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Online edition of India's National Newspaper Sunday, June 17, 2001 |
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Southern States
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90 p.c. tariff hike is the lone option: Minister
By Our Staff Reporter
PATHANAMTHITTA, JUNE 16. The Electricity Minister, Mr. Kadavoor
Sivadasan, has said that a power tariff hike, by at least 90 per
cent of the existing rates, appears to be the lone option before
the Government to tide over the Kerala State Electricity Board's
(KSEB) financial crisis.
Addressing a `Meet-the-Press' programme of the Pathanamthitta
Press Club today, the Minister said the KSEB is in dire straits
with a debt of Rs. 160 crores on account of the power purchased
from the Kayamkulam thermal power plant and the diesel power
plants at Brahmapuram and Kozhikode.
According to him, the total loss of the KSEB has been estimated
at Rs. 143 crores and this may necessitate a steep hike in the
power tariff to run the Board. He, however, said the KSEB would
not recommend to the Government a power tariff hike. The
Government would take a decision on its own after feeling the
pulse of the people.
Though the commissioning of `uneconomic' thermal and
diesel power plants had brought forth some sort of `high spirits'
in the power sector, the high cost of thermal power purchased
from the National Thermal Power Corporation's (NTPC) Kayamkulam
plant has cost the KSEB dearly. When the KSEB purchases power at
the rate of Rs. 4.50 a unit from the NTPC's Kayamkulam plant, it
has to sell it for 45 paise a unit, he said.
Mr. Sivadasan said that hydel power projects are more suited and
cost-effective to the geographic and socio-economic conditions of
the State and the UDF Government would explore the viability of
setting up more mini and macro hydel projects in different parts
of the State.
The Minister expressed concern over the objections raised by
certain eco groups against setting up new hydel projects in the
State on `flimsy' grounds.
On the recent electrocution of four wild elephants in the
Goodrickal forest range of the Ranni forest division, the
Minister said that to his knowledge, there was no fault on the
part of the KSEB officials. A detailed report on the incident has
been sought from the KSEB authorities and strict action would be
taken if any one is found guilty.
Mr. Sivadasan said there is no question of privatising the
State's power sector and the KSEB would try its level best to
minimise the transmission loss which is estimated at 17.5 per
cent.
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