Energy is an important input for economic development and power sector is an indispensable infrastructure in any economy. Providing adequate and affordable electric power is essential for economic development, human welfare and better standard of living. The demand for power in a developing country like India is enormous and is growing steadily. In spite of massive addition in generation, transmission and distribution capacity over last eleven Five-year plan periods, growth in demand in power has always exceeded the supply capacity augmentation. The growth of the economy and its global competitiveness hinges on the availability of reliable and quality power at competitive rates to all consumers at all places. Power is central to achieving economic, social and environmental objectives of sustainable human development. Development of different sectors of economy is not possible without matching development of the power sector. In fact it has become an essential ingredient for improving the quality of life and its absence is usually associated with poverty and poor quality of life. As power can neither be stored nor imported, investment in new capacity is the only way to augment supply, which is a pre-requisite for sustaining economic growth.