ड्रिफ्ट फाइनेंसियल सर्विसेज : February 2020

MARKET OVERVIEW:

EVOLUTION OF THE INDIAN POWER SECTOR:

 Electricity (Supply) Act 1948.

Establishment of semiautonomous State Electricity Boards (SEBs).

Industrial Policy Resolution (1956).

 Generation and distribution of power under state ownership. Power losses, subsidies, infrastructure bottlenecks and resource constraints.

Legislative and policy initiatives (1991).

 Private sector participation in generation.

 Fast-track clearing mechanism of private investment proposals

 Electricity Regulatory Commissions Act (1998) for establishing Central and State Electricity Regulatory Commissions and rationalization of tariffs.

Electricity Act (2003). Amendments made in Electricity Act so as to create competition .

 Implementation of Deen Dayal Upadhyay Gram Jyoti Yojana (DDUGJY) and Integrated Power Development Scheme for rural and urban areas respectively.
 Implementation of Ujwal DISCOM Assurance Yojana (UDAY) which would enable electrification to all villages and tracking it using the Grameen Vidyutikaran App.
 Amendment in National Tariff Policy (2016) has been made, wherein government is focusing more on sustainable utilisation of renewable energy resource.
INDIA AMONG TOP FOUR POWER GENERATING NATIONS:

With a generation of 1,561 TWh, India is the third largest producer and the third largest consumer of electricity in the world.
Although power generation has grown more than 100-fold since independence, growth in demand has been even higher due to accelerating economic activity. India to become the world's first country to use LEDs for all lighting needs by 2019, thereby saving Rs 40,000 crore (US$ 6.23 billion) on an annual basis.
India's energy firms have made significant progress in the global energy sector, according to the latest S&P Global Platts Top 250 Global Energy Rankings, with 10 out of 14 Indian energy companies making it to the list and RIL and IOC ranking third and seventh, respectively.