CII is yet to tender a formal proposal to Maharashtra Electricity Regulatory Commission (MERC), which it will do by January end and if everything goes well, the new model might become a part of Pune electricity scenario from April, said Rahul Kirloskar, Chairman and Pradeep Bhargava, Vice Chairman of CII-Maharashtra State Council while briefing reporters here on Wednesday.

This new proposal has come up after the captive power project (CPP) drew flak saying it was unable to bridge power shortage in Pune and almost 70 per cent power had to be purchased from other states.

“The Pune CPP has always been like a stop-gap arrangement. The idea of CPP was conceived two years back and was meant to bridge the demand-supply gap considering the power shortage faced at that point of time. The mushrooming multiplexes and malls, and rising dependence on the electronic gadgets has seen the power demand rising. Also, no additional industrial generator sets are coming up within the city limits. Until last year, there was a shortage of 310 million units of power in Pune and this year, it is projected to be 350 million units,” said Bhargava.

Since the demand for power has gone up by 12-14 per cent, it was difficult to sustain the CPP and the CII has been holding talks with the MERC and MSEDCL to see how the model could be sustained and continued for another few years.

“Our new submission to the regulatory body is that a few CPP companies will directly purchase one million units of power every day from outside sources. As per the provisions in the Electricity Act, 2003 power trading has become a legitimate activity. A power trading company will purchase power from other states and then give it to the CII participating companies who will then provide it to the grid,” he said.

The proposal to that effect is yet to be forwarded to the regulatory body though.

“It would be tendered by January end, following which, the MERC might hold a public hearing and if the proposal gets the nod, it will become a reality most probably from the month of April,” Kirloskar said.