Ratnagiri Gas and Power Private Limited (RGPPL) is a Subsidiary of NTPC Limited. The company was established as a JV between GAIL and NTPC to take over and revive the assets of the defunct Dabhol Power Company.
History
The Ratnagiri Gas and Power company was made by the Government of Maharashtra and Government of India in 2005 to rescue the controversial and nearly defunct Dabhol power company, a gas powered electricity provider owned by Enron Corporation. In 1992, Enron Corporation signed a deal to build a gas powered power station along with integrated LNG terminal at Dabhol, from which the government of Maharashtra would purchase electricity for 20 years. The project remained controversial from the beginning, mostly due to the high cost of electricity (more than 2,000 times what the government was paying per unit for hydro electricity) and corruption at the highest levels.[1] Despite protests, the project was built and began producing electricity in 1998. The Godbole committee report in 2001 presented a scathing criticism of the project and its terms.[2] The plant stopped production in 2001 when the government could not pay for its electricity costs.