Mescom can't account for power worth Rs245 crore

[email protected] (Subhash Chandra N S, DHNS)
September 11, 2011

mescom

Bangalore, September 11: The Mangalore Electricity Supply Company (Mescom) has said it cannot account for power it purchased for its consumers at a cost of Rs 245.77 crore.

Seeking a tariff revision for 2011-12, the company has told the Karnataka Electricity Regulatory Commission (KREC) that it bought 525.77 million units (MU) of energy for its customers, but the latter had not consumed the power.

In its Annual Revenue Requirement (ARR) for 2011-2012, Mescom has admitted that it has not received the mysterious 525.77 mu, although it had paid for it. The commission has scheduled the escom's submission for hearing on September 19, when the company would have to explain the discrepancy.

In its submission, Mescom has said that it is not aware where the power has gone, leaving the power consumers furious. “We want to know why the Mescom paid for the unused power. The company owes an explanation to the consumer,” says Satyanarayana Udupa, General Secretary, Bharathiya Kissan Sangh from Udupi.

Mescom told KERC that it supplied its consumers 4,275.86 MU during 2010-11, while the actual consumption was 3750.09 MU. It, however could not account for 525.77 mu.

When the commission questioned the power supplier about the discrepancy, a sheepish Mescom asked that its consumption figure for the forthcoming year be reduced by

Rs 151.84 crore to adjust for the discrepancy.

“Mescom purchased power at a cost of Rs 1,131.51 crore. The missing Rs 245.77 crore was included in that figure. They have made a false subm­is­sion stating that they purc­h­ased power at a cost of Rs 2.888 per unit, but they actually purchased it for Rs 4.67,” said Sridhar Prabhu, a power expert and an advocate, citing the company's ARR (Annual Revenue Requirement).

“Mescom should have argued that the power purchase rate was Rs 4.67 paise a unit and not at Rs 2.888, and they could have sought a reduction of Rs 240.27 crore from their ARR, which would have reduced the burden on consumers by Rs 88.43 crore,” said another power expert, speaking on condition of anonymity.

However, statistics apart, what happened to the power that Mescom is supposed to have bought, remains a mystery. Neither any distribution company in the State nor the State Load Dispatch Centre has claimed to have utilised 525.77 mu purchased by Mescom, deepening the mystery. Even the KERC daily report has been unable to account for the missing power.

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News Network
April 21,2020

Bengaluru, Apr 21: The Karnataka Government may spare its employees from salary cuts this month despite severe resources crunch it faces following steep fall in revenue collection due to the ongoing lockdown to fight the coronavirus, official sources said on Tuesday.

As of now, there is no problem with April salary and we can manage. But if May also turns out to be a wash-out (in terms of revenue collection), then the situation is going to be very tough, a senior Minister said.

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The government recently said it proposes to regularise unauthorised properties in the state by imposing penalty, and also auction more than 12,000 corner sites belonging to the Bengaluru Development Authority, as part of resource mobilisation drive.

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Bengaluru, Apr 15: Amir-e-Shariat Maulana Sagir Ahmad Khan Rashadi, Maulanaon Wednesday urged people to compulsorily follow the lockdown restrictions during the month of Ramdan.

Ramazan fastings should not be missed without valid reasons. As already mentioned, five namaz of the day should be performed at home and do not go to Mosques.

Taraweeh Namaz should be performed at home along with family members, he said at a meeting of Imarat-e-Sharia leaders held at Darul Uloom Sabilurrashad (Arabic College) in the city.

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News Network
January 8,2020

Bengaluru, Jan 8: The Karnataka high court on Tuesday directed the government to submit steps taken in respect of the order of Lokyukta in relation to the Kethaganahalli landgrab case involving former chief minister HD Kumaraswamy, his relatives and former minister DC Thammanna.

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