InvestorQ : Is it true that Tata Power has got the contract to supply electricity to a couple of electricity distribution companies in Odisha?
Dilmini Mercia made post

Is it true that Tata Power has got the contract to supply electricity to a couple of electricity distribution companies in Odisha?

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Dawn Cherian answered.
2 months ago
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Tata Power has received a Letter of Intent or LOI to supply electricity to the Western Electricity Supply Company of Odisha Ltd or WESCO and the Southern Electricity Supply Utility of Odisha Ltd or SOUTCO. Both are obviously based out of the state of Odisha.

Tata Power emerged as the best bidder to supply electricity to these 2 discoms in the privatisation exercise. Currently, WESCO supplies power to consumers in Rourkela, Burla, Balgarh, Bolangir and Bhawanipatna. On the other hand, SOUTCO services the areas of Behrampur, Aska, Bhanjanagar, Jeypore and Rayagada.

Meanwhile, Tata Power has confirmed that it has received the LOI from the Odisha Electricity Regulatory Commission for the distribution and supply of power in 5 circles of WESCO and 6 circles of SOUTHCO to the retail customers. Under the terms, Tata Power will hold 51% equity with management control while GRIDCO will hold the balance 49%.

Odisha was the first Indian state to privatize power distribution in 1999 and currently it has an average power demand of 4000 MW. Currently, WESCO serves close to 20 lakh consumers while SOUTCO serves 23 lakh consumers. Tata Power's consumer base will reach 1 crore from the present base of 57 lakhs across Mumbai, Delhi and central Odisha.

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