Strong Growth Currents
in Power Generation,
Transmission & Distribution
The Indian power sector has an
investment potential of Rs 15
trillion (USD 223.67 billion)
in the next 4–5 years, thereby
providing immense opportunities
in power generation, distribution,
transmission, and equipment.
Between April 2000 and March
2016, the industry attracted USD
10.48 billion in Foreign Direct
Investment (FDI). The Ministry of
Power has set a target of 1,229.4
billion units (BU) of electricity
to be generated in the FY 17-18,
which is 70 BUs higher than FY
16-17 achievement. Around 293
global and domestic companies
have committed to generate 266 GW of solar, wind,
mini-hydel and biomass-based power in India over
the next 5–10 years. The initiative would entail an
investment of about USD 310–350 billion.
Besides, on power transmission front, as on March 31,
2016, PGCIL owns & operates a transmission network
of about 1,29,354 ckm of Inter-state transmission
lines, 207 nos. of EHVAC & HVDC sub-stations
with transmission capacity of about 2,54,848 MVA.
Under the Twelfth Five Year Plan (FY 12-17) which
has laid special emphasis on development of the
infrastructure sector including energy, PGCIL has
already made a Capital Expenditure of Rs 88,235
crore ( USD 13.38 billion) against the Capital
Expenditure plan of Rs 1,10,000 crore (USD 16.68
billion).
Moreover, the total inter-regional capacity addition
planned in the 13th FYP (2017-2022) is 47,500
MW, to increase the present interregional capacity
of 63,650 MW (as on November 2016) to 118,050
MW by 2021-22. This is to be done through several
Interregional corridors and system strengthening
projects. In order to provide a boost to the power
sector, the Government also has set a target of
electrifying 18,452 villages by May 2018 under
’Deendayal Upadhyaya Gram Jyoti Yojana (DDUGJY)’.
Booming Infrastructure
India needs Rs 31 trillion (USD 454.83 billion) to be
spent on infrastructure development over the next
five years, with 70 per cent of funds needed for power,
roads and urban infrastructure segments. Foreign
Direct Investment (FDI) received in construction
development sector from April 2000 to March
2016 stood at USD 24.19 billion, according to the
Department of Industrial Policy and Promotion
(DIPP).
Infrastructure sector is a key driver for the Indian
economy. The sector is highly responsible for
propelling India’s overall development and enjoys
intense focus from the Government for initiating
policies that would ensure time-bound
creation of world class infrastructure in the
country.
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WIRE NEWS EVENTS October 2017
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