Categories: News

Rural Electrification Corporation continues to register higher growth

Rural Electrification Corporation (REC) continues to register higher growth and record performance in the period ending 2012-13.

A sum of Rs 40,183 crore was disbursed during the financial year 2012-13 as against Rs 30,593.30 crore in the previous year.

A record 20,623 MW was added to the installed capacity in 2012-13 against a capacity addition target of 17,956 MW. This is a growth of 15 per cent.

Addition came in from thermal stream which amounted to approximately 98% of total additions.

Renewable energy scenario in India has seen a very high growth during the last plan period.

It is significant to mention here that the 12th Plan target for capacity addition is 88,425 MW.

For this to be achieved, funds to the tune of Rs 14 lakh crore will be required.

India’s power scenario suffers from severe losses at the distribution level primarily due to theft and at the generation level the sector has struggled to meet the ever increasing demand.

Transitional Finance Mechanism (TFM) has been put in place by the government to ensure a turnaround for the sector.

TFM includes-

  • Financial restructuring plan (FRP)
  • Revision of tariffs
  • Release of subsidies only to State Governments to be later adjusted
  • Audited Accounts regularisation
  • Incentives by way of technology interventions

Read more here;

Southern power grid is now connected to national grid

Power grid system on India

Top five states in India with highest installed electricity generation capacity

 

Image credit: Sumita Saha

Puskar Pande

Editor in chief @GreenCleanGuide.com

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