OREANDA-NEWS. As per the 12th Five Year Plan (2012-17) document of Planning Commission, the investment required in electricity sector for the years 2014-15 to 2016-17 is Rs. 10.14 lakh crore as detailed given below:                                                                                                

    (Rs. In crore)

Years

Centre

State

Private

Total

2014-15

87,228

68,909

138,137

294,274

2015-16

97,616

75,888

159,966

333,470

2016-17

109,242

83,572

193,429

386,244

Total

294,086

228,369

491,532

1,013,988

 

Measures to enhance investment in the infrastructure sector, including power, in theGovernment of India Budget documents, 2014-15, include, inter-alia, Infrastructure Investment Trusts with tax-efficient pass-through status for PPP and other infra-structure projects; Rs.100 crore allocation for preparatory work for a new scheme “Ultra - Modern Super Critical Coal Based Thermal Power Technology”; resolution of the existing impasse in the coal sector and provision of adequate quantity of coal to power plants already/or likely to be commissioned by March 2015; encouragement to banks to extend long-term loans to infrastructure sectors; extension of the 10 year tax holiday to the undertakings which begin power generation, distribution and transmission by 31.03.2017. This was stated by Sh. Piyush Goyal, Minister of State (IC) for Power, Coal & New and Renewable Energy in a written reply to a question in the Lok Sabha today.

The Minister further stated that the other measures, already taken by the Government of India to enhance investment in infrastructure sectors, including power, include, inter alia, long-term financial assistance to infrastructure projects by India Infrastructure Finance Co. Ltd; permitting limited investment in tax-free long-term infrastructure bonds since 2010-11; allowing external commercial borrowings for investment by import of capital goods, new projects, modernization and expansion of existing production units, as well as for part financing of rupee debt of existing power projects; 15% investment allowance deduction allowed to companies investing over Rs.100 crore in plant and machinery during 2013-15; financing restructuring of distribution companies launched with central assistance through a transition finance mechanism to enable restoration of their financial health; private sector participation in transmission sector by identifying projects for implementation through tariff based competitive bidding.