Joint Electricity Regulatory Commission , Government of Mizoram, India

No. H. 11019/17/09-JERC

JOINT ELECTRICITY REGULATORY COMMISSION

FOR THE STATES OF MANIPUR AND MIZORAM

AIZAWL : : : MIZORAM

D-31.M.G.Road, Upper Khatla

Aizawl, Mizoram-796001.

Tel. : 0389-2310623(O)

Fax:0389-2301299

Minutes of the First Meeting of State Advisory Committee of Mizoram held on 5^th May, 2009 (Tuesday) at 11:00 AM at I & PR Conference Hall, Aizawl.

Members present :

1.Mr. Rin Sanga, Chairman, Joint Electricity Regulatory Commission for Manipur & Mizoram.

2.Mr. H. Bihari Singh, Member, Joint Electricity Regulatory Commission for Manipur & Mizoram.

3.Er. B. _, Former Chief Engineer, Power & Electricity Department, Member.

4.Mr. R.T. Nghaka, Deputy Secretary, FCS&CA Department, Member

5.Mr. R. Lalduhawma, President AMFU, Member

6.Dr. _, Member, Mizoram University

7.Er. B.L. Tlumtea, ZEDA

8.Mr. R. Sangliankhuma, CEO, AMC

9.Mr. Francis Lianmawia, G.S. ,NTUM

10.Er. Jolly Newman, Jt.Secy, P&E Department

11.Er. V. Rodingliana, SE, P&E Department

12.Mr. P.Lalupa, President, MCU

13.Er. C.L. Thangliana, E-in-C, P&E Department

14.Mr. C. _, Jt.Director, Trade & Commerce Department.

15.Er. Lalhminghlua, Assistant Chief (Engineering), JERC for M&M.

16.Er. R. Lalrodingi, Jt.Director, Industries Department

17.Mr. Lianhrima, Addl.Secy, P&E Department

18.Mr. Richard Zothankima, Assistant Secretary, Joint Electricity Regulatory Commission for Manipur & Mizoram.

Chairman Joint Electricity Regulatory Commission for Manipur & Mizoram, JERC (M&M) took the Chair and at the outset he welcomed Members after which he briefed the Committee on the role and functions of the Joint Electricity Regulatory Commission for Manipur and Mizoram as well as the role of the Advisory Committee as laid down in the Electricity Act, 2003. Thereafter, the other agenda items were taken up for discussion as under :

Agenda-2. Power Generation and Purchase :

a) Generation :-

With the permission of the Chair, Member JERC presented the broad scenario on power generation in Mizoram, stating that the power requirement as on date is 60 MW only and the peak demand is predicted by 2012 at 115 MW. He further observed that per capita consumption of energy is very low compared to the All India Average at 700 units and informed that the target as per the National Policy is 1000 units per head with Power to all by 2012; therefore, the availability of power has to be increased manifold by way of increase in generation.

Reacting to the agenda note, E-in-C, P&E Department stated that the power requirements of the State by 2015 - 2016 will be 400 MW and the present demand at 65 MW is restricted demand and the actual demand is much higher. As regards construction of new Hydro Projects, E-in-C, mentioned that Tuivai Project (210 MW) is in an advanced stage of approval at the Central Government level under PPP mode and thanked JERC for helping out in fixing projected tariff for the purpose of funding under VGF. In addition to Tuirial Project (60 MW) (which is under consideration of revival) and Kolodyne Project (460MW)
(for which agreement for construction has been signed with NTPC), he mentioned that the Department has a shelf of projects like Tuivawl (42 MW) and Tuirini (48 MW) for the implementation in the near future. He also disclosed that Serlui ‘B’ Project (12 MW) is expected to be commissioned by June, 2009.

Representatives of Mizoram University and Industries Association strongly felt that the projected power demand should take into consideration the requirement of Industries that will be emerging from the ‘Look East Policy’ implementation in due course of time. Representative of ZEDA stressed the need for a conducive power policy which will include renewable power resource projects. E-in-C, P&E Department assured the members that these observations have been included in the Power Policy under consideration by the State Government. Er.B._, Member suggested for outsourcing of operation and maintenance of power projects in Mizoram to which Additional Secretary, P&E Department

added that maintenance of Teirei MHP is being privatized by the Government. Member, JERC suggested that all major Hydel Projects in the pipe line may be taken up on priority and this will boost the economic development of the State as well. E-in-C, P&E Department pointed out major constraints like transportation bottle necks, high cost of compensation of land etc. Members were of the general view that there is need to check the number of claims on compensation and to minimizing the amount.

Recommendations-

i)The Committee recommends that maintenance of existing micro Hydel Projects should be out-sourced. The Committee however, took note of the fact that action in this regard has already been initiated by the Government.

ii)Construction of major Hydel Projects like Tuirial, Tuivai and Kolodyne be taken up as soon as possible and payment of compensation should be limited to genuinely affected people.

iii)The Power Policy of the State should be finalized early and the policy should include incentive scheme towards attracting investment from outside and the projected power requirement of industries in the light of the ‘Look East Policy’ being implemented by Government of India.

b). Purchase of Power :-

In the general discussion, E-in-C, P&E Department stated that at present the total requirement of Power in the State is purchased from Central Sector Power Projects of this region. The quantum of power for purchase is fixed as per the allocation of share made by the Central Government. The share of the State is very small and the requirement of the State cannot be met fully out of the allocated share. After deliberations, it was agreed that the Government of India, (Ministry of Power) be requested to increase the share of Mizoram from the present Central allotment.

Reacting to the suggestion that the State may consider buying power from outside the region, E-in-C, explained that nothing much can be done in view of the non-availability of power even outside the region and the Heavy Fuel based Project at Bairabi cannot also be run as the required fuel could not be transported through railways due to acute insurgency problems in the Halflong area in the N.C. Hills.

Recommendations -

i) The Committee recommends that the Government of Mizoram, P&E Department may take step for obtaining more Central Power share for the State.

ii) Long term and short term plan for purchase of Power may be formulated.

Agenda 3. Theft of Energy and Losses :-

On deliberation of the agenda, Members have agreed the theft of energy and the distribution losses in the State are found to be on the high side and there is a need to reduce the loss at least to the national average of 25%. The Inspection Squad formed by P&E Department was found to be a good initiative which the Committee appreciated however, caution needs to be exercised to see that people of integrity are detailed for this purpose and there should be supervision system in place.

The Committee recommends-

i) The officers and staff of Inspection Squad should be persons of high integrity. Aggressive public education on power theft through media should also be made and that Inspection Squad should be formed for all the Districts in Mizoram.

ii) NGOs, like YMA, MHIP, MUP, etc may be made part of the Inspection Squad team.

iii) New Technologies should be introduced to reduce losses.

iv) Energy Audit should be made compulsory.

Agenda 4. Load Shedding :-

Chairman suggested for equitable distribution of Load Shedding among the Districts in the State without any discrimination. President, Mizoram Consumers’ Union observed that individual consumer should not be given priority on power supply so as to ensure non-discrimination in distribution. E-in-C, P&E Department stated that there is an acute shortage of power generation in the Region thereby affecting the share of Mizoram; hence Load Shedding has become unavoidable. Member, JERC (M&M) proposed for purchase of power from other sources to the extent possible to avoid load shedding as the overall quantum of requirement is very small. E-in-C replied that it is not feasible due to non-availability of surplus elsewhere at this juncture of time.

Recommendations of Meeting are-

i)Monthly Load Shedding schedule should be worked out by the P&E Department and the same published in the News Papers / Media.

ii)The available power should be equitably distributed as far as possible within the State.

Agenda 5. Metering and Billing :-

On deliberation of the subject, it transpired that the Metering and Billing of the P&E Department was found to be satisfactory in the State.
Recommendations –

i)All Consumers without Energy Meter should be provided good static Energy Meters and the defective meters may be repaired / replaced as early as possible.

ii)Franchisee should be introduced at the earliest for improvement of the overall performance in Metering, Billing, and Revenue collection.

The Meeting ended with the vote of thanks to the Chair.

Sd/- H. BIHARI SINGH Sd/-RIN SANGA

MEMBER CHAIRMAN

Memo No.H.11019/17/09-JERC : : : Dated Aizawl, the 20^th May, 2009.

Copy to:

1.PPS to Chief Secretary, Govt. of Mizoram, Aizawl / Govt. of Manipur, Imphal for kind information.

2.PS to Commissioner / Secretary, P&E Department, Govt. of Mizoram / Govt. of Manipur for information.

3.All Members of the State Advisory Committee of Mizoram for favour of kind information and necessary action.

4.Guard File.

(RICHARD ZOTHANKIMA)

Assistant Secretary