AIPEF appeals Chief Ministers to oppose Electricity (Amendment) Bill December 15, 2018

Posted On : February 20, 2019

CHANDIGARH: All India Power Engineers Federation (AIPEF) has appealed to all the  Chief Ministers  to oppose the proposed Electricity (Amendment ) Bill 2018 as it is not only anti people but it is also against the constitutional provision of  Electricity as a concurrent subject  wherein States have equal powers and if enacted Bill will encroach the sovereignty of state.

AIPEF federal executive meeting held today termed the changes proposed in the Electricity Act, 2003 as a matter of serious concern as this will concentrate all powers in the electricity sector in the hands of central government and will eventually lead to complete privatization of power distribution in India.

Shaliender Dubey Chairman AIPEF said that power engineers of country shall resort to two day work boycott on 08 & 09 January 2019 against the proposed Bill. The executive has demanded integration of all power utilities and implementation of old pension scheme for all power engineers.

 Rathnakar Rao Secretary General said that in the proposed amendment the cross subsidy payable to different set of consumers within the distribution area will be reduced progressively and eliminated in a period of three years. This is a policy matter for each State to decide.  Further any subsidy payable to a consumer will be through the provision of direct benefit transfer and this proposal is practically unworkable and sure to fail.

AIPEF said that the changes in the draft bill have been proposed to pave the way for privatisation of power sector wherein   supply licensees will be mostly from private sector and the licensee will get assured profit by way of guaranteed return on capital employed and by stipulating that licensees will get their expenses covered without revenue gap. It can be said that the changes in tariff have been proposed to encourage privatization and ensure guaranteed profits to private parties

They further said that presently regulatory commissions are guided by tariff policy whereas in the draft amendment tariff policy will become mandatory. This will make central and state regulatory commissions will be subservient to policy dictates of central government and they will no longer be Independent.