India currently has sufficient electricity but the distribution system remains broken.
> why isn't the market for electricity working in India?
Electricity in India is a government monopoly. Even using a generator is illegal if you produce electricity above certain level. In very few cities government has allowed private players like Tata and Reliance to produce electricity and yet given them a complete monopoly over certain parts of the city.
Land acquisition in India is a big mess. People dont have proper property rights, clear land titles etc. It is illegal for a private company to buy land for commercial purposes if the land is not under particular zone. For example let us say I want to build my own power-lines over 100miles. I cant erect a pole in a farmland because erecting a poll is a commercial activity and the land is meant for farming only.
So the companies have to ask government to acquire land. It is a huge corrupt mess.
> why isn't the market for electricity working in India?
Electricity in India is a government monopoly. Even using a generator is illegal if you produce electricity above certain level. In very few cities government has allowed private players like Tata and Reliance to produce electricity and yet given them a complete monopoly over certain parts of the city.
Land acquisition in India is a big mess. People dont have proper property rights, clear land titles etc. It is illegal for a private company to buy land for commercial purposes if the land is not under particular zone. For example let us say I want to build my own power-lines over 100miles. I cant erect a pole in a farmland because erecting a poll is a commercial activity and the land is meant for farming only.
So the companies have to ask government to acquire land. It is a huge corrupt mess.