Power companies’ promoters to raise fuel shortage issue during meeting with Moily
Shortage of fuel at power plants will be the fundamental issue that promoters of power companies will raise during their meeting with Union Power Minister M Veerappa Moily on Friday.
Ashok Khurana, director general of the Association of Power Producers, confirmed, "Fuel will be the basic issue that we are going to raise with the minister."
The delegation will include promoters of Reliance Power, Tata Power, Essar Power and Adani Power among others.
The promoters are also likely to discuss insufficiency of domestic coal and gas. They may demand imported coal and gas price pooling, amendments in the bidding documents and quotas of gas for power plants.
In January this year, heads of major power companies, including Anil Ambani, Ratan Tata, Cyrus Mistry, Gautam Adani and Anil Agarwal had met with Prime Minister Mamohan Singh and sought resolution of these issues. At the time, the Prime Minister's Office had directed state-run Coal India to meet 80 per cent of fuel requirement of power projects for the next two decades.
Meanwhile, Attorney General G E Vahanvati said Central Electricity Regulatory Commission (CERC) has the power to revise and amend tariff. Vahanvati said CERC is the appropriate authority on multi-state issues. He added that if input costs fell, CERC was unlikely to cite PPA (power purchase agreement) as hurdle.