The power sector of India is still faced with a funding gap of Rs 4.21 lakh crore for its 11th Plan projects, even as three years out of the five are already over. While the government is trying its best to bridge the gap, this is a worrying situation for the capacity addition programme for the period in question. - Notably, as against the total requirement of Rs 10.59 lakh crore for the power sector during the 11th plan period, only Rs 6.37 lakh crore has been tied up via debt or equity. This includes funds requires for captive, renewable and decentralized generation, as well as transmission, distribution and performance improvement.
- A sector-wise synopsis shows that the state requires the most funds, calling for Rs 5.31 lakh crore. The share of the central and private sectors stand at Rs 2.92 lakh crore and Rs 2.36 lakh crore, respectively.
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