Development and project financing of private power projects in developing countries: a case study of India

摘要

The power sector development is crucial to sustain the faster economic growth of the Asian region. This article analyses the critical issues involved in the development an project financing of the Independent Power projects in India. The issues examined are related to policy, power purchase, risk factors, financing, fuel supply and transportation an key success factors. This study presents a brief profile of the power sector in India and a case study of the Dabhol power project, the first IPP being developed by foreign investor, Enron Development Corporation (EDC). The conclusions have been drawn in the end of this article.