Thumbs down to tariff hike

Consumers belonging to all categories were unanimous in their opposition to the proposed tariff hike proposed by the Mangalore Electricity Supply Company (Mescom) on Friday in Mysore.

Those who made their representations during the first half of the one-day sitting by the Karnataka Electricity Regulatory Commission (KERC) resented the inadequate replies the Mescom furnished to the objections filed before the KERC opposing the tariff hike.

Among those who urged the KERC not to allow Mescom to raise the tariff included an official of a state government department "" the chief engineer of the minor irrigation department. This made the chairman remark: "It (Mescom) is a government company. You are a government department. You own the company. Why don't you run it properly?"

In his lengthy argument before the three-member KERC, presided over by K P Pandey, the chairman, former MLA A Ramadas urged the KERC to direct Mescom to first place before it a white paper on the implementation of the 27 directions the KERC had given to the Escoms when the tariff revision was done last year.

"This is not a tariff commission. KERC is meant to protect the interests of all the power consumers in the state," Ramadas emphasised.

The former MLA and the BJP Dalit Morcha brought to the attention of the KERC that Mescom in Mysore had failed to collect power consumption charges for 20 years from 4,000 consumers in Asokapuram, a predominantly SCT area.

"Now suddenly, Mescom is demanding Rs 60 lakh from the residents, imposing a heavy and unjustified burden on them. They should be allowed to pay their dues in instalments," demanded Morcha leader Visweswar, who also opposed rise in LT-1 and LT-2 category power rates.

LT-1 and LT-2 consumers, numbering around 2.25 lakh and 22.42 lakh respectively. They comprised household connections, Bhagya Jyothi and Kuteera Jyothi beneficiaries, and small merchants.

Ramadas and Hebbal Industries Association general secretary Suresh Kumar Jain pointed out that almost all the reservoirs were full, resulting in an increase the hydel-power generation, reducing cost power production.

Jain, hence appealed to the commission to direct the Escoms to review the power generation situation in view of the good monsoon and come before the KERC with a fresh proposal after a month or two.

On the other hand, Ramadas insisted that there was no need for a tariff hike as hydel power generation was cheaper and if it produced power to its capacity, it could reduce the expected Rs 351 crore loss.

If the Escoms took steps to genuinely cut down T&D losses, took power from the central grid made at free and concession rates during the night, took loans at a concessional rate and cleared the ones committed with higher rates of interest, improved rural collection, they could not only wipe out their losses, but could make profits also, he said, demanding the rejection of tariff hike proposal in toto.

The Kodagu district small growers association said the present power rate was discriminatory for plantation crops.

"While coffee and tea estates are charged heavily, areca and coconut enjoyed lesser tariff. Coffee estate owners are already suffering Rs 7,000 loss per acre. So, the rate should be on a par with areca and coconut plantations," the association demanded.