PM: Policy & regulatory setup for discoms soon

Govt treats power as separate sector, not in industry

New Delhi, Feb. 18: Prime Minister Narendra Modi on Thursday said the Centre is working to remove problems in the power distribution sector and a policy and regulatory framework for discoms is in the offing.

Consumers should be able to choose their supplier according to performance like any other retail commodity, he said at a webinar for consultation towards effective implementation of the Union Budget provisions in the power and renewable energy sector, the Prime Minister's Office (PM) said in a statement.

Modi said the government treats power as a separate sector and not as part of the industry sector while adding that the Centre's approach towards it has been holistic and guided by the four mantras of "reach, reinforce, reform and renewable energy".

He noted that the renewable energy capacity of the country has been enhanced by two-and-a-half times in the last six years and the solar energy capacity by 15 times.

"This year's budget has shown unprecedented commitment towards investment in infrastructure. This is evident in mission hydrogen, domestic manufacturing of solar cells and massive capital infusion in the renewable energy sector," Modi said.

Referring to the performancelinked incentive (PLI) scheme, he said high-efficiency solar PV modules are now part of it and the government is committed to investing Rs 4,500 crore in this. Modi hoped for a massive response to the scheme.

Under the PLI scheme, integrated solar PV manufacturing plants with a capacity of 10000 MW will be operationalised with an estimated investment of Rs 14,000 crore.

This is likely to increase demand for locally produced materials such as EVA, solar junction box.

"We want to see our companies to become global manufacturing champions, not just to fulfil local demands," the prime minister said.

The government has indicated its commitment of additional capital infusion worth Rs 1,000 crore in the Solar Energy Corporation of India (SECI) to promote investments in the renewable energy sector. Similarly, the Indian Renewable Energy Development Agency (Ireda) will get additional investments worth Rs 1,500 crore. This will enable the SECI to invest in innovative projects worth Rs 17,000 crore, Modi said.

The investment in the Ireda will lead to additional loans of Rs 12,000 crore by the agency. This will be over and above the Ireda’s current loangiving capacity of Rs 27,000 crore, the statement noted.

Stakeholders and experts of the power sector, representatives of industries and associations, MDs of discoms, CEOs of state nodal agencies for renewable energy and consumer groups attended the webinar. glass, backsheet and