Power paradox: Consumers in state hit by outages despite surplus production

Power

Jaipur: Power cuts across the state have intensified public discomfort in the peak of summer, even as the state maintains surplus generation capacity. The paradox has reignited criticism of the govt’s planning, with stakeholders urging a shift from new projects to strengthening distribution networks.

The debate sharpened after the Rajasthan Electricity Regulatory Commission (RERC) declined direct approval for a proposed 3,200 MW coal-based round-the-clock project. In its May 15 order, the Commission noted Rajasthan already has adequate coal and nuclear tie-ups to meet firm demand till FY36, leaving the state in surplus.

The state govt is already forcing solar power producers to cut production because of daytime surplus and lack of adequate battery storage capacity.

According to RERC, Rajasthan has 4,735 MW of planned and tied-up coal and nuclear capacity against a requirement of 4,440 MW, a surplus of 295 MW. Projects backed by Cabinet approvals and MoUs with NTPC, CIL and SCCL were deemed sufficient, with the commission stressing that fresh procurement must follow updated resource adequacy assessments.

The order directed discoms to reassess residual demand after accounting for nuclear capacity, reserve margins and retirement schedules. It warned that joint venture (JV) and MoU projects cannot be disregarded without formal cancellation by competent authorities. Expansion projects at Chhabra and Kalisindh, allocations from Singrauli and Khurja, and the Mahi Banswara nuclear project were cited as advanced and cost-effective options.

The commission also endorsed the state’s Tariff Policy, 2016, noting that expansion of existing plants benefits from shared infrastructure and is cheaper than new projects. Nuclear sources, it said, merit “serious consideration” for Rajasthan’s planning horizon.

Stakeholders argue the disconnect lies in distribution. “Instead of pushing another 3,200 MW project, the energy department should strengthen infrastructure so consumers don’t suffer outages,” a stakeholder said.

Another added that the tender route could cost Rs 1.5 to Rs 2 more per unit compared to MoU-based expansions.

RERC’s order also highlighted inconsistencies in filings by Rajasthan Urja Vikas Nigam Ltd (RUVNL), including shifting positions on MoU cancellations and withholding of Cabinet approvals. The commission disallowed reliance on such incomplete submissions.

While surplus capacity is proven, the persistence of power cuts underscores that Rajasthan’s challenge lies not in generation but in delivery, a gap that continues to frustrate consumers despite abundant supply.