(a) whether the power sector is facing problems of fuel
shortage, delay in getting various clearances, distorted tariffs,
funding constraints etc., which are adversely affecting the
sector;
(b) if so, the details thereof;
(c) the details of the steps being taken or proposed to be
taken to address these issues;
(d) whether any committee has been constituted to look into
the plethora of problems being faced by the power sector; and
(e) if so, the details and the present status thereof?
THE MINISTER OF POWER ( SHRI SUSHILKUMAR SHINDE )
(a) to (e) : A Statement is laid on the Table of the House.
STATEMENT
STATEMENT REFERRED TO IN REPLY TO PARTS (a) TO (e)
OF STARRED QUESTION NO. 258 TO BE ANSWERED IN THE
LOK SABHA ON 30.03.2012 REGARDINGPROBLEMS IN POWER
SECTOR.
(a) & (b) : Inadequate availability of fuel, delays in
environmental and forest clearances, financial health of State
DISCOMs, inappropriate tariff structures amid rising cost of
power procurement are some of the major concerns in the Power
sector.
Ministry of Environment & Forests along with related
State departments take time to conduct and evaluate studies as
well as reports and grant of forest and environment clearance.
Non-filing of ARRs regularly by the DISCOMs and non-finalisation
of tariff petitions under the Electricity Act, 2003 by Appropriate
Commission have been impacting the power distribution sector.
(c) to (e) : The fuel availability issues are being addressed
by the Ministry of Coal in consultation with its coal producing
companies as well as concerned project developers and related
Ministries including Ministry of Power. A Group of Ministers has
been constituted to consider environmental and developmental
issues relating to coal mining and other developmental projects.
A Committee of Secretaries headed by Principal Secretary to
Prime Minister has been set-up to deliberate and resolve the
issues.
As regards addressing concerns relating to financial
health of State DISCOMs, a conference of Power Ministers was
held in July, 2011 during which the issue of financial viability of
State DISCOMs was discussed and States were requested to
make alleffortstoaddressthese issues. An Expert Group to
consider issues affecting the financial health of State
Distribution Utilities has been set-up under the Chairmanship of
Member (Energy), Planning Commission, Shri B.K. Chaturvedi, for
suggesting measures to improve financial health of distribution
utilities.
As regards tariff issues, the Appellate Tribunal for
Electricity (APTEL) vide its judgment dated 8th November, 2011,
has issued directions to State Electricity Regulatory
Commissions for determination of tariff on an annual basis and
also to ensure that the tariffs are decided before the beginning
of the financial year. Directions have also been issued to initiate
suo-motu proceedings in case of delays in filing of ARR beyond
scheduled date for submission. Forum of Regulators and CERC
have resolved to implement Model Tariff Guidelines which
addressed issue of rationalization of tariff. Forum of Regulators
has circulated Model Tariff Guidelines to SERCs for adoption.
A high level panel on `Financial Position of Distribution
Utilities` to look into the problems of State Electricity Boards and
to recommend system improvement measures was constituted
by the Planning Commission under the Chairmanship of Shri V.K.
Shunglu, Former Comptroller and Auditor General of India. The
Panel has submitted its report to Planning Commission.