Question : REDUCTION IN ALLOCATION OF POWER TO STATES



(a) whether the share of the State out of allocated share of Central Power Generating Units of Southern zone has been reduced to a greater extent by the Union Government;

(b) if so, the State-wise details thereof along with the reasons therefor; and

(c) the steps taken by the Government to ensure adequate power supply to these States?

Answer given by the minister


THE MINISTER OF STATE IN THE MINISTRY OF POWER (SHRI K.C. VENUGOPAL)

(a) & (b) : Power from Central Generation Stations (CGSs) to beneficiary States / Union Territories is allocated in accordance with formula for allocation of power which is being treated as guidelines from April, 2000. As per these guidelines, allocation of power is made to the States/UTs in two parts, namely firm allocation of 85% and 15% unallocated power for allocation by the Government for meeting the urgent/overall requirement. The firm allocation includes allocation of 12% free power to the affected States and 1% for local area development in case of Hydro Power Stations/10% (not free) power to the home State in case of Thermal and Nuclear Power Stations and balance 72%/75% power is distributed amongst the States/UTs of the region in accordance with the pattern of central plan assistance and energy consumption during the previous five years, both factors having equal weightage. The firm allocation from CGSs is generally not changed unless surrendered by any State/UT or the State/UT is not able to pay requisite dues of CPSUs. Firm allocation of Southern States in Talcher STPS Stage-II (2,000 MW) was revised consequent to allocation of 10% Home State share to Orissa with effect from 19th April, 2007. The details in this regard are as under:

State / UT	Original	Revised	allocation	Allocation w.e.f.	(MW)	19.04.2007 (MW)
Andhra Pradesh 425 375 Karnataka 396 350 Kerala 280 247 Tamil Nadu 541 477 Puducherry 58 51 Orissa (Home State) 0 200 Total 1,700 1,700 Un-allocated 300 300
Total 2,000 2,000

The firm allocation of Southern States in any other Central Generating Station has not been revised.

The allocation of unallocated power is revised from time to time to meet the urgent and overall requirement of States/UTs, keeping in view the nature of the requirement, relative power supply position, utilization of available power sources, operational and payment performance of States / UTs.

(c): The following steps have been taken/are being taken by the Government to meet the shortage of power in the country :-

(i) Rigorous monitoring of capacity addition of the on-going generation projects.

(ii) Coordinated operation and maintenance of hydro, thermal, nuclear and gas based power stations to optimally utilize the existing generation capacity.

(iii) Thrust to import of coal to meet the shortfall in coal supplies to thermal power stations from indigenous sources.

(iv) Allocation of gas from KG Basin (D6) for gas based power stations in the country.

(v) Tapping of surplus power from captive power plants.

(vi) Development of Ultra Mega Power Projects of 4,000 MW each to reap benefits of economies of scale.

(vii) Renovation, modernization and life extension of old and inefficient generation units.