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Enron power project revival on cards, says Deshmukh
Monday, May 9 2005 10:15 Hrs (IST) - World Time -

Nagpur: The revival of Dabhol Power Project of Enron by Centre, which was on cards, will augment electricity supply by 2000 MW within a year, Maharashtra Chief Minister Vilasrao Deshmukh said yesterday (May 8, 2005).

"We were not against Enron power project but opposed the Power Purchase Agreement (PPA), which was quite higher and now Centre is negotiating for PPA of Rs 2.20 per unit and a final decision would be taken after a report of cabinet sub committee is finalised," he told reporters in Nagpur after review of Kharif crop of the division.

He said he would meet the Prime Minister Manmohan Singh on May 12 on his return from Russia to discuss the power scenario in Maharashtra as State was already drawing 500 MW from different sources and power plants.

Deshmukh admitted that State heavily depended on Enron project and could not even think of planning other power plants. The State Government has entered into agreement and signed Memorandum of Understanding (MoU) with private players for generating electricity to the tune of 12,000 MW in next five years, he said.

Maharashtra may not overcome power crisis until 2009-10, he said, adding, the problem could be contained with check on power theft, transmission and distribution losses.

On free power supply to farmers, Deshmukh said the Government will review its decision as there was tremendous rise in consumption of electricity after Government decided to give free power to riots, he added.

PTI









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