Missing unbundling deadline to cost PSEB dear
Varinder Singh
Tribune News Service

Patiala, July 23
The Punjab State Electricity Board (PSEB) will lose central grants and reform-oriented incentives of several thousand crores if the state does not adhere to the Centre’s ‘final’ deadline of September 15 for the unbundling of the board .

The Punjab Power Department, it was learnt, was working overtime to implement the unbundling of the board trifurcating it into three companies by September 15, in the light of the Electricity Act-2003.

The board, if trifurcated into three companies by the deadline and according to roadmap prepared by the department, each of the three companies would central grant of Rs 10,000 crore for settling down and more reforms in power system.

Punjab Chief Minister Parkash Singh Badal, it was learnt, has gone through the draft prepared by the department with the help of a consultancy firm, and given nod to it. The draft was being sent to the Centre shortly, PSEB sources said adding there was no provision of sacking any board employee in the proposed draft.

The 11th central extension to the unbundling of the board till September 15 to Punjab government might be the last one, as the Centre has warned Punjab government of withdrawing grants and incentives of several thousand crores to the board if the latter failed to comply with the Electricity Act 2003 by the deadline. Punjab figured among four or five states, including Tamil Nadu and some north eastern states which were yet to implement the Act though all other states have got conformed to the Act. Besides, curb on central grants the board lose its legal entity as well if unbundling of the board was not effected before the end of the deadline of September 15, sources said.

The board has been receiving grants and incentives every year r under central schemes including, the Rs1000 crore Accelerated Power Development Programme (APDRP). These schemes aimed at reforming the power sector and making it more efficient and consumer -friendly. Punjab has allegedly been dithering on unbundling owing to political compulsions particularly, as several employee unions were opposing the process and has obtained another extension likely to be final one. Fed up with Punjab’s attitude, the central government has warned the state government saying it would have to withdraw grants to the board in case Punjab failed to restructure the board in stipulated time frame, sources pointed out.

Previous Amarinder Singh- led Congress government had initiated unbundling process and the Unbundling Committee had recommended breaking of the board into six companies including, Power Com, Genco, Transco, Disco for smooth generation, transmission and distribution of power in the state. The proposal was not liked by PSEB employees and Punjab got a series of extensions leading to delay in the implementation of the Act.