CERC is likely to tone down Deepak Parekh panel recommendations. Analysts expect increase for Tata Power to be around 25 paise per unit.
The brokerage house feels Deepak Parekh Committee report if approved will be a big positive for the company. 50 paise/kWh compensation will add Rs 17 per share plus value for Mundra, says CLSA.
The Deepak Parekh panel had recommended a compensatory tariff of 45-55 paise for its 4,000 MW Mundra plant and a tariff increase to the tune of 60 paise for its 4,620 MW Mundra plant.
SK Goel, CMD of IIFCL said the company is starting the credit enhancement facility whereby it is starting the first project which will guarantee bonds in market. However, he feels the product being a new one will take some time to settle in the market.