Power Producer NTPC May Cut Supplies to Delhi
February 2, 2014 5:47 PM EST
India's top power producer NTPC Ltd (NTPC.NS) said on Saturday it might cut supplies to a company that distributes electricity to parts of New Delhi, something that could plunge the heart of India's capital into darkness.
A general view shows the Paharganj district, a popular tourist area packed with backpacker hotels and restaurants near New Delhi railway station. Reuters
State utility NTPC said distribution company BSES Yamuna Power Ltd, which sells electricity in the central and eastern parts of the city of about 16 million people, must clear its dues or else supplies would be cut from February 11.
Citing lower tariffs and a shortfall in revenues, BSES Yamuna Power Ltd, an arm of Reliance Infrastructure Ltd (RELI.NS), has already expressed its inability to pay state-run power generation companies.
The row could result in an outage of up to 10 hours a day, exacerbating problems for Delhi's newly-elected Chief Minister Arvind Kejriwal, elected on the promise of cutting electricity tariffs for millions of Delhi's voters.
Kejriwal, a former anti-corruption activist, recently asked the state auditor to look into the accounts power distribution companies to see if they are profiteering. The companies have challenged the move in a court.
BSES Rajdhani Power Ltd and Tata Power Delhi Distribution Ltd are the other companies that sell electricity to consumers of Delhi.
BSES Yamuna Power Ltd on Friday warned the local government of power cuts and Kejriwal responded with a warning of a possible cancellation of its licences. But Delhi's power sector regulator approved a 6-8 percent tariff increase.
Most Popular Slideshows
- In Photos, Typhoon Rammasun Blasts the Philippines
- Typhoon Rammasun Claims 18 Lives in China, Incurs $4.32B Losses (PHOTOS)
- Ellen DeGeneres Caught Cheating with Mutual Friend Before Portia de Rossi’s Rehab – Reports [PHOTOS]
- Malaysia Airlines MH17: Vital Black Boxes Finally Land in Hands of Malaysian Authorities, Rebels Announce Ceasefire (PHOTOS/VIDEOS)
Join the Conversation
- California Fruits Recalled in USA and Canada for Possible Listeria Contamination
- Malaysian Airlines Flight 17: Air Carrier Losing $1.6 Million/Day; Crisis Management Experts Suggest Hiring Risk Expert as CEO
- Malaysian Airlines Flight 17: Air Carrier to Give $5,000 Assistance to Victims’ Families; Bankruptcy Looms as 2 Air Mishaps Would Cost Firm Minimum $80.55 M Compensation
- Foxconn And Pegatron Corp Readies For Apple's iPhone 6 Mass Production This Month
- KFC & McDonald’s Accused of Serving ‘Expired’ Meat to Customers
- Windows Phone 8.1 Update Rollout: 20 Nokia Lumia Phones Eligible and 13 New Features to be Added
- Moto 360 Price Speculations, Key Features, Strategic Release Date, Design: A Watch That is More Than Just Time
- Google Nexus 8 Release Date Soon Along with 2 More HTC Android Tablets – Reports
- Samsung Galaxy Note 4 Apps Leak Online, Five Fresh Features to Expect from the Android Smartphone
- Three New Moto G Successors Spotted in FCC Document Dubbed Moto G2, Moto M and More --Reports
- iPad Air 2 Release Date Will Skip IGZO Panel; To Rollout with Super-Slim iPad Mini Air
- Upcoming iPad Mini 3 Could be 30% Thinner and Likely be Called iPad Mini Air; Apple Q3 Results Show 9% Decrease in iPad Sales