Inside Pages9Final.indd - Ministry of Power

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MINISTRY OF POWER
v) Court cases in the form of public Interest Petitions etc.
vi) Failure by IPPs to bring in equity upfront.
vii) Withdrawal by equity holders and EPC contractors.
C. RENEWED PRIVATE SECTOR INTEREST IN
POWER
i) Enhancing the confidence level of investors:
Government of India has been assisting wherever
required, to resolve issues coming in the way of
implementation of these projects. The Electricity
Act, 2003 creates a liberal framework for power
development and has revived interest among
private sector as well as the lending institutions
for making greater investments in the power
sector. Encouraged by the Act and other measures,
the financial institutions have indicated availability
of sufficient funds for good projects with viable
tariffs and sponsored by credible investors.
LKPPL Creating Prosperity
ii) Close monitoring of IPPs for capacity addition in
the 10th Plan-constitution of the Inter-institutional
Group.
Ministry of Power has been closely monitoring
the power projects in the private sector which are
considered possible for early financial closure. An
Inter-Institutional Group (IIG) comprising senior
representatives from the lenders and Ministry of Power
has been constituted to jointly appraise such projects
and facilitate financial sanction in a time bound fashion.
Thirteen power projects with a total capacity of about
4927 MW have since achieved financial closure and
ten more projects with a total capacity of about 11432
MW are being pursued for early financial closure. A
Green Channel has been constituted in the Ministry
of Power to facilitate statutory clearances and provide
online exchange of information between the project
developers, Financial Institutions and the Ministry
through dedicated websites.