5 Rescos To Be Wound Up

The IS has decided to wind up five Rural Electrical Supply Co-operative Societies (Rescos) as part of the public enterprises reforms in the state.

AP Electricity Regulation Commission , a regulatory body that reviews the performance of Rescos and issues licences on yearly basis, also recommended for winding them up on the basis of dismal performance, Panwar, the chairman of IS, said.

The five Rescos listed for winding up - Atmakur, Rayachoti, Kadiri East, Kadiri West and Jogipet - owe Rs 42.42 crore to Discoms as on March 1, 2003.

Net margin per unit is negative and total liabilities are about Rs 65 crore. This process will be completed in a month. Consumers would not be affected as Transco and Discoms will take over their job.

 

The power utilities will have option to absorb the employees of Rescos and leftovers can opt for VRS,