Tata Power's Mundra UMPP to snap power supply to five states on March 11

Decision comes after buyer states say no to tariff hike; UMPP has been in the middle of a tussle for seven years over passthrough of escalated cost of imported coal

Tata Power’s ultra-mega power plant in Mundra will stop supplying power to five states from March 11, said Praveer Sinha, CEO and managing director of the firm. “We will gradually start shutting units if no resolution is reached with the states,” said Sinha.

The extreme step is being taken in the wake of buyer states not agreeing to a tariff hike for the power being supplied by the ultra-mega power project (UMPP). Mundra supplies power to Gujarat, Haryana, Rajasthan, Punjab, and Maharashtra.

The UMPP, based in Gujarat, has been in the midst of regulatory tussles over the escalated cost of imported coal