HC to hear Tata Power’s petition
Tata Power will have to wait until Wednesday for any relief against the state government’s decision denying it the 160 MW of electricity that it wants to use for its own consumers instead of supplying to Reliance Infrastructure Limited.mumbai Updated: May 25, 2010 02:10 IST
Tata Power will have to wait until Wednesday for any relief against the state government’s decision denying it the 160 MW of electricity that it wants to use for its own consumers instead of supplying to Reliance Infrastructure Limited.
Tata Power Company (TPC) had filed a petition challenging the state’s decision asking it to continue supplying 360 MW of electricity to Reliance Infrastructure Limited (RInfra) till June end and the refusal of the Maharashtra State Load Dispatch Centre to reschedule 160 MW of 360 MW from May 16.
The petition claims that the government’s decision has resulted in a daily loss of Rs 60 lakh to the company, which will ultimately have to be borne by the consumers of TPC (Distribution).
TPC that had agreed to supply 200 MW to RInfra at regulated rates till June 30 challenged the state directive because the State Load Dispatch Centre has been refusing to release 160 MW daily to TPC’s distribution arm.
The petition seeks to set aside the government’s ‘unreasonable, arbitrary and capricious’ interference and imposition of unauthorised restrictions. The petition has sought an interim order restraining the government from taking further action till a final decision is taken in its writ petition by the court.
On Monday TPC’s counsel Raju Subramaniam mentioned the petition before a vacation bench of Justice S.J. Kathawala and Justice R.G. Ketkar seeking an early hearing.
TPC has made the state government, RInfra, Tata Power Trading Company and Brihanmumbai Electric Supply and Transport undertaking as respondents.
TPC calls the government’s decision as a backdoor move to bring back the license raj with regard to electricity generation.
TPC has sought that the high court set aside a government report issued on May 7 to protect its legal rights over its generation assets.
The government has asked TCP to give RInfra 360 MW daily and has referred the matter to the state regulator that is likely to decide the matter after June 28.
TPC said the government has expressed an opinion with regard to TPC’s generation assets, which are not covered by power purchase agreements with a distribution company in the state.