Dvc-Bses Tie Up With Bses

Damodar Valley Corporation (DVC) will set up a 1,000 mw pithead power project on the West Bengal-Bihar border in a joint venture with Bombay Suburban Electricity Supply (BSES). DVC was recently given clearance by the power ministry for roping in BSES as equity partner without going through the competitive bidding route. This was disclosed by RV Shahi, chairman and managing director of BSES, at the 69th annual general meeting of the company in Mumbai on Thursday. The project will be set up in 2 phases of 500 mw each.

BSES and DVC will hold 45 per cent stake each and financial institutions (FIs) the rest.

The AGM proceedings were marked by protests from workers of the Vidyut Kamgar Sena which is affiliated to the Shiv Sena. VKS general secretary P Borkar criticised the company for low wages and lack of a proper promotion policy.

BSES posted a turnover of Rs 800 crore in the first quarter of the current fiscal, up 15 per cent from the previous year. The profit for 1997-98 was Rs 262 crore.

Borkar pointed out that commerce graduates who joined as assistants were given an annual increment of only Rs 28, while undergraduates got Rs 18. He accused the management of manipulating the unions in the award of labour supply contracts.

In response, Shahi declared that there would be an upward revision of salary in the current fiscal. Unions would soon be invited for negotiations on the issue, he added.