Stakeholders of RGPPL (Ratnagiri Gas and Power Private Limited) have agreed to its demerger at a meeting held on Saturday in New Delhi. Sources said while Power Finance Corporation (PFC) opposed the move, RGPPL is likely to get the approval of the Delhi High Court as the proposal has majority support.
According to a source, PFC, which had loaned Rs 1,200 crore, has alleged that it has not been receiving its share of repayments from Dabhol and should have been paid a larger sum of money from the company. “PFC has said while other lenders have been receiving repayments proportional to their exposure, it has not got its fair share,” he explained.
PFC had sought its loans to be part of the LNG plant post demerger. According to lenders, PFC had put a dissent note against demerger to the RGPPL board. “They have a nominee on the board who has conveyed the company’s disagreement to the scheme if its loan is not made part of the LNG plant as well,” a lender had told FE.
The plan was to hive off the LNG unit into a separate special purpose vehicle (SPV). It envisages the hiving off of the 5 mtpa LNG re-gasification plant into a separate SPV.
Meanwhile, the long-term PPA between RGPPL and Indian Railways is stuck owing to disagreement over price per unit of power. While RGPPL and lenders has agreed to sell power at Rs 5 per unit, Railways said it will not pay more than Rs 5 per unit including the state and central transmission charges.