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� A sustained high growth rate of 8-10% for the next two decades is needed for eradicating<br />

poverty.<br />

� To deliver such a high growth rate and meet the energy needs of all citizens, would require<br />

that the installed electricity generating capacity should increase to between 778 GW (for 8%<br />

growth rate) and 960 GW (for 9% growth rate) by 2031-32. dcvii<br />

1. Growth for whom?<br />

One problem with this argument is that it assumes that GDP growth leads to increased<br />

prosperity and better living conditions for the ordinary people. We have argued in detail elsewhere<br />

that today, for the common people, the opposite is the case: “The word ‘GDP growth rate’ has come<br />

to have a sinister meaning for the poor. The upper classes measure their increase in wealth by<br />

growth in GDP. For the vast masses, it is a measure of the devastation of their lives…” For<br />

instance, during the period 2003-07, a period which saw the Indian economy grow at above 8% per<br />

year, total employment in the organized sector actually declined in absolute numbers, farmers<br />

committed suicides in record numbers, lakhs of people fell below the poverty line and<br />

malnourishment in the country increased further from already record levels, and so on. dcviii<br />

Likewise, increased electricity generation also does not mean more electricity for the<br />

common folk living in small towns and rural areas. This is borne out by past experience – all the<br />

growth in electricity generation during the six decades since independence has gone towards<br />

fulfilling the galloping demands of the rich in the big cities in the country. Thus, the total installed<br />

electricity generating capacity in the country has gone up by more than a hundred times since<br />

independence, from 1.4 GW dcix<br />

Table 10.1: Power Generation Capacity in India (MW) – as on 31 March, 2010 dcx<br />

Thermal<br />

Coal Gas Diesel Total<br />

Hydro <strong>Nuclear</strong> Renewables 1 TOTAL<br />

84,198 17,056 1,200 102,454 36,863 4,560 15521 2 159,398<br />

in 1947 to 160 GW in 2010. Despite this phenomenal increase, more than 44% of the country’s<br />

households still have no access to electricity even six decades after independence. The situation is<br />

1 Renewables includes wind energy, biomass gassifiers, minihydel turbines (

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