Sparks fly over power purchase, DMK MLAs evicted

Electricity Minister denies irregularities in agreements with private producers

Updated - April 07, 2016 02:58 am IST

Published - December 06, 2014 03:14 am IST - CHENNAI:

DMK MLAs, led by M.K. Stalin and S. Durai Murugan, come out of the Assembly on Friday after they were evicted. Photo: G. Sribharath

DMK MLAs, led by M.K. Stalin and S. Durai Murugan, come out of the Assembly on Friday after they were evicted. Photo: G. Sribharath

The DMK MLAs were evicted from the Assembly on Friday after a debate on the alleged loss to the exchequer in power purchase from private companies turned into a DMK-AIADMK duel.

Replying to a calling attention motion by the Opposition on the issue of “exorbitant rates” agreed upon in Power Purchase Agreements (PPA) with private producers by the Tangedco, Electricity Minster Natham. R. Vishwanathan defended the policy and denied any irregularity.

Mr. Vishwanathan said that while the DMK was crying foul over the rate at which power was being bought, it was the Karunandhi government between 1996 and 2001, which had entered into agreements with the four private producers in question.

The Minister said that only 3.22 per cent of the total consumption was being met by power bought from high-cost independent producers. Even in this purchase, the Tangedco was following the Merit Order Despatch (MOD), whereby power available at a lower rate was exhausted before looking at drawing high-cost power.

He said the plants under question were petroleum products-based generators with high input costs, and hence the government was paying Rs 12.50 per unit. He denied the charge that the government had not complied with the order of the Tamil Nadu Electricity Regulatory Commission (TNERC) that had fixed a particular rate for power purchase. The TNERC had to be informed if power was purchased at a higher rate, and there was no bar on such a purchase.

However, the debate soon turned into a face-off after Mr. Vishwanathan referred to the previous DMK government as the “minority DMK government.” On his feet immediately, DMK treasurer M.K. Stalin made a gesture towards the vacant seat traditionally occupied by the Chief Minister. His remarks were later expunged.

After Mr. Vishwanathan said Mr. Karunanidhi did not know the rules of power purchase despite being Chief Minister for five terms or he was making allegations with a malicious intent through statements, the DMK members went to the well and confronted Speaker P. Dhanapal, demanding that the remarks be expunged.

Minutes later, the Speaker ordered the guards to evict the DMK members, accusing them of hindering the conduct of the proceedings.

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