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India lost 4% of GDP from power distortions in 2016: World Bank

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New Delhi, Dec 19 (IANS) India lost a staggering $86.1 billion, equivalent to over 4 per cent of its GDP, owing to distortions in the power sector in 2016, says a World Bank report released on Wednesday.

The report tiltled ‘In the Dark: How much do power sector distortions cost South Asia?’ prepared by World Bank Senior Economist Fan Zhang, also says that although India has achieved 100 per cent village elctrification earlier this year, 178 million Indians still remain unconnected to the grid as per figures for 2017.

“India achieved 100 per cent village electrification in 2018. But at the household level, its rural access rate, at 81 per cent in 2017, is still the third-lowest in South Asia,” the report said.

It estimates the downstream impact of power shortages on rural households and firms at 1.42 per cent of the Gross Domestic Product (GDP) per year and the second largest economic cost for the country.

It said the government should look to ensure steady power supply to households for its electrification programme to be truly successful.

Although the power deficit in the country has been substantially reduced over the last few years, the reliability of electricity is still low compared with global standards.

Te 2018 Global Competitiveness Report ranks India 80th among 137 countries in the reliability of electricity supply.

Using nightly satellite images from India for 2013, the World Bank study found that areas adjacent to newly electrified villages subsequently experienced worse power outages.

Among the major distortions in the sector, according to the report, is the lack of commercial mining in coal, a near monopoly on which is enjoyed by state-run Coal India, and which fuels over 70 per cent of the country’s power generation. It said the lack of competition has bred major inefficiency in India’s coal mining.

The cross-subsidisation of fares in the railways whereby freight costs in India are among the highest globally leads to transport bottlenecks affecting the power sector, the report said.

Using microeconomic data from utilities, households and firms, the report quantifies the cost of each type of distortion in the power supply chain.

“The results show that the overall economic cost of distortions – ranging from 4 to 7 per cent of GDP – is far greater than previously thought on the basis of analysis considering only the fiscal implications of distortion,” it added.

–IANS
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Dr. Abhishek Verma Dedicates a Shelter in Memory of His Mother, Veena Verma, at KGMU; Inaugurated by Daughter Nicolle Verma

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World-renowned business tycoon Dr. Abhishek Verma has supported Foodman Vishal Singh’s Hunger-Free World mission. In memory of his mother, Late Veena Verma, who was a 3 term Rajya Sabha MP.

Dr. Verma dedicated a state-of-the-art free permanent shelter for the attendants of patients at KGMU Medical University, Lucknow, under the aegis of Vijay Shree Foundation. His daughter, Nicolle Verma, inaugurated the shelter.

During the event, Foodman Vishal Singh honored Nicolle Verma by presenting her with a memento. Mrs. Nidhi Sharma and Avantika Yadav, associated with the organization, welcomed her with garlands. Following this, Nicolle Verma distributed essential items to the attendants and also handed out fruits. She became emotional remembering her grandmother on her birth anniversary.

On this occasion, she also inaugurated the “Veena Verma Sevalaya” in memory of her grandmother, Veena Verma, to serve the attendants. She expressed, “I feel proud that my family is engaged in nation-building as well as social service. Today, in collaboration with Vijay Shree Foundation founder Foodman Vishal Singh Ji, I feel immensely proud to dedicate this shelter for the poor, helpless, and needy attendants of patients battling serious illnesses like cancer. I am honored to be associated with the Hunger-Free World Mission for humanity.”

Inspired by the continuous humanitarian service provided by Vijay Shree Foundation over the past 17 years, Nicolle Verma donated 10 lakh rupees to support the cause. The purpose of this donation is to ensure that services continue for the needy attendants of patients suffering from severe illnesses in hospitals, as facilitated by Foodman Vishal Singh.

It is noteworthy that Dr. Abhishek Verma’s family has a legacy of public and philanthropic service. They are helping millions to carry forward the values and service work of their parents. On the occasion of his mother’s birth anniversary, Dr. Abhishek Verma dedicated this state-of-the-art permanent shelter at Lucknow Medical College to serve the attendants of patients through the Vijay Shree Foundation.

Supporting Foodman Vishal Singh’s Hunger-Free World mission, Dr. Abhishek Verma assured that he would continually support keeping this flame of humanity alive. He also promised to assist in providing medicines to the helpless patients.

Continuing her grandmother’s legacy of service, Nicolle Verma personally served food to the needy patients and attendants. She said, “It is our good fortune to have received the joy of doing this noble work today through Foodman Vishal Singh. I have taken another step forward in carrying my family’s values and cooperation by joining hands with the Vijay Shree Foundation. My father taught me to serve and help the needy, and I feel happy when I bring a smile to someone’s face.”

On the birth anniversary of the late Veena Verma, the event organizer, Vijay Shree Foundation founder Foodman Vishal Singh, said, “We feel proud and happy that Dr. Abhishek Verma, a globally renowned business tycoon, has extended his support to uplift our country from the hunger index. Today, on his mother’s birth anniversary, he inaugurated a state-of-the-art permanent shelter at Lucknow Medical College, which will always be helpful for the needy attendants of patients. It is a pleasure for me and the organization to receive the affection of Mr. Verma.”

The event was attended by General Manager Verma Family Office Hemant Garg, Sonu Rajput, and the organization’s volunteers, including Sandeep Singh, Parmeshwar Ji, Prashant Rao Gautam, Balram Singh, Ramesh Chaudhary, Suman, Jeetu, Anil, Suraj, Vinay, Manish Bhadauria, Manas Mehrotra, Vivek, Apurv, Happy, and others.

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