SHILLONG: The Public Accounts Committee of the Meghalaya Legislative Assembly has criticised Meghalaya Energy Corporation Limited (MeECL) for its poor performance and said the corporation is still functioning in the “old MeSEB style”.
PAC chairman Charles Pyngrope said on Wednesday that though the erstwhile MeSEB was categorised into three entities, distribution, generation and transmission, there has been no tangible results.
“We are yet to reap the benefits of the division as there were major lapses, deficiencies in the administration and working of the three arms of the corporation (MeECL),” he told reporters after a meeting with officials of the Power Department.
Congress’s Umroi MLA George Lyngdoh, who is also a PAC member, said MeECL’s performance is poor in terms of revenue collection, financial management and manpower requirement.
“It still functions in the old MeSEB style where the main holding company MeECL controls the functioning of all the three subsidiaries, which has been objected by the CAG,” he explained.
Pointing at its revenue earnings, collection of bill payments and late receipt of bills, Lyngdoh said the entity functions as a government machinery and not a corporation.
PAC highlighted these deficiencies before the officers and suggestions were given to streamline MeECL’s functioning.
“This will help to streamline payment of interests, debts because as of now in order to repay the loans, MeECL is taking more loans. The debt service ratio as of now is 90:10, which is Rs 90 debt against Rs 10 profit, so it is in a very serious condition,” he added.
The committee has also directed the Power Department to either replace or repair damaged transformers, especially in the rural areas, Mawsynram legislator Himalaya Shangpliang said.
