Govt to set up Standing Group of Power Ministers

New Delhi, May 28 (UNI) Government will set up a Standing Group of Power Ministers to review implementation of measures to improve the availability of power in the country.

The Standing Group of Power Ministers, under the chairmanship of union Power Minister Sushilkumar Shinde, would meet once in three months and look into all issues affecting the power sector, including upgradation of transmission and distribution networks.

The decision was based on the recommendations of the Chief Ministers' Conference on Power that was inaugurated and chaired by Prime Minister Manmohan Singh.

Taking cue from the Prime Minister's closing remarks to the delegates, the conference passed unanimous resolution recognising the vital importance of the power sector in the development of the economy that was on a trajectory of high growth and resolved to put in place at the Centre and in the states a time-bound closely monitored action programme for accelerated capacity addition and drastic loss reduction.

It also sought achievement of the rural electrification targets set out under Bharat Nirman, promotion of efficient energy and Demand Side Management.

It was decided that the Centre would set up a National Power Project Management Board for monitoring the timely commissioning of the unprecedented capacity addition and associated transmission projects. The states would also set up similar dedicated apparatus.

Immediate steps would also be taken to expedite the development of hydropower and renewable sources.

The states supported the initiative of the Centre to set up Ultra Mega Power Projects. The Centre would also develop the necessary transmission network for UMPPs.

The conference resolved that the states commit themselves to operationalising 'open access' in the transmission and distribution sectors and issue policy directives to regulators, if necessary, to appropriately restructure cross subsidy surcharge, wheeling charges and other charges, with a view to augmenting the quantum of power flowing into the grid in the prevailing environment of shortages.

It was also resolved that the states would commit themselves to achieving and sustaining drastic reduction in the overall Aggregate Transmission and Commercial losses through the next five years, and at least to a level of 15 per cent in the Accelerated Power Development Reforms Programme project areas as has been demonstrated by the participating states in 163 towns and cities.

UNI