By Our Reporter
SHILLONG: In what can be termed as a major boost for the financially-wrecked Meghalaya Energy Corporation Limited (MeECL), the State government has decided to raise the borrowing limit of the Corporation from existing Rs 850 crore to Rs 1910 crore.
Informing this here on Tuesday after a Cabinet meeting, Chief Minister Dr Mukul Sangma said that the government has agreed to accept the proposal of raising the borrowing limit of MeECL to Rs 1910 crore to ensure that it could further invest and increase its earning capacity.
Liabilities of MeECL were mounting day by day and there had been a substantial gap between its earning and expenditure, he said.
While asking MeECL to take corrective measures to ensure that the realization of revenue was much more than what it was at the moment, Dr Sangma said the gap between revenue and expenditure has widened due to several factors.
Stating that the liabilities before MeECL was a matter of serious concern, the Chief Minister said that the total value of the assets held by Corporation stood at Rs 2700 crore.
Giving details of the liabilities of MeECL, the Chief Minister said it had touched Rs 1890 crore which includes power purchase outstanding of Rs 353 crore, long-term liabilities of Rs 1295 crore and short-term liabilities of Rs 242 crore.
Stating that the Corporation has a huge power purchase outstanding, he said, “It is high time for all the entities of the corporation to improve their efficiency.”
Referring to delayed issuance of power bills to its consumers, Dr Sangma said, “MeECL has been directed to explore technology for ensuring timely delivery of the electricity bills to its consumers.”
The Chief Minister also asked the Corporation to bring down its aggregate technical and commercial losses, which presently stands at 32 per cent.
