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Rs. 25,000 crore to raise power generation

Staff Correspondent

The funds will come from financial institutions, says Revanna


  • Power projects in private sector to be launched
  • A wind energy project is also in the pipeline

    HASSAN: The Government has decided to invest Rs. 25,000 crore to increase power generation by another 5,000 MW and improve the distribution network in the next five years. Funds would be borrowed from financial institutions, including the Central Power Finance Corporation (CPFC), Minister for Public Works and Energy H.D. Revanna has said.

    Addressing presspersons here on Wednesday, the Minister said the Government would launch a series of power projects in the private sector in different parts of the State with a total capacity of 1,500 MW.

    The projects include the 280 MW Varahi power project and thermal power project to generate 4,000 MW, in Koodgi (Bijapur), Koushika (Hassan), Raichur, Nandur (Gulbarga), Chamalapura (Mysore) and Ghataprabha (Belgaum).

    A wind energy project with a capacity to generate 1,500 MW was also in the pipeline and the Government had cleared a proposal for setting up 560 sub-stations in the State, of which work on setting up 250 sub-stations, which was in progress, would be completed in the next three months, he added.

    It had also been planned to invest Rs. 750 crore for rural load management, in view of supplying quality power to rural areas, he said.

    When his reaction was sought on the Karnataka Electricity Regulatory Commission (KERC) order to reduce power tariff for rural consumers, Mr. Revanna said it was not correct on his part to react as the matter was pending before Central Electricity Appellate Tribunal. However, he said that reducing the annual energy requirement of electricity companies from 145 million units to 80 million units, as suggested by KERC would adversely affect rural areas.

    Mr. Revanna said that Karnataka Power Transmission Corporation (KPTCL) was facing problems because of mistakes committed by previous Government, and after assuming office he had corrected them.

    Pointing out at a mistake, he said that because of an improper decision taken while striking a deal for Tanir-Bhavi Barge Mounted Power Project, the KPTCL had incurred losses.

    Though there was a possibility to seek arbitration, the previous Government did not decide on it and that he had taken it up and set things right, he said.

    He also claimed that because of his efforts the distribution loss had come down from 32 to 28 per cent and the aim was to reduce it to 14 per cent.

    He appreciated the efforts of officials in bringing it down to 9.5 per cent in Bangalore city.

    Free power

    Referring to the ambitious programme of providing free electricity to 54 lakh below the poverty line families in 17 districts of the State, the Minister said that the programme would be completed in the next two years.

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