The Indian government believes that the country needs an additional 100 000 MW of electrical generating capacity by 2012 to meet a ‘power for all’ scenario. The additional capacity has been estimated to cost around Rs8 000 000 million.

So far 58 000 MW of capacity is due for completion during the 10th and 11th five-year plan periods, ending in 2012. These include 16 500 MW from projects that are in various stages of construction and scheduled for completion by the end of the 10th five year plan. A further 41 500 MW could be constructed from other approved projects.

The publicly-owned National Thermal Power Corp has already drawn up plans to double its generating capacity from 20 000MW to 40 000MW by 2012. The government has also decided to attempt to increase hydropower capacity from 25 000MW to 35 000MW. A three-stage clearance process for hydro projects is to be established to help speed their authorisation.