Central government must drop privatisation plan in Puducherry: Tiruchi Siva

Privatisation doesn't guarantee the quality of service as seen in Delhi, Mumbai, Odisha and most metro cities where the quality is poor despite high rates levied.
DMK MP Tiruchi Siva (Photo | EPS)
DMK MP Tiruchi Siva (Photo | EPS)

PUDUCHERRY: DMK leader and MP Tiruchi Siva urged the Union Power Minister Raj Kumar Singh to drop the move to privatise electricity distribution in the Union Territory.

In a memorandum to Singh on Saturday, Siva pointed that the Centre claimed that it wanted to overcome losses and hence, decided to privatise power. Unlike few other UTs, the Puducherry Electricity Department (PED) is running into profits, he said adding that the Puducherry Power Corporation Limited (PPCL), an undertaking owned by the NDA government, operates a 33-MW gas power plant in Karaikal, making the UT self-sustainable. "With this, Puducherry is self-sufficient in power needs, and there is no need to hand over the department to private parties," said Siva.

He added, privatisation doesn't guarantee the quality of service as seen in Delhi, Mumbai, Odisha and most metro cities where the quality is poor despite high rates levied. Siva urged the Centre to consider the welfare of residents, and drop the proposal as it is going to be detrimental to the economically-underprivileged society.

Speaking about the impact of the plan, the MP said, it would lead to an increase in power tariff, 2,000 employees will lose job security, and free power supply to huts and farmers will be stopped. The PPCL purchases a unit of electricity for `5.5 from the Centre and sells it at approximately `6 a unit. Around 450 megawatts of electricity is transmitted to Puducherry. There are chances of the rate extending to `10 or `11 if it is privatised. He added that if electricity was privatised, like in Odisha, the private company could refuse to supply electricity during natural calamities, stating that they are not responsible for it.

The Power Transmission and Distribution network that started with a single 110/22 KV Sub-Station has grown into a complex system with two 230 KV Auto Sub-Stations to receive power directly from Neyveli Lignite Corporation. At present, there are ten numbers of 110/22-11 KV Sub-Stations under the Sub-transmission system to distribute the power across the UT. "How is the privatisation of such a progressive government department going to further aid its progress?" asked Siva.

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