DPC likely to serve notice in 2-3 weeks

Sanjay Jog

Mumbai, April 30: THE state government expects the Dabhol Power Company (DPC) to serve the preliminary termination notice to the Maharashtra State Electricity Board (MSEB) within next two to three weeks. Or else, the government expects the notice to be served if the proposed renegotiations by Madhav Godbole committee fail to find out an acceptable solution to the parties involved in the project.

sources said that the government was of the view that the DPC, which is under severe pressure from the foreign lenders, would serve the preliminary termination notice within two to three weeks to the MSEB. The DPC would like to coincide it with the renegotiation exercise to be commenced by the Madhav Godbole committee from next week.

The government, in view of severity of the ensuing crisis, on Monday launched the fire fighting exercise. The state finance minister Janyat Patil held a stock taking meeting with the government officials and it is expected that the chief minister Vilasrao Deshmukh would soon to hold a crucial meeting to decide future course of action.

The DPC was non committal on the issue of serving termination notice. Neither the company gave its reaction on the formation of Madhav Godbole renegotiation committee. The DPC spokesperson Jimmy Moga reiterated that the company has nothing to offer at this juncture. The state finance minister Jayant Patil closeted with the principal secretary (finance) Anupam Dasgupta, MSEB chairman Vinay Bansal and principal secretary (energy) Vinay Mohan Lal.

The state government officials and MSEB chairman are believed to have painted a bleak picture before the minister in the wake of DPC board’s decision to authorise the Enron India managing director K Wade Cline and DPC president and chief executive officer Neil McGregor to serve the preliminary termination notice to the MSEB.

The meeting is believed to have discuss at length the repurcussions of the preliminary termination notice both on the MSEB and the state government.