ENGINEERS QUESTION FRANCHISE MOVE IN TWO CITIES WHERE LOSSES WERE LOW AND REVENUE REALISATION WAS NEAR OPTIMUM
The Northern India Power Engineers' Federation (NIPEF) has expressed serious concern over the Haryana government's move to hand over prime industrial and urban cities of Gurgaon and Panipat to private companies for power distribution franchise basis.

In a statement here, NIPEF questioned the decision, saying the state government was taking up the case of introducing franchise in the two cities where the losses were already low and the revenue realisation was near optimum.

It said in case the state government gave the requisite support to the power utility, much better results would be achieved in the distribution sector by way of reducing losses and improving revenues as well as consumer service.

“The financial health of distribution companies depends upon the revenue of industrial and commercial load centres. In case such high-intensity loads are handed over to the private franchisees, the power utilities would go into financial distress and this would directly have adverse impact on the power supply to rural areas,“ he said.

NIPEF urged the Haryana Chief Minister to intervene and give necessary support of the government to help curb commercial losses and electricity theft.