Former power secretary writes to CM Bhagwant Mann, urges Centre to share Discom losses with states

CM Bhagwant Mann: In a letter to Punjab Chief Minister Bhagwant Mann and others, former electricity secretary E A S Sarma argued that the federal government should be responsible for some of the losses experienced by power distribution firms (Discom), not the general public. He also asked states to raise issues with the Power Ministry over occasionally issued unilateral diktats that significantly increase costs for consumers.

The Ministry of Power requested the state governments to pass on 50% of the loss in its draught Electricity Rules

The Ministry of Power has requested the state governments to pass on 50% of the loss incurred by Discoms to consumers in its draught Electricity (Amendment) Rules, 2023, according to V K Gupta, spokesperson for the All India Power Engineers Federation (AIPEF), and has requested the states’ comments by May 1.

Centre forced the states to import coal from large domestic houses

Thermal power plants recently experienced coal shortages as a result of the center’s poor management of domestic coal supplies and coal transportation by rail. The Centre forced the states to import coal from several mines held by large domestic houses while pretending that it had nothing to do with the crisis.

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Ministry has instructed the state Discoms to accept electricity from centralised solar power producing plants

As a result of the low capacity utilisation of major solar plants, the ministry has instructed the state Discoms to accept electricity from centralised solar power producing plants, from which the unit cost of electricity delivered at the consumer’s end is high. As a result, the state-run power companies frequently have to forgo the chance to buy electricity from less expensive sources. It’s possible that the Ministry of Power does not have the ability to make such directions under Section 11 of the Electricity Act of 2003, which the Ministry of Power has been using to impose various responsibilities on state power production utilities.

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