The Hindu : New Delhi News : Streetlights go into private hands

Online edition of India's National Newspaper
Wednesday, Jan 26, 2005

New Delhi

New Delhi

Streetlights go into private hands

By Our Staff Reporter

NEW DELHI, JAN. 25. After months of speculation and much squabble between civic agencies and the two private power distribution companies over maintenance of streetlights in the Capital, the Delhi Government has finally decided to hand over the entire network of over 300,000 streetlights to the private sector.

Announcing the Delhi Cabinet's decision on this, the Development Minister, A.K. Walia, said it had been decided to lease the three lakh streetlights being operated at present by the Municipal Corporation of Delhi (MCD) and the Public Works Department (PWD). A five-year tripartite agreement between the Delhi Government and the two private power distribution companies (discoms) -- Tata Power and BSES -- and the land owning agencies is likely to be singed soon, he added.

With the signing of the agreement, around 2.87 lakh streetlights of the MCD and over 23,000 of the PWD would now be operated and maintained by the two discoms. It has also been decided that an independent agency will monitor functioning of streetlights and if 90 per cent of streetlights are found working efficiently, the private power distribution companies (discoms) will be given incentive.

As per the agreement, the discoms will also formulate an elaborate upgradation plan for the arterial and other important roads, the expenditure of which would be borne by the State Government. The discoms would rectify major faults within 48 hours and minor ones within 24 hours. Till the Delhi Electricity Regulatory Commission decides on new tariffs, the civic agencies will continue to pay Rs.73 per point per month for maintenance and Rs.4.10 per unit as power charges.

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