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Scrap the financially unviable Panipat thermal units
Haryana Discoms have asked the Haryana Power Generation Corporation Limited (HPGCL) to scrap the four units of Panipat thermal plant, as it has become financially unviable. Haryana Power Purchase Centre (HPCC) in its letter dated October 24 2013 has intimated the HPGCL that as the rates of power supplied from unit I to IV of Panipat thermal station are not viable, the HPGCL may consider scrapping these units.
The power generated from these units may be sold in open market by HPGCL on its own, so that no fixed charges are paid by Discoms. The power generated from these units is not required by Discoms.

Discoms have claimed that the first four units of Panipat thermal plant were commissioned more than 25 years ago and the cost per unit from these units is more than Rs.5. Even the present variable cost varies between Rs. 3.94 to Rs. 4.44 per unit . In contrast to this, power is available in the market rate at cheaper rates. Even in recent tenders power rates have been quoted to different utilities of northern India, which varies between Rs. 2.95 to Rs.3.97 per unit.

V K Gupta, Secretary Finance, Northern India Power Engineers Federation said that Haryana is claiming to be power surplus after 1424 MW power started flowing to state from Adani’s Mundra thermal station in Gujarat. Some thermal units in state sector are being forced to shut down daily for the last 10 months on the pretext of no demand to pave the way for power purchased from Adani and other private traders.

It will be a suicidal step for Haryana Discoms to opt for power purchase from private sector power suppliers at the cost of state run units. In case of non availability of power from private players due to any reason, the consumers are bound to suffer. DISCOMS must give preference to state run units even if cost of generation is marginally higher. There may be cut and commissions involved in power purchase.

R S Dahiya, President, Haryana Power Engineers association criticized the proposal of Discoms and said that HPGCL is legally bound to sell the total power generated from different power stations to Discoms. It is not the prerogative of Discoms to ask for power from specific units.

Haryana Governments notification of August 29 does not mention the units from which HPGCL is allowed to sell surplus power. Discoms cannot ask HPGCL  not to supply power of first four units of Panipat thermal station and instead sell it to third party.

A senior HPGCL official said that HPGCL has already started the process for setting up 2 units of 250 /300 MW capacity at Panipat in place of existing four units as per Haryana Chief Minister approval and the reported decision of Discoms is a hasty one.

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