The Telegraph
Wednesday , May 7 , 2014
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Rs 30 crore released for MeECL

Shillong, May 6: The Meghalaya government has released Rs 30 crore to the Meghalaya Energy Corporation Limited (MeECL) for making some payment against the outstanding dues to Neepco.

The MeECL has an overdue of Rs 379.16 crore to Neepco. “The government has sanctioned the money and released it along with a letter of allotment to the MeECL for making some part payment to Neepco,” an official in the Meghalaya power department said today.

The government expected that Neepco would de-regulate power supply once MeECL made the part payment. Neepco has been regulating power supply to Meghalaya since last year after the MeECL failed to clear outstanding dues.

The MeECL has a total outstanding liability of Rs 1,745 crore with Rs 871 crore as an overdue for payment. The liabilities include dues for power purchase and transmission charges, which stood at Rs 482.9 crore of which Rs 379.16 crore is due to Neepco alone.

Neepco director (finance), A.G. West Kharkongor today said power supply to Meghalaya by Neepco would resume from May 8.

The decision to lift the regulation of power to Meghalaya was taken consequent to the meeting held with the Union ministry of power on May 2 where it was decided that payment of Rs 30 crore along with post dated cheques of Rs 20 crore each for three months will be made by the Meghalaya government which had given the assurance for making the payment.

Kharkongor said the matter would be again reviewed by the ministry of power on May 12. After de-regulation, the MeECL will be eligible to draw an additional power of 30MW during off-peak hours and up to 78MW during peak hours in addition to approximately 12MW of power being supplied to Meghalaya from Kopili hydro-electric plant.