Electricity Dept Enggs want MP Govt to pay advance subsidy to discoms

Jabalpur, Nov 26 (PTI):
The Madhya Pradesh Vidyut Mandal Abhiyanta Sangh (MPVMAS) has urged the state government to release in advance the subsidy announced under Samadhan Yojna to the three state-owned and cash-strapped power distribution companies or discoms.
The organisation, the only representative body of electricity engineers in the state, has written a letter to Madhya Pradesh Chief Minister Shivraj Singh Chouhan demanding his intervention for releasing in advance the quantum of subsidy announced under Samadhan Yojna to the state-run discoms two days ago, MPVMAS general secretary VKS Parihar told PTI on Friday. The MP government owes Rs 27000 crore to the discoms as subsidy payment, he added. “As per the provisions of the Electricity Act 2003 and State Government Regulations 2007, the state is duty-bound to reimburse the subsidy amount in advance to the discoms,” Parihar said.
The current practice is that the power consumers availing the benefit of a scheme have to pay a portion of the actual bill amount. So the discoms bear the burden of waivers, he said.
The losses that the three discoms are reeling under are more than Rs 30,000 crore due to different reasons, like non payment of subsidy amount to them by the state government.