The Hindu Business Line : Calcutta Leather Complex power supply snapped

THE delay in commencing operations at the Calcutta Leather Complex is leading to all sorts of problems, one of them being the snapping of power supply to the build-operate-transfer agent, ML Dalmiya and Co.The company has declined to foot the electricity bill because funds have not been realised from the final users.

While running the common facilities on a trial basis for almost a year, on the assumption that normal operations would begin early, the company had recently communicated to the WBSEB that the minimum guaranteed demand charges on the 11 KV bulk connection lines should not be charged as there was no way the company could realise the amount from the users.

In a joint submission to the West Bengal Directorate of Industries and WBSEB, ML Dalmiya and Co pointed out that up to August 7 it had to fork out Rs 12.15 lakh in "excess" of the energy cost required for the trial runs as power charges.

Citing the example of the storm-water pump connected to the 11 KV bulk supply line, the company said that low usage coupled with minimum demand charges had forced it to pay as high as a rate of Rs 28.35 per unit consumed in October 2003.

The lowest per unit charge the company had to pay on this account during the last nine months was Rs 22.11.

"This is illogical and unacceptable. We are in no way responsible for the delay in operations. Once CLC starts operating, we can realise the minimum demand charges from the user industries. But till then we are helpless," Mr Jagmohan Dalmiya, Chairman of the ML Dalmiya and Co told Business Line.

He said his company had requested WBSEB to adjust the "excess payment" from the fresh electricity bill of Rs 49 lakh. However, the power utility did not accept the argument and snapped the power connection.

"We are charging them as per the formula recommended by the State Electricity Regulatory Commission (SERC). We are not responsible for whatever problems they are facing.

"If they have any objection to the bill, they are free to move the SERC," Mr S.K. Ghosh, Member (Distribution), WBSEB, said.

Mr Sabyasachi Sen, Principal Secretary, West Bengal Commerce and Industries Ministry, said: "We had requested WBSEB not to charge the minimum demand charges".

He told said that the power utility had agreed not to impose the charge till the leather complex began operations in right earnest.

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