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Low Cost Power from Power Exchange But What About Reliability ?

News 

In a bid to reduce cost of electricity in the capital, Delhi government has written to Union power minister Piyush Goel proposing to permanently surrender 2,255MW, the bulk of its allocation, provided by 11 central government power plants.

Source ET

SNP Insight

In order to cut down the  tariff , procuring power via short term and medium term markets could be temperory make out solution for the Delhi Government. But, might raise question mark on the reliability of power. Additionally, this step could prove to be a dampner to the fate of generation companies troubling their fixed quantum of power offtake.

Source : SNP