Date:18/03/2005 URL: http://www.thehindubusinessline.com/2005/03/18/stories/2005031801091700.htm

Back Maharashtra to borrow Rs 500 cr to boost power supply

Our Bureau

Mumbai , March 17

THE Maharashtra Energy Minister, Mr Dilip Walse-Patil, said on Thursday that the State will improve the availability of power and will terminate the practice of load shedding in the next five years.

Making a statement in the State legislature currently in session, he said the State would borrow Rs 500 crore from the Rural Electrification Corporation in order to implement single-phase rural electrification process.

The State will take the responsibility for repayment of the loan, he added.

The Minister said the Government would formulate policies for power generation, which are investment friendly. Independent power producers can have joint ventures with the State electricity board and can set up power plants anywhere in the State, Mr Walse-Patil informed.

Only gas (combine cycle) and coal-based power plants with capacity in excess of 500 MW will be eligible for concession under this new investment policy.

All the decisions will be cleared under the single window system within 45 to 60 days, Mr Walse-Patil clarified.

He also said that the proposed power generation site would receive assistance from the Government for fuel linkages, civic amenities and other support infrastructure.

The projects will have 100 per cent exemption from stamp duty registration charges and octroi.