UDUPI: Adani Power Ltd (APL) with a total generating capacity of 1,200 MW of electricity at its two plants located at Yellur village in Udupi district will supply the entire electricity generated by it to electricity supply companies (ESCOMs) in the state.
As per an agreement, APL was to supply 1,015 MW of power to Karnataka and the remaining 185 MW to Punjab. But the company will not supply any power to Punjab as Karnataka, two months ago, invoked the emergency clause under Section 11 of the Electricity Act, mandating all private power generation companies situated in the state to sell entire electricity generated by them only to the state government.
This is because hydel power generation has hit rock bottom with a big deficit in monsoon rainfall in the state, sources said.
While APL sells power at Rs 5 per unit to Karnataka, it charges Punjab Rs 8 per unit as per the power purchase agreement (PPA). Last year, with the state receiving copious rainfall, it did not purchase any power from APL as it had enough generation from its hydel units. The state could manage supplies as the demand too was not high.
Kishore Alva, president and executive director, of APL, told TNIE that the plant has sufficient imported coal to generate power. “Escoms have cleared all the money that was due to APL. There is no issue in supplying power exclusively to Karnataka,” he added.
The amount that was due from Escoms to APL had run into Rs 3,000 crore when the Supreme Court directed the state government to hold talks and arrive at an amicable amount. APL agreed to a full and final settlement of Rs 1,800 crore offered by the state government. APL has been supplying 185 MW of power to Punjab for the last 10 years.