unjab chief ministerCharanjit Singh Channion Saturday approved the PSPCLs proposal to terminate GVK Goindwal Sahib (2×270 MW)Power Purchase Agreement. Subsequently, thePunjab State Power Corporation Limited(Pspcl) has issued termination notice to the company.
Meanwhile, a preliminary default notice has been served by PSPCL to GVK on Saturday for cancellation of PPA due to high power cost and falling lowest in the merit order, procurement of energy from GVK that had been restricted only within the range of 25% to 30% during most of the times of a year resulting in higher tariff of about Rs 7.52 per unit for last year.
Channi said that this step had been taken to safeguard the interest of consumers of the state by way of reducing the burden of costly power.