Budget 2018: Finance Minister Arun Jaitley has announced a Budget 2018 that is aimed at reducing agricultural distress, improving both rural and urban economies, creating jobs, developing infrastructure and boosting growth. At the same time, the Budget 2018 has displayed prudence with regard to the fiscal situation. There were two important announcements regarding power generation. The first is aimed at strengthening the network of solar-based pumps, with an associated move for distribution firms buying the surplus solar power generated by farmers. The solar sector is already shaping up as the disrupter in the power sector and this would give it the reach it needs.
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The other prominent announcement pertained to the strengthening of the Saubhagya Yojana and has confirmed Rs 16,000 crore of investment to facilitate free connections for 4 crore families. To boost thermal power generation, there was an announcement for committing additional rakes that supply coal to power plants. The FM has reiterated his government’s focus on rural, urban, transport, and defense infrastructure in this year’s Budget. We are sure the positive announcements would boost demand in the power market and help reform the sector further.