WRAPUP 2-Weak Indian monsoon threatens farms, power supply

* Hydropower plants at 40 percent of capacity on weak rains

* Gov't says guarantees power supplies to top grain states

* Could see record oilseed imports this year - industry body

* 11 dead in Orissa state, Mumbai transit hobbled (Adds deaths, Mumbai in paras 7-9)

By Himangshu Watts

NEW DELHI, July 14 (Reuters) - India is scrambling to divert power supplies to the countryside to irrigate rice and oilseed crops and limit damage after the worst start to the vital monsoon season in eight decades has raised fears of a drought.

The shift threatens to worsen the summer power deficit that has plagued India for decades, particularly with the country's hydropower plants running below 40 percent of capacity as scanty rains have depleted reservoirs.

Power Minister Sushil Kumar Shinde is worried about the shortfall in monsoon rains as hydropower accounts for one quarter of India's total power generation of 149,400 megawatts.

He said the government had ensured a higher supply of electricity to Punjab and Haryana states, the key grain producing regions, to help irrigation.