Private gas-based power producers seek PM intervention against preferential incentives to RGPPL

Private gas-based power producers have sought the prime minister’s intervention on the issue of special incentives that are being given to Ratnagiri Gas and Power Private Limited (RGPPL), which operates the 1,957 MW Dabhol gas-based power plant in Maharashtra. The power producers claim that RGPPL continues to supply 550 MW of power to Indian Railways without any tender or competitive bidding which is not in line with the Electricity Act, 2003 as well as other policy and regulatory provisions. Besides, RGPPL is providing power at a tariff of Rs 5.50 per unit which is higher than the prevailing market price of Rs 4.70 per unit.

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