BENGALURU: Chief Minister Siddaramaiah allocated Rs 23,159 crore to the energy sector, which is 6% of the total budget allocation.
Last year, Siddaramaiah had allocated Rs 22,773 crore, or 7% of the total budget allocation, to the sector. His predecessor, BJP leader Basavaraj Bommai, had allocated Rs 14,388 crore in the state budget.
Siddaramaiah also announced several long-term initiatives, including increasing the installed power generation capacity from 32,000MW to 60,000MW in next seven years.
Taking forward the central government plan for green hydrogen, Siddaramaiah announced that the state government will create a dedicated green hydrogen policy, and a self sustained green hydrogen plant on a pilot basis at the cost of Rs 10 crore. An ultra high voltage transmission line of 765 KV will be set up for renewable energy.
To strengthen power supply to rural areas and farmers, the CM said micro-grid solar units of 500KW battery storage capacity will be set up in each backward district. Also 2,500 more electric vehicle charging stations will come up under the PPP model across the state. Further, 100 charging stations will be set up by Escoms at a cost of Rs 35 crore.
As the CM made a special mention for beneficiaries of the Gruha Jyothi scheme, experts said it will burden consumers who are paying the electricity bills.
Energy expert MG Prabhakar said, “The Karnataka Electricity Regulatory Commission had stated that the subsidy requirement was Rs 27,340 crore. But in the budget, the subsidy allocated is Rs 23,159 crore. To meet the deficit, the industry and consumers will be burdened.”
He also cautioned that matters will only get worse if the drought continues.