High demand and less-than expected capacity addition for power, pushed the deficit for April-October 2007 to a 10-year high of 14.6%, reports Business Standard.

Shortage of manpower and equipment is the main reason for low capacity addition in power.

It is learnt that, the capacity addition of 3,765 MW in the first seven months of the financial year is just 32% of the target.

Sources say that with just 32% achievement in target, power capacity addition for the year 2007 is scaled down from 17,000 MW to 12,000 MW. For this year, it is expected that additional capacity will be not more than 10,000 MW.

As against rise in deficit in the power sector, power generation in this sector increased 4.6%. In the month of September, 53,963 million units (MUs) of power was generated, as against 56,547 MUs in the month of October. The overall power supply position (non-peak power) also improved to 7.3%.

Region-wise, western India, which has industrialized states like Maharashtra and Gujarat, continued to reel under peak power and energy shortage. While the peak shortage in the region was 26.6% in October 2007, the energy shortage was 15%.

Maharashtra had a peak deficit of 26.8% and energy shortage of 19%. In the northern region, Uttar Pradesh was one of the worst performers with an energy shortage of 14% and a peak deficit of over 18%.

It is learnt that acute shortage of vendors for balance-of-plant equipment is also delaying the commissioning of plants.