MeSEB incurs loss of Rs 12.15 crore

Shillong, Dec 7: The state government has underwritten the Meghalaya State Electricity Board (MeSEB's) dues after incurring loss of Rs 12.15 crores during the past six months.

The government took the decision at a cabinet meeting held yesterday chaired by Chief Minister J.D.Rymbai.

The cabinet has decided to underwrite MeSEB's dues due to purchase of power at unit cost higher than the average tariff, Meghalaya Democratic Alliance government spokesman and Urban Affairs Minister Paul Lyngdoh told reporters.

Mr Lyngdoh said the Board has been incurring a loss of Rs 2.03 crore per month for the purchase of power at the rate of Rs 3.98 paise per unit against the average tariff of Rs 2.65 paise per unit.

He said the state Electricity Board had to purchase power from other grids due to shortage of monsoon rain.

Mr Lyngdoh said the cabinet has instructed the state's finance department to tide over the loss by finding out ways and means other than using the state's non-plan budget.

UNI