KSEB revamp to take effect on April 1

By Our Special Correspondent

THIRUVANANTHAPURAM, FEB. 22. The restructuring of the Kerala State Electricity Board (KSEB) would get formalised on April 1 with the creation of ``profit centres'' to govern generation, transmission and distribution and decentralisation of distribution activities to three regional ``profit centres'', the Electricity Minister, Mr. S. Sarma, told the Assembly during question hour today.

Mr. Sarma said ground work had begun. The Task Forces on different profit centres had submitted their reports and these were being studied by the apex committees. The restructuring would be done in stages ensuring that the KSEB remained in the public sector, he added.

Mr. Sarma said the Government would soon take a decision on constituting a Tariff Regulatory Commission as mandated by the Union Government. Other measures on the cards included extension of spot billing in stages to all parts of the State and wider use of electronic meters, he said.

The Minister said the restructuring would help improve KSEB's profitability, bring in more accountability, attract more investment from financial institutions, ensure better services to the people and avert high transmission and distribution losses.

OECF-aided schemes: The Irrigation Minister, Mr. V. P. Ramakrishna Pillai, told the House that work on the OECF-aided water supply schemes would commence in three months. The Cabinet would take a decision on implementing the scheme at its next meeting on Thursday, he added.

Mr. Pillai said the Government had submitted a comprehensive scheme to the World Bank to provide drinking water in rural areas and improve sanitation, drainage, health, protection of catchment areas and water management. Five pilot projects had been launched under the World Bank scheme.

The Minister said the Government had submitted a Rs. 1,358.5- crore scheme to the Asian Development Bank (ADB). It had also approached the Life Insurance Corporation (LIC) of India for various water supply schemes and for continuing assistance for LIC-aided schemes now under implementation. Efforts were on to secure assistance from the French Government for a drinking water supply scheme covering rural areas of Alappuzha district, he said.

Mr. Pillai said it had been decided to award contracts for major schemes to a single contractor. Earlier, different stages of large schemes were awarded to different contractors. The change was being effected to avert delay in commissioning of projects in the event of any of the contractors leaving the work awarded to them incomplete, he explained.

White Paper on KWA: Mr. Pillai said a White Paper on the functioning of the Kerala Water Authority (KWA) would be brought out soon. The first draft of the White Paper had been placed before the KWA director board at its January 29 meeting. It was, however, found wanting. Therefore, a revised White Paper would be placed before the KWA director board slated for April.

Mr. Pillai said the Government had begun steps to amend the Kerala Water Supply and Sewage Act of 1986 to facilitate speedy acquisition of land for water supply schemes. It had also been decided to constitute a Revolving Fund to assist financially weak local bodies to acquire land for Accelerated Water Supply Schemes and Technology Mission projects, he added.Graft case: `The Electricity Minister said in a written answer that action to be taken in the case relating to alleged swindling of $ 13 lakhs in consultancy fees by a Canadian company, would have to wait till completion of scrutiny of the State Vigilance Commission's report in this regard by the Director of Vigilance and Anti- Corruption Bureau.

Mr. Sarma said the agreement was signed on February 24, 1996, for renovation of the generator and other equipment of the Panniyar, Chenkulam and Pallivasal hydel projects. No further agreement had been signed with that company, he said.

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