Tata Power delays shut down of Mundra Power plants, normal ops till Mar 20

Private power producer Tata Power on Wednesday said it will run normal operations at its Mundra Power plants upto March 20, 2020. The company had last week announced a March 11, 2020, deadline to shut down operations at Mundra owing to a lack of compensatory tariff.

"Further to the notices issued by 4000 MW Coastal Gujarat Power (CGPL) for closure of the Mundra Power plant progressively from March 11, 2020, to the five procurer states due to delay in adoption of the High Powered Committee recommendation and entering into supplemental power purchase agreement, a meeting was convened by Union Power Secretary on 9th March 2020," the company said on Wednesday.

Mundra supplies power to Haryana, Gujarat, Rajasthan, Maharashtra and Punjab.

The statement added,"Given the positive discussions in this meeting and the intent expressed by all parties to arrive at an acceptable solution, CGPL awaits decision by March 20, 2020, and till such time normal operations of the Mundra plant will continue." The company maintained the notice issued to discoms still stands valid.

Tata Power said, "The notices still remain valid and CGPL will consider appropriate decision on the notice of closure based on the outcome of these meetings."