The Hindu : New Delhi News : Centre turns down Delhi’s demand for more power

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Saturday, May 10, 2008
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Centre turns down Delhi’s demand for more power

Smriti Kak Ramachandran

Union Power Ministry decides to do a “rethink” over the issue

Ministry has decided to have a second round of meetings to assess the feasibility
Delhi Government censured for failing to set up an unscheduled interchange fund

NEW DELHI: As Delhi awaits an enhancement in its share from the Centre’s unallocated quota of power, the Central Government has decided to do a “rethink” on the issue of increasing the city’s share from the current 22 per cent to 40 per cent.

The Delhi Government had petitioned the Centre to increase its allocation from the Centre’s unallocated quota to help ease the power crunch the city is facing now. However, the Union Power Ministry has decided to take a second call on the matter.

Sources in the Union Power Ministry on Thursday said a final decision is yet to be taken and the Ministry has decided to have a second round of meetings to assess the feasibility of giving into the State’s demand.

The Ministry has also censured the Delhi Government for failing to set up an unscheduled interchange (U/I) fund of Rs.400 crore. The State Government had assured the Centre this past March that the fund would be set up and become operational by May 1.

The U/I fund was meant to facilitate purchase of expensive power by the discoms as and when required. It was also meant to absorb the expenditure incurred by the State utility as penalty for overdrawing power from the Northern Grid.

“On Thursday the Ministry informed Delhi Power Minister A.K. Walia to expedite the setting up of the fund. It has also been communicated to Delhi that while a final decision on increasing the allocation of power to 40 per cent from May 15 is awaited, there will be some relief to the city in the form of 200-250 MW of power from Damodar Valley Corporation from May 15,” said sources.

According to sources, the Union Power Ministry has also expressed concern over the fact that Delhi has been under-drawing its share of energy from the grid.

“Last night Delhi was drawing about a million units of energy less than its designated share. The Ministry has expressed concern that some of this energy might be getting diverted to other States instead of coming to Delhi. A direction has been issued to the Delhi Government to investigate the matter,” said sources.

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