Tata Power has today acquired 51% equity stake each in TP Southern Odisha Distribution Limited (TPSODL) and TP Western Odisha Distribution Limited (TPWODL) for a consideration of Rs 127.5 cr and Rs 255 cr. Tata Power holds 51% of equity with management control and GRIDCO Limited (GRIDCO) will hold a balance 49% equity stake each on TPSODL and TPWODL.
TPSODL was incorporated on 25th Dec 2020 as a wholly owned subsidiary of GRIDCO to carry out the business of SOUTHCO Utility. The Honorable Odisha Electricity Regulatory Commission (OERC), vide its Vesting Order dated 28th Dec 2020, has vested the license to TPSODL to carry out the function of distribution and retail supply of electricity covering the distribution circles of Ganjam City, Berhampur, Aksa, Bhanjannagar, Jeypore and Rayagada in the state of Odisha for a period of 25 years effective 1st Jan 2021.
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TPWODL was incorporated on 30th Dec 2020 as a wholly owned subsidiary of GRIDCO to carry out the business of WESCO Utility. OERC, vide its Vesting Order dated 28th December 2020, has vested the license to TPWODL to carry out the function of distribution and retail supply of electricity covering the distribution circles of Rourkela, Burla, Bhawanipatna, Bolangir and Bargargh in the state of Odisha for a period of 25 years effective 1 st Jan 2021.
With this takeover, the companys distribution circles will expand to the western (TPWODL) and southern part (TPSODL) of Odisha with geographical spread of more than 47,000 sq km each. It will manage a network of more than 100,000 CKT. KMs. each for a license period of 25 years. With the inclusion of two additional distribution utilities, Tata Power expands its consumer base to 9.5 million from the present base of 5.2 million across Mumbai, New Delhi, Central part of Odisha and Ajmer.
Tata Power management said that It is a proud moment for the company as the company has ushered in the new year by commencing operations in WESCO and SOUTHCO in the State of Odisha. Tata company is committed to provide reliable, affordable and quality power supply along with superior customer service. Tata Power is thankful to the Odisha Government and OERC for giving us this opportunity and reaffirm Tata Powers commitment of Lighting up Lives for the people of Odisha.
Courtesy – MSN