Daijiworld Media Network - Udupi (SP)

Udupi, Oct 11: Udupi Power Corporation Ltd (UPCL) which generates power at its plant near Nandikoor, Padubidri by using coal has suspended power generation since the last two months. The company reportedly faces the problems on coal procurement and it also faces financial problems. As the imported coal which it uses as fuel has witnessed a three-fold jump, the company has not procured coal recently, it is said. Currently, the district is getting power diverted from other districts.

UPCL has two generating units with 600 mw capacity each. As the state has received good rainfall and there is good wind power generation, demand for coal-based electricity has come down, it is said that the government buys power from UPCL only when there is shortage in the state.

The state government has to pay Rs 2,800 crore towards dues in respect of power purchased from UPCL till now, it is learnt. On this amount, it has to pay interest too. Although most of the coal-based generation is done with indigenous coal, UPCL depends on imported coal for power generation which has also posed a problem along with the issues inherent to the pandemic-related problems.

Mescom officials say that power is now being supplied from outside to coastal districts and therefore there is no need for load shedding or power cut for the present.