CM urged to integrate power companiesJune 4, 2019
All India Power Engineers Federation (AIPEF) in a letter to Chhattisgarh Chief Minister Bhupesh Baghel has urged him to integrate all power companies of the state into one entity.
This will help in better management and coordination of power generation, transmission and distribution of electricity in the state, the federation said.
The AIPEF cited instances of Kerala and Himachal Pradesh, who retained the generation, transmission and distribution in one company after the enacting of the Electricity Act 2003.
Chhattisgarh unbundled the State Electricity Board, though it was not mandatory as per the Act to disintegrate it.
The federation points out that every state has one SLDC where entire state is considered as one control area. This eases load dispatch over the state as one entity, it said, adding by making one company manpower and HR functions can be made more efficient.
The letter highlighted that Chhattisgarh Power Generation Company and Transmission Company is paying crores of rupees as income tax while the Distribution Company is running in loss. If companies are integrated then it can save crores of rupees of unnecessary tax and this entire savings can be used to lower tariff for common consumers.
The new entity can be in form of Chhattisgarh Vidyut Mandal Limited, the federation suggested. AIPEF patron P. N. Singh when contacted confirmed handing over the letter to Chief Minister and urging him to merge the Power Companies of the state.