DERC issues notice to discoms, special hearing to be held today
6 Feb 2014 5:54 AM IST
In the notices, Delhi Electricity Regulatory Commission (DERC) directed BSES Rajdhani Power Ltd and BSES Yamuna Power Ltd to present their case before it on Thursday at a special hearing.
‘We have served notices on the BSES discoms to explain their position on the issue in the wake of the government recommendation,’ DERC chairman PD Sudhakar said.
On Monday, Delhi government had recommended to the DERC to revoke the licenses of BSES discoms if they resort to long outages in areas of their operation citing fund crunch to arrange power.
Taking a strong position against the discoms, the government has said that it was ready to take over power distribution in the city to control the ‘ugly situation’.
Warning of a cut in power supplies in the city, state-owned NTPC said BSES discoms have a history of payment defaults and their electricity supply would be curtailed if they fail to pay their dues by Monday.
BSES discoms, which supply power in nearly 70 per cent areas in the city, had informed government that they did not have money to buy power and the city may reel under long outages if funds are not provided to them.
Meanwhile, BSES Rajdhani Power Ltd (BRPL) on Wednesday said it has no outstandings to NTPC. In a notice to BRPL, NTPC had said the company has not been able to renew letter of credit for payment security mechanism as per provision in the power purchase agreement.
The BRPL appealed to NTPC to allow reinstatement of letter of credit (LC) in 30 days. ‘NTPC not at any risk of default for BSES Rajdhani payments. NTPC has rejected plea and sought LCs within 7 days,’ BRPL said. The company also sought ‘cooperation’ from Delhi government and NTPC to ‘resolve matter in interest of 19 lakh consumers’.
Will take final call on licenses: Apex tribunal tells DERC
NEW DELHI: In a relief to Anil Ambani Group discoms, the apex electricity tribunal on Wednesday directed Delhi’s power regulator DERC not to take a final decision on revoking their licenses without its permission, despite a recommendation by Delhi chief minister Arvind Kejriwal in this regard.
The order by Appellate Tribunal for Electricity (ATE), on an interim petition by BSES discoms, which sought its intervention on the issue, came a day ahead of the hearing of the companies before Delhi Electricity Regulatory Commission (DERC) on Thursday.
On Monday, Delhi government had recommended to DERC to revoke the license of BSES discoms if they fail to pay dues to state-run power generator NTPC, which has given 10 February deadline to the companies to do so.
After Delhi government’s recommendation, DERC had served notices on BSES Rajdhani Power Ltd and BSES Yamuna Power Ltd asking them to present their case on Thursday at a hearing in the commission on the contentious issue.
The tribunal, headed by former chief justice of Jharkhand High Court M Karpaga Vinayagam, said the two discoms can appear before DERC and make their submissions with regard to the letter of Delhi government and the commission may continue to proceed with the matter by hearing the parties concerned.
‘But the commission is directed not to pass the final order in the above proceedings without leave of the tribunal during the pendency of these interim applications,’ the order by justice Vinayagam and technical expert in ATE Rakesh Nath said. ATE has jurisdiction to take up power-related disputes across the country as per provisions of Electricity Act, 2003.
‘We have served notices on the BSES discoms to explain their position on the issue in the wake of the government recommendation,’ DERC chairman PD Sudhakar said.
On Monday, Delhi government had recommended to the DERC to revoke the licenses of BSES discoms if they resort to long outages in areas of their operation citing fund crunch to arrange power.
Taking a strong position against the discoms, the government has said that it was ready to take over power distribution in the city to control the ‘ugly situation’.
Warning of a cut in power supplies in the city, state-owned NTPC said BSES discoms have a history of payment defaults and their electricity supply would be curtailed if they fail to pay their dues by Monday.
BSES discoms, which supply power in nearly 70 per cent areas in the city, had informed government that they did not have money to buy power and the city may reel under long outages if funds are not provided to them.
Meanwhile, BSES Rajdhani Power Ltd (BRPL) on Wednesday said it has no outstandings to NTPC. In a notice to BRPL, NTPC had said the company has not been able to renew letter of credit for payment security mechanism as per provision in the power purchase agreement.
The BRPL appealed to NTPC to allow reinstatement of letter of credit (LC) in 30 days. ‘NTPC not at any risk of default for BSES Rajdhani payments. NTPC has rejected plea and sought LCs within 7 days,’ BRPL said. The company also sought ‘cooperation’ from Delhi government and NTPC to ‘resolve matter in interest of 19 lakh consumers’.
Will take final call on licenses: Apex tribunal tells DERC
NEW DELHI: In a relief to Anil Ambani Group discoms, the apex electricity tribunal on Wednesday directed Delhi’s power regulator DERC not to take a final decision on revoking their licenses without its permission, despite a recommendation by Delhi chief minister Arvind Kejriwal in this regard.
The order by Appellate Tribunal for Electricity (ATE), on an interim petition by BSES discoms, which sought its intervention on the issue, came a day ahead of the hearing of the companies before Delhi Electricity Regulatory Commission (DERC) on Thursday.
On Monday, Delhi government had recommended to DERC to revoke the license of BSES discoms if they fail to pay dues to state-run power generator NTPC, which has given 10 February deadline to the companies to do so.
After Delhi government’s recommendation, DERC had served notices on BSES Rajdhani Power Ltd and BSES Yamuna Power Ltd asking them to present their case on Thursday at a hearing in the commission on the contentious issue.
The tribunal, headed by former chief justice of Jharkhand High Court M Karpaga Vinayagam, said the two discoms can appear before DERC and make their submissions with regard to the letter of Delhi government and the commission may continue to proceed with the matter by hearing the parties concerned.
‘But the commission is directed not to pass the final order in the above proceedings without leave of the tribunal during the pendency of these interim applications,’ the order by justice Vinayagam and technical expert in ATE Rakesh Nath said. ATE has jurisdiction to take up power-related disputes across the country as per provisions of Electricity Act, 2003.
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