yesterday at New Delhi and demanded early settlement of the stalemate on the dam issue in the state, official sources informed here today.

To make the bid for the Sasan power better its rivals’, Reliance Power (RPL) included several innovative items as fixed assets.

GUWAHATI, Aug 27 – The National Hydro Electric Power Corporation (NHPC) which today had a discussion with the Krishak Mukti Sangram Samiti (KMSS) and the Asom Jatiyatabadi Yuba Chatra Parishad (AJY