Distribution franchisee in power sector is end of state Discoms—AIPEF

“Distribution Franchisee in power sector is the beginning of end of state   Discoms in the country” said Shaliender Dubey Secretary General All India Power Engineers Federation (AIPEF).

Dubey was delivering key note address at Power Engineers Day   organised by Karnataka Electricity Board Engineers association at Bangalore on Wednesday.  S Partap Kumar MD KAVIKA presided over the function. S Sumanth Director KPTCL, R Ramakrishna Director Bescom was guests of honor.

Dubey said the Government promised light in every house in 2012 in its vision statement on power sector the path chosen by Government in the name of reforms but even today consumers in cities have not got power. Government had proposed 76000 MW of capacity addition in 11th five year plan and as per latest indications the capacity addition is not to touch even 50000 MW.

Dubey further said that in the name of reforms in power sector first it was unbundling of state electricity boards in the name of financial crisis, then privatization of power sector and now it is franchisee system.  The assets of electricity boards were sold to private companies at throw away prices in name of privatization for better efficiency in power sector.

Now the Government has proposed handing over of state electricity board’s assets to franchisee completely free for a period of 20 to 25 years. Shunglu Committee in its report submitted to Government last months has suggested franchisee in 255 cities of country; the list is based on population and power load of city and does not take in to account technical parameters of power system in city.

The Government is running power sector on vote and note policy. For votes the political parties give free power to a section of consumers and for notes it has proposed franchisee system in urban industrilised cities of country. For notes Government has allocated more than required power to Delhi and Reliance Discoms are surrendering surplus allocated power in northern grid a thousand crore a year without investing even single paise in generation.

On the same pretext DVC was given new power projects to arrange power for 15 days common wealth games in Delhi. DVC handed over the project execution to Reliance on single tender basis and till today projects have not been completed.

V Vankteshiva Reddy President KEBEA informed that Shunglu Committee has recommended 15 cities of Karnataka for introduction of franchisee. These are Banglore, Mangalore, Hubli, Belgaum, Gulbarga, Bellary, Davangere, Udupi, Raichur, Shimoga, Hospet, Dharwad, Bijapur, Bidar and Mysore.

Author: Vinod Kumar Gupta

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