Mumbai: A major turf war is brewing in Mumbai’s power distribution sector, with BEST deciding to strongly oppose Adani Electricity’s bid to enter the Dharavi redevelopment project, a move the civic utility fears could result in the loss of nearly 87,000 existing consumers and thousands more expected after the area’s transformation. BEST is also exploring possibilities to expand its power distribution network in the eastern and western suburbs soon While making efforts to retain its existing consumer base.
Currently serving around 10.8 lakh consumers, with nearly 5,500 new consumers added in the past year, BEST sees the Dharavi battle as crucial not only for retaining its existing customer base but also for securing its future growth in an increasingly competitive electricity market, a senior official said. You Can Also Check: Gold Rate in Mumbai | Silver Rate in Mumbai | Bank Holidays in Mumbai | Public Holidays in Mumbai | Mumbai AQI | Weather in Mumbai | Petrol Price in Mumbai | Diesel Price in Mumbai | CNG Price in Mumbai | LPG Price in Mumbai Stay updated with the latest Mumbai news.
“We have two objectives: prevent consumer migration from our existing jurisdiction such as Dharavi and also how to extend our scope of electricity distribution in other areas such as suburbs,” Sethi said. The stakes are high for BEST, which currently supplies electricity to the sprawling Dharavi area. Officials believe that if Adani secures the licence, a substantial portion of BEST’s consumer base could migrate to the private utility, dealing a significant blow to the undertaking’s revenue and market presence. The outcome of MERC proceedings during the next hearing could shape the next phase of competition between Mumbai’s power distributors and determine who powers the redeveloped Dharavi of the future, he added. Download the TOI App.
BEST general manager Sonia Sethi announced at the committee meeting on Monday the formation of a dedicated task force that will submit an action plan within a month to make the utility more competitive.
We have nearly 87,000 consumers in Dharavi today and the number is expected to increase substantially after the redevelopment project is completed,” he said. sources confirmed that the power utility, which has over 31 lakh consumers only in the suburbs, has applied for the distribution licence in Dharavi, which falls in the island city While Adani Electricity officials were unavailable for comment. Adani Navbharat Developers Private Ltd is the special purpose vehicle executing the Dharavi Redevelopment Project, with Adani Group holding an 80% equity stake through Slum Rehabilitation Authority.
BEST officials from the power supply wing maintained that the Dharavi redevelopment project is being undertaken by Maharashtra govt and, therefore, the state should support the civic undertaking rather than facilitate the entry of a competing utility.
Sethi said the undertaking has already submitted objections to MERC against Adani Electricity’s application for a distribution licence in Dharavi and would strongly defend its case during the upcoming hearing. BEST deputy general manager S P Makwana said that the undertaking already has a well-established electricity distribution network in Dharavi. “There is no need to create a parallel distribution system,” a senior official said.
The undertaking is exploring incentives for consumers, preparing a feasibility report and considering future applications to distribute power in Mumbai’s suburbs, including new housing societies. “If this area is given to Adani Electricity, it will be a huge loss to BEST. Makwana argued that BEST has invested heavily in the area over the years and already operates power infrastructure, including receiving stations, substations and an extensive cable network. It is learnt that BEST has also objected to plans that could result in the removal or displacement of its existing power and cable installations during redevelopment.