To provide relief to the power sector, which is reeling under a fuel crisis, the Planning Commission has circulated a paper on public-private partnership in electricity generation. In the paper, the commission pointed to the problems faced by power producers using domestic, as well as imported fuel. It has suggested bidding be carried out at capacity charge, while the variable charge (which comprises fuel charges) would be passed on to consumers.

Capacity charge is the billed amount that covers the difference between the power a customer expects to be available and the power the customer actually uses.