Power Dept charges reduced tariff
Source: The Sangai Express

Imphal, January 14 2013: Even as Electricity Department has been supplying power to the consumers at the rate of Rs 9.75 per unit, it is collecting only Rs 4.20 per unit as power bill thereby incurring a loss of Rs 5 for every unit of power.

Sources informed that the accumulating deficit was discovered while assessing the department's assets by SBI Caps as a part of the Government's initiative to convert Power Department into a corporation.

On the other hand, the State Government has been spending Rs 15 crores every month in purchasing power.

The department's assets were assessed after hiring four consultants by SBI Caps.

According to their findings, power was made available to consumers at Rs 8.25 per unit last year but power tariff collected from consumers was much lower.

This year the department is supplying power at the rate of Rs 9.75 per unit.

Meanwhile, SBI Caps has calculated that the department has assets worth Rs 125 crores in transmission system and another Rs 270 crores in distribution system.

Though the department does not generate any power, it has assets worth Rs 20 crores in generation system.

Regarding the ongoing works, the department has assets worth Rs 225 crores in transmission and Rs 280 crores in distribution.

It further estimated that transmission and distribution systems need further development at the cost of Rs 600 crores and Rs 700 crores respectively.

It also suggested that transmission and distribution systems would be entrusted two separate companies if the department is made into a corporation.

The report submitted to the State Government by SBI Caps has been forwarded to Aizawl based Joint Electricity Regulatory Commission for its comment.

The State Government would take a definite decision on the matter after receiving the Commission's report.

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