Bhubaneswar, Dec 4 (LocalWire): Tata Power, India’s largest integrated power utility, today announced that it has received the Letter of Intent (LOI) from the Odisha Electricity Regulatory Commission (OERC) for the distribution and retail supply of electricity in five circles of WESCO consisting of Rourkela, Burla, Bhawanipatna, Bolangir, Bargarh and six circles of SOUTHCO consisting of Ganjam City, Berhampur, Aksa, Bhanjannagar, Jeypore, and Rayagada.
Tata Power will hold 51 percent equity with management control and the State-owned GRIDCO will have the remaining 49 percent equity stake in the company.
The license enables Tata Power to serve the consumers of Western part (WESCO) and Southern part (SOUTHCO) of Odisha with geographical spread of more than 47,000 sq. km each and will manage network of more than 100,000 ckt km each.
The license period is 25 years. While WESCO serves close to 2.0 million consumers with annual input energy of 7520 MUs, SOUTHCO serves close to 2.3 million consumer with annual input energy of 3470 MUs.
With the addition of both the discoms, Tata Power’s consumer base will reach 10 million consumers from the present base of 5.7 million across Mumbai, Delhi, and central parts of Odisha and Ajmer.
The company will retain all the existing employees of WESCO and SOUTHCO and their service conditions shall continue as per their existing policy structure.