The Hindu : Discoms dictating terms to DERC, alleges BJP

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Friday, May 09, 2003

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Discoms dictating terms to DERC, alleges BJP

By Our Staff Reporter

NEW DELHI MAY 8. Making serious allegations of favouritism and bias against the Delhi Electricity Regulatory Commission (DERC) and its Chairman, V.K. Sood, the Leader of the Opposition in the Delhi Assembly, Jagdish Mukhi, today charged that the DERC was hand in glove with the private power distribution companies and acting on their diktat without safeguarding the interests of the consumers.

Directing his criticism against Mr. Sood, the senior BJP leader said the DERC Chairman was playing into the hands of private power companies and even went to the extent of alleging that it was working under pressure from Reliance Industries which was a major stakeholder in BSES. He said the regulatory body was working constantly at the direction of the private power companies and its pace of work suggested that its actions were being dictated by some other sources. He also lashed out at the Delhi Government for joining hands with the private power companies and pressurising Mr. Sood to give into the unjustified demands of the private companies by sacrificing the interests of the consumers.

At the same time, Mr. Mukhi strongly condemned the proposed tariff hike of 12, 16 and 20 per cent. He said the BJP was strongly opposed to any illogical increase of tariff and the DERC had conspired with private power companies to show massive losses so that tariffs could be increased across the board. The role of DERC has generated a lot of suspicion sending signals that it was working against the consumers and going out of the way to oblige the power companies for mysterious reasons. He said the companies have filed petition before DERC for tariff hike. Subsequently, DERC issued public notices for inviting objections but did not reveal the fact that Delhi Government had already given its consent for increase of 12 per cent in retail and 20 per cent bulk tariff. The Commission then asked the private companies to clarify how they will cover the losses. On this, the Government company has given the reference of Delhi Government which states that even after the proposed hike, if there are losses, these would be borne by the Delhi Government.

He wondered why when the whole information was available with the Commission did they ask for objections from the public and this was merely a stunt to fulfil legal formalities and consumers are kept in the dark regarding increase in tariff. Prof. Mukhi said the Delhi Government had not only misled Delhiites but also kept the elected representatives in the dark. When the Government had already taken this decision during the month of February and sent across the regulator, then why they have not placed the facts in the House during the Budget session which was also in total disregard of the Assembly. It is very clear that in connivance with private players, Delhi Government wants to favour private players and allow them to loot the consumer.

Accusing the private power companies of utter failure in distributing power and for power cuts for hours together in Delhi, Prof. Mukhi said there was no check on theft of electricity. The increase of tariff would be a punishment for the people and specially the honest consumers. The proposed increase in tariff proves the allegation of favouritism to private players which was a big scam and the BJP was determined to expose it.

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