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Tuesday, 31 July 2012 - Second India blackout in two days cuts power to 670 million |
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See the best of Reuters photography.  See more | Photo caption  Olympic best Our top photos from the London 2012 Olympic Games.  Slideshow  Olympic tattoos Athletes' tattoos are sported during the Games.   Slideshow  Second India blackout in two days cuts power to 670 million Tweet Share this Email Print Related News Second blackout hits wider swathe of India 6:36am EDT Analysis & Opinion Intel Outside: Chipmaker’s VC chief sees opportunity outside the US Thirsty South Asia’s river rifts threaten “water wars” Related Topics World » Related Video Biggest blackout in 10 years hits India Mon, Jul 30 2012 1 of 6. Passengers sit on a platform for their train to arrive as they wait for electricity to be restored at a railway station in New Delhi July 31, 2012. Grid failure hit India for a second day on Tuesday, cutting power to hundreds of millions of people in the populous northern and eastern states including the capital Delhi and major cities such as Kolkata. Credit: Reuters/Adnan Abidi By Frank Jack Daniel NEW DELHI | Tue Jul 31, 2012 9:39am EDT NEW DELHI (Reuters) - Grids supplying electricity to half of India's 1.2 billion people collapsed on Tuesday, trapping coal miners, stranding train travelers and plunging hospitals into darkness in the second major blackout in as many days. Stretching from Assam, near China, to the Himalayas and the northwestern deserts of Rajasthan, the outage was the worst to hit India in more than a decade and embarrassed the government, which has failed to build up enough power capacity to meet soaring demand. "Even before we could figure out the reason for yesterday's failure, we had more grid failures today," said R. N. Nayak, chairman of the state-run Power Grid Corporation. Prime Minister Manmohan Singh has vowed to fast-track stalled power and infrastructure projects as well as introduce free market reforms aimed at reviving India's flagging economy. But he has drawn fire for dragging his feet. By the afternoon rush-hour, only about 40 percent of power was back up. Electricity had not been restored to all of the sweltering capital, New Delhi, and streets were clogged with commuters trying to get home. "It's certainly shameful. Power is a very basic amenity and situations like these should not occur," said Unnayan Amitabh, 19, an intern with HSBC bank in New Delhi, as he was giving up on the underground train system and flagging down an auto-rickshaw to get home. "They talk about big ticket reforms but can't get something as essential as power supply right." Power Minister Sushilkumar Shinde blamed the system collapse on some states drawing more than their share of electricity from the over-burdened grid. Asia's third-largest economy suffers a peak-hour power deficit of about 10 percent, dragging on economic growth. "This is the second day that something like this has happened. I've given instructions that whoever overdraws power will be punished," said Shinde, hours before he was promoted to interior minister in a cabinet reshuffle. More than a dozen states with a population of 670 million people were without power. Two hundred miners were stranded in three deep coal shafts in the state of West Bengal when their electric elevators stopped working. Eastern Coalfields Limited official Niladri Roy said workers at the mines, one of which is 700 meters (3,000 feet) deep, were not in danger and were being taken out. Train stations in Kolkata were swamped and traffic jammed the streets after government offices closed early in the dilapidated coastal city of 5 million people. The power failed in some major city hospitals and office buildings had to fire up diesel generators. By mid-evening, services had been restored on the New Delhi metro system. "PUSHED INTO DARKNESS" On Monday, India was forced to buy extra power from the tiny neighboring kingdom of Bhutan to help it recover from a blackout that hit more than 300,000 million people. Indians took to social networking sites to ridicule the United Progressive Alliance (UPA) government, in part for promoting Shinde despite the power cuts. Narendra Modi, an opposition leader and chief minister in Gujarat, a state that enjoys a surplus of power, was scornful. "With poor economic management UPA has emptied pockets of common man; kept stomachs hungry with inflation & today pushed them into darkness!," he said on his Twitter account. The country's southern and western grids were supplying power to help restore services, officials said. The problem has been made worse by a weak monsoon in agricultural states such as wheat-belt Punjab and Uttar Pradesh in the Ganges plain, which has a larger population than Brazil. With less rain to irrigate crops, more farmers resort to electric pumps to draw water from wells. India's electricity distribution and transmission is mostly state run, with private companies operating in Delhi, Mumbai and Kolkata. Less than a quarter of generation is private nationwide. More than half the country's electricity is generated by coal, with hydro power and nuclear also contributing. Power shortages and a creaky road and rail network have weighed heavily on the country's efforts to industrialize. Grappling with the slowest economic growth in nine years, the government recently scaled back a target to pump $1 trillion into infrastructure over the next five years. Major industries have their own power plants or diesel generators and are shielded from outages. But the inconsistent supply hits investment and disrupts small businesses. High consumption of heavily subsidized diesel by farmers and businesses has fuelled a gaping fiscal deficit that the government has vowed to tackle to restore confidence in the economy. But the poor monsoon means a subsidy cut is politically difficult. On Tuesday, the central bank cut its economic growth outlook for the fiscal year that ends in March to 6.5 percent, from the 7.3 percent assumption made in April, putting its outlook closer to that of many private economists. "This is going to have a substantial adverse impact on the overall economic activity. Power failure for two consecutive days hits sentiment very badly," said N. Bhanumurthy, a senior economist at National Institute of Public Finance and Policy. (Reporting by Delhi Bureau and Sujoy Dhar in Kolkata; Writing by Frank Jack Daniel; Editing by Robert Birsel) World Tweet this Link this Share this Digg this Email Reprints   We welcome comments that advance the story through relevant opinion, anecdotes, links and data. If you see a comment that you believe is irrelevant or inappropriate, you can flag it to our editors by using the report abuse links. Views expressed in the comments do not represent those of Reuters. For more information on our comment policy, see http://blogs.reuters.com/fulldisclosure/2010/09/27/toward-a-more-thoughtful-conversation-on-stories/ Comments (7) tmc wrote:   Edition: U.S. Africa Arabic Argentina Brazil Canada China France Germany India Italy Japan Latin America Mexico Russia Spain United Kingdom Back to top Reuters.com Business Markets World Politics Technology Opinion Money Pictures Videos Site Index Legal Bankruptcy Law California Legal New York Legal Securities Law Support & Contact Support Corrections Connect with Reuters Twitter   Facebook   LinkedIn   RSS   Podcast   Newsletters   Mobile About Privacy Policy Terms of Use AdChoices Copyright Our Flagship financial information platform incorporating Reuters Insider An ultra-low latency infrastructure for electronic trading and data distribution A connected approach to governance, risk and compliance Our next generation legal research platform Our global tax workstation Thomsonreuters.com About Thomson Reuters Investor Relations Careers Contact Us   Thomson Reuters is the world's largest international multimedia news agency, providing investing news, world news, business news, technology news, headline news, small business news, news alerts, personal finance, stock market, and mutual funds information available on Reuters.com, video, mobile, and interactive television platforms. 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