The Hindu Business Line : Losing power

The Central Government has declared new incentives and penalties under the Accelerated Power Development and Reform Programme (APDRP) scheme to reduce line losses by 15 per cent in five years. This is a pragmatic way of looking at the issue of involving States in acting to contain losses. But the problem is beyond metering, billing and power theft. It is also linked to efficiency of the organisation as a whole for metering, timely meter reading, billing and chasing payments or disconnecting defaulters.

With the same manpower and mindset running the State power distribution set-ups, as SEBs or with the company’s original structure remaining the same, and persistent corrupt practices and poor productivity, it is unlikely that the incentives will at all make a difference.

Things can improve at a more rapid pace only if these distribution units are completely handed over to private entrepreneurs for which the blessings of unions are essential. Till then, the outcome is anybody’s guess.

C. R. Bhatatcharjee Kolkata

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