By Bizodisha Bureau, Bhubaneswar, July 26, 2019: Truant monsoon has virtually forced the Odisha government owned bulk power buyer and trader Gridco Ltd to source power from energy exchanges as deficient monsoon rainfall has drastically brought down generation of cheap hydro power drastically.

Peak power demand in Odisha during this year’s summer months has already shot up to more than 4000 MW.

Odisha normally gets good rains during July-August which helps hydro power generation reach its peak. This year there has been an aberration and the scanty rainfall has sparked fears of drought in many districts, especially those in the state’s western part.

Gridco is virtually compelled to consistently buy 300-400 Mw power from the energy exchanges to meet the state’s requirement in the peak hours, officials said. Gridco’s buying spree from the spot power exchange will continue unless the monsoon gains momentum.

However, power will be made available to the state grid from two supercritical units of state owned Odisha Power Generation Corporation (OPGC) commissioned recently. Gridco has a firm power purchase agreement (PPA) spanning 25 years with OPGC for uptake of 1320 Mw (2×660) power. One 660 Mw unit has achieved Commercial Operation Date (COD) and is expected to feed power to the state grid shortly after reaching stability. Gridco is banking on the second expanded unit of OPGC to accomplish COD.

Besides OPGC, Gridco is hoping to get 800 Mw as the state’s share from NTPC’s upcoming 1600 Mw super thermal power station at Darlipalli near Sundargarh. Availability of power from OPGC and NTPC will put Odisha in a comfortable power surplus position.

The state had entered into power banking arrangement with northern states to meet the burgeoning demand. Under this extended swap arrangement, Odisha is mandated to return power to the benefactor states during peak monsoon season when its reservoirs are full.