“Prime Minister Manmohan Singh is seeking to secure $400 billion of investment in the power industry in the next five years as he targets an additional 76,000 megawatts in generation by 2017. India has missed every annual target to add electricity production capacity since 1951.
Why does anyone think that $400 billion will make any difference. My tongue-in-cheek title not-withstanding, the 15 hour long collapse of the power grid in India in the middle of a heat wave is a symptom of what is wrong with India: short-termism. From politicians to business elite to bureaucrats to other parts of society – no one wants to think about the bigger picture because it doesn’t win elections, doesn’t fill the bank accounts or simply hang-on to the job.