Review Panel Wants Mseb Turned Into A Company
A committee, set up by the Maharashtra government to review the economic condition of the state electricity board (MSEB), has recommended the incorporation of the MSEB under the Companies Act to raise capital through capital markets and financial institutions.
This was disclosed by deputy Chief Minister Gopinath Munde in the legislative Assembly in a written reply to Ashok Shinde and others yesterday.
Another recommendation of the committee was to privatise power distribution and restrict MSEBs area of activities to power generation and transmission, he said.
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Munde, who also holds energy portfolio besides home, said the review committee headed by VG Rajadhyaksha, had also recommended setting up of a statutory body called Maharashtra Electricity Regulation and Tariff Commission to fix power tariff.
The committee further recommended that all customers, irrespective of whether they were ordinary or agricultural customers, be charged power tariff based on meter reading. The recommendations were under the governments consideration, Munde added.
Munde said massive arrears totalling Rs 2,273 crore were due to the MSEB from electricity consumers in the state by December 31, 1996.
Out of this, arrears due from entrepreneurs were around Rs 740 crore, Munde added.
He said the board had launched a special drive to collect the arrears.