Admn sleeps while power bidders shop

Express News Service
Saturday , Oct 03, 2009
Chandigarh:

Delay in decision making by the UT Administration has caused a loss of 16 MW power to the city. By the time officials made up their mind, another state bid a higher amount for power.

The Administration was expecting to receive 26 MW from the GMR Power Corporation, as the process for procuring additional power had begun last week.

The GMR Corporation had reportedly asked for a reply from the Administration by 8 pm on September 25. With the officials taking an additional hour to take the decision, 16 MW power was sold by the company to a higher bidder. The city finally received an additional 10 MW power at a cost of Rs 6.20 per unit.

A senior official of the UT Administration said by the time they reverted to the company, another state had bid Rs 6.50 per unit and the power had been sold off.

Shortage of power is being faced in most of the states across the country, resulting in a scramble to buy power. Since a higher bidder gets the power, the Centre has fixed a cap of Rs 8 per unit till October 12.