Financial Daily from THE HINDU group of publications Saturday, Sep 25, 2004 |
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Industry & Economy
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Power 21 States fail to lure IPPs: Assocham Our Bureau
New Delhi , Sept. 24 OUT of 35 States and Union Territories in India, 21 have drawn a blank in wooing Independent Power Producers (IPPs) to add a single unit of power to their total installed capacities till August 31, ever since power generation was opened for the private sector, according to a study by the Associated Chambers of Commerce and Industry of India (Assocham). Releasing the study here on Friday, the Assocham President, Mr Mahendra K. Sanghi, said the remaining 14 States and UTs have, however, succeeded in roping in the IPPs for adding a considerable number of power units to their total installed capacities. According to the Assocham chief, Maharasthra tops the list by making a capacity addition of 3,409 MW followed by Gujarat (2,226 MW), Tamil Nadu (1,963 MW), West Bengal (1,201 MW), Andhra Pradesh (1,137 MW) and Karnataka (793.40 MW). Mr Sanghi said the States and UTs in which the IPPs have not responded favourably are Delhi, Haryana, Uttar Pradesh, Uttaranchal, J&K, Punjab, Chandigarh, Daman & Diu, Chhattisgarh, Dadar Nagar Haveli, Bihar, Sikkim, Orissa, Pondicherry, Arunachal Pradesh, Meghalaya, Tripura, Manipur, Nagaland, Mizoram and Lakshwadeep. According to Mr Sanghi, the independent power producers did well in the 14 States where the administrative machinery there ensured most of the facilities needed to put up power plants. In addition, the IPPs in these States were granted incentives such as income-tax exemptions, sales tax exemptions and lower and reduced customs duty for import of equipment needed for setting up power plants, he said.
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