Power Sector

At the core of the beleaguered Power sector is the ownership issue. Are state governments responsible to the public or is it the central government's role? Governments at centre and states have conveniently not addressed this issue as it affects their vote banks. No sector invites Private capital with assured returns with most of the cost variables being pass through. In spite of it we have not seen capital coming in to this sector.

It is therefore clear that what is needed is enabling provisions, which allow for a sensible business plan to implemented by competent organisations and achieve their returns. Enabling provisions will include interference free "disconnection" of Power Supply in the event of default, recovery of dues with Penalties and above all a free environment where an organisation can perform with out the elected representatives having their say on day to day matters.

While we have made such major strides in new technology areas, it is disheartening to see that we are not able to get our act together on providing this basic infrastructure. We have already tackled the communication issue and are on our way in the transportation segment with the giant railways achieving world class performance.

Policy makers should quickly address this and come up with working models which will invite talent and capital. In the absence of bold initiatives, dark nights and idle hot days are ahead!