The Madhya Pradesh State Electricity Board (MPSEB) may make a fresh proposal for another hike in the power tariff to an extent of 25-30 per cent from April 2002 before the State Power Regulatory Commission, sources have informed.
If implemented, this would be the second tariff hike in this fiscal. The state electricity board had increased the tariff by 40 per cent in October, (effectively 18 per cent for domestic consumers). However, the board is waiting the high court's decision on another proposal submitted in 1999.
The sources also said the new proposal was a result of the pact signed between Asian Development Bank and the MPSEB. The board has been granted a $350 million loan, which will be used for its restructuring.
Also, according to the pact, the MPSEB would increase the power tariff thrice during 2001-2004. However, MPSEB chairman S K Dasgupta was not available for comment.
The board is making all preparations to submit the proposal before the commission for timely implementation, the sources said. It would not spare domestic consumers, they said adding, yet another hike was likely in 2003.
In order to check power pilferage, the MPSEB has decided to discontinue low-transmission lines from irrigation areas of the state.
The state has 10 lakh permanent irrigation pump connections while the number of temporary connections is 3 lakh (all 3-5 hp capacity). However, the number of illegal irrigation pump consumer is more than five lakh, the sources said. The decision has been taken as per the guidelines issued by Asian Development Bank.
