Power tariffs are bound to change

Power tariffs are bound to change.

The energy sector is being buffeted by powerful forces that it had not anticipated a few years ago.

It seemed to be the most lucrative business to get into.But domestic coal availability on the one hand, and a sudden surge in the pricing of imported coal on the other, have both compelled the industry to ask for a revision in tariffs.


At the same time, agricultural subsidies threaten to make industrial tariffs unsustainable. At stake is the entire financial viability of the power sector, and even the Indian economy.


At the same time, other power players want state governments to allow them to distribute power in specific regions as parallel licensees in addition to the existing player.

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