India Power Gen Challenges Highlighted At SA Meet

JOHANNESBURG: Private power generation companies were now leading in generating additional capacity in India, but were being hampered by a number of factors, according to an Indian businessman.

Venerable Energy Solutions Managing Director Mayank Garg said financial difficulties at the state-owned distribution companies were a serious threat to India's huge power demands.

Speaking at the South African Coal Exports Conference, Garg said the deregulation of the sector had led to private companies generating additional capacity, but one of their primary challenges was getting sufficient coal supplies.

Although India has vast coal deposits, it imports a substantial amount of its needs, including from South Africa.

Garg said the financially-constrained state-owned distribution companies were reluctant to sign long term deals with private power generators who did not have their own coal mines, which in turn reduced the ability of these companies.
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