Thursday 16 February 2012

Are we preparing for energy crisis

If power situation gets any worse we would have just turned the lights off. When the need for power (electricity) increases, it is a good sign. It indicates a healthy, growth driven economy. We have seen an increase of 69,353 MW to 185,000 MW within last twenty years. But the need is greater than before. The aim of increasing the supply by 78,000 MW was not realised and only 50,000 MW increase was possible during last five years. Demand for power supply is so high, that this increase is highly insufficient.
65% of our electricity supply is made by thermal power (using Coal). Lack of proper policies has lead to disruption of a steady supply of coal. There is monopoly of CIL (Coal India Ltd) which cannot supply 50% of that it had committed. And import of foreign coal from Australia, Mozambique and Indonesia is restricted by legal regulations and limits.It is too costly.Cost of energy will increase phenomenally.
Mining for coal has to get clearance from Ministry of environment forests; and thermal projects cannot be implemented without environmental clearance and coal supply. Smooth and efficient e-tendering and e-auctioning can make the environmental clearances faster transparently. The indecisive political system is too slow to realise the potential loss due to power insecurity which is here. Energy is centre government subject and environmental clearance is left to the states (it is state government subject). For needs of energy and power, state and central governments have to work together. And when will that be? 
Look out India.....Energy crisis is coming!

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