Vidarbha consumers seek Sonia intervention for cheaper power

Industry and trade associations in the region have appealed to Congress president Sonia Gandhi to direct the Maharashtra government to extend cheaper power to consumers in Vidarbha.

"We appeal to Congress president Sonia Gandhi to ponder over our genuine and just demand as this is a 'now or never' situation in Vidarbha .... Please give us differential power tariff before the code of conduct comes into force," a joint statement issued by the associations and released at a press conference here said.

"It must be clear to political parties that ultimately the party to govern the state will have to depend on the verdict of Vidarbha people," the statement further added. Sonia is to visit the region during the week.

The statement has been signed by Vidarbha Industries Association (VIA), MIDC Industries Association (MIA), Hingna, Nag-Vidarbha Chamber of Commerce (NVCC), Butibori Manufacturers' Association (BMA), Vidarbha Plastic Industries Association (VPIA), Kalmeshwar Industries Association (KIA), Steel & Hardware Chamber of Vidarbha (SHCV), Nagpur Citizens Forum and MIA, Chandrapur.

VIA president Mohan Agrawal said that the cheaper power issue is not of industry and trade alone but of the 2.5 crore people of Vidarbha. He said that the rates should be brought down by at least 15 per cent or 46 paise per unit for all types of consumers in the region.

Electricity produced at the thermal power stations in Vidarbha, which is 44 per cent of the total electricity produced in the state, is carried to far-off destinations outside the region. In this process, transmission & distribution (T&D) losses occur which are estimated at 12 per cent.

The power plants in Vidarbha generate 4,318 mw of electricity, of which 2,000 mw is consumed in the region. The remaining 2,318 mw goes to consumers outside the region. This totals up to 13,649 million units per year. Calculating at 12 per cent, the T&D loss incurred on supplying 2,318 MW comes to 1,637 million units per year.

This, in money terms, is equal to Rs 548 crore per year. This amount would be equivalent to what the government will have to bear when it makes power cheaper by 15 per cent for consumers in Vidarbha, Agrawal said.

The government should give this amount as subsidy or adjust it against the backlog of Vidarbha which stands at a staggering Rs 50,000 crore, he said.

Cheaper power will lead to industrialisation and economic prosperity of the region, he said. At present, Vidarbha has nothing to attract industrialists who, therefore, prefer to invest in regions closer to ports.

Also present were MIA president S Ramalingam, NVCC president B C Bhartia, BMA secretary Hemant Ambaselkar, VPIA president B B Sariya, SHCV president Sanjay Agrawal and former VIA president Suresh Agrawal.