> Intl Business>
India holds road show in China to woo investors http://timesofindia.indiatimes.com/articleshow/1491911.cms
Sunday, April 16, 2006
PTI
BEIJING: India has held the first-ever road show in China, Hong Kong and South Korea to woo potential foreign investors into the country's power sector which has set an ambitious target of 'power to all' by adding 100,000 MW of capacity by 2012.
Secretary in the Ministry of Power R V Shahi, who led a high-level delegation to Beijing and Shanghai expressed confidence by the response he got from investors.
In Beijing, the Indian Embassy roped in some 40 senior executives of the Chinese power industry, including the President of China Electricity Council Zhao Xizheng.
In Shanghai, the communist nation's commercial hub, the road show was attended by the Vice Chairperson of the Shanghai Foreign Economic Relations & Trade Commission Jian Heping and about 90 executives from power sector companies from eastern China.
In his presentation, Shahi told the Chinese business leaders about the latest developments in India's power sector and that the country was seeking up to USD 100 billion during 11th Five Year Plan to boost its power generation, transmission, distribution and rural electrification.
"The biggest challenge is to create additional capacities. We have 125,000 mega watt capacity today and in the next 10 years, we need to double this capacity. Correspondingly we have to expand our transmission system in the sub-transmission system, distribution and rural electrification sector," Shahi said.
"All this put together, we would need USD 50 billion of investment in generation and USD 50 billion in transmission, distribution and rural electrification," he said.
He said the government plans to achieve total village electrification by 2010 and by 2012, the per capita availability would rise to 1,000 units.
Explaining the government's seven 'Ultra Mega Power Projects', Shahi said these projects, which would be awarded to companies, including foreign firms based on international competitive bidding.
When commissioned, the seven Ultra Mega Power Projects, each with a capacity of minimum 4,000 MW and deploying latest highly efficient super critical technology, will substantially reduce power shortage in the country, he said.
"There is tremendous response to this initiative, both from within and outside India," Shahi said about the nine member delegation's road shows in South Korea as well as Hong Kong.
He said India will be launching similar road shows in the United States, Canada as well as in European countries to woo foreign players into the power sector.
Lauding China's power sector for its successes, the Power Secretary said China had emerged as a role model for India.
China is seen not just as an equipment supplier but also as a developer, he said.
Shahi also noted that the Electricity Act 2003 and the National Electricity Policy have put in place a liberal and transparent framework for power development in India under which 100 per cent foreign direct investment (FDI) in all segments of power sector had been allowed.
Copyright ©2006Times Internet Limited.