Punjab flouts orders on power tariff

Delays and underpays subsidy to Punjab State Power Corporation Limited

Gur Kirpal Singh Ashk

Patiala

The Punjab government is violating the tariff order of May 9 issued by the Punjab State Power Regulatory Commission (PSPRC) for advance monthly payment of Rs 394.08 crore to the Punjab State Power Corporation Ltd (PSPCL) on account of subsidy. This revelation has been obtained through the RTI Act by Gurnek Singh Brar, a former Engineer of the PSEB. Giving details the Corporation said the payment for June should have been made in May, but the government paid the installment subsidy of Rs 142.69 crore on June 10. The second installment of Rs. 140 crore for the same month was paid on June 27 last.

Likewise, for the month of July, the first installment was paid on June 8 and the second on July 29, which should have been paid in June.

Continuing the dilatory tactics the subsidy for August was not paid even till August 9. According to the PSPCL another interesting aspect of the payment was that the government was simply delivering the cheque without any covering letter.

It is worth mentioning here that the Commission had ordered subsidy payment of Rs. 394.8 crore on advance monthly basis. But the Punjab Government has been paying only Rs 282.69 crore per month, which is Rs 112 crore less than the amount fixed.

Even this payment is being delayed every month. This infringement by the Punjab Government of the orders of the Commission as well as Section 65 of the Electricity Act is continuing every month. Brar has requested the Commission to intervene and terminate the violation of the law by the Punjab Government or alternatively to order for levy of full unsubsidised tariff as provided for in Section 65 of the Electricity Act 2003.