Need to bring losses below 15% for 24X7 power: RK Singh

Lloyd Doyle
December 8, 2017

Addressing the media, the Minister made very clear that 24x7 Power is a Fundamental Right of every citizen of the country and all States will have to ensure that by March 2019. "The States have arrived at consensus-based roadmap to bring down losses in State utilities/DISCOMS to below 15% by then and any gratuitous load shedding by them after that deadline would attract penalties", Mr. Singh said, following a conference with power and energy state ministers.

'After March 2019, if there is any load shedding without any reason, there will be penalties except in case of technical issues or act of God, ' Singh told journalists.

Singh said that changes were being proposed to the Act to remove human interface in billing, metering and collections by introducing prepaid systems that would help poor consumers and smart metering, as well as cap the permissible limit for factoring in discom losses in the tariff policy.

The Centre and the states have agreed on a comprehensive range of measures including pre-paid metering and zero loadshedding to usher in the government's 24X7 power for all objective by March 2019, according to R.K. Singh, the Minister of Power and New and Renewable Energy. "It is for the Power Utilities to devise strategy to reduce their losses, the consumer must not be burdened with high power tariffs irrationally", the Minister added.

It has also been made a decision to cap the extent of cross subsidy at 20 per cent, he said. He said any power sector subsidy will now have to be transferred directly to the beneficiary's account under the government's direct cash transfer benefit scheme. All states agree on that'.

The minister said that losses due to pilferage/theft exceeding 15 per cent can't be considered for tariff determination.

The move comes as a part of the government's Rs 16,000 crore Saubhagya scheme launched in September to provide uninterrupted electricity for all by the end of 2018. We are running a public awareness campaign to tell people that they are not required to go anywhere and pay a single rupee for getting electricity connection. If there are losses of more than 15 per cent, you can not set that (additional amount over the cap) off by (higher) tariff. "The consumers should not be asked to pay for theft committed by others", he added.

Ministers from Andhra Pradesh, Arunachal Pradesh, Assam, Chhattisgarh, Goa, Haryana, Jammu & Kashmir, Jharkhand, Karnataka, Kerala, Manipur, Nagaland, Odisha, Sikkim, Tamil Nadu, Telangana, Uttar Pradesh and Puducherry were present during the conference. Thus, the electrification of these villages would be completed by February or March, ' he pointed out.

Other reports by Iphone Fresh

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