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India cannot sustain growth in the long term unless it consistently boosts the energy supply, says Debajit Das, Managing Director, Aggreko Asia.

He says lack of infrastructure and inefficient transmission systems are the biggest problems facing the power sector in the country.

In an interview to Rediff.com, he discusses the measures needed to close the demand and supply gap and what role companies like Aggreko can play.

Here are the excerpts....

What do you think are the major reasons for the shortfall in electricity generation in India?

The shortage in electricity generation and power supply can be attributed to the lack of infrastructure and inefficient transmission systems.

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This situation is exponentially compounded by the ever-increasing demands from India's flourishing industries and massive increases in domestic consumption.

India cannot sustain growth in the long term unless it consistently boosts the energy supply.

Can you share your views on the market scope for temporary power solutions in India?

The rental power market scope has been gradually and quite steadily growing over the years, making it a golden prospect for us as we are the only company to offer 24/7 reliable and flexible temporary power solutions anywhere in India.

To ensure an annual GDP growth rate of nine per cent from the 12th Five-Year Plan onwards, the country needs to have access to consistent and reliable power.

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When this supply is compromised or at risk, Aggreko's temporary power offerings can cover these gaps to ensure that India's industries stay up and running.

Can you please tell me about Aggreko's operations in India and overseas?

The international network of Aggreko service centres allows Aggreko to respond to our customer's requirements in the shortest possible span of time making it the market leader for providing quick and reliable power rental solutions.

Our current worldwide portfolio holds more than 6,000 MW of power capacity in its fleet. In India, we have two depots located out of Wagholi, Pune, and Manesar, New Delhi.

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Among various projects, 2011 saw Aggreko commissioning a 6.6 MW gas fuelled power plant for Kaveri Gas Power Ltd., a 7 MW power package for Polyplex Corporation Ltd. and receiving a contract to provide a rental power package to Bharat Oman Refineries Ltd, which will be used to power the 6MMPTA refinery in Bina, Madhya Pradesh, until the permanent power plant at the refinery is restored.

In Bangladesh, we were able to commission 200 MW of temporary power to the Bangladesh Power Development Board within just a span three months.

In addition to this, and as recently announced in the international press, Aggreko is working with the BPDB to convert 145 MW of this project from diesel to natural gas. In doing so, the project will reap significant savings in fuel costs.

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Following the devastating tsunami that struck Japan in 2011, Aggreko was able to mobilise 200 MW of emergency power to the country within 60 days.

What are Aggreko's plans in India?

The Indian power market holds ample opportunities for us to fill the demand supply gap in meeting its energy needs.

We are very bullish on the Indian power sector and our growth will depend on our ability to hire more employees and facilitate our equipment on the ground which will replicate our globally known practices. India is going to be not just significant, but a major Asian market for Aggreko.

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What were Aggreko's revenues for 2011 and what target has it set for 2012?

We are a public limited company listed on the London Stock Exchange and a member of the FTSE-100 index.

Our latest results are reported publically and are easily accessible on our website.

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