New Delhi: Tata Power Thursday said it has taken over power distribution operations in north-eastern Odisha from April 1.
Tata Power has taken over the management and operations of NESCO (North Eastern Electricity Supply Company of Odisha) from April 1, 2021, upon completion of the sale process, as per a regulatory filing.
Now, NESCO will operate under the company name as TP Northern Odisha Distribution Limited (TPNODL), the filing said.
As per an order issued by Odisha Electricity Regulatory Commission(OERC), Tata Power holds 51 per cent of equity with management control and state-owned GRIDCO will have 49 per cent shares in the company.
The company said Tata Power has today (on Thursday) acquired a 51 per cent equity stake in TP Northern Odisha Distribution Limited (TPNODL) at a consideration of Rs 191.25 crore.
TPNODL was incorporated on March 20, 2021, as a wholly-owned subsidiary of GRIDCO Ltd (GRIDCO) to carry out the business of NESCO utility.
OERC vide its vesting order dated March 25, 2021, has vested the license to TPNODL to carry out the function of distribution and retail supply of electricity covering the distribution circles of Balasore, Bhadrak, Baripada, Jajpur and Keonjhar in Odisha for a period of 25 years effective April 1, 2021.
TPNODL will now be responsible for the distribution and retail supply of electricity in five circles of NESCO, covering close to 2 million consumers with annual input energy of 5,450 MUs.
This covers a geographical spread of more than 27,500 sq km and a network of more than 90,000 CKT km (Circuit kilometres) for a license period of 25 years.
With this, Tata Power now distributes power in the entire state of Odisha with a total customer base of 9 million.
Tata Power consumer base now stands at 11.5 million across Mumbai, New Delhi, Odisha and Ajmer as the largest private sector power distribution company in the country.
“It is a proud moment for us that on the auspicious occasion of ‘Utkal Diwas’, we have taken over the operations of NESCO in the State of Odisha.
“We are committed to providing reliable, affordable and quality power supply along with superior customer service. We are thankful to the Odisha Government and OERC for giving us this opportunity and reaffirm Tata Power’s commitment of ‘Lighting up Lives’ for the people of Odisha,” Praveer Sinha, CEO & MD, Tata Power said.
PTI