Indian Transport & Logistics

Indian Railways to purchase power from RGPPL for five years

Ministry of Railway
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Mar 24, 2017: Indian Railways has agreed to continue electricity purchase from Ratnagiri Gas and Power Pvt Ltd (RGPPL), for a period of five years beginning April.

"Railways has agreed to continue to purchase 500 MW power from RGPPL power plant from April, 1, 2017 for a period of five years," Power Minister Piyush Goyal said in a written reply to Lok Sabha recently.

The Maharashtra government has also agreed, in principle, for granting waiver of state transmission charges and transmission losses and also waiver of VAT on gas purchase by the RGPPL, said the statement.

RGPPL, commonly known as Dabhol project, has suffered consistent issues despite the government working on its revival from time to time.

It has also started generation of power under the scheme of utilisation of gas-based power generation capacity for 2015-16 and 2016-17, said the minister.

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