Lok Sabha Question No. 270 (STARRED), answered on 2019-07-11
Subject: Transmission Related Issues
Ministry: POWER
Asked by: Shrikant Eknath Shinde, Girish Bhalchandra Bapat

## GOVERNMENT OF INDIA MINISTRY OF POWER

## LOK SABHA STARRED QUESTION NO.270 TO BE ANSWERED ON 11.07.2019

## TRANSMISSION RELATED ISSUES

*270.   DR. SHRIKANT EKNATH SHINDE: SHRI GIRISH BHALCHANDRA BAPAT:

Will the Minister of POWER be pleased to state:

- (a) whether  the  power  sector  has  been  grappling  with  transmission related issues for a long time and if so, the details thereof;

(b) whether problems aggravated due to higher power generation and demand, if so, the facts thereof;

- (c) whether  separate  fund  for  the  development  of  transmission  and power sector related infrastructure is required, if so, the details thereof;

(d) whether the Central Electricity Regulatory Commission (CERC) has issued draft  regulations  for  Power  System  Development  Fund  and  if  so,  the details and the facts thereof; and

(e) whether the Government has decided for the utilisation of the said Fund  and  if  so,  the  details  thereof  along  with  the  time  by  which  the proposed Fund is likely to be created/ operationalised?

## A N S W E R

THE MINISTER OF STATE (INDEPENDENT CHARGE) FOR POWER, NEW & RENEWABLE  ENERGY  AND THE MINISTER OF STATE FOR SKILL DEVELOPMENT & ENTREPRENEURSHIP

( SHRI  R.K. SINGH)

(a) to (e) : A Statement is laid on the Table of the House.

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STATEMENT REFERRED TO IN REPLY TO PARTS (a) TO (e) OF STARRED QUESTION NO.270 TO BE ANSWERED IN THE LOK SABHA ON  11.07.2019 REGARDING TRANSMISSION RELATED ISSUES.

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- (a) & (b) : About one lac twenty two thousand circuit kms of transmission  lines  have  been  added  in  the  country  during  the  last  five years.  A robust National Grid has been established leading to One Nation One Grid which has facilitated transfer of power from resource rich areas to load centers.  Due to this, the peak power shortage in the country has reduced  from  10.6%  during  2011-12  to  around  0.6%  during  the  current year.    On  most  of  the  days  there  is  one  price  in  the  Power  Exchange indicating that there is no congestion in the transmission grid.

At any point in time, power generation has to match with the demand  in  the  Electricity  Grid  and this  has  been  possible  due  to availability  of  adequate  generation  capacity  in  the  country,  and  there being no constraints in transmission.

- (c) : A separate fund for development of transmission system is not envisaged  as  of  now.  Central  Government  does  not  grant  funds  for  the development of transmission system except for certain strategic projects since  the  development  of  the  transmission  system,  as  envisaged  in  the Tariff Policy, is generally through Tariff Based Competitive Bidding (TBCB) mode.
- (d) : Yes,  Sir.  CERC  has  circulated  the  draft  Central  Electricity Regulatory  Commission  (Power  System  Development  Fund)  Regulations, 2019  on  24th  May,  2019  for  public  consultations.  The  draft  regulations propose to repeal the CERC (Power System Development Fund), Regulations,  2014  issued  on  9th  June,  2014,  in  view  of  the  guidelines issued by Ministry of Power (MoP) and experience gained so far in their implementation.  The  draft  Central  Electricity  Regulatory  Commission (Power System Development Fund) Regulations, 2019 provide for changes in operating procedures, constitution of committees, implementation and monitoring mechanism etc.
- (e) : Presently,  the  schemes  received  from  utilities  are  being recommended for PSDF funding under existing CERC (PSDF) Regulations, 2014 and PSDF guidelines issued by MoP.

So  far,  140  Schemes  have  been  approved  for  PSDF  funding with a sanctioned Grant of Rs.11,282 crores, in the presently operationalized PSDF scheme of Govt. of India.

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