26 pc stake of Govt with captive power companies to go: Shinde

New Delhi, May 25 (UNI) Union Power Minister Sushilkumar Shinde today said the Power Ministry was likely to do away with the existing stipulation of shelving 26 per cent government share with companies engaged in the captive power generation.

''The Ministry has already favoured dilation of the stipulations of having a government equity of 26 per cent with companies that are currently in the captive power generation to give them a free hand and its stand has been conveyed to the highest political level,'' he told reporters here today.

Captive power should be utilised whole-heartedly, Mr Shinde said at a seminar on 'Current and Future Power Scenario' organised by the Associated Chambers of Commerce and Industry, adding that a policy decision in this regard would shortly be taken.

He said that the power sector can grow only through Public-Private-Partnership, adding that power was not merely a government undertaking.

On the issue of ultra mega power projects, he said all their inputs for generating power would be coal-based even if coal has to be imported in large quantities.

After Karnataka, Andhra Pradesh and Goa the member of ultra mega power projects to come up would be decided by January next year, Mr Shinde added.

On the 10th plan power capacities addition target, Power Secretary R V Shahi said that his Ministry in consultation with the member of Central Electricity Authority undertook a review of the 10th plan period yesterday as per which it has now been found that by end of March 31, 2007, 34,000 MW of capacity addition would be possible through coal and hydro-based power plants that are on the advanced stages of commissioning.

5,000 MW of additional capacities would be added by the end of the 10th plan through captive power generation of which BHEL would alone generate 3,000 MW of power. Remaining 2,000 MW would come from various other players in the power sector, Mr Shahi said.

Speaking on the issue of privatisation of distribution, he regretted that Delhi is one state which privatised its power distribution but its results are not worthy of appreciation.

''States like Andhra, Tamil Nadu, Gujarat and even Rajasthan have been doing rather well on the side of distribution without having been privatised their distribution system,'' Mr Shahi said.

In a bid to conserve energy, the Union government would make it mandatory for the manufacturers of electrical appliances such as fridge, tubelights and airconditioners to produce electrical appliances that consume less energy so that power audit is done in a proper manner.

He also announced that the new integrated energy policy was in the offing, the focus of which will be appropriate in the sense that it will not have a particular tilt on coal, gas and non-conventional sources of energy.

UNI PV ARB RAI1837