The Hindu Business Line : Power reforms

The article "Power reforms: Where rhetoric and reality part ways" (Business Line, June 1) raised many relevant issues. The Prime Minister, no doubt, expects the full and active involvement of the States in the efforts at generation and conservation of power and also elimination of transmission and distribution losses as well as power theft.

But most of the States are today guided mainly by political considerations, with economic principles often all but abandoned. Some States have not implemented power reforms; others have taken them up half-heartedly.

Putting an end to power shortage by 2012 is, no doubt, a noble goal but the adoption of targets alone is not enough. More important is the formulation of strategies and preparation of an action plan within a definite time-frame. Subsidies have, no doubt, to be reconciled with the market needs of rational user charges for power utilities. Power production and distribution are comm- ercial activities and not a charitable operation.

While it may be difficult to win the co-operation and support of all the States in power reforms, which are crucial to the economy, the targets embodied in the Electricity Act must be achieved by a co-operative effort. Otherwise, we will make little progress by the end of 2012.

K. K. Ammannaya

Udupi

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