Business
India Faces Huge Power Shortage
By Metal Bulletin 21/7/08
Jul 21, 2008 - 9:36:13 AM

Electricity generated in June was 12% below target at 56,411 million units, while energy growth was 2.34% against the target of 12.19%, according to the quarterly report of Central Electricity Authority (CEA) for April/June 2008.

This is due to a shortage of gas, under-utilisation of coal-based power plants and poor hydro-electricity generation due to a poor monsoon.

Regions facing power cuts include major iron ore producer Karnataka, and coke and manganese alloy producer Maharastra, as well Punjab, Haryana, Andhra Pradesh, Tamil Nadu and Kerala.

More than 2 million tpy out of 16 million tpy of ferro-alloys produced in India depend on electric power from the grid and are facing critical shortages.

India's arc and induction furnace steel units produce mostly long products and alloy steel, which is already in shortage. The power cuts are likely to worsen if the monsoon does not revive.

Source: Ocnus.net 2008