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BSES told to put its house in order

NEW DELHI: The Delhi Government has begun piling pressure on power distribution company BSES to get its house in order. After having been directed to improve its performance and meet the city’s demand for power, the company has now been asked to improve its overall functioning.

To begin with, BSES has to scout for a new chief executive officer for one of its companies. According to the rules, both BYPL and BRPL (each a company of BSES) are required to have separate set-ups and CEOs.

“The Government has on several occasions reminded BSES that it needs to have separate CEOs. The Delhi Electricity Regulatory Commission in its recent tariff order reiterated this as well,” say sources. As of now, Arun Kanchan is the CEO of BSES. “He (Mr. Kanchan) can be the CEO of any one company -- either BYPL or BRPL. Also, the companies share a common control room. That again is not permitted since both BRPL and BYPL are separate licence holders and are technically different companies,” say sources.

Sharing a common control system, it is pointed out by sources, “affects the company’s performance”: “Load-shedding, theft and power distribution patterns have to be thoroughly monitored and that is difficult to achieve with one controlling centre.”

BSES, which in the past had made an unsuccessful attempt to pave the way for merger of BYPL and BRPL, has now been asked to focus attention “on every aspect of its functioning”.

“The Government is very serious about the company’s performance. The Chief Minister’s decision to seek the company’s action plan in writing is a manifestation of the Government’s concern triggered by widespread public protests and the general scepticism about the company’s claims of fulfilling its commitment,” say sources.

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