Date:07/12/2007 URL: http://www.thehindu.com/2007/12/07/stories/2007120750310100.htm

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State gets more time for KSEB recast

Special Correspondent

Centre will not grant more time for restructuring again, says Balan

Power Minister A.K. Balan

THIRUVANANTHAPURAM: With the Centre granting six more months for restructuring the Kerala State Electricity Board (KSEB), the State government will try to complete the process within the stipulated time and retain it in the public sector itself, Power Minister A.K. Balan has said.

Mr. Balan told mediapersons here on Thursday that the tenure of the board would end on December 9 and then could continue only as a licensing agency. An expert committee formed by the government for board restructuring on November 18, 2006, had submitted its report.

The government would seek opinion of the Power Department and either issue an executive order or frame a legislation in compliance with the provisions of the Central Electricity Act. Mr. Balan secured an extension for restructuring following the discussions he had with Union Power Minister Sushil Kumar Shinde after the weekly Cabinet meeting in the morning.

Mr. Balan clarified that the Centre would not grant more time for restructuring again. The expert committee comprising the former advocate-general M.K. Damodaran, former board chairman Sidhartha Menon, Power Secretary K.K.Vijayakumar and the former KSEB Officers Association leader R.R. Unnithan visited various States and met experts as well as leaders of various political parties for preparing the report.

Already the Centre had granted seven extensions spanning six months each, four during the tenure of the UDF government and three since the LDF came to power, and there was no scope for buying more time for restructuring.

Generation, transmission and distribution would be maintained under one umbrella and would not be privatised at any cost. Mr. Balan said that the government was taking steps to avert load-shedding during next summer. Though the State received copious rainfall, the inflow into the dams had come down. Last year, there was water to generate 900 million units, but this year’s inflow diminished and could generate only 500 million units.