NEW DELHI: Virtually serving an ultimatum on the private power distribution companies operating in the Capital, the Delhi Government has asked them to start making their own assessment about the city's power needs as also their own arrangements for purchase of power since Transco, the Government-owned transmission company, is no longer going to provide power to them. The directive already has the power companies protesting claiming that it would lead to major problems.

The Government also has to decide whether to continue with the 10 per cent subsidy component or pass on the increase to the consumers. "All the three power companies have been asked to arrange for their own power. They have to make their own assessment of the situation and make necessary arrangements in order to avoid causing inconvenience to public at large. This is not something that is provided in the rules and we are only implementing them in letter and spirit," Principal Secretary (Power) Rakesh Mehta remarked.

Not surprisingly, the power companies are protesting claiming that the Government cannot force them into such a situation. It is learnt that at a meeting on March 23, the power companies strongly protested against such a move. However, the Government is not in a mood to give up and has already made it clear that it was going ahead with its decision. The Power Department is already understood to have moved a note for consideration of Lieutenant-Governor B.L. Joshi so that the Delhi Electricity Regulatory Commission could be asked to issue necessary directions to the power companies to get going on this latest missive.

"It is very clear under Rule 43 of the Delhi Electricity Rules 2002 that Transco is not allowed to trade in power and it is only a routing channel for power. But the opposite is happening and that has to be stopped," Mr. Mehta remarked.

Under the privatisation agreement, Transco is to provide subsidised power to the discoms till March 31 next year.

Asked if the power tariffs are bound to go up again this year, Mr. Mehta said it was for DERC to decide and the new order would come only in July. However, the Sheila Dikshit Government is faced with another piquant situation where it has to decide on the issue of providing subsidy to consumers. It may be recalled that last year after widespread protests from various sections of society including its own MLAs, the Government had decided to offer 10 per cent subsidy to consumers on the tariff hike announced by DERC. This subsidy was for one year and that period ends on July 15 after which the Government will have to decide whether to continue with the subsidy or not. In any case, even if there is no hike in power, the Government will have to either offer subsidy or a 10 per cent hike would come into effect irrespective of what the power situation is.

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