Gujarat, Uttar Pradesh and Maharashtra to rescue stressed power projects

Power tariff for coal-based power plants comprises fixed cost and variable cost

Three states have come forward to participate in the bidding process, wherein cheap power will be procured from stressed assets as part of a new power ministry scheme.
 Gujarat and Maharashtra have asked for 500 Mw each under the programme while Uttar Pradesh is set to procure 1,000 Mw.
 
The scheme was launched as one of the measures to provide relief to stressed power generating assets. The new centralised bidding for 2,500 Mw will be held, which would invite quotations from power developers for a lump sum tariff. This would also involve power aggregation and disbursement according to the