Maharashtra seeks Centre’s assistance for loss reduction & modernisation of distribution network

Maharashtra Energy Minister Dr Nitin Raut urged the Central Government to assist the state addressing the chronic issues related to power sector in Maharashtra, specially of Mahavitaran.

Thursday an Online meeting was called by the Union Power Minister R K Singh with states and union territories to discuss Reform Linked Result Based Revamped Distribution Sector Scheme. The scheme has been launched by the Central Power Ministry to bring reforms and modernise the power distribution companies with allocation of Rs 3 Lakh crore to assist the states in their efforts to reduce the distribution losses and provide quality services to the consumers.

In the meeting Dr Raut demanded grant for smart metering upto 60 percent as per infrastructure work against 15% and revise loss reduction targets of central scheme considering the rural and urban areas.

In the meeting Dr Raut pointed out that the Maharashtra State Electricity Distribution Company Ltd had accumulated arrears to the tune of Rs 71,000 crore due to the policies of erstwhile government. Major arrears were in the agriculture sector to the tune of Rs 45,000 Cr. To reduce arrears in agriculture, ambitious agriculture policy was launched to encourage the farmers to pay their arrears by giving them attractive rebates upto 60 percent.

Dr Raut informed that the Maharashtra State Electricity Distribution Company Ltd would be unbundled in regional distribution companies to reduce the losses and bring efficiency.

He further said that during Covid Pandemic consumers were given several concessions, deferment in the fixed charges, instalments for outstanding payment and others.