Bihar owes Rs 1369 crore to NTPC while West Bengal owes it Rs 715 crore. Speaking to TheIndian Express, the Chairman and Managing Director of NTPC, Rajendra Singh said, ``We have not heard from West Bengal. But Bihar has agreed to pay Rs 50 crore right away. We will hold further talks with the state government regarding the rest of the dues.''

As long there is power in the grid, these states will continue to draw from it. NTPC has already stopped generation from the 1600 MW Farakka Thermal Power Station. This station supplies power to thegrid which feeds these states. But figures indicate that the states are not too worried about the situation. Currently the frequency of power being supplied through the grid is 51 hertz. This indicates that there is enough power in the grid to feed the demand. There will be problems only if the frequency falls below 48 and the grid trips. But this will occur only when all supply to the grid is stalled. But this is unlikely to happen. NTPC does not supply the power directly but through the Eastern grid. Since it is committed to giving power to other states in the region it can't stop all supply to the region.

Sources admit that the threat is of little consequence and say that the states know it too. The states are taking advantage of this situation. It is for this reason that West Bengal is choosing to ignore the threat. Observers feel that the states are looking for a political and not a fiscal solution to this problem. This would put NTPC is a soup.

The Eastern Region owes Rs 2927.31 crore to NTPC whichincludes Rs 876.80 crore as surcharge for delayed payment. The Eastern Region includes Bihar, West Bengal, Orissa, Sikkim and Damodar Valley Corporation. Of these Sikkim owed the least with just over Rs 10 crore owed by to NTPC. Following an ultimatum issued to Orissa last month, the state Government promised to give a bond of Rs 200 crore to NTPC.

NTPC supplies about 400 mw of power to Bihar daily, out of the 1100 mw required by the state.