Will provide reliable, innovative power solutions to Chandigarh, says private firm picked for takeover
Eminent Electricity Distribution Limited, a 100% subsidiary of the Calcutta Electric Supply Corporation under Kolkata-based RP-Sanjiv Goenka Group, has been awarded the contract for privatisation of the UT electricity department
Amid the ongoing protests by electricity employees against privatisation of Chandigarh’s power sector, the private firm selected for the takeover, has claimed it will serve the city using advanced technologies, while also assuring to safeguard employees’ interests.
Eminent Electricity Distribution Limited (EEDL), a 100% subsidiary of the Calcutta Electric Supply Corporation (CESC) under Kolkata-based RP-Sanjiv Goenka (RPSG) Group, has been awarded the contract for privatisation of the UT electricity department.
The UT administration is set to transfer assets to the discom by December 31.
Issuing a statement on Wednesday, PR Kumar, president, power distribution, RPSG, said, “We are embarking on a new chapter to deliver reliable, efficient and innovative power solutions to the residents of Chandigarh. We also assure the employees of the Chandigarh electricity department that their welfare, including service conditions and retirement benefits, will be fully safeguarded in line with the agreement. The RPSG Group, with a workforce of over 50,000 employees, remains committed to serving the people of Chandigarh with the highest level of dedication and care.”
Addressing employees’ concerns, Kumar added, “Rumours claiming that EEDL lacks expertise in power distribution are entirely baseless. As a 100% subsidiary of CESC Limited, EEDL benefits from decades of operational excellence and a proven track record in delivering reliable, efficient and customer-focused power solutions across the country.”
Put privatisation on hold: Bansal
Former Union minister and four-time Chandigarh MP Pawan Kumar Bansal has urged UT administrator Gulab Chand Kataria to put the privatisation process on hold. He called for comprehensive consultations with the UT Powermen Union, resident welfare associations (RWAs), the Administrator’s Advisory Council, and civil society before making any final decision.
Bansal cited the Supreme Court judgment in the case of BCPP Mazdoor Sangh vs NTPC and Others, which held that the government or its instrumentalities cannot alter the terms and conditions of service of employees to their detriment, nor can employees be transferred to a private organisation without their explicit consent.
Further, Bansal pointed out public apprehensions regarding privatisation. “The electricity department is functioning efficiently and profitably. There seems to be no justification for handing it over to a private party at a cost far below the department’s current asset value,” he said.
The UT Powermen Union and residents shared concerns that privatisation could compromise the department’s efficiency and affordability for the public, he added.