'Tribunal verdict affecting power-deficit states'

Guwahati, Apr 5 (UNI) The Assam State Electricity Board(ASEB) today said the Appellate Tribunal of Electricity's verdict regarding the margin of profit for power-generating states to sell their surplus has compounded the states' power shortage.

The Appellate has fixed the margin of profit at four paise for the power-generating states to sell their surplus.

Pronouncing its verdict on a PIL, the Tribunal said no state can charge an excess of four paise on the production cost while selling its surplus power.

''So many states which could have marketed some share of their power production have opted not to sell it,'' ASEB spokesperson A K Sachan told reporters here.

In fact, Mr Sachan said the Tribunal even ordered the states to refund the excess amount charged in earlier transactions with other states and agencies.

''The Electricity Act, 2003, created traders in the power sector.

Consequently, traders - like Reliance, Tata et al - bought power from the surplus states and sold it at a margin of four paise,'' he said, adding that after the verdict, the states stopped to sell their excess power, both to the traders and other needy states.

With the traders almost disappearing from the scene, the power deficit states like Asom have no other option but to turn to the Centre for more allotment.

Maintaining that the market should decide the cost of power, the ASEB spokesperson, who also the Member Finance of ASEB, said that the board is pursuing the Centre off and on to allot more power to Asom, which is presently suffering a shortage of over 150 MW during peak hours.

Eighty per cent of the state's power requirement is met by hydel projects, and with the rains failing for the third consecutive year, Asom is reeling under severe power crisis.

As against the total requirement of 750 MW, the state is receiving just 600 MW power on average, including the 100 MW Centre's allocation which comes from the Eastern Grid.

''We are pursuing this issue with the Centre to allot an additional 50 MW power to the state in day time. Hope it materializes,'' Mr Sachan added.

UNI