Panel pulls up NTPC, Power Grid

Rejecting government contention that variations in IEBR were not an indication of the inability of PSUs to mobilise resources but on account of non-availability of statutory clearance, the Committee said quot;the reasons advanced are such which should have been visualised in advance and sufficient cushion provided in the physical and financial targets.quot;

Even if the argument put forth by the Ministry was accepted, it does prove the lack of understanding of the ground realities on the part of planners in fixing over-ambitious targets and faulty project implementation machinery which tend frustrate the IEBR target, it said.

Central Plan outlay for power fell short by Rs 1,550.35 crore in 1999-2000 when it was revised to Rs 8,049.92 crore from the budgeted figure of Rs 9,600.27 crore, the report said adding that the budgetary support for Central Power Research Institute and National Power Training Institute were reduced by Rs 15 crore during the year.

There had been reduction of Rs 16.25 crore for energy conservation due to slow progress of the scheme during the first half of 1999-2000, it said.

The Committee noted with concern the under-utilisation of Rs 74.52 crore external budgetary assistance by PowerGrid for the Nathpa Jhakri Transmission line and Unified Load Despatch and Communication facilities 8211; Northern Region due to deferment of supplies and erection to ensure that transmission project was in tune with the delayed generation project.

The committee recommended that government should consider ground realities while projecting targets for IEBR and also strengthen project formulation and implementation machinery lest IEBR target should go haywire.