Team Herald
PANJIM: Following criticism from all quarters, the State government on Monday decided to withdraw the power tariff hike for small domestic consumers.
A decision to this effect was taken at a high level committee meeting chaired by Power Minister Pandurang Madkaikar which was attended by Principal Secretary to Chief Minister Krishnamurthy and Finance Secretary Daulat Hawaldar.
Addressing a press conference after the meeting, Madkaikar said the meeting deliberated on the concerns raised by the people. “As per the decision the tariff hike stands withdrawn for domestic consumers who are consuming up to 0-100 and 100-200 units per month,” he said.
He added that domestic consumers using more than 200 units will face a nominal hike of 0.25 paise per unit. “Presently, the unit rate for consumers above 200 is Rs 2.40/unit which has now been increased to Rs 2.65,” he said.
Madkaikar said that Monday’s meeting decided to increase the government subsidy. “We decided that subsidy by government will have to be increased under Section 65. Total additional subsidy will be Rs 7 to 10 cr annually,” he said, adding that the subsidy amount is in addition to Rs 372 cr given by the State annually.
Madkaikar said the government will inform the JERC tomorrow and the new rates will be notified. “There is no need to file additional review,” he said.
He, however, justified the power tariff hike saying it was inevitable and was a decision taken after discussions. “It (the hike) was discussed by Manohar Parrikar cabinet in last August and then a decision was taken,” he said.
Madkaikar disclosed that the net deficit of the Power Department was Rs 143 cr annually and that the State government was providing budgetary support every year. “If government removes the subsidy the increase would be 19 per cent,” he said.
Madkaikar also said that the government had proposed a 4.9 per cent rise but JERC recommended the increase to be 6.5 per cent. “JERC pointed out that Maharashtra and Karnataka tariff is much higher,” he said.
Madkaikar also said that the 10,000 odd connections in the agricultural sector have been left untouched by the increase.
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Vishwajit’s outbursts unwanted: Madkaikar
Power Minister Pandurang Madkaikar, asked to comment on his cabinet colleague Vishwajit Rane’s outburst against the power tariff hike, said “it was unwanted”. “The decision was taken after discussion by the Cabinet and the CM had informed all the Cabinet members,” he said.
“We are buying power at almost up to Rs 5 per unit and giving at Rs 1.30 and people criticising the decision must get their facts right first,” he said, indirectly pointing to Rane’s outbursts.
Madkaikar said he had informed party officials that such outbursts should not be entertained. “Moreover, Vishwajit had spoken to me other day and I had explained everything to him,” he said.
Rane had threatened a protest if tariff hike was not withdrawn.
