Tata Power jumps 7 per cent on getting nod to operate power distribution system in North Eastern part of Odisha
On Monday, India’s largest integrated power utility, Tata Power announced that it has obtained a letter of intent (LoI) from Odisha Electricity Regulatory Commission (OERC). The LoI was basically for the distribution as well as the retail supply of electricity in five circles of North-Eastern Electricity Supply Company of Odisha (NESCO), which include areas of Balasore, Bhadrak, Baripada, Jajpur & Keonjhar.
According to the documentation, Tata Power will be holding 51 per cent equity along with management control while the remaining 49 per cent equity stake in the company would be held by the state-owned Grid Corporation of Odisha (GRIDCO). As a consequence, Tata Power will now get an opportunity to serve the entire population of the state of Odisha with nearly 9 million consumers, who will now get a chance to experience uniform processes along with synergies in operations across the state. The consumer base of Tata Power will be boosted to nearly 12 million from the current base of 9.6 million consumers across Mumbai, New Delhi, Ajmer, Central, Southern & Western parts of Odisha.
Tata Power Company Limited is an integrated power company, which is striving to provide uninterrupted power supply via its various plants across India.
Tata Power's share closed at Rs 81 on Monday, which is 7.43 per cent up on BSE.