Power minister PR Kumaramangalam told The Financial Express that even the project promoters had communicated their reluctance in making fresh investments as they were concerned about the fate of the projects if the new government decides to change the policies.

Though the policy decision on the mega power projects has been taken, its implementation may require additional notification and clearances from the power ministry. These decisions cannot be taken by a caretaker government, the minister said.

For example, mega power projects require setting up of shell companies which may need some approvals from the ministry. "We cannot take such decisions as these are deemed as policy decision", he said.

These projects were to be selected through the tariff-based bidding process.Several clarifications were being sought by investors but now the matter has to be referred to the Cabinet, he said. The ministry has, however, called the pre-bid conference in the middle of next month, he added.

The Bharatiya Janata Party government had announced an ambitious plan to add over 18,000 mw through new mega power projects to be set up by the state-owned power utilities and private companies.

These include the Kahalgaon Stage II (1500mw) North Karanpura STPP (2000 mw) Barth Stpp (2000 mw), Maithon (1000 mw) and Cheyyur (1500 mw) to be set up by the National Thermal Power Corporation (NTPC) and Damodar Valley Corporation (DVC).

Apart from these, NTPC was also to expand the capacity of its four gas-based plants, including Anta, Auriya, Kawas and Gandhar by 1300 mw each under the mega power policy norms.

There are also some hydro power projects, including Koel-Karo (710 mw) Chamera-II (300 mw), Teesta-V (510 mw) Koldam (800 mw) and Parvati (800 mw). These projects are to be developed by theNational Hydro-Electric Power Corporation.

Apart from these, several projects were to be set up by the private sector, These include Hirma (6x660 mw) project in Orissa, Cuddalore (1000 mw), Krishnapattanam (1500 mw) Pipavav (2000 mw) and Narmada (1000 mw).

While the private sector projects will not get the go ahead from the government, Kumaramangalam expects that some of the public sector projects can still be negotiated under the present restricted powers.