The Naresh Chandra committee has chalked out a four-pronged strategy to resolve the ongoing Dabhol imbroglio. The strategy envisages the de-dollarisation of the offshore lenders’ debt of $1,044 million, excluding the loan by the US government-promoted Overseas Private Investment Corporation (Opic).The Indian lenders with an exposure of over Rs 6,200 crore in the troubled Dabhol Power Company (DPC) would form a special purpose vehicle (SPV) to take over the offshore debt.Secondly, Opic would float tenders for the sale of equity of 65 per cent held by the beleaguered Enron through Enron Mauritius and thereby select the new sponsor of Dabhol project, the Chandra formula envisages. Thirdly, the new sponsor is expected to settle the $120 million each of equity held by GE and Bechtel and also their contractual claims of Rs 650 crore. It would also take over MSEB stakes and thereby achieve 100 per cent control of Dabhol assets. Lastly, the new sponsor would involve GE and Bechtel for the commissioning of Dabhol Phase-I (658 MW) which has been closed since May 29, 2001 and also for the completion of Dabhol Phase-II (1,444 MW) which is 93 per cent complete.Sources said that the Chandra committee, which has been holding a internal meetings to pursue its strategy, has pointed out that the SPV, after taking over the debts of offshore lenders, would float privately placed bonds at the lowest rate of interest of 4.9 per cent.
