Once power-deficient, MP is now biggest electricity seller

Bhopal: A few years ago, Madhya Pradesh battled power shortage while Gujarat had surplus power. Today, the situation is exactly the opposite. While Madhya Pradesh has become the largest seller of electricity in the country, Gujarat is purchasing power in large quantities. Madhya Pradesh has earned about Rs 820 crore by selling electricity so far this year.

Gujarat biggest purchaser of power from MP

In the financial year 2018-19, 220 crore units of electricity has been sold from April to September. During this period, the average price was about Rs4 per unit. In this period, Gujarat has purchased the maximum power from Madhya Pradesh. The sale and purchase is done through the Indian Energy Exchange (IEX).

MP has been one of the largest power-producing states of the country for three consecutive years. Besides MP, Punjab, Haryana, and Himachal Pradesh also electricity, but in much less quantity. On the other hand, Gujarat, Maharashtra, West Bengal, Bihar, Uttar Pradesh and states of south India are buying more power. Gujarat is buying such a large quantity of power for the first time.

Due to the increase in demand of power, electricity prices in the exchange have reached the highest level so far. There has been an increase in demand for power because of deficient rainfall in many parts of the country.

Power price peaked during Durga Puja

  • During Durga Puja celebrations, the electricity price in the exchange had peaked to Rs19.50 per unit. The biggest gainer was Madhya Pradesh.
  • The state has already earned Rs55 crore so far by selling 8.6 crore units in October, while during the same period last year, the state had sold 3.41 crore units of power for Rs15 crore.

Demand for power in MP increased in Oct

  • Due to the lack of rainfall and the festive season, the demand for power in MP has increased by 21% during October. The demand has peaked to 11,400 MW.
  • Meanwhile, power demand in the state is expected to rise, as Rabi crops will be sowed shortly and MP has received below normal rainfall.
  • At the same time, 24.71 lakh units of electricity was supplied on October 17 during Durga Puja, which is one of the highest supplies so far in a day.

 We first fulfill the state’s demand. As our capacity is very high, we save power even after fulfilling the state’s demand. The same is sold through the exchange,’

-Sanjay Shukla, MD, MP Power Management Co.

(Story: Shamsher Singh)