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Tuesday, 2 August 2011

Power tariff hike on the anvil

http://www.tripurainfo.in/admin/ArchiveDet.aspx?WhatId=9976 

Agartala, Aug 02, 2011 : The Centre’s latest guidelines would make it unavoidable for the state government and Tripura State Electrical Corporation Ltd to effect a hike in power tariff, said Tripura Power Minister Manik Dey .

According to the Centre’s policy guideline, an annual tariff petition, consistent with the Centre’s policies on power, will have to be submitted to the regulatory commission with details of expenses to be incurred in power generation in the next year and statement of expenses on expansion of network. When the fuel price will rise, the regulatory commissions will also effect a corresponding hike in power tariff.

In case any state government intends to subsidize the power tariff, the amount of total subsidy will have to be deposited in advance with the regulatory commission.

The Centre has also directed the states to bring down transmission loss significantly. “We have been directed to reduce transmission loss to 15 per cent. In our state, transmission loss currently stands at 31 per cent,” Dey said.

Besides, the state power department and the Tripura State Electrical Corporation Limited (TSECL) have been directed to constitute special police courts to bring to book people accused of power theft leading to transmission loss. “We have constituted a state vigilance squad and eight police courts in compliance with the Centre’s directives,” Dey said.

He voiced the state government’s opposition to the Centre’s policy of running power supply system in urban areas on the basis of public private partnership (PPP) model. “We feel PPP models should not be introduced in the vital sector of power as it may tell upon the interests of consumers in the rural areas,” he said.

He however expressed satisfaction over the revised guideline of Centre for implementation of accelerated power development and reforms programme (APDRP) where Centre gives financial assistance for power line expansion and repair in areas having population strength between thirty and fifty thousand.

'The stipulation over population strength resulted in deprivation of the larger part of Northeast of the benefit of the scheme; recently the Centre has decided to bring down the required area-wise population strength to five thousand and that will help us ; we have asked for a sanction of Rs 4 hundred crore for implementing the scheme in Tripura' said Dey.

He blamed serial hikes in the rates of natural gas by Centre for increasing losses suffered by TSECL. 'There has been hike in the gas price of 117 percent during 2009-2011 and 95 percent of our power generation is based on natural gas ,hence our position is really tight; if all subsidies are done away with by Centre the people will suffer in the coming days' said Dey.

He also opposed the Centre's directive to all regulatory commissions to keep accounts up-to-date on a yearly basis. 'According to the directive issued by Centre all corporations are required to place up-to-date accounts of a bygone financial year latest by September in the next financial year; it is always not possible and we will request Centre to give limited relaxation on the issue' said Dey.

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