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Mp To Review Captive Power Policy

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Our Regional Bureau BUSINESS STANDARD

The Madhya Pradesh government discussed the new captive power policy in a Cabinet meeting.

Official sources said the state government, keeping in mind the demand of industrial organisations, had decided to relook the policy.

It may do away with a clause in the new policy which states that captive power generating consumers will have to draw at least 50 per cent of their monthly electricity requirement from the Madhya Pradesh State Electricity Board (MPSEB).

However, the state government will stick to the provisions of the Ordinance for imposing an energy development cess of 20 paise per unit on the electricity generated by captive power units.

 

The electricity development cess is levied on captive power units with more than 10 kw capacity.

Industrial units in the state have discussed the captive power policy with chief minister Digvijay Singh.

Singh has assured the chambers that the mandatory provision of purchase of power from the MPSEB will be done away with.

Official sources said,

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First Published: Oct 22 2002 | 12:00 AM IST

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