Balco strike called off
New Delhi: The protracted Balco strike has been called off, and workers will resume work from Wednesday. This follows a signing of an agreement with the management, which includes a two month wage in advance, to be adjusted against salary later, no retrenchment, retention of existing services rules and conditions, no victimisation, a quick wage revision, and a VRS scheme for office staff and workers.
The workers had gone on strike protesting the divestment of government holding in Balco to Sterlite, for Rs 551 crores.

The Chattisgarh government also came in for censure from the Supreme Court, which found fault with it for being discriminatory on the issue of the land deed with Balco. While the Chattisgarh government had gone ahead with cancelling the land deed with Balco, on the grounds that it was tribal land and could not be leased to private enterprise, it had permitted two other private companies, Daewoo Power and Essar Steel on similar land. The state government maintained that notices would be sent to these two companies as well.
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MSEB to levy penalty on DPC on non-delivery
Mumbai: The Maharashtra State Electricity Board is all set to slap a Rs 1,140-crore penalty bill on Dabhol Power Company, for failing to meet its commitment.

As per the power purchase agreement signed between the MSEB and Enron, DPC is obliged to generate full load capacity within three hours after the 'cold start', or pay penalty for any failure, the cumulative sum not exceeding the annual capacity charge of Rs 1,140 crore paid by MSEB to DPC. If the DPC achieves only a part of the declared capacity, that capacity is taken as the capacity available over the previous 14 days.

DPC had failed to achieve the capacity within the stipulated time on three occasions, in January, February and March. Accordingly, it is due to pay a penalty of Rs 1,140 crores, which is inclusive of the Rs 401 crores penalty slapped on it for the January lapse, now under international arbitration.

MSEB is of the view that since it bears a steep capital cost of Rs 94 crore per month, it is entitled to the full load capacity as required, and DPC has to pay for its non-availability.
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