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Additional power purchase: MSEDCL eyes pvt players

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Express news service

Posted: Apr 26, 2008 at 2332 hrs IST

Pune, April 25 Once the power purchase agreement with Tata Power Company (TPC) gets over, the Maharashtra State Electricity Distribution Company Limited (MSEDCL) will have to find new private players for purchasing additional power.

Taking the first step, the MSEDCL invited competitive bids for this future endeavor aimed at keeping Pune free from load-shedding. This long-term arrangement would be applicable for the period of nine months -- from October 2008 to June 2009. Even though the opening of these bids was slated for Friday, the MSEDCL had to postpone it to May 6, since not a single company responded to the tender.

Addressing a press conference here on Friday, MSEDCL executive director Sharad Dabhade said, “Since the tripartite agreement between the MSEDCL, TPC and the Tata Power Trading Company Ltd (TPTCL) would be on till September, we have invited competitive bids from private players for a long-term power purchase agreement for further period till June 2009.”

When contacted, G S Trimukhi, senior official of power purchase department of MSEDCL said, “This additional power purchase agreement is not only for Pune, but also for Thane, Mulund and Bhandup. We had floated tenders on April 18 and were about to open the bids on Friday. But since we did not receive any bid, we have postponed it till May 6.”

Talking to reporters after the public hearing in Pune at Council Hall on reliability charge, chairman of the Maharashtra Electricity Regulatory Commission Dr Pramod Deo said that the support of the captive power plant (CPP) for the city should be utilised whenever necessary round the year.

Meanwhile, organisations and activists have opposed the MSEDCL proposal to hike the reliability charges to 85 paise per unit from the earlier 42 paise per unit, which was the arrangement till the CPP, led by the Confederation of Indian Industry (CII), was in operation in the city. But now, with the tri-party agreement signed by MSEDCL, TPC and TPTCL up to September 2008, the MSEDCL sought to hike it to 85 paise per unit. TPC became an interim franchisee of MSEDCL to secure 100 MW power round the clock from April 4 till September end.

Opposing the hike, Shantanu Dixit of Prayas Energy Group said, “Indicating a hike in price is a failure on the part of MSEDCL. The peak and non-peak schedule should now be ascertained and the Tata power, which is excessive, should be sold outside. This way Rs 7 crores would be saved.”

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