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Anyone who can supply cheap power to UP is welcome: Shrikant Sharma

State faces a shortfall of 60% in terms of meeting the region's electricity demand

Archis Mohan  |  New Delhi 

shrikant sharma
UP Power Minister Shrikant Sharma.

power minister said on Friday that the state would welcome any power suppliers who would supply power at low rates. The state is currently facing acute power shortage.

Yogi Adityanath-led government has cancelled power purchase agreements of 3,200-MW projects that were signed during the tenure of the previous government. Sharma said these projects were only on paper. Currently, the state is meeting its power demand from the Indian Energy Exchange.

"We would welcome anyone who would supply us at low rates," Sharma said. The state generates 40 per cent of its needs, and the shortfall of 60 per cent is being purchased from the exchange, he said.

The minister said the state has 11,000 MW of generation capacity, and is currently generating 8,500 MW. The peak demand in the state in September has been 20,000 MW. It is meeting the rest of its demand from the exchange. He said transmission and distribution losses were at 38 per cent, and the losses at Rs 29,000 crore, but the steps taken in the last six months to curb power thefts and ensure recovery of dues has increased revenue by 23 per cent.

Sharma said power is being purchased at Rs 2.80 per unit, which reaches the consumer at Rs 7.50 per unit. The ministry has estimated the state would have a peak demand of 24,700 MW by 2022, and is in the process of formulating a plan.

To deal with power theft, the state has prepared a proposal to set 70 to 75 police stations exclusively for the purpose. Initially, these would be attached to the existing police stations. The cost of setting each of these police stations has been estimated at Rs 20 to 25 crore, he said. It has also started a process of "name and shame" consumers with pending dues of above Rs 100,000 by publishing their names in newspapers and putting the names on hoardings.

The ministry has also prepared a plan to supply to each of the 21 million households by 2022.

First Published: Fri, September 22 2017. 20:02 IST