Mumbai (Maharashtra) [India], Feb 1 (ANI): Tata Power said on Monday it has received a letter of intent from the Odisha Electricity Regulatory Commission (OERC) for distribution and retail supply of electricity in five circles of North Eastern Electricity Supply Company of Odisha (NESCO) constituting areas of Balasore, Bhadrak, Baripada, Jajpur and Keonjhar.
Tata Power will hold 51 per cent equity with management control and the state-owned Grid Corporation of Odisha (GRIDCO) will have the remaining 49 per cent equity stake in the company, according to conditions of the bid documentation.
With inclusion of additional distribution utility of Odisha, Tata Power will now serve the entire population of Odisha with nearly 90 lakh consumers experiencing uniform processes and synergies in operations.
The expansion will enhance Tata Power's consumer base to nearly 1.2 crore from the present 96 lakh across Mumbai, New Delhi, Ajmer, central, southern and western parts of Odisha.
"We are committed to provide reliable, affordable and quality power supply along with superior customer service, backed by innovative technology," said CEO and Managing Director Praveer Sinha.
"We are thankful to the Odisha government and OERC for giving us this opportunity and reaffirming Tata Power's commitment of 'Lighting up Lives' for the people of Odisha," he said in a statement.
With this takeover, the company's distribution circles will expand to NESCO with geographical spread of more than 27,500 sq km and serve over 19 lakh consumers with annual input energy of 5,450 million units.
It will manage a network of more than 90,000 circuit kilometres for a license period of 25 years.