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MAY 30 2016

Power from Bawana to be sold to other States

  • Economic Times, ET Bureau / Hyderabad
  • Created: Mon 30th MAY 2016

With Delhi having a surplus of power, the government has now decided to sell electricity generated by gas-based Bawana power station to other States. The plan, once in place, will help reduce power tariffs in the Capital as distribution companies could save up to Rs 300 crore.

 After repeated pleas by the discoms that they have to pay 100 per cent fixed costs for the under-performing Bawana plant, the Delhi government had convened a meeting on May 13 to resolve the matter.

 Bihar interested

 According to power department officials, Bihar has already expressed interest in procuring all of the 250 MW of electricity generated by the 1,500 MW Bawana plant.

 “Since Pragati Power Corporation Limited (PPCL) has the option of sourcing gas and generating power at approximate Rs. 3 per unit, PPCL can explore reallocation of at least one block (comprising of 2 GTS and one STG) to the other States through GNCTD and MoP. On their part, they contacted Bihar discoms for the same and they have shown willingness to procuring some quantum of power for next one year,” read the minutes of the meeting, a copy of which is with The Hindu .

 In the meeting, Principal Secretary (power) Sukesh Jain mentioned that instead of relying on Power Purchase Agreements (PPAs) with Delhi discoms alone, PPCL should at the earliest explore the possibility of selling their power to other States so that the burden of fixed costs does not pass on to the Delhi consumers.

Tags

Delhi Bihar Distribution Companies Gas Ministry of Power Delhi government Power Electricity

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