India calls for synergy through energy

Kathmandu, Sept 23 (ANI): Union Minister of State for Commerce and Power Jairam Ramesh has called for the creation of a new architecture of bilateral cooperation whose distinctiveness would be synergy through energy.

Addressing the Power Summit 2008 here today, he said that trade in electricity will bring considerable financial benefits to India's neighbours.

Referring to the Nepal Prime Minister Prachanda's recent visit to India during which he unveiled his vision of Nepal developing 10,000 Mw of its hydel power potential over the next ten years, her pointed out that there will be need for new markets to be developed for the export of the power generated and clearly India is one such market.

He said that Nepal's electricity potential could also be used to attract Indian investments in electricity-intensive industries, exports of which to India could help bridge the trade deficit that Nepal has been concerned in relation to India.

Ramesh further said that hydel projects involving Indian companies make up a total of around 1700 mw which is a substantial quantum to give concrete shape to the perspective put forward by Prachanda.

Elaborating on how India is helping develop the hydel resources in the region the Ramesh said that Bhutan and India are now working together to develop 10,000 Mw of capacity in Bhutan by 2020 for sale of electricity to India.

"India has just signed a MOU with Myanmar for developing hydel projects in the Chindwin Basin, of which the most immediate is the 1200 mw Tamanthi project. To complete this regional round-up, India is working with Sri Lanka on grid interconnection and to set up a 500 mw thermal plant in Trincomallee," he added

Ramesh said that for India, electricity imports (and exports) are an important instrument of regional integration, an essential adjunct to trade in goods, services and investment.

The Summit has been organized jointly by Independent Power Producers' Association, Nepal (IPPAN), PTC India Ltd. (PTC), and Nepal India Chamber of Commerce and Industry (NICCI) and has support of GMR Group, IIDC, Suzlon, Athena Energy Ventures Ltd., AES, Jindal Steel and Power Limited from India and SN Power and Butwal Power Company from Nepal. (ANI)