THIRUVANANTHAPURAM: Contradicting Power Minister K Krishnankutty on the KSEB Pension Master Trust issue, Additional Chief Secretary (Power) K R Jyothilal has taken a stand that the electricity duty received from consumers should reach the government.
The government order issued by the official, stating that the government cannot bear the pension liability of the KSEB and that the responsibility to allocate funds to the Pension Master Trust (PMT) rests solely with the board, has come under flak from the pensioners and employees alike.
This is against the tri-party agreement made when KSEB became a company, KSEBL, in 2013, they pointed out.
Last year, Krishnankutty had requested Finance Minister K N Balagopal to ensure that the state government continues allocating the electricity duty collected from KSEB consumers to the PMT so that pensioners are not hit hard.
TNIE is in possession of the copy of a letter written by the power minister to the finance minister. But much to the disillusionment of the KSEB, a favourable decision did not happen.
Also, Balagopal announced in the 2023-24’ state budget that the electricity duty being availed from KSEB consumers will be taken by the state government as the 10-year-agreement is over.
The board sent a few letters asking the state government not to take the electricity duty until their contribution to the PMT is assured. A senior board official told this newspaper that the power minister categorically stated that pension disbursement will go astray if the electricity duty received is not placed with the board.
“The move also saw the pensioners’ association approaching the High Court, pointing out that placing the entire pension liability on KSEB would only push the board to increase power tariff,” the senior board official said.
But Jyothilal filed an affidavit before the High Court, stating that the electricity duty cannot be given to the board as it was a temporary arrangement to provide the state government’s contribution to the PMT.
He also came out with a GO saying the same, which has now been challenged by the INTUC-affiliated union Kerala Electricity Officers’ Confederation (KEOC).
“The finance department has been displaying an attitude of vendetta towards KSEB pensioners. Clarity is required on why the power secretary has taken a stand different to the power minister’s position favouring pensioners,” said KEOC general secretary P S Prasanth.
Tri-party agreement
When KSEB was turned into a company, KSEBL, in 2013, a tri-party agreement was signed between the state government, KSEB and the union of KSEB employees
The board would be able to take the state government’s share from the electricity duty collected from the consumers by the KSEB for over a period of 10 years. The agreement ended in 2023
The tri-party agreement had also specified that the board would be responsible for 64.6% of the trust’s pension liability, while the state government would be responsible for 35.4%