The proposal to cancel licences of the Reliance-backed power distribution companies – BSES BYPL and BSES BRPL – is not new. The Delhi Electricity Regulatory Commission had put the discoms on notice in November 2011 itself, reveals a letter from DERC to the Delhi Power Department.

According to the letter dated February 5, the DERC had issued the notice to the two BSES discoms on November 25, 2011, for suspending their licences after power suppliers NTPC, NHPC and DVC along with the Delhi Government-owned Transco, IPGCL and PPCL complained about non-payment of dues. “The notice was challenged before the electricity tribunal on the grounds that the discoms’ reply was not considered and the tribunal has remanded back the case to DERC to examine the affidavit submitted by the discoms,” says the DERC letter.

A Power Department official said the ongoing proceedings with the BSES companies were in continuance with the 2011 notice. “The vital issue remains the same: BSES’ inability to clear its dues pending with the transmission and generation companies, and the threat of blackouts in Delhi as a consequence,” the official said.

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