Question : MAHARASHTRA ELEKTROSMELT LIMITED

(a) whether Maharashtra Elektrosmelt Limited (MEL) a subsidiary of the Steel Authority of India Limited (SAIL) located at Chandrapur, Maharashtra is producing high quality Manganese based on Ferro Alloys in the country;

(b) if so, whether power is the main raw material for the MEL;

(c) if so, its total requirement of power and the quantity of power the MEL is getting from Maharashtra Electricity Board (MSEB) and the quantity the MEL is producing in its own plant and the rate at which the power is being supplied to MEL by MSEB;

(d) whether the management and workers of MEL have requested for permission to install a 24 MW captive power plant for the requirement of MEL;

(e) if so, the details thereof; and

(f) the decision taken by the Government in this regard?

MINISTER OF STATE IN THE MINISTRY OF STEEL (SHRI BRAJA KISHORE TRIPATHY)

(a) Yes, Sir.

(b) Power is the main input for Maharashtra Elektrosmelt Limited (MEL).

(c) The total requirement of power in MEL is 280-300 million units per annum Contract demand with Maharashtra State Electricity Board (MSEB) is 45 MVA (Average Load : Approx. 40 MW). Out of this MEL gets 270-280 million units per annum (40 MW) through MSEB and 1.6 MW approx. from own power generation. The average power tariff from MSEB has been/is Rs. Rs.3.50/KWH upto 31.12.2002 including Transmission & Distribution (T&D) losses and Rs.3.20/KWH from 1.1.2003 to 30.6.2003 after temporary withdrawal of charges towards T&D losses in Chandrapur area.

(d)to(f): MEL had made a request to Govt. of Maharashtra for issuance of `No Objection Certificate (NOC)` for installation of power plant at MEL. However, the request for permission for installation of captive power plant has not been acceded to by the Govt. of Maharashtra.