People sweat as IMC, MPSEB spar | Hindustan Times
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People sweat as IMC, MPSEB spar

EVEN AS thousands of residents in Khatiwala Tank and Saifi Nagar go powerless in the sweltering heat, a proposal to improve electricity supply by building a grid sub-station in the area remains stuck. The reason: wrangling over lease rates between the Indore Municipal Corporation (IMC) and Madhya Pradesh State Electricity Board (MPSEB).

india Updated: May 05, 2006 17:05 IST

EVEN AS thousands of residents in Khatiwala Tank and Saifi Nagar go powerless in the sweltering heat, a proposal to improve electricity supply by building a grid sub-station in the area remains stuck. The reason: wrangling over lease rates between the Indore Municipal Corporation (IMC) and Madhya Pradesh State Electricity Board (MPSEB).

The civic body is demanding commercial rates for the land where the sub station is to come up. This, however, is unacceptable to the power utility, which says the land should be made available at concessional prices, as the facility was meant for public benefit.

As the standoff continues, scores of inhabitants continue to be deprived of the power supply at constant voltages that the sub-station would ensure.

It may be recalled that the Board had applied to the IMC for leasing a plot of land measuring about 5,000 square feet at Khatiwala Tank for constructing a 5 MVA grid sub-station.

The IMC agreed to provide the land and quoted Rs 27 lakh as the offset price. Lease rates were set at two per cent of the offset price (Rs 5,400). It was also decided to put the proposal before the Mayor-in-Council (MiC) for approval.

Before this could happen, however, the sub-station was stalled as power company officials rejected the Corporation’s offer. MPSEB accused the civic body of charging commercial rates for the proposed site - a move they said was totally unjustified, as the sub-station was for the people’s benefit and could in no way be construed as a profit making enterprise.

“Power demand in Khatiwala Tank has increased manifold owing to the recent proliferation of multi-storeyed apartments. The sub-station will address this need by streamlining supply and regularising voltage. But the IMC is hindering this attempt by treating the sub-station at par with commercial ventures,” charged MPSEB superintending engineer K S Vyas.

This, however, is contested by the IMC. “There is no question of overcharging as the lease tariff has been calculated on the basis of Collector’s rates for the area,” said City Engineer (Public Works) Hans Kumar Jain.

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