Ntpc Threatens To Unplug Power Supply To Mp

Power crisis looms once again in Madhya Pradesh with the National Thermal Power Corporation (NTPC) has decided to slash supply to the Madhya Pradesh State Electricity Board (MPSEB).

MPSEB is unable to pay dues of Rs 1,600 crore to NTPC following which the national transmission corporation has decided to cut power supply from midnight July 9.

MPSEB's dues during four months of the current fiscal, i.e., from March to June stood, at Rs 369.5 crore in addition to the previous dues of Rs 1,600 crore. Rustling up this money is going to be a Herculean task for the MPSEB, sources said.

 

The NTPC has received payment of Rs 400 crore against the power consumption bills of Rs 769.50 crore during March-June 2001. The MPSEB still has to Rs 369.50 crore to the board.

NTPC has agreed to continue with the power supply to the MPSEB provided that it would issue a letter of agreement that it would start making 100 per cent payments and would increase the value of letter of credit from Rs 100 crore to Rs 200 crore.

NTPC also wants Rs 400 crore for bonds. It has put another condition that the MPSEB must chalk out an action plan to make earlier dues of Rs 1,600 crore.

The NTPC has issued a notice to the MPSEB and has asked the electricity board to submit a letter of intent of making the payment of Rs 1,600 crore latest by June 30, failing which, it would stop power supply to the board from July 9 midnight.