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January 2, 1998

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UP sets power generation target of 5000 mw

Uttar Pradesh Energy Minister Naresh Agrawal said the state government has set a target of generating an additional 5000 mw electricity by AD 2002 and with the involvement of the private sector in a big way.

Agrawal said in Bombay that memorandum of understandings had already been signed for four power projects with a total capacity of 3750 mw with private companies, while another seven naptha oil-based projects had been approved. These seven units would add another 800 mw electricity to the state grid.

He said the cabinet was expected to clear the 1000 mw anpar power project to be taken up with private sector investment. The other three projects for which MoUs had been signed were 500 mw Roja thermal power project, 250 mw Srinagar project in Garhwal and 2000 mw Partabpur project.

Besides, the JP industry had proposed investing in a 200 mw hydropower plant in Garhwal.

Agrawal said the National Bank for Rural Development had agreed to finance the Roja thermal project for which the MoU had been signed with the IndoGulf company of the AV Birla group. The power purchase agreement had been signed in 250 mw Srinagar project. Financial closure had been called in the case of proposed Partabpur project so that power purchase agreement could be signed. An MoU had been signed with a United States-based non-resident India, Rama Malkani, for this project, he added.

The UP energy minister admitted that shortage of power was a major problem in the state which was accentuated by huge cases of power theft. The power demand was growing at the rate of 12 per cent in the state. Though the state presently had a capacity of 6000 mw power generation, only 47 per cent of it was available and there was always shortage of 3000 mw during the peak period. This shortage was being met at half level (1500 mw) from the power purchased from the central government-owned power projects.

The grim situation had led to power cuts being imposed for three hours during the morning peak hour and for the same duration during the evening peak hour. Agrawal pointed out that after taking over as energy minister three months ago, he had taken a number of measures to reduce transmission losses, theft and improve the load factor.

Agrawal stated that during his stay in Bombay he would meet the Maharashtra Deputy Chief Minister and Energy Minister Gopinath Munde (both belong to the Bharatiya Janata Party) and also visit the Tata Power Company, Bombay Suburban Electricity Supply company and hold discussions with the Maharashtra State Electricity Board officials to study their systems which was considered best from operational point of view.

He added that their experience would be utilised for improving load factor of UP power stations, reduce transmission losses and improve recovery of arrears.

UNI

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