All India Power Engineers Federation (AIPEF) today slammed the Teesta-III power project as a failed example of public-private partnership since it is selling electricity at a discounted rate in open market, as against the contracted rate.
“Teesta-III — a failed example of Public Private Partnership. Punjab, Haryana, UP and Rajasthan have refused to accept the high cost power from 1,200 MW Teesta-III hydro project in Sikkim at the escalated tariff of about Rs 6 per unit instead of original Rs 1.92 paise per unit”, the Federation said in a statement.
According to the statement, as the four states have refused to buy this high cost power, PTC is selling the entire power at a rate less than Rs 3 per unit because of surplus market conditions.
The 1,200 MW project was commissioned in February 2017. Now, during high flow period up to September, the project is unable to generate beyond 700 MW due to transmission constraints with a continuous loss of 12 Million Units per day valued at Rs 3.6 crore.
V K Gupta, spokesperson of AIPEF, said that the organisation has written to power ministry to expedite the work of completion of transmission system for full utilization of water for power generation.