energy | IST

Adani and JSW slash power supply to Maharashtra, worsening ongoing crisis: State Energy Minister Nitin Raut


Maharashtra Energy Minister Dr Nitin Raut said Adani reducing power to the state was a "breach of contract" and that the government has sent the company a show cause notice. He further said JSW Energy claimed it had to shut its plant due to equipment malfunction, but was selling power in the merchant market. JSW too has been sent a notice, Raut said.

Maharashtra's ongoing power crisis has worsened with Adani Electricity and JSW Energy reducing supply to the state, Maharashtra Energy Minister Dr Nitin Raut told CNBC TV-18 on Friday. "On Thursday Adani reduced its supply to us. They didn't give us any reason for this. As this is a breach of contract, we have served a show cause notice," Raut saod. 
On JSW, he said the company told the state government it had to shut its plant as some China-madeequipment stopped working. "(JSW said) it will take 9 months to repair or replace it, but we have found out that they are selling power in the merchant market as they believe Maharashtra won't pay as much as they are expecting us to pay," Raut said, adding that the government has also sent a notice to JSW, asking them to stop selling in the merchant market.

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On Tuesday, Raut had spoken to CNBC TV-18 about the Mundra Resolution. He said that 4-5 days previously, Maharashtra had agreed to Tata power's tariff demand. On Friday, while sharing more details, he said, "Maharashtra has agreed to Tata power's tariff demand, but this is a temporary agreement considering the ongoing power crisis. The hiked tariff is accepted by us because of the current power crisis. Our contract with Tata was (for) a supply of 760 MW. Tata is supplying 630 MW so there's a shortage of 130 MW."
India is suffering from an acute power crisis -- 12 states across the country are badly affected, including Andhra Pradesh, Maharashtra, Gujarat, Rajasthan, Telangana, and Tamil Nadu. AP is facing a shortage of 55-60 million units and has reduced power supply to industries by 50 percent. The AP government has also power cuts for domestic users. Gujarat has limited power supply to its industries to six days a week, declaring one day a "power holiday". Maharashtra too has had to resort to power cuts and load shedding.
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