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DPC: Govt calls for meeting of GE, MSEB, NTPC

The central government has convened a meeting between the Maharashtra State Electricity Board, the National Thermal Power Corporation and GE Capital -- a promoter of the Dabhol power project -- on Wednesday in an effort to restart the first phase of the plant.

The power plant has been lying idle now for over 15 months.

"This is a parallel step we are trying towards restarting the plant. However, the first condition is that MSEB and the lenders (led by the Industrial Development Bank of India) will have to come to a consensus over the power tariff," Union power secretary R V Shahi said in New Delhi.

GE, having 10 per cent equity in the project, had earlier this month written a letter to the Centre objecting to Power Minister Anant Geete's statement over restarting the project within 2-3 months, saying that the technical aspects needed to be assessed first.

According to officials, GE wrote a letter to the power minister (and also to Finance Minister Jaswant Singh), saying that overhauling and maintenance of the plant lying idle for a such a long period would take more than a year before the project could be successfully restarted.

Shahi said that even in long hauls, power plants should not take so long to restart. "However, GE is the main supplier of the equipment for the plant and its support is very necessary for the revival of the project. Hence, this meeting has been called," Shahi said.

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