The political economy of electric power in India: part II
Abstract
Since the cancellation of the Dabhol Power Project (DPP), the debate about electric power in India has come
into the public view, raising hopes that corrective measures can be taken to have a viable, cost effective and growing
power industryA critical examination of the recent policy changes especially as regards the Independent Power
Projects (IPPs) reveals that there are many dysfunctionalities in this policy particularly in the enormous and quite
unnecessary burden it places on the balance of payments> and in the additional constraints against improvement
and change in the state sector. It would be damaging to indigenous power equipment manufacturers, particularly
the BHEL, just when it is showing the potential to be an important international player in the industry.
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