Tata to continue to supply some power to RInfra | mumbai | Hindustan Times
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Tata to continue to supply some power to RInfra

mumbai Updated: Apr 30, 2010 01:38 IST
HT Correspondent
HT Correspondent
Hindustan Times
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Suburban power consumers will continue to get uninterrupted power at no extra cost for now. The state has decided to tell Tata Power Company (TPC) to continue supplying inexpensive electricity to Reliance Infrastructure (RInfra).

A Mantralaya official said TPC will not supply 500 mega watts (MW) as demanded by RInfra. “TPC will continue to supply 100 MW to the Brihanmumbai Electric Supply and Transport (BEST) undertaking and would also give more than 170 MW to its distribution arm, which has expanded its retail base,” said the official requesting anonymity.

This means RInfra will have to buy extra power to mitigate the gap of about 250 MW. This may not impact electricity bills immediately, the official said. “RInfra consumers will have to pay extra when TPC increases supply to its own distribution company in the coming years,” the official said.

BEST consumers in the island city will also get relief because their company, which doesn’t have its own generation facility, will not need to buy extra power. It will get 100MW from TPC.

A high-powered committee of bureaucrats decided this and submitted its recommendations to Chief Secretary, J P Dange, on Wedneday night.

Dange will submit the report to the chief minister on Friday when the decision is likely to be announced. The official said that the committee restrained from enforcing the Electricity Act, 2003, because TPC and BEST would have gone to court against the decision. The Centre had, on Wednesday, told states to avoid using the Act to compel generation companies to sell power to particular parties. Hindustan Times had reported this on Thursday.

The government had set up the committee after RInfra and TPC intensified the battle for extra power.