Essar Power has decided to reduce tariff at its 515 mw Hazira power plant in Gujarat sharply by 30 per cent to Rs 3 a unit from Rs 4.30 a unit.
This company scaled down the tariff as it was able to renegotiate the earlier higher interest rates with financial institutions. The interest rates have been now lowered by 4-6 per cent. The company has also decided to switch the fuel for the plant from naphtha to the cheaper natural gas.
Essar Power executives confirmed the move to reduce tariff.
