ET Awards' Agenda For Renewal 2011: Revive energy and power sectors to ensure economic growth

India cannot have a higher growth without adequate power. We are facing enormous power problems. Bank lending to the sector is at an all-time high, but some projects that have borrowed money are stalled due to land, raw material and infrastructure issues. In the 12th five-year plan outlay of a trillion dollars, almost 45% is to be spent on energy. For this money to be well spent, many issues have to be resolved.

Some states have not increased power tariffs for a decade and are now unwilling or unable to buy power from private generators; there is under-recovery and theft; part of the system is completely market oriented and part of it is completely distorted by policy initiatives, like subsidies. Subsidies are required, but they should be directed well.

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