Prayagraj Power, which runs the 1,980 MW Bara plant in Uttar Pradesh, has requested the government to postpone the deadline to install emission control equipment by 5-6 years. According to the power ministry’s action plan on environmental norms for thermal power stations, plants were expected to commence work from 2018 and implement the same before 2022.
Renascent Power, a unit of Tata Power’s private equity platform Resurgent Power Ventures Pte Ltd, had agreed to acquire of 75% stake in Bara for Rs 6,000 crore. The plant has power purchase agreement signed with Uttar Pradesh for 90% of its capacity at a levelised tariff of Rs 3.02/unit. However, the approval of the acquisition encountered roadblocks as Uttar Pradesh sought discount on the price at which the plant sells electricity. Tata Power has brought up the issue with the High Court which has asked the state’s electricity regulator to look into the matter.
