KEBE Union stage Protest against Central Govt Decision to Privatize Electricity Companies  

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Karnataka Electricity Board Employees (KEBE ) Union and Associations stage Protest against Central Govt Decision to Privatize Electricity Companies

Mangaluru: The Central government has encouraged inefficient state power utilities to seek privatization and other institutional reforms to turn around money-losing operations and ensure reliable supplies to consumers. States with electricity utilities that lose more than 15% of revenue due to archaic networks, power theft and sloppy billing and collections would be pushed to seek private participation in their distribution network as part of the country’s planned second wave of power reforms. India has been increasingly advocating privatization of ailing distribution companies as government efforts since 2015 to revive the utilities failed to turn around the firms, known as discoms. These utilities lose money by selling power below costs, often delaying payments to generators and depriving customers of reliable and affordable electricity.

Opposing the move made by the Central government trying to privatize electricity companies, District Federation of Karnataka Electricity Board Employees Union and associations, staged a protest in front of MESCOM office at Bejai, Mangaluru on Monday 5 October 2020. The protesters wore black bands in support of the protest. Addressing the gathering, Senior Vice President of Engineers’ Association, Manjappa said, “The decision taken by the Central government in privatizing electricity companies is totally wrong, and we condemn it. It should be noted that on 3 July 2020, in a meeting conducted which included all states power ministers over amending Electricity Act, 11 states and two union territories opposed the move. Even though there had been objections towards this plan by the government, the central government has gone ahead with their plans”

He further said “The procedure was undertaken by the union power ministry to privatize electricity companies and standard bidding documents were released on 22 September 2020. Privatization is against the masses because electricity would become costlier. Only business houses would be benefited. Privatization would affect the farmers and BPL cardholders. The electricity provided at a concessional rate to the industries could stop. We are also aware of the problems and hassles that had taken place in Mumbai and Delhi due to privatization of electricity companies. It is most likely even the provision of subsidy in electricity may stop due to this government’s plan”. Following the protest, the officials and employees of MESCOM submitted a memorandum to the Managing Director of MESCOM, Prashanth Kumar Mishra.

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1 Comment

  1. It is time to bring in efficiency and accountability. It is the only move to ensure corruption is reduced. Government should get out of all business as subsidies only stunt and choke development.

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