Congress accuses Mahayuti of favouring Adani in power deal as term nears end

Jairam Ramesh/ File Photo

On Monday, the Congress attacked Maharashtra's Mahayuti administration for awarding a significant power supply contract to the Adani Group. The state will receive 6,600 MW of combined renewable and thermal power under the terms of the contract. Congress questioned if this action would increase the burden on consumers through higher electricity tariffs, reported PTI.

According to the report, Jairam Ramesh, Congress General Secretary in charge of communications, accused the administration of supporting the Adani Group just as its tenure was drawing to a close. He referred to the deal as part of a "Modani enterprise" and expressed worry about the absence of competition in the bidding process.

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"Here are 5 questions for the non-biological PM on his new joint venture. Is it not true that the terms and conditions of the tender issued by the Maharashtra Government for bids on 1600 MW thermal and 5000 MW solar on March 13, 2024, were modified from the Standard Bidding Guidelines to minimise competition?" he said in a post on X.

"The tariff for the 1600 MW coal power is roughly Rs 12 crore per MW, at a time when Adani has itself contracted with BHEL for less than Rs 7 crore per MW, and other providers such as NTPC/DVC/Neveli Lignite Corporations are implementing large thermal projects at Rs 8-9 crore per MW," he said.

Reportedly, he questioned whether the Rs 28,000 crore project would be fully funded by Maharashtra government-controlled agencies.

He also attacked the Adani Group's solar power rate of Rs 2.7 per unit, which is more than other providers' rates of Rs 2.5 per unit. This could result in increased tariffs for the state's 2.7 crore consumers.

"Tariffs for solar power are in the Rs 2.5 per unit range but Adani Green will be supplying power at Rs. 2.7 per unit? These revdis (freebies) distributed to the Adani Group will put a heavy burden of tariff on the 2.7 crore consumers in the state of Maharashtra?" Ramesh said.

Adani's bid for the 25-year deal was around Rs1 per unit less than Maharashtra's existing electricity procurement pricing. According to the PTI report, this agreement will assist the state fulfil its future energy needs, with deliveries set to begin 48 months after the award date.