Privatization of power sector in India -- an open invitation to foreign investors

Conference · Thu Dec 31 04:00:00 EST 1998

OSTI ID:318989

Naikwadi, K C ^[1]

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1. Karnataka Electricity Board, Bangalore (India)

Power Sector in India is governed by Indian Electricity Act 1910 and Electricity (supply) act 1948. As per these Acts, Public Sector Power Utilities were established in 1948 which controlled power generation, transmission and distribution. Gradually the demand for electricity became too enormous and the Public Sector Power Utilities could not cope with the demand. Hence a need was felt for private participation in the Indian Power Sector. The present paper explains the provisions of amendments to Electricity Acts; broad features of the policy on private power development; status of implementation of private power policy; reserve bank of India notification regarding 100% foreign investment; depreciation norms; tariff negotiations; policy for renovation and modernization of existing stations; liquid fuel policy; procedure for obtaining CEA clearance; list of clearances to be obtained; policy for barge mounted stations and procedure for competitive bidding. Further the latest Indian Electricity Acts are compared with the US code of Federal Regulations, Title 10-Energy. The similarities are highlighted and the differences are explained, so that the Foreign Investors can have a total exposure for investment in Indian Power Sector.

• OSTI ID: 318989
• Report Number(s): CONF-980426--
• Country of Publication: United States
• Language: English

Related Subjects

29 ENERGY PLANNING, POLICY, AND ECONOMY
ELECTRIC POWER INDUSTRY
FINANCING
GOVERNMENT POLICIES
INDIA
INVESTMENT