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Web Exclusive | June 2013

MSEDCL raises share of pvt sector power

Maharashtra state power distribution company MSEDCL is increasing the share of electricity purchased from the private sector.

MSEDCL did not buy a single unit from private sector until five years ago. Later, the company started buying power from private players owing to power shortages. MSEDCL first started getting private sector power on long term basis from second half of 2010.

In recent times, the distribution utility has been procuring about 20 percent power from private companies. MSEDCL purchased about 102 million units (MU) from Mahagenco, 109 MU from central sector plants and 62 MU from private plants on June 7. Private sector's share was 22.7 percent. Some days ago, when Mahagenco's hydel generation was at its peak, the figure was 19.6 percent.

If the Machchhakatta mine of Mahagenco does not become operational, Mahagenco may increase the share of private sector power purchase in the coming years, reports suggest. Private power plants - big and small - are more than eager to sell power to Mahagenco. Other states don't have money to buy their power, asource from the company is quoted as saying in a media.

The rates of most private suppliers' are comparable with government sector plants - Mahagenco and NTPC. Power from Adani's Tiroda plant costs 2.55 per unit while that of JSW's Jaigad plant is Rs 3.54 a unit.

Meanwhile, it is learnt that Adani's Tiroda plant has a generation capacity of 1,980 mw but is able to supply only around 900 mw as the new transmission corridor is not ready. Some private plants are behind schedule just like government ones, reports indicate.

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