Suburbs may breathe easy as TPC, REL head for peace

MUMBAI: Here���s good news for Mumbai���s electricity consumers ��� they may be spared needless load shedding. The two private sector power majors in the city ��� Tata Power Company (TPC) and Reliance Energy (REL) ��� have started working towards resolving a long-pending issue over the use of electricity outlets.

In October 2006 a row between the two had resulted in load-shedding in some Mumbai suburbs, where electricity is being distributed by REL. A recent high-level meeting of top officials of TPC, REL and the Maharashtra State Electricity Transmission Company (MSETCL), has decided to form a joint outlet committee as a first step towards resolving the issue.

The committee will discuss the outlet requirement of REL at various locations in Mumbai and submit a report to the state transmission utility, said sources.

The outlet committee will have three members, one each from MSETCL, REL and TPC. The committee is expected to submit a report by January 31, 2007, based on which the transmission utility will give necessary directives to the two companies.
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In October 2006, the outlet issue had sparked off a fight between TPC and REL, which resulted in load-shedding at Goregaon, Malad and Chembur. State power minister Dilip Walse Patil then convened a meeting of both the companies and settled the issue by providing an outlet at Malad to REL to receive electricity for its feeders.

REL was demanding 17 outlets to deal with the rising electricity demand in the city. There are 55 TPC outlets in Mumbai. REL is buying 700 mw from TPC out of its 1,774 mw production.

The decision to form a committee comes just before the beginning of the summer season, which begins by March. During summer, the electricity demand is predicted to hit the roof, which may result in hours-long power cuts in Mumbai.

���To bridge the demand-supply gap, we have to take all necessary steps and the formation of a joint committee is the first step,��� said an official close to the development.

Industry sources said the fight between the two companies had in fact started in 1996, when REL asked for two additional outlets ��� one each at Vikhroli and Malad. Later, they requested outlets at Saki, Chunabhatti and Versova, but TPC asked REL to sign a connection agreement.

REL had then approached the Maharashtra Electricity Regulatory Commission (MERC), which appointed an expert group from IIT Mumbai to study the issue. Subsequently, they roped in the state transmission utility MSETCL to resolve the issue. But the issue has remained unresolved, said sources.