How Power Is Allocated Among States in India

FORMULA FOR ALLOCATION OF POWER TO STATES

  • Power from Central Generating Stations to beneficiary States/Union Territories is allocated in accordance with formula for allocation of power which is being treated as guidelines from April, 2000.  
  • As per these guidelines, allocation of power is made to the States/ UTs in two parts, namely firm allocation of 85% and 15% unallocated power for allocation by the Government for meeting the urgent/overall requirement.  
  • The firm allocation includes allocation of 12% free power to the affected States and 1% for local area development in case of Hydro Power Stations and 10% (not free) power to the home State in case of Thermal and Nuclear Power Stations.  
  • The balance 72%/ 75% power is distributed amongst the States / UTs of the region in accordance with the pattern of central plan assistance and energy consumption during the previous five years, both factors having equal weightage.  
  • Central plan assistance is determined in accordance with the Gadgil formula, in which population of the states is also taken into consideration.  
  • In case of joint venture projects, the equity contributing state gets benefit in firm allocation in accordance with their equity contribution.

 

  • The aforementioned guidelines for allocation of power from Central Generating Stations are applicable to the generating stations, for which PPAs have been signed upto 5th January, 2011 and for the extension of the existing projects.  
  • After 5th January, 2011, power is to be procured by the Distribution Companies/ Utilities through tariff based competitive bidding.
  • In 13 new projects of NTPC, Central Government has in January, 2011 approved allocation of 50% of power to ‘Home’ State, 15% unallocated power at the disposal of Government of India and 35% to other constituents (except ‘Home’ State) of that region on the basis of extant guidelines on allocation of power giving equal weightage to central plan assistance and energy consumption by each State of the Region for preceding 5 years.  
  • Similar dispensation has also been provided by the Government in January, 2011 in respect of new projects of Nuclear Power Corporation.
  • The allocated quota in terms of percentage remains unchanged and the States get power as per the allocated quota.  
  • The availability of power at any given time depends upon the declared capacity of the power stations which is dependent on planned maintenance, forced outage, fuel availability, water inflow in the river / reservoir, Renovation & Modernization, etc.
  •  The 15% unallocated power in CGSs, kept at the disposal of the Central Government, is reviewed and revised  from time to time keeping in view the emergent and seasonal nature of the requirement, the relative power supply position, utilization of available power resources, operational and payment performance, etc.  
  • The quantum of unallocated power in the CGSs being limited, it can only supplement the power available from other sources. 
  • The allocation of power will be only from the existing projects, extension of the existing projects and projects for which PPAs have been signed upto 5th January, 2011.  
  • For other projects, the power is to be procured by Distribution Companies / utilities through tariff based competitive bidding.

ALLOCATION OF POWER FROM CGSS DURING PEAK HOURS

STATES

As on 31.03.2012

(MW)

 

As on 28.02.2013

(MW)

 

Chandigarh

204

214

 

Delhi

3897

4101

 

Haryana

1945

2228

 

Himachal Pradesh

1156

1225

 

Jammu & Kashmir

1604

1882

 

Punjab

2045

2114

 

Rajasthan

2374

2753

 

Uttar Pradesh

5520

5788

 

Uttaranchal

796

848

 

Gujarat

2768

3128

 

Madhya Pradesh

2553

4295

 

Chhattisgarh

805

1064

 

Maharashtra

3853

6396

 

Goa

444

480

 

Daman & Diu

164

311

 

DNH

567

848

 

Andhra Pradesh

3306

3676

 

Karnataka

1672

1810

 

Tamil Nadu

3282

3766

 

Kerala

1626

1633

 

Puducherry

394

396

 

Bihar

1742

1805

 

Jharkhand

526

565

 

Orissa

1544

1700

 

West Bengal

1225

1403

 

Sikkim

149

150

 

Arunachal Pradesh

134

134

 

Assam

721

746

 

Manipur

123

123

 

Meghalaya

212

212

 

Mizoram

74

74

 

Nagaland

80

80

 

Tripura

105

105

 

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