Pics: Spoorthi Ullal
Daijiworld Media Network – Mangaluru
Mangaluru, Feb 19: The Mangalore Electricity Supply Company Limited (MESCOM) has submitted a proposal to the Karnataka Electricity Regulatory Commission (KERC) to increase power tariffs by 11 to 12 paise per unit. The hike is intended to offset a revenue deficit of Rs 83.12 crore incurred during the 2024-25 financial year.
A public hearing chaired by KERC chairman P Ravikumar was held at the MESCOM headquarters in Bejai on Wednesday, during which consumers raised strong objections, noting that KERC had approved a three-year tariff revision plan just last year and that further hikes would place an undue burden on the public.
MESCOM managing director Jayakumar R explained that while KERC had fixed the power purchase cost at Rs 3,957 crore, the actual cost escalated to Rs 4,477.95 crore. He stated that increased operational expenses and depreciation also contributed to the current deficit and maintained that the tariff revision is necessary to maintain financial stability.
Responding to the arguments, KERC chairman Ravikumar observed that MESCOM has performed well compared to other ESCOMs and clarified that there is no immediate tariff revision, adding that the commission will thoroughly examine MESCOM's proposal regarding the losses.
During the hearing, several stakeholders and public representatives voiced their concerns. MLA Araga Jnanendra alleged that MESCOM suffered losses of crores of rupees due to the purchase of electric poles at rates higher than the market price in 2020-21 and demanded a reduction in tariffs along with stricter regulation of MESCOM’s irregular activities. Representatives of KCCI formally objected to the hike, stating that it would adversely impact trade and industry. G K Bhat from Mangaluru suggested that MESCOM reduce administrative costs and curb electricity wastage in streetlights and government offices to bring tariffs on par with other South Indian states. The Bharatiya Kisan Sangh highlighted issues related to the availability of smart meters and software glitches, with Satyanarayana Udupa pointing out that the company is operating with a 52% staff shortage, placing immense pressure on linemen, especially during the monsoon.
Addressing the staffing shortage, managing director Jayakumar R revealed that although 496 new linemen were recently recruited, none were from the coastal region. He added that even when training is provided to locals, there is little interest in joining, and at present, 396 existing staff members are seeking transfers out of the region.
KERC member H K Jagadish and MESCOM chairman Harish Kumar were also present at the hearing.