Opp team submits report on power scenario
SHILLONG: Meghalaya is likely to face a huge shortfall in terms of power generation in the coming years as the estimated demand of power is all set to touch 1050 MW by 2020.
This was revealed in the 12-page report of the fact finding team (FTT) of the Opposition parties.
The report was submitted to the State government on Friday.
Speaking on the report, the team leader Jemino Mawthoh said that the demand of power is expected to increase by more than 100 per cent in the next five years.
“With the load growth of 20 per cent per annum, the demand of power is expected to reach upto 1050 MW by 2020. The MeECL should have an installed capacity of 1050 MW in order to have reliable 24/7 uninterrupted power supply. This will save the corporation from purchasing power from outside the State,” Mawthoh said.
He said that the current generation capacity of the MeECL is 314 MW with augmentation and capacity addition from projects under implementation.
“This installed capacity is only 10 per cent of the total potential in the State. Due to migration of Industry to open access, the current peak demand in 2015 stand at 500 MW instead of 600 MW. The present shortfall stands 183 MW,” Mawthoh said adding that the capacity addition in the next two to three years from the ongoing 40 MW Umtru Hydro electricity project and 25 MW Ganol hydro projects in Garo Hills will be 65 MW.
“The overall capacity of MeECL will increase to 382 MW. Therefore, the power shortfall will be around 600 MW by 2020,” he said.
According to him, the claim of the Government expedites all power projects on fast tract under joint venture to meet the power shortfall have failed completely.
“Many of the power projects especially those with private developers initiated since 2008 have been a non-starters and the work is yet to see the light of the day,” Mawthoh said.
For example, he said that the Government which is contemplating to allot the 250 MW Umngot power projects to Jaypee Group which is struggling to overcome its debt service obligation of $200 million as on February 15, 2015.
“In November 2014, Jaypee Group had sold off two of its power project to JSW at Rs 9700 crores. The total secured and unsecured loan of Jaiprakash Group was Rs 17370.30 crores as on March 31, 2014,” Mawthoh said.
The FTT chairman said that the MeECL has failed to collect revenue of Rs 667.39 crore from the consumers awarded by the Meghalaya State Electricity Regulatory Commission (MSERC) to meet the Annual Revenue Requirement (AAR) of Rs 661.41crore.
According to him, firstly, the commission had allowed sales of electricity at 1560.87 million units and corresponding revenue of Rs 667.39 crores adding that secondly, the commission had allowed MeECL AAR of Rs 661.41 crores for 2012-2013 fiscal year,
“MeECL could handle only 1274 MW of energy against 1560.87 million units allowed by the commission. It collected revenue of Rs 501 crore against Rs 667.39 crore allowed by the commission,” he said.
Mawthoh further said that the MeECL could bring revenue of only Rs 3.93 per unit on the energy sold.
“But the actual revenue should have been Rs 5.19 per unit against an AAR fixed by the commission. The gap is Rs 1.26 per unit. Therefore, the shortfall in the revenue collection is Rs 160 crore,” FTT chairman said.
He said that the bigger question is that how will the MeECL address with this huge shortfall in the revenue collection.
According to Mawthoh, the Government is already in a debt trap with the State owned MeECL having pending dues for the power purchased from the central generating stations to the tune of Rs 500 crores.
“The MeECL had resorted to power cuts as the central generating stations had regulated the power supply to the State for want of payment. The Government had made tall claims as far as the achievements in the power sector is concerned but the ground reality presents a different picture altogether,” he said adding that the FTT will continue to closely follow on the various development in the power sector in the State even in the immediate future since it will be an ongoing process.