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Torrent Power communicated to the BSE and NSE that the Bombay High Court during hearing on the public interest litigation has suspended the tender process for power distribution in Dadar & Nagar Haveli and Daman & Diu.
In this tender, Torrent Power Ltd had emerged the highest bidder for 51% equity stake in a power distribution company for the two Union Territories.
“Torrent Power had emerged as the highest bidder in the tender for 51% equity stake in Power Distribution Company for the Union Territories of Dadra & Nagar Haveli and Daman & Diu. In this connection, we would like to further inform that Hon’ble Bombay High Court has, inter alia, suspended the tender process in a PIL case before the Court until further orders in this matter,” said company secretary Rahul Shah in the communication to the BSE and NSE.
The discom of the UT has annual revenue of about Rs 4,500 crore at sale of around 9,000 million units of electricity every year to 1.5 lakh consumers covering geographical area of 603 square kilometres.
The discom of the UT has annual revenue of about Rs 4,500 crore at sale of around 9,000 million units of electricity every year to 1.5 lakh consumers covering geographical area of 603 square kilometres.
The Bidding for the Distribution Business of the UT was undertaken as part of the Government of India’s initiative to privatize distribution utilities of UTs to usher in efficiency, which will provide a model for emulation by other utilities across the country.
FM Nirmala Sitharaman in her budget speech had said that the privatisation of discoms will lead to improvement in operational and financial efficiency in power distribution.
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