Power shortage haunts many states

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Chennai, May 3: Despite a decade or so into the power sector reforms, the energy shortage and peak time power deficit of a number of states have increased considerably during 2000-01 to February 2005 period. However, some states have managed to bring down the energy deficit substantially during the period.

According to the numbers available with the Union ministry for power, Gujarat is the worst hit among the states with both energy deficit and peak time power shortage worsening year after year. For instance, in 2000-01, the state was short of 9.7% of its total energy demand. However, by 2005, this has increased to almost 12% of the total energy demand. Similarly, Gujarat has the highest peaking shortage of 27% of the total peak load demand in 2005, which has leapfrogged from 11.5% in 2001.

Gujarat’s worsening power scenario would have a telling impact on the industrial environment in the state. While, most of the existing industries are switching over to captive sources, new investors are weary of the power situation in the state.

Punjab, another prosperous state in terms of agriculture and industrial investment comes close to Gujarat with its energy shortage going up to 9.4% in 2005 from 4.2% in 2000-01. The peak time energy shortage has peaked to 22% of its total peak demand in 2005, from 9% by the turn of the decade. The unbridled use of the power by the farming community to irrigate their agricultural land has been cited as one major reason for the widening energy deficit in the state. Also, the state government’s effort to ride a populist wave by supplying free power to agriculture earlier has also exacerbated the situation.

Uttar Pradesh and Maharashtra are the next two in line with UP has an energy shortage of 20.4% and Maharashtra 11.6%. The peak deficit for both the states have gone up to 21% and 20% respectively. Maharashtra is currently facing severe power shortage with the state electricity board is leaving no stones unturned to ensure smooth supply of power to households and business establishment.