Arvind Kejriwal gives the aam aadmi a power trip on New Year
2 Jan 2014 5:07 AM IST
‘There will be 50 per cent subsidy to those domestic users who consume less than 400 units. The subsidised rates will benefit 28 lakh households in Delhi. Rates will be reduced further once the audit is over,’ Kejriwal told reporters after a cabinet meet on Tuesday. According to a government statement, the relief would benefit about 82 per cent consumers in the national capital. The statement also said the additional burden on discoms would be borne by the government by paying Rs 61 crore to Tata Power and adjusting Rs 139 crore in the dues to be recovered from the BSES. Reacting to the move, leader of Opposition Harsh Vardhan said public money was being paid to the corrupt private discoms.
A final announcement regarding the audit of the power discoms would be made on Wednesday. Earlier in the day, Kejriwal met Comptroller and Auditor General Shashi Kant Sharma in his office requesting for a CAG-conducted audit of the three power distribution firms in the national capital for the last ten years. The power firms have been given time till Wednesday to respond and explain why audits should not be conducted on them.
‘Till the time audit of power companies is complete we will give 50 per cent subsidy to consumers,’ the chief minister said. ‘The burden on the exchequer will be Rs 200 crore on paper but effectively it will be Rs 61 crore because of the subsidy,’ Kejriwal said.
On Monday, the Delhi government announced 667 litres of free water per day to each household where the meters are functioning properly. Both the subsidies- power and water- will be applicable from 1 January 2014. The government has summoned the three discoms – Anil Ambani-owned BSES Yamuna and BSES Rajdhani and TATA group owned TPDDL. ‘These companies have been asked to present their version on the CAG audit on Wednesday morning before power secretary Puneet Goel. In the light of the version of discoms, a meeting with senior officers will be held which may follow a cabinet meet to take final decision on the issue,’ added Kejriwal. ‘By Wednesday evening, we will decide whether to go for audit or not,’ he said. This is the second time the government is going ahead with the CAG audit of power companies.
Delhi Electricity Regulatory Commission and Delhi government had recommended CAG audit in November 2011 and March 2012. A PIL is pending in Delhi High Court since February 2011 and till now five hearings have taken place in the matter.
The government is yet to take any decision on the third major pre-poll promise of checking of faulty electricity metres by an independent agency. According to informed sources, the CAG has already started taking necessary administrative action. Since the audit involves last ten years’ activity of private discoms, CAG has not committed any specific time frame for now. According to a senior CAG official, faster audit requires private companies’ full co operation which the CAG is still not sure of.
In recent times, when government ordered CAG probe against Mukesh Ambani-owned Reliance Industries on actual expenditure of exploration of KG basin gas find, CAG complained of serious non-cooperation by Reliance officials. In case of Delhi power companies, there are allegations of serious irregularities of buying equipment from their own subsidiaries at inflated price, capitalisation of various assets, selling power to other states at a higher rate by load shedding in various parts of Delhi and extra billing through faulty metres. In case of BSES, the allegations are more serious because it is not even being run by competent professionals. Incidentally, the BSES has a huge outstanding to the tune of nearly Rs 4,000 crore to the Delhi government-owned Delhi Transco Limited, Indraprastha Power Generation Co Ltd and Govt of India-owned DVC, Satluj Jal Udyog Nigam, and NTPC Limited. Close aides of former Delhi CM Sheila Dikshit, particularly her OSD Pawan Khera, were reportedly close to key Anil Ambani officials. Many former power secretaries were also playing in their hands.
A final announcement regarding the audit of the power discoms would be made on Wednesday. Earlier in the day, Kejriwal met Comptroller and Auditor General Shashi Kant Sharma in his office requesting for a CAG-conducted audit of the three power distribution firms in the national capital for the last ten years. The power firms have been given time till Wednesday to respond and explain why audits should not be conducted on them.
‘Till the time audit of power companies is complete we will give 50 per cent subsidy to consumers,’ the chief minister said. ‘The burden on the exchequer will be Rs 200 crore on paper but effectively it will be Rs 61 crore because of the subsidy,’ Kejriwal said.
On Monday, the Delhi government announced 667 litres of free water per day to each household where the meters are functioning properly. Both the subsidies- power and water- will be applicable from 1 January 2014. The government has summoned the three discoms – Anil Ambani-owned BSES Yamuna and BSES Rajdhani and TATA group owned TPDDL. ‘These companies have been asked to present their version on the CAG audit on Wednesday morning before power secretary Puneet Goel. In the light of the version of discoms, a meeting with senior officers will be held which may follow a cabinet meet to take final decision on the issue,’ added Kejriwal. ‘By Wednesday evening, we will decide whether to go for audit or not,’ he said. This is the second time the government is going ahead with the CAG audit of power companies.
Delhi Electricity Regulatory Commission and Delhi government had recommended CAG audit in November 2011 and March 2012. A PIL is pending in Delhi High Court since February 2011 and till now five hearings have taken place in the matter.
The government is yet to take any decision on the third major pre-poll promise of checking of faulty electricity metres by an independent agency. According to informed sources, the CAG has already started taking necessary administrative action. Since the audit involves last ten years’ activity of private discoms, CAG has not committed any specific time frame for now. According to a senior CAG official, faster audit requires private companies’ full co operation which the CAG is still not sure of.
In recent times, when government ordered CAG probe against Mukesh Ambani-owned Reliance Industries on actual expenditure of exploration of KG basin gas find, CAG complained of serious non-cooperation by Reliance officials. In case of Delhi power companies, there are allegations of serious irregularities of buying equipment from their own subsidiaries at inflated price, capitalisation of various assets, selling power to other states at a higher rate by load shedding in various parts of Delhi and extra billing through faulty metres. In case of BSES, the allegations are more serious because it is not even being run by competent professionals. Incidentally, the BSES has a huge outstanding to the tune of nearly Rs 4,000 crore to the Delhi government-owned Delhi Transco Limited, Indraprastha Power Generation Co Ltd and Govt of India-owned DVC, Satluj Jal Udyog Nigam, and NTPC Limited. Close aides of former Delhi CM Sheila Dikshit, particularly her OSD Pawan Khera, were reportedly close to key Anil Ambani officials. Many former power secretaries were also playing in their hands.
Next Story
