- The average demand for CESU is around 1,300MW with the annual input energy of 8,400MUs (FY 2018)
- The five electrical circles constituting CESU are the areas of Bhubaneswar (Electrical Circle – I and II), Cuttack, Paradip, and Dhenkanal
- This tie-up with CESU is the latest such partnership in the distribution business
The Odisha Electricity Regulatory Commission (OERC) has awarded the Letter of Intent (LOI) to The Tata Power Company Limited. The company has been selected as the successful bidder to own the license for the distribution and retail supply of electricity in Odisha’s five circles, together constituting the Central Electricity Supply Utility of Odisha (CESU).
“Tata Power has several successful public-private partnerships in generation, transmission & distribution in the country. Recently, our focus has been on increasing the Company’s existing footprint in the distribution of electricity through Public-Private-Partnerships (PPP) with discoms. This tie-up with CESU is the latest such partnership in the distribution business,” said Praveer Sinha, CEO & MD, Tata Power.
Transform Odisha distribution system
“We hope to transform Odisha distribution system with 24 x7 reliable power and unmatched customer services with extensive social engagement using our existing experience in the distribution of electricity in Delhi, Mumbai and Ajmer,” said Sanjay Banga-president-T &D, Tata Power.
The five electrical circles constituting CESU are the areas of Bhubaneswar (Electrical Circle – I and II), Cuttack, Paradip, and Dhenkanal. The license is being offered for 25 years initially.
The average demand for CESU is around 1,300MW with the annual input energy of 8,400MUs (FY 2018), informed the press release. The proposed sale of CESU to Tata Power will be through the formation of a special purpose vehicle entity.
The government of Odisha will own 49 per cent equity stake in the proposed SPV and Tata Power will hold 51 per cent equity with their management.
