Consumer body refuses to pay for costly coal

Mumbai: NGO and study group Prayas Energy Group has filed a petition to seek the analysis and examination of the reasons behind the sudden fall in availability of MSEDCL’s (Maharashtra State Electricity Distribution Company Ltd) capacity of generating power.

The generation company (Mahanirmiti) stated before the Maharashtra Electricity Regulatory Commission (MERC) that they were seeking legal remedies for claiming compensation for non-availability of coal from the public sector Coal India as per the agreement. Consumer representatives have been opposing pressure on private power purchase by Mahavitaran Comp-any after coal shortage.

Mahavitaran (MS-EDCL) consumers are paying fixed charges to the company, which is purchasing power from Mahanirmiti (generation company).    

The generation company purchases coal from Coal India Ltd for its power stations. But, for over a year the company has not been getting sufficient coal as per quota allotted from Coal India as per the agreement between them.  

Because of coal deficiency power generation of Mahanirmiti company has reduced quite a bit. MSEDCL has been purchasing power from private companies.

Now, consumer representative group has filed a petition that power purchase bills should be recovered from consumers, who are paying fixed charges to MSEDCL. If the generation company does not get coal from Coal India they can claim compensation.