May power output jumps 10.45% YoY: Govt

India's power output rose an annual 10.45% in May, the first double digit growth in almost two years, due to better coal availability and as the country built more power plants to help bridge a shortfall, government data showed.

India, the world's second fastest growing major economy, added about 9.2% to capacity a year to April 2011 to 174.36 gigawatts(GWs). The last time India notched double-digit growth in power generation was in August 2009 when electricity output grew an annual 10.17%.

Electricity generation last month was 75.10 billion kilowatt hours (kwh) versus 68.00 billion kwh in May 2010, the Central Electricity Authority (CEA) said in a statement posted on its website.

In April, India's electricity generation rose an annual 6.78% to 71.66 billion kwh.

India needs to significantly raise its power generation capacity to reduce peak hour power shortages and provide electricity to millions of rural households.

But the Asian nation will miss its target to add 62 GWs of capacity over a five-year period ending March 2012.

Thermal electricity, which accounts for about two-thirds of India's power generation and includes using coal, gas and liquid fuel, grew an annual 7.42% in May, when coal-fired power generation rose by 11.40% from a year ago.

In May 26 stations had coal stocks of less than 7 days compared to 28 in April. Gas-based generation declined 9.23% in May due to low availability of fuel.