Monday, December 16, 2013

Rs. 42,000-crore loss in power sector due to policy and bureaucratic logjam


 


The policy and bureaucratic logjam has caused a loss to the tune of Rs. 42,000 crore in power sector alone. The phenomenon has impacted 78,000 megawatt power production in coal and gas-based power plants, according to Arvind Kumar, Union joint secretary, Ministry of Finance. 

Speaking at Ravi Mathai Memorial Lecture held by the alumni of the Indian Institute of Management-Ahmedabad at Hyderabad on Saturday evening, he said, “As of December 11, 400 projects worth Rs. 17.68 lakh crore in power, steel, coal, mining and petroleum are pending with Cabinet committee on investments for clearance. 

We need to ease logjam, improve quality of infrastructure to get commissioned and financed projects going.”

Delivering the keynote address, K.V. Kamath, non-executive chairman of board of directors, ICICI Bank, said the economy was given a wrong medicine in the form of increasing interest rates.




Srikanth Nyshadham +91-98665-06729

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