Tuesday, April 17, 2012

CSEB’s division cost dear to public: Sharma


Raipur, April 17, 2012

Senior Congress leader Satyanarayan Sharma has held the power companies responsible for proposed hike in power tariff. “The division of Chhattisgarh State Electricity Board (CSEB) has cost dear to the common people,” he said in a long letter written to Chief Minister Raman Singh on Tuesday.
Demanding reduction in number of power companies in state, he said there was no need to constitute five companies citing section 31(2) of Electricity Act 2003 which says that the state can have even one company. 
“The condition of power companies was already worst in Delhi, Karnataka, Maharashtra, Rajasthan, Andhra Pradesh, Haryana, Uttar Pradesh, Madhya Pradesh, West Bengal, Gujarat and Assam. However, the Chhattisgarh government did not take lesson from these states while dividing CSEB into five power companies,” he said.
“Even the electricity-related permanent committee in the parliament has recommended in its report that formula of privatisation of electricity board in Delhi should not be adopted in any other state of the country. While Chhattisgarh government ignored this recommendation, the states like Tamil Nadu, Kerala, Punjab and Himachal Pradesh adopted such alternatives which helped them to operate the power companies smoothly. In these states, the electricity board were divided into less number of power companies,” he said.
He pointed that the five power companies in Chhattisgarh were running at Rs 943 crore loss and alleged that the government wanted to compensate the loss by hiking power tariff.
He asked how the profit-gaining CSEB turned into a loss-incurring power companies. He further said that the state did not require power trading company. “Besides Chhattisgarh, only Madhya Pradesh has power trading company but it is worthy there as the state has three distribution companies. While in Chhattisgarh, the power trading company is worthless. It is also indebted by Rs 160 crore,” he said.
He also cited recent report of VK Sanglu committee constituted by Planning Commission of India that said distribution companies were running at loss. “Even the Reserve Bank of India (RBI) has asked the banks to stop financing distribution companies,” he added.
He urged the CM to take quick step to save deteriorating power system in the state.

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