I am afraid this picture is far from accurate.
Power plants on the whole are running at a very low PLF for some time. Very cheap power is available in the short term markets[1].
The transmission system has also improved in the last two years and now prices are more or less uniform across the country[1].
Last mile distribution infrastructure is still a WIP in many places but the real problem is financial. Many distribution companies are owned by state govts. and unable to charge/recover for the electricity they distribute. This incentivizes them to procure/supply as little power as possible.
Many states have now opted for a financial restructuring [2] and I expect demand will pick up sharply.
I can distinctly remember the air quality in Delhi improving drastically when the public transportation moved to CNG and the metro started operating in the early 00s. Over time though, the policy of building more roads rather than focussing on public transport has led to both congestion and pollution problems worsening.
I am optimistic that once the peripheral highways are completed and metro phase 3 is operational, air quality will improve.
It has an excellent account of how manufacturing (supported by heavy protectionism from the state) was a crucial component of the Asian miracle in nearly all countries. IMO India really needs to go through a round of manufacturing expansion, preferably in the high-tech sectors.
On the contrary, my guess would be that this decision was taken at the highest political levels, and I applaud this decision. I read that the govt. set up a small committee of bureaucrats which recommended a waiver and I was hoping for this outcome.
This would hopefully incentivise Apple to move at-least some of their assembly to Foxconn India. We need all the jobs and economic activity we can get.
Last mile distribution infrastructure is still a WIP in many places but the real problem is financial. Many distribution companies are owned by state govts. and unable to charge/recover for the electricity they distribute. This incentivizes them to procure/supply as little power as possible. Many states have now opted for a financial restructuring [2] and I expect demand will pick up sharply.
[1] http://www.vidyutpravah.in/ [2] https://en.wikipedia.org/wiki/Ujwal_DISCOM_Assurance_Yojana