Shillong, Nov 14: The Public Accounts Committee (PAC) of the State Assembly pulled up the Meghalaya Energy Corporation Limited (MeECL) over its poor performance and lamented that the Corporation is still working in the old style of the then Meghalaya State Electricity Board (MeSEB) without showing tangible results.
The PAC was scanning the manner in which the present MeECL is performing especially after having been split into three different entities – distribution, generation and transmission, since “no tangible results could be seen on the ground.â€
During the PAC meeting, officials of the power department were called.
PAC Chairman, Charles Pyngrope told media persons, the people of the state are yet to reap benefits from the corporatization of the then MeSEB due to major lapses and deficiencies in the administration and working of the three arms of the present MeECL.
Sharing the findings of the Committee, Umroi legislator, George B. Lyngdoh said the state of affairs in the MeECL is not very good in terms of revenue collection, financial management, and manpower requirement.
“Though the name has been changed, the MeECL still functions in the old MeSEB style where the main holding company (MeECL) controls the functioning of all the three subsidiaries,†Lyngdoh pointed out, adding that this was also objected by the CAG.
Lyngdoh also said that the PAC has taken a very strong note on the matter, and it was also brought to the notice of the Committee that some steps have been taken by the power department but “they are limping towards improving the functioning of the MeECL.â€
On revenue collection of the MeECL, he said that the way the MeECL handles the collection of electricity bills, and late receipt of bills, shows that they are still performing as government machinery, not as a corporate body.
The deficiencies were highlighted before the officers and suggestions were given by the PAC to streamline and solve the problems in order to improve the revenue flow.
“This will help to streamline the payment of interests, debts because as of now, in order to repay the loans, the MeECL is taking more loans. The debt service ratio as of now is 90:10, which is Rs 90 debt against Rs 10 profit which is in a very serious condition,†Lyngdoh said.
Mawsynram legislator, Himalaya Shangpliang also said that the PAC has also directed the department to either replace or repair damaged transformers across the state especially in rural areas, since many transformers that are out of order, the MeECL is yet to rectify these transformers nor replace or repair them till date.
“The MeECL is so prompt in disconnecting power to houses of defaulters’ particularly in rural areas, but they are very slow in repairing the damaged transformers. There are instances in Garo Hills, where MLAs pay for the repair of transformers from their MLA schemes, because they could not wait for the MeECL to bring the new transformers,†Shangpliang stated.