We also need to massively invest in the generation of electricity its transmission and its distribution. A staggering amount of India’s electricity generated just like our farm produce gets wasted or pilfered.
This has to stop!
I fear in the coming years the greatest danger that will hold India back in this decade is the lack of adequate quality electricity.
How can India be shinning if she is dark and unlit?
Companies already invest a lot in purchasing and maintaining diesel gensets. Diesel as a fuel to generate electricity is both wasteful and inefficient. Manufacturing industries in the past few decades have innovatively invested in their own captive power plants to free them from the yolk of the bankrupt State Electricity Boards. This, however, cannot be the long term solution to our problem.
Without quality, adequate and nonstop electricity there cannot be a developed India. Make no mistake. People who think otherwise are liars and cheats in cohort with the politicians and bureaucrats for their self serving interests.
What can be done to arrest this slide?
Rules and regulations are already in place to reform our State Electricity Boards. We need visionaries and implementers not people who create and debate on Acts and Statues and slip away to the Assembly canteen for a ‘cuppa chai’ and condiments after appearing on National television for a couple of hours.
The State Electricity Boards are bankrupt, they are unable to pay for the electricity they purchase from the power generating companies. Yet it’s odd that electricity tariffs have gone up at an alarming rate.
Again I like most people do not mind if I pay for electricity provided I get to enjoy it and not curse its non existence. Where is my money going? To pay for the bureaucrats salary, chai, lunches, staff bungalows, parties? .Why have separate State Electricity Boards for each State? Why not have just one National Electricity board modeled on NTPC or NHPC.
Are we not citizens of “One India”? Can we not for the sake of national efficiency have one National Electricity Board?
Some say that complete privatization of the electricity sector is the solution to our problems. I am for increasing efficiency, whether it’s complete privatization or a public private participation it does not matter to me.
However, there are certain drawbacks even if we privatise social/infrastructural services.
1. We would still for political reasons and vote bank politics subsidise rich farmers. Who would pay for this subsidy? The private companies? Ha Ha I laugh – No way! We have to tackle the issue of subsidies in electricity before we can fully privatise the power sector I feel.
2. Protection of consumers – Private companies in India are notorious for fleecing consumers. The Competition Commission along with the Consumer Forum is doing its bit but we need to ensure penalties are stiffer. How easy would it be for a consumer to change from one electricity supplier to another? Simple things like electricity meters should be standardized to ensure hassle free transition from one supplier to another. We should not be encouraging monopoly in the name of privatization.
One step in the direction could be to incorporate this National Electricity Board into a company, break it up into three divisions one each for generation, transmission, distribution and list it in the stock exchange. Appoint directors who understand the electricity sector and do away with government and bureaucratic control. The CEO could be selected in the same manner as the Chief Election Commissioner.
Give the directors authority to make and implement quick decision and have oversight over them through shareholders. Limit government shareholding to 26%, invite public and Institutional investment to ensure efficiency and effectiveness.
Have dedicated branches for billing and enforcement. Advertise defaulters name in newspaper and penalize them heavily.
It is also important that we inculcate the habit of saving and using electricity efficiently. Not only companies but even large apartment complexes should be encouraged and if necessary mandated to produce renewable and clean energy.
Use of solar powered geysers, lights should be encouraged and if required subsidized. We need to channelise our subsidies to be efficient and not be a black hole to suck our precious non renewable resources.
Electricity is subsidized to the farmers but what use is this subsidy if there is no electricity in the first place? Again, do we need to subsidise electricity to rich farmers, if farmers are able to purchase luxury cars surely they can also pay for electricity at normal rates!
I am at least encouraged to note the solar powered traffic signals with timers in a few places in my garden city. They seem to be working also!
It is not that we as a country lack resources, financial, natural or human. It’s just that we need good policies backed by sound implementation.
Wishing all my readers a bright and well lit future.
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