Power Trading Corpn can’t keep pact
Get prepared to sweat it out this summer
Yoginder Gupta
Tribune News Service

Chandigarh, March 23
With a sharp rise in the temperature, resulting in long power cuts, the Haryana power utilities feel constrained to meet the situation, having been let down by those with whom it had contracted to purchase power.

A couple of years ago, the utilities had entered into a power purchase agreement (PPA) with the Power Trading Corporation (PTC) for supply of 300 MW to Haryana after purchasing it from Unit II of Lanco’s Amarkantak project.

This power was to come to the state in September last.

However, Lanco, which has a history of going back on its commitments, has not been able to supply power to the PTC for onward transmission to Haryana so far.

Confirming the failure of Lanco in meeting its commitment, MD of the Uttar Haryana Bijli Vitran Nigam (UHBVN) Vijayendra Kumar said the PTC had informed the state power purchase centre that the Lanco project had been delayed “by an act of God”. Therefore, the promised power to Haryana would not flow in before July, 2010.

The plea of Lanco is that because of a severe earthquake in China some time ago, the manufacturing facility of its Chinese supplier had been damaged.

Moreover, because of the changed visa rules for Chinese nationals, engineers from that country could not come to India. These factors had delayed the project.

Vijayendra Kumar said the utilities were now studying what steps could be taken in terms of power purchase agreement viz a viz the PTC because the state had not entered into a direct contract with Lanco.

Lanco has already run into litigation with Madhya Pradesh, to which it was to supply power from the first unit of the Amarkantak project.

It is also in litigation with the Haryana Power Generation Corporation when it did not sign the purchase pact for 399 MW from its Orissa project.

To make matters worse, the Aravali Power Project being implemented by the NTPC in Jhajjar has also been delayed.

The project was started for supplying power to Delhi and Haryana in view of the Commonwealth Games.

None of its three units would start generation before the games.

Its first unit was to supply 250 MW to Haryana this April. Now, this would not be possible before October.

The second unit, which was to start generation in July, would be operationalised not before February next.

For the third unit, no date has been given. The project was being monitored at the highest level in the Union Ministry of Power. It seems, this summer will be gruelling hot for the Haryanavis.