Delhi power discoms welcome CERC’s decision to exit PPAs with NTPC Dadri power plant

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New Delhi, Jul 2 (PTI) Discoms in Delhi on Friday welcomed the decision of power regulator CERC to exit power purchase agreements with the National Thermal Power Corporation Dadri-I power plant after completion of 25 years of service.

The Central Electricity Regulatory Authority (CERC) allowed Reliance Infrastructure firms BSES Yamuna Power and BSES Rajdhani Power to exit the power purchase agreements (PPAs) with NTPC Dadri-I power plant, which completed 25 years of service on November 30 last year.

'In a landmark judgment, the CERC has ruled that discoms have the right to terminate the Power Purchase Agreement after 25 years. This will bring down the power purchase cost of the discoms and help in lowering the power tariff, thus benefiting 45 lakh consumers of BSES in Delhi,” a BSES spokesperson said.

A spokesperson of Tata Power-DDL said, “We are still examining the CERC order. However, in order to control the power purchase cost and reduce the cost for consumers, the company is in line with MoP (Ministry of Power) guidelines about plants that have completed 25 years of service, and approach the state commission (DERC) for necessary clearance to exit such PPAs.” The allocated share of power from NTPC Dadri-I to BSES Yamuna Power and BSES Rajdhani Power was 62 MW and 560 MW, respectively.

BSES discoms had stopped scheduling power from Dadri -I plant of NTPC, in November 2020, after completion of 25 years of the plant from its commercial date of operation and had sought an exit from the Dadri-I plant.

The NTPC had denied the exit to BSES discoms following which the two utilities had approached the CERC.


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