‘No gas shortage, matter sorted’

A week after the Delhi government-run generation companies were served a notice by GAIL for non-

payment of dues, the matter, officials in the power department say, has been mutually sorted.

On July 13, The Hindu had reported that the Gas Authority of India Limited (GAIL) had threatened to

cut gas supply to three of Delhi's gas-based power plants, namely, – Bawana, Pragati-I and Gas

Turbine Power Station (GTPS).

Explaining the situation principal secretary (power) Sukesh Jain said, “This issue has been discussed

with the top management of GAIL and they have consented to our payment plan and assured there

will be no shortage of gas…. So, the matter has already been sorted out.”

Outstanding due

As on June 30, 2016, the two gencos — Pragati Power Corporation Limited (PPCL) and Indraprastha

Power Generation Company Limited (IPGCL) had a total outstanding due of Rs. 99 crore towards

GAIL. Officials informed that the gencos have, so far, made a payment of Rs. 47 crore against the

total dues. The balance outstanding of Rs. 52 crore will be cleared shortly, they added.

“Delhi is a power surplus State. Even if one or two of its stations are forced to shut down, the power

situation in Delhi is not going to get affected and there will be no power outages,” explained an

official in the power department.

In a letter dated July 6 to the city’s two gencos, GAIL had asked them to pay their dues within a

week's time, “failing which GAIL will be compelled to stop gas supply,” it stated.

“Despite our various communications, PPCL/IPGCL has failed to submit LC (letter of credit) of

requisite value in terms of the provisions of the GSAs/GSTCs (Gas Sale Agreements/Gas Sales and

Transportation Contract),” read the letter sent to the general manager (technical) of PPCL.

NGS INDIA