2.1 Energy as a Commercial Entity
41
4. Determine the nature of the machinery which will be necessary for securing the
successful implementation of each stage of the plan.
5. Appraise from time to time the progress achieved in the execution of each stage
of the plan and recommend the adjustments of policy and measures that are
necessary.
6. Make such interim or ancillary recommendations as appropriate either for
facilitating the discharge of the duties assigned to it.
In the initial plans prepared by the planning commission, the word ‘power’ was
used instead of ‘energy’ and since power was indispensable for agriculture, the
power sector was dovetailed with irrigation sector and emphasis was laid on creation
of multipurpose hydropower projects with the objectives of electricity generation as
well as irrigation and flood control. This was subsequently changed, and a standalone
component of power/energy was introduced.
For the sake of readers convenience and the fact that exhaustive details of progression of power/energy sector is beyond the scope of this book, the rest of this chapter
examines the growth of energy sector in India in three segments:
Part I—The initial phase.
Part II—The nuclear energy phase.
Part III—The dawn of renewable energy.
2.2 Part I (The Initial Phase—Coal, Oil, and Water)
2.2.1 The First and Second Five-Year Plans (1951–1956
and 1956–1961)
2.2.1.1 Highlights
(a) Average per capita power consumption was 14 kilowatt-hour/person/year.
(b) Consumption of electricity for agricultural purposes was extremely low before
the plan (ranging from 64 million kilowatts in 1939 to 150 million kilowatts in
1949).
(c) Emphasis on improving food production through improved irrigation.
(d) Development of hydroelectric and coal-based thermal power plants dominated
the scene.
(e) Diesel-based thermal power plants were also encouraged.
(f) Irrigated area increased by 16 million acres (from 51 to 67 million acres).
(g) Power consumption increased to 25 kilowatt-hour/person/year at the end of first
plan.
(h) Both public and private sectors played important role in power generation.
India, at the time of independence, was an underdeveloped country with more than
two-thirds of population engaged in low-productivity agriculture, chronic underemployment, diminishing land holdings, decaying cottage, and small-scale industry.
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