Power minister tells discoms to ensure zero power cuts or face action
Warning two power distribution companies—BSES and NDPL—of strict action, Delhi power minister Haroon Yusuf said Delhi had enough electricity to ensure there are no power cuts during the summers.Updated: May 06, 2011 00:27 IST
Warning two power distribution companies—BSES and NDPL—of strict action, Delhi power minister Haroon Yusuf said Delhi had enough electricity to ensure there are no power cuts during the summers.
Ticking off the discoms for their statements in media that paucity of liquid cash may affect power supply, Yusuf said the these companies cannot hold Delhiites to ransom.
"Damodar Valley Corporation will start supplying 250MW soon and the Central government's allocation of 200MW is also expected from Friday. The distribution companies will have to ensure sufficient supply through the summer months," Yusuf added.
Talking to media on Wednesday, chairman of BRPL and BYPL Lalit Jalan had said that the two companies were incurring losses of Rs 8-9 crore a day. He had said that the government was well aware that their cash reserves would only last till the end of May. "We will have no choice but to default on the payments to National Thermal Power Corporation and other sources from whom we purchase power," he had said.
Yusuf, however said, the distribution companies had yet to approach the government for any financial assistance. "The issue of power tariff hike lies in the domain of the DERC and is also being looked into by the High Court. The government cannot do anything about it. The companies cannot blackmail the government," Yusuf said.
The distribution companies have been trying to hike tariffs since 2009 and have often cited cash crunch to pressurise the government.
The leader of opposition in Delhi Assembly Vijay Kumar Malhotra also criticised the discoms for trying to "blackmail" the government. "The DERC last year wanted to cut down tariffs by 20 to 25%, holding that all discoms were making huge profits," Malhotra said.
Delhi BJP president Vijender Gupta added that the companies had the Delhi government's tacit consent in this conspiracy.