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Maharashtra govt warns BSES, TEC over dues payable to MSEB

Swati Kulkarni in Bombay

The Maharashtra government on Wednesday served an ultimatum on the BSES and TEC to cough up Rs 1.81 billion payable to the MSEB by way of standby changes within a week or risk revocation of their licences to operate. The government has also given them the option to move the MERC for resolving the dispute.

Speaking to newsmen at the Mantralaya (secretariat), Minister for Energy Padamsinh Patil disclosed that both the companies owe MSEB dues Rs 3.62 billion. The TEC has paid up its share of Rs 1.81 billion to the BSES, which in turn has so far not paid up the standby charges.

Patil said that if either or them agree to pay the dues the government will not taking any further punitive measure. Patil stated that both the companies are free to move the court of law.

Responding to queries over the fear of blackouts in the metropolis, he said that under such circumstances the MSEB can take over the operations. The minister stated that the government has the right to intervene in disputes between two companies if it effects the consumers.

The government had in its March 20 order specified October 4 as the deadline for BSES and TEC to pay up their standby arrears. However, sources disclosed that the BSES has refuted the government' s right to intervene in their dispute with TEC. The government claims that the BSES has unfairly included other changes like capacity charges, fuel charges in the standby charges payable to it by TEC.

Sources disclosed further that the minister had held discussions will the BSES and TEC officials, along with state chief secretary Arun Bongirwar, late on Tuesday night. But the deadlock continues. Since both BSES and TEC are privately owned, sources argue that there is a limit to which the government can exert pressure to recover MSEB's dues.

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