(a) whether the Government propose to levy surcharge on power
generated by National Hydro-electric Power Corporation;
(b) if so, the details thereof and the reasons therefor;
(c) whether the proposed surcharge is likely to affect the agriculture
sector;
(d) if so, whether the Government propose to review the proposal ; and
(e) if not, the reasons therefor?
THE MINISTER OF POWER( SHRI SURESH P. PRABHU )
(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. 304 TO BE ANSWERED IN THE LOK
SABHA ON 11.12.2000 REGARDING SURCHARGE ON ELECTRICITY
PRODUCED BY NHPC.
(a) to (e) : Hydro electric power apart from being renewable and
non polluting source of energy, is a valuable source of peaking
power. This power is also very cheap after the debt for a new
project is paid as there are no fuel costs.
A new Hydel Policy was announced in 1998 to
accelerate the development of hydro electric potential of the
country. So far only 16% of the identified potential of around
1,50,000 MW in the country has been developed whereas most
developed countries have been utilizing their hydro potential almost
fully for decades.
The National Hydro-electric Power Corporation (NHPC)
has filed a petition before the Central Electricity Regulatory
Commission (CERC), praying for levy of a surcharge of ten
paise/unit on energy available at bus bar on the electricity
generated from its generating stations. The amount collected as a
result of levying such surcharge is intended to supplement the
budgetary support for accelerating hydro power development. The
NHPC proposes to develop 30,000 MW of new generating capacity
in the next 15-20 years.
As in the long run hydro electric power is the cheapest
source of power, its development would be beneficial to all
categories of consumers including the agricultural sector. The cost
of generation of power by the Bhakra Beas Management Board is
approximately 8 paise/unit.