JOIN USSpeaking to reporters here on Tuesday, he accused the government of backing away from an inquiry and said that he is ready to discuss the issue in the Assembly. He alleged that there was no real necessity to purchase power and the decision was taken with the only intention of favouring the private power producers.
A ten-year contract entered into with sugar companies in 2004 provides that the government had to pay Rs 2.80 per unit of co-generation power, with a hike of two percent every year, for ten years. Going by these terms, power should not have been purchased at more than Rs 3.20 per unit, he claimed.
“The government has spent Rs 502 crore for power purchase paying Rs 6.50 per unit. What other reason does the power minister want to order an inquiry,” he questioned.