Question : NEW POWER PROJECTS



(a) whether the Government have recently reviewed the effect of various policy decisions on decentralisation of decision-making process on project approvals/streamlining the procedural reforms for speedy approval and effective implementation of new power projects;

(b) if so, the details thereof; and

(c) the details of further reforms initiated/under consideration to ensure transparency and cut down red-tapism to zero point?

Answer given by the minister

THE MINISTER OF STATE IN THE MINISTRY OF POWER

( SHRIMATI JAYAWANTI MEHTA )

(a) & (b) : Ever since the power sector has been opened for private sector participation in 1991, a series of policy initiatives have been taken including measures to decentralise the decision making process. These policies are reviewed from time to time keeping in mind the changing scenario in the power sector. The overall response to the policy initiatives of the Government has been encouraging and at present 95 projects with an aggregate capacity of 54967 MW are being monitored.

(c) : The Government is convinced on the need for power sector reforms to ensure its sustainability and would like to increase the pace along a definite route map. In this regard, the Government purpose to introduce a new Bill in Parliament which would facilitate power sector reforms in the States. Steps so far taken include raising of ceiling under Section 29 of the Electricity (Supply) Act, 1948 for concurrence of the Central Electricity Authority and allowing 100% automatic approval of foreign direct investment upto Rs. 1500 crore.