preference to power plants in allocating natural gas, as electricity
was key driver for economic growth.
The Standing Committee on Energy in its report tabled in the
Parliament today recommended that the power sector be accorded
priority over fertiliser sector for natural gas allocation.
On government's ambitious ultra-mega power projects, the panel headed
by Gurudas Kamat stated that local issues, if any, should be settled
before the state government give approval to set up electricity
generating units.
It also wanted realistic targets and regular infusion of funds in
various projects and schemes.
The Committee observed that the in the previous fiscal, the
utilisation of plan outlays did not keep pace with the allocations and
expressed apprehension of delay in the execution of power projects due
to under-utilisation of plan outlays by power generating companies
during 2007-08.
It expressed concern over failed capacity addition targets and desired
creating a unified chain of command to speed up work and ensure proper
coordination among different agencies involved in the process.
The committee recommended concrete action plan for the development of
vendors for balance of plant works, after noting the shortage of
vendors to execute balance of plant works like ash handling plant,
coal handling plant, water treatment which had become the main
hindrance in completion of power projects resulting in delayed
capacity addition.
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