CHANDIGARH: All India Power Engineers Federation (AIPEF) strongly oppose the proposals of NITI Aayog in its strategy paper to privatize power distribution in urban areas and franchisee system in rural areas. Any move to privatize the power distribution will be resisted by power engineers and employees at all levels across the country.

V K Gupta Spokesperson of AIPEF said that the strategy paper released by NITI Aayog basically covers all the points which were part of Electricity (Amendment) Bill 2014 &2018. These bills lapsed after these bills could not be passed in last   Lok Sabah. The AIPEF has already written to the union Power Minister R K Singh seeking time for discussing the problems of power sector.

The Federation is of firm view that experiments of privatisation and franchisee system have already failed across the country. Under these circumstances the government discusses the issues with power engineers so that a fruitful power policy can be finalized. This will ensure quality and affordable power to the consumers.The experiment of unbundling of state electricity boards has failed and the losses of the distribution companies are increasing and unification is need of hour to avoid unnecessary wasteful administrative expenditure.

After unbundling generation and transmission companies are paying millions of rupees . as income tax in name of profit while distribution companies financial position if going from bad to worse every day. The payment of income tax by generation company  and losses  by distribution companies are leading to higher tariff for common consumers. The unification of unbundled entities should be started for better financial results and smooth working.