Power in India basically falls under the control of the government sector entities. Various central public sector corporations like National Hydroelectric Power Corporation, National Thermal Power Corporation and other state level corporations (State Electricity Boards or SEB’s) are entrusted with the responsibility of managing the electric power generation in India. Besides, the transmission and distribution of electric power or electric current is regulated by the various State Electricity Boards or private companies. In 2005, the total energy consumption of the country was about 488.5 billion kWh.
The overall installed capacity is 132,110.21 MW. The current installed base of thermal power in India is 85,575.84 MW (64.7%), whereas the current installed base of hydropower is 34,654 MW (26.2 %). In fact, India is one of the leading countries in entire Asia, which saw the birth of hydro-electric power plants. As far a nuclear power of the country is concerned, its seventeen nuclear power reactors produce about 4,120 MW (3.1%) of power. Five nuclear reactors are also under construction, which will undoubtedly be a boon to the nuclear power generating capacity of the country.
Under the provisions of the Electricity Act 2003, all the State Electricity Boards of the country have been trifurcated into three - State Govt-owned, Companies for Generation and Transmission & Distribution of Electricity. However, in some places (like Karnataka), the government has also encouraged private participation, by allowing private enterprises to purchase power directly from the generating stations. Despite the various economic reforms, India’s power industry lacks adequate private investment from domestic and foreign companies, to supply the requisite level of electricity supply in the country. In the year 2003-2004, India experienced an energy shortage of 7.1%.
India still needs a surplus power of 100,000 MW to meet the growing demand for electricity in the present scenario. Though the government of India has set up a "Power for all by 2012" goal, yet considerable number of villages in various states, like Jharkhand, Bihar, Uttar Pradesh, Orissa, Uttranchal and West Bengal, still lack adequate electrification till date. Apart from governmental measures, participation and contribution from domestic and foreign private companies in various power projects is necessary to keep a balance between the demand and supply of energy requirements of the country.
