The Centre was working on a policy compelling companies setting up projects to provide training to one member of each of the displaced families six months before the project became operational, according to the Union minister for power, Sushil Kumar Shinde.

The training was to be imparted by companies through upgraded ITIs or new technical schools. The policy would divert two per cent of project cost to peripheral development like building roads, hospitals, schools and colleges in areas around the projects.

The decision on this policy was taken by the Centre four months back, Shinde said at the inauguration of the 1,000MW, Rs 4,457 crore (Rs 44.57 billion) greenfield Durgapur Steel Thermal Power Project of Damodar Valley Corporation.

Shinde said the Centre would soon release Rs 2,330 crore (Rs 23.3 billion) to West Bengal for rural electrification under the Rajiv Gandhi Grameen Vidyutikaran Yojana to cover 20 projects in 18 districts.

The Centre had Rs 28,000 crore (Rs 280 billion) for RGGVY for electrification of 1,20,000 villages by 2012.

Shinde said he felt capacity addition of 80,000MW by 2012 was possible.Construction of projects with capacity of 65,000MW had started and work on the balance 15,000MW was expected to resume in two to three months.

The power capacity target was 8,00,000MW by 2030.

In parallel, transmission capacity would be raised to 37,000MW by 2012 from 13,000MW now. The country faced shortfall of about 25,000MW with peak power shortage at 13-14 per cent now.

Shinde said harnessing the potential of hydel energy in India was crucial. Hydel potential was more than 1,00,000MW while installed capacity was 20,000MW.

Around 16,500MW of hydel power would be generated by 2012. Shinde urged DVC to start survey work for 1200MW the Maithon left bank power project at Salanpur. It was supposed to be taken up in the 12th Five Year Plan but would now be taken up in the 11th Plan.