State

OERC cancels Licences of Three Discoms

Bhubaneswar, March 04: In a big blow to the three power distribution companies (discoms) managed by the Reliance Energy Limited (REL), the Odisha Electricity Regulatory Commission (OERC) on Wednesday canceled the licences issued to WESCO, NESCO and SOUTHCO.

The strong action was taken after the regulatory commission expressed dissatisfaction over the performance of these three discoms in the state.

Besides this, the OERC appointed the Chairman and Managing Director of Grid Corporation of Odisha (GRIDCO) as the administrator of these three companies with immediate effect to manage the setups.

However, the GRIDCO officials will not lose their jobs with this move. But, the employees of Reliance including their CEO will be terminated.

The three power distribution companies were under the government scanner for failing to deliver their duties and obeying the OERC directives. Reviewing the performance records of the discoms, the commission finally cancelled the licences of these firms managed by the Reliance.

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