M A I N   N E W S

Bid to blow up police HQ
Tribune News Service

SRINAGAR, June 7 — Militants fired half-a-dozen rifle grenades towards the police headquarters, two of the grenades exploding outside the main gate of the complex near Batamaloo here this afternoon. Minor damage was caused to a residential house in the locality opposite to the police headquarters, as the inmates escaped unhurt.

The incident took place at 12.30 p.m. today, when the explosions rocked the complex behind the Civil Secretariat. At the time of the attack, the Director General of Jammu and Kashmir police Mr Gurbachan Jagat, and IG Police, Kashmir Range, Dr Ashok Bhan, were not inside the premises. The complex is located on the backside of the Civil Secretariat and the Fire Services headquarters, all in a high security zone.

The police said that the grenades were fired from the nearby Balgarden locality, however, the exact location could not be ascertained. 

Decision on power tariff today
Tribune News Service

CHANDIGARH, June 7 — The continuing deadlock between the Punjab State Electricity Board and the Punjab Government over the issue of revision of power tariff for domestic and industrial sectors is expected to be broken tomorrow.

While the PSEB authorities are insisting on the revision of the power tariff for all categories of domestic and industrial consumer to check the financial destabilisation of the board, the State Government is sitting over the issue for the past several weeks. Informed sources said that the PSEB authorities wanted that at least generation and distribution cost per unit should be recovered from domestic consumers.

The Chief Minister, Mr Parkash Singh Badal, has called a meeting of the officials concerned, including officials of the Punjab State Electricity Board and also Secretary, Power, for discussing the issue in detail tomorrow in his office. Sources said that before taking any final decision in this connection, Mr Badal also wanted to hold a meeting with the various associations of industrialists in the State. Industrialists have a very powerful lobby in the State. Compared to Haryana and other neighbouring States, the Board is supplying power to Industrial sector at a cheaper rate.

Already several discussions have been held by the Chairman and other top officials of the Board in recent weeks with the Punjab Chief Secretary, Mr R.S. Mann, on the issue. However, there was no progress in such meetings. Obviously, for political reasons, the State Government is lingering on the issue, while the financial health of the Board is deteriorating.

There are certain categories of domestic power connection holders who get power supply on subsidised rates. The average generation and distribution cost per unit is Rs 2.50. For instance for first 50 units consumers are supplied power for Rs 1.25 and the next two categories also get power on subsidised rates.

What percentage of revision the Board is expecting from the Government? When asked this question a senior official of the Board said that it would be good if the government increased power tariff to the tune of 30 per cent. Though it is also insufficient for restoring the financial health of the Board, but at least such an increase would compensate a bit.

The PSEB Engineers Association at a meeting with the Punjab Chief Minister, Mr Parkash Singh Badal, some months ago had urged for increasing the domestic tariff by 75 paise per unit for higher slabs and 100 paise per unit for small power consumers. It had recommended 85 paise per unit increase for the medium supply power consumers and 55 paise for the large supply power consumers. Such tariff revision will bring Punjab on a par with other states and generate resources to the tune of Rs 1000 crore per annum, the Association had maintained. In addition, the Association had suggested for levying a cess on foodgrains exported outside Punjab so as to mobilise around Rs 500 crore per year.

The commercial loss to the Board is expected to go above Rs 1000 crore this year while last year it was around Rs 900 crore, it is learnt. The quantum of institutional loan against the PSEB has increased from Rs 739 crore in March 1996 to Rs 3300 crore last year.

The primary reason for the Board’s poor financial health because on 50 per cent of total available electricity earns zero revenue. This, according to Board officials, include 32 per cent consumption in the agriculture sector which is free and 17.8 per cent power loss in transmission and distribution. The loss of revenue due to free power at an average rate of Rs 2.16 per unit is around Rs 1620 crore.

Whether the issue to discontinue free power to the agriculture sector will be taken up at the meeting , it is not known. The Board management and Association of the engineers is opposed to free power to the agriculture sector. They want that at least some cost of power generation and distribution should be recovered from the agriculture sector.

In fact, it has also been discussed at some official level that farmers having land holding above 10 acre should not be entitle to free power. A Cabinet sub-committee was constituted to examine the issue of free power to farmers. It has reportedly submitted its report to the government. What are its recommendations, it is not known.

It may be recalled that after taking over as the Chief Minister of Punjab, Mr Badal had announced free power for the agriculture sector to fulfill the promise made to farmers during the Vidhan Sabha elections.