Power government initiatives

Early Completion and Commissioning of New Units

  • The State would provide returns to independent power producers within the ambit of Government of India guidelines.
  • Selection of IPPs will follow competitive and transparent route. Power so produced by IPPs will be purchased at levelised tariff at the bus-bar.
  • With the entry of private sector as independent power producers, there will be a need to connect them to the State Grid and synchronise their power plants most efficiently

Setting up of Small Power Plants

  • In order to provide quick capacity addition to meet the minimum needs of the State Grid it is proposed to build a number of Mini & Micro Hydel Projects.
  • Gujarat offers site advantage for port-based liquid fuel power plants both large and small.
  • Other multiple advantages such as low capital cost, reasonable operating cost, short gestation period, reduction in T & D loss and generation of employment in rural areas.

Renovation, Modernisation and Management of Existing Power Plants

  • The State proposed for the renovation and modernisation of the existing plants.
  • Expansion projects in existing power stations to bring down costs.
  • Long term Service & Spare Agreements.

Captive Generation

  • Private industries including EOU's will be permitted to go for captive generation upto 60 MW without any restriction. For higher captive capacity decision will be taken by the State Government on a case to case basis.
  • The State will encourage the industries to generate steam through co-generation. There will be no cap on the quantum of co-generation that can be done by industry.
  • GUVNL will consider purchase of surplus power from captive units on mutually agreed terms covering price, timing, quantum and the period of purchase of power.

Non-Conventional Sources of Energy

  • The State shall endeavour to get the maximum benefit out of the non-conventional and renewable sources of energy which are clean and eco-friendly.
  • It is proposed to encourage setting up of suitable solar power stations in North Gujarat and Kutch/Saurashtra.
  • State will provide suitable policy guidelines to generate power from bagasse/paddy husk/biomass/agricultural waste.


  • GETCO will accord high investments in the transmission sector. This will be done by availing funds from international and national funding agencies and other institutional sources.
  • GETCO will allow private sector units to set up transmission lines and equipment for or on behalf of GUVNL.