Top power ministry officials told The Financial Express that in order to generate interest of the international investors community, the World Bank has agreed to convene a global conference on `India's power sector' where senior government functionaries like Finance Minister Yashwant Sinha, power minister Suresh Prabhu, besides, the chief ministers of states like Andhra Pradesh, Haryana, Rajasthan, Uttar Pradesh and Orissa would assemble.

A similar conference under the aegis of the Bank was convened in the past on infrastructure in Paris. It was attended by senior officials and ministers from India.

These issues were discussed at a recent meeting between the country director of the World Bank Edwin Lim and the Union power minister Suresh Prabhu. Officials said that the Bank has also agreed to make available a structural adjustment loan component of around $200 million for Andhra Pradesh, for helping the poorer sections in the state get over the pains of reform.

"Mr Lim has also indicated that the Bank would be willing to open a dialogue again with Maharashtra for further assistance. Power ministry has also sought the Bank's assistance to push reforms in Uttar Pradesh, which has received little assistance," officials said.

Moreover, as per officials, the Bank and the power ministry have also decided to closely monitor the progress of reforms. In order to co-ordinate and report the problems related with World Bank funded project, besides other related issues, nodal officials from both sides have been appointed and they will submit weekly reports.

"Besides organisations like World Bank and IFC, we are also trying to getmore support for the country's power sector, especially, for states who have initiated reforms from organisations like the Department of International Development of the UK," officials said.

This is because some states have indicated to the nodal ministry that there is a need for financial assistance to meet the revenue gap during the reform period, rather than investment financing. Officials said the international funding institutions should explore the possibility of structural adjustment type of financial assistance for the power sector in the reforming states. Support to the tune of $200 million as indicated by the Bank's country director for the state of Andhra Pradesh is one such example, officials added.

Other issues discussed between Mr Prabhu and Mr Lim related with the Bank's support for Powergrid's pending PSDP-II loan, for which the negotiations were completed way back in 1998. This loan has not become effective till date.