Policy Notes : Indian Power Sector

This note lays out the implications for the financial sector and budget of the huge and increasing losses of Indian distribution companies (DisComs) and presents potential approaches to address the issue. It is divided into two parts: part one is approach to financial sustainability of distribution business; and part two is international experience on coal imports and mitigation of market risk. The most urgent need is to address the problem of financial distress of the utilities, while using the crisis as leverage to implement regulatory and governance reforms that will be essential to the longer-term sustainability of any short-term actions agreed by the utilities.

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Bibliographic Details
Main Author: World Bank
Language:English
en_US
Published: Washington, DC 2012-06-26
Subjects:ACCESS TO ELECTRICITY, ACCESS TO MARKETS, ADVERSE EFFECTS, AMOUNT OF POWER, ANTHRACITE, ANTHRACITE COAL, APPROACH, AUCTION, AUCTIONS, AVAILABILITY, BALANCE, BILL COLLECTION, BULK POWER, CAPACITY BUILDING, CAPACITY SHORTAGES, CAPITAL COSTS, CARBON, CHEMICAL PLANTS, COAL, COAL EXPORTS, COAL INDUSTRY, COAL MINE, COAL MINES, COAL PRICE, COAL PRODUCER, COAL PRODUCERS, COAL PRODUCTION, COAL SUPPLY, COAL TRANSPORTATION, CODE OF CONDUCT, COLLECTION SYSTEM, COMPETITIVE BIDDING, CONCESSIONS, CONNECTION CHARGES, CONNECTION COSTS, CONSERVATION, CONSUMER PRICE, CONSUMER PRICE INDEX, CONTRACT ENFORCEMENT, CONTRACT PRICES, COST RECOVERY, CRUDE OIL, CUSTOMER SERVICE, DELIVERY MECHANISMS, DEMAND FOR ELECTRICITY, DEMAND FOR POWER, DEMAND FORECAST, DEREGULATION, DIESEL, DISTRIBUTION COMPANIES, DISTRIBUTION COMPANY, DISTRIBUTION LOSSES, DISTRIBUTION NETWORK, DISTRIBUTION SYSTEMS, DOMESTIC COAL, ECONOMIC ANALYSIS, ECONOMIC DEVELOPMENT, ECONOMIC GROWTH, ECONOMIC VIABILITY, EFFICIENCY IMPROVEMENT, EFFICIENT USE, ELECTRIC POWER, ELECTRICITY BOARDS, ELECTRICITY COUNCIL, ELECTRICITY DEMAND, ELECTRICITY GENERATION, ELECTRICITY GENERATION CAPACITY, ELECTRICITY PRICE, ELECTRICITY PRICES, ELECTRICITY SECTOR, ELECTRICITY SERVICES, ELECTRICITY TARIFF, ELECTRICITY TARIFFS, END-USERS, ENERGY AUDIT, ENERGY ECONOMICS, ENERGY USAGE, EXPENDITURE, FAIR, FINANCIAL VIABILITY, FRANCHISE MODEL, FRANCHISEES, FUEL, FUEL COST, FUEL COSTS, FUEL DEMAND, FUEL PRICE, FUEL PRICES, FUEL SUPPLY, FUELS, GAS SUPPLY, GENERATING CAPACITY, GENERATION, GENERATION CAPACITY, GRID ELECTRICITY, GRID EXTENSION, GRID OPERATOR, GRID OPERATORS, GRID SYSTEMS, GROSS DOMESTIC PRODUCT, HEAT, HYDROPOWER, INCENTIVE MECHANISMS, INCOME, INDEPENDENT POWER PRODUCERS, INFLATION, INTERNATIONAL MARKET, INTERNATIONAL MARKETS, INVENTORIES, KEROSENE, KEROSENE USE, LEVEL OF CONSUMPTION, LNG, LOAD FACTOR, LONG TERM CONTRACT, LOWER TARIFFS, MANDATORY COMPLIANCE, MARKET FLUCTUATIONS, MARKET POWER, MARKET RISK, MARKET RISKS, MARKET STUDIES, MONOPOLIES, NATURAL GAS, NATURAL RESOURCES, NUCLEAR POWER, OIL, OIL CRISIS, OPEN ACCESS, PERFORMANCE TARGETS, POOR HOUSEHOLDS, POWER, POWER CAPACITY, POWER COMPANIES, POWER COMPANY, POWER CONSUMPTION, POWER FACILITIES, POWER GENERATION, POWER GENERATION CAPACITY, POWER GENERATORS, POWER GRID, POWER GRIDS, POWER INDUSTRY, POWER NETWORK, POWER PLANT, POWER PLANTS, POWER PRODUCERS, POWER SECTOR, POWER STATIONS, POWER UTILITIES, PRICE ADJUSTMENT, PRICE CHANGES, PRICE INCREASES, PRICE OF COAL, PRICE POLICY, PRICE VARIATION, PRICES FOR COAL, PRICES OF COAL, PRICING POLICY, PRICING REFORM, PRIVATE SECTOR INVOLVEMENT, PRIVATE SECTOR PARTICIPATION, PUBLIC SECTOR, RAINFALL, RAW MATERIALS, REBATE, REGULATORY DECISIONS, REGULATORY EFFICIENCY, RENEWABLE ENERGY, RESIDENTIAL USERS, RETAIL, RETAIL CONSUMERS, RETAIL TARIFFS, RURAL ELECTRIC, RURAL ELECTRIC COOPERATIVES, RURAL ELECTRIFICATION, RURAL ENERGY, SALES, SERVICE PROVIDERS, SOLAR HOME SYSTEMS, SPOT PRICE, SPREAD, STATE UTILITIES, STEAM COAL, SUBSTITUTE, SUPPLY CHAIN, SUPPLY CHAINS, SUPPLY INTERRUPTIONS, SURPLUS, SUSTAINABLE DEVELOPMENT, TARIFF ADJUSTMENT, TARIFF LEVELS, TARIFF REVIEWS, TAX INCENTIVES, THERMAL POWER, THERMAL POWER GENERATION, THERMAL POWER PLANTS, TRANSPORTATION INFRASTRUCTURE, UTILITIES, UTILITY COMPANIES, VESSELS, VOLATILE MATTER, VOLTAGE,
Online Access:http://documents.worldbank.org/curated/en/2012/06/20161457/india-policy-notes-indian-power-sector
https://hdl.handle.net/10986/20588
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