Energetica India Magazine January-February 2021

BUDGET Anil Chaudhry CEO, Schneider Electric India Mahesh Palashikar President & CEO, GE- South Asia generation and distribution more efficient and cost effective. Another positive is the allo - cation for National Research Foundation aimed at promoting local innovation. Overall the Budget has provided a strong foundation for long-term sustained economic recovery.” Dinesh Patidar, Chairman & Managing Director, Shakti Pumps India Ltd “In this budget visionary approach has been adopted, health services have been given more emphasis keeping in mind the circumstances arising out of pandemic like COVID-19. The basic need of almost all sectors has been taken into consideration. Emphasis has been laid on making the complex taxation process easier and simpler. Steel and copper prices which are going up unnecessarily, to curb on it Custom Duty has been reduced by 2.5% and 20% Custom Duty has been imposed on solar inverter, realizing the dream of Make in India along with making Indian power electronics units self-sufficient is a welcome step. This time most of the focus is on the formation of a regulatory institution, So that the functioning of those organizations can be made smoother. Financial assistance given to financial institutions has made to make contribution more supportive in development. One expected & necessary thing in budget, change in taxation for middle class is missing. Going forward we expect more reforms in GST through mini budgets. Overall, this budget will prove beneficial for the improvement of the far-reaching economy.” Kush S, CEO, Essar Power “In a highly anticipated move our Honourable FM announced a Rs 3,05,984 crore scheme to reform the power distribution sector in the country. T&D losses have plagued the Power sector for a number of years and this scheme will surely help reduce losses and improve efficiency of electricity distribution companies (discoms). The proposed amendments and Electricity (Amendment) Bill, 2021 with measures such as ‘de-licensing’ of the power dis - tribution business to bring in competition is a very consumer centric move which aims at creating a level playing field for all distribution companies. The Rs 1,000 crore grant for the growth of the Solar Energy sector and Rs 1,500 crore to the Renewable Energy sector is also a welcome move and will help the country in achieving the ambitious target of 175 GW of renewable energy capacity by the year 2022. These measures and reforms will definitely help improve the health of the sector and enhance growth in the coming few years.” Jaideep Mukherji, Chief Executive Officer, Smart Power India “The budgetary allocation of Rs 3.05 lakh crore for the power sector, in principle, is expected to help the sector upgrade its infrastructure and address the challenges, especially at the distribution level. The proposal to create a framework for the distribution space, once implemented, will promote healthy competition among DISCOMs and help the consumers have access to multiple service providers to choose from with an improved focus on traditionally weak areas such as metering, billing, collection, and grievance redressal. In short, the financial outlay of Rs 3.05 lakh crore and the proposed framework may likely enhance access to the reliable power supply and spur economic activities in underserved rural communities in India.” Ashvin Patil, Director and Founder, Biofuels Junction Pvt Ltd “The allocation to the clean energy sector is a big support to the solar energy sector, which shows that the government clearly intends to promote the clean energy sector. The rural devel- opment infra fund where the allocation is up by 34% supports the biofuel industry which typically originates from agriculture waste and also provides good incentives to the cotton farmers. There is also an ease of doing business where tax audit has been raised to Rs 10 crore which will definitely support the small entrepreneurs where the compliance will be much lower. Lastly, the Agri infra development sales, which is levied on petroleum, diesel and coal making them more expensive than biofuels thus making it beneficial for the sector. I think overall it’s a good budget and we look forward to its implementation.” N Venu, Managing Director - Hitachi ABB Power Grids in India “The Union Budget 2022 covered areas that will have a mul- tiplier effect and create long-term opportunities for India and India Inc. As a player in the power industry, we appreciate the focus on capital expenditure, education and research, and bank recapitalization. The announcement to expand the national infrastructure pipeline as well as reinvigorate the textile sector through textile parks will 28 energetica INDIA- Jan-Feb_2021