India to boost capacity by 88,000MW in 5 years
India aims to increase power generation capacity to 288,000MW from 200,000MW in the next five years.
Power minister Sushilkumar Shinde announced that the Planning Commission has set a power capacity addition target of 88,425 MW for the current Five-Year Plan period ending March, 2017.
The country has a peak shortfall of 10 percent.
The target is higher than 75,785 MW capacity, corresponding to nine per cent GDP growth, estimated by the Working Group on Power.
"In order to bridge the gap between peak demand and peak deficit and provide for an increased pace of retiring of the old energy inefficient plants, the capacity addition target for the 12th Plan (2012-17) has been fixed at 88,425 MW," according to draft note on energy sector for the current Plan Period.
Out of the projected capacity addition, thermal sources - coal, lignite and gas -- would make up for 71,228 MW while hydro would account for 11,897 MW. Nuclear power is estimated to be contribute 5,300 MW.
More than half of the total capacity addition would be from the private sector.
"The 12th Plan will have to lay major emphasis on expansion of franchisee or Public Private Partnership (PPP) or privatisation in different utilities as a strategy to reduce network losses, improved efficiency of service and consumer satisfaction," the draft note said.