Cost-effectiveness of alternative investment strategies for the power sector in India: A retrospective account of the period 1997–2002

The Politics of Marketising Asia

“…In reality, they acted as quasi-government administrative bodies that were indifferent to economic incentives, cost recovery, or issues of technological innovation and efficiency gains (Ruet 2005(Ruet , 2006. Indeed, the structures such organisational design set in place created perverse incentives.…”

“…This, in turn, had knock on consequences and denuded revenues that would otherwise have been set aside for re-investment and capacity enhancement in the sector. Perhaps most disappointing of all, however, was the fact that the OERC found itself unable to change political subsidisation in the sector, setting in place tariff structures that once again resulted in financial losses (Thillai 2003;Ruet 2006;Kundu and Mishra 2011).…”