SME Times News Bureau | 05 Mar, 2015
Three electricity distribution companies in Odisha managed
by Reliance Infrastructure, whose licences were revoked by the state's power
sector regulatory commission on Wednesday, have decided to move the tribunal
for redressal.
"We are concerned on revocation of our licence by the Odisha Electricity
Regulatory Commission. We have always complied with statutory and regulatory
requirements as a licensee," said a spokesperson for one of the three
companies - Nesco, Wesco, Southco.
"We will approach the honourable Appellate Tribunal for Electricity for
redressal," the spokesperson added.
Besides the revocation, the commission temporarily handed over the management
control of the three distribution companies to Gridco, which holds a 49 percent
stake in the companies.
The principal secretary in the state's department of energy has been directed
to provide the necessary supervision.
The commission in its order found the financial conditions of the three licensees
in such a state that they were unable fully and efficiently to discharge the
duties and obligation imposed on them by their licence as such. They had posted
huge cumulative losses and were staring at a negative net worth.
But the commission clarified that the decision was interim.