New Delhi, Nov. 28: India's economy which is growing handsomely at an average rate of above 8% in the troubled times might face stiff challenges ahead as power situation in the country is going out of control. During first seven month (April-October) of fiscal 2010-11 the country experienced a peaking shortage of 14,674 megawatt (11.4%) and energy shortage of 35,067 megawatt (6.6%).
Informing the Upper House of the Parliament the Minister of State for Power K C Venugopal said that during April-October period the requirement was of 533,332 Million Unit whereas availability was of 498,265 MU.
Minister further informed that peak demand during the period was 128,907 MW, whereas peak demand met was 114,233 MW, with a deficit of 11.4%.
India's 60% of the power need is fulfilled by coal fired power plants and in last few months all major power utilities are facing coal shortages. Higher coal prices in international market forced private power producers to cut production.
Minister assured that Ministry of Power has been taking various efforts to reduce the generation shortage.
In another written reply the Minister informed that power generation during January-October 2011 period has been more than the target.
Ministry has set a target of 711.36 MU for the period, whereas the actual generation was 722 MU with an achievement of 101.5% of the target.