COMMON SENSE SIMPLIFIED: PERENNIAL BLACKOUT

COMMON SENSE SIMPLIFIED: PERENNIAL BLACKOUT:

The bottom line of the problem is the poor showing of the State Electricity Boards and dearth of reforms in power distribution that can portend a situation of losses touching up to 1.2 per cent of India's nominal GDP by March 2014. With no effort to stem the crisis, the losses rose in FY 2010 to 0.9 per cent, a significant jump from 0.6 per cent in FY 2006. Th e losses are accumulating because the power generation has failed to keep pace with our economic growth. It is paradoxical that electricity generation has experienced a draw-down in the liberalised era from its previous period. In the period 1980-81 to 1990-91 the power generation grew by impressive 124 per cent, only to be blunted by the ill-effects of much reduced growth in the next decade by mere 58 per cent, and then followed by an augment of 75 per cent in the first decade of this century. Accordingly, a similar consumption trend prevailed. 

Read more:  http://prasoonsmajumdar.blogspot.in/2012/08/perennial-blackout.html