‘Uniform power tariff is populist announcement’
A day after energy minister, Chandrashekhar Bavankule, announced that there would be uniform power tariff for Mumbai, both activists and experts have labelled it as “a populist announcement to appease the masses”. Activists have also slammed the minister’s decision to conduct a CAG audit for Tata and Reliance power companies saying that a Delhi government case in this regard is pending with the Supreme Court.
Pratap Hogade from Maharashtra Veej Grahak Sanghatana, said, “This is the second time the government has made an announcement of uniform power tariff for the city. But no measures have been taken to implement the decision. The government will have to make provision for cross subsidy if it really wants to implement the decision. It has not made the technical part clear yet and hence, it will remain a hollow announcement.”
On the proposed CAG audit, Mr Hogade pointed out that the government had not taken any action since 2011 on the CAG audit conducted for its own power generation company. “The CAG had slammed the government for irregularities and losses in Mahagenco in 2011. But the government has not taken any action and now, it is asking for CAG audit for private electricity companies which is unfair,” he said.
Consumer activist Ashok Pendse pointed out that the AAP government in Delhi had also ordered such an audit after which, the companies moved Delhi high court and the court stayed the government order with the matter now in the Supreme Court. “It is not clear how the Maharashtra government can go for audit of private companies when one case is pending decision in the Supreme Court,” he said. Mr Pendse questioned why the same audit had not been announced for BMC-run BEST which was also a service provider for Mumbai.
Terming the announcement as “appeasement of the masses”, Mr Pendse said that the state had no right to decide tariff as per the Electricity Act. “Also, if the tariff is reduced in order to make it uniform, companies will have to get their cost from some other consumers. This might pinch the pockets of commercial or industrial consumers,” he added.