JOINT ELECTRICITY REGULATORY COMMISSION
FOR MANIPUR AND MIZORAM
AIZAWL : : : MIZORAM
D-31, M.G.Road, Upper Khatla
Tel. No. : 0389-2310623
NO.H.11019/27/12-JERC Dated Aizawl, the 12th October, 2012.
MINUTES OF THE 10th MEETING OF THE STATE ADVISORY COMMITTEE OF
Venue : Conference Hall, I & PR Directorate, Aizawl, Mizoram
Date & Time : 28th September, 2012 at 11:00 am
List of the participants appended.
The 10th Meeting of the State Advisory Committee of Mizoram began with a brief introductory speech from Mr. A. Chhawnmawia IDES (Rtd), Secretary, JERC for M&M and Member-Secretary, SAC of Mizoram on the role of SAC and its importance in the development of Power Sector in the State.
While welcoming the Members of Mrs. Thachhungi Sailo Ex. Member, representing, President, MHIP, Hqrs. Mr. C. Lalrambuatsaiha, President, Mizoram Journalists’ Association and Prof. H. Lalramnghinglova, Department of Environmental Sciences, MZU who came for the first time in the State level meeting, Mr. H. Bihari Singh, Chairperson JERC for M&M and the Chairman, SAC of Mizoram informed that a new Member representing the State of Mizoram is yet to join the Commission and further requested all present in the meeting to introduce themselves in the interest of the newly inducted Members.
The Chairman thereafter drew the attention of the Members to the Agenda one by one with the request to deliberate and share views.
Agenda 1. Confirmation of the Minutes of 9th SAC Meeting held on 28.05.12
While seeking nod of the Committee on the Confirmation of the Minutes of the 9th Meeting of the SAC, the Chairman also listened carefully to some of the Members who wanted certain clarification on “Tariff Schedule” and assured them that these points would be discussed at an appropriate time of the day later. Finally, the Committee gave nod to the declaration of the Minutes of the 9th Meeting of the SAC Mizoram as confirmed.
Agenda 2. Action Taken Report on Past Recommendations
The Chairman then drew the attention of the Members to the valuable recommendations made in the last two Meetings (8th & 9th) of the State Advisory Committee of Mizoram and stated that these recommendations were timely forwarded to the State Government and the P&E Department for taking necessary actions.
Er. C.L. Thangliana, E-in-C, P&E Department who was present as a Special Invitee in the Meeting, explained in detail about the action taken on the recommendation of the 8th SAC Meeting. He cited shortage of manpower in the Department as the main reason attributing to the delay in completion of consumers survey. He further stated that publicity of Grievances Redressal Mechanism has been intensified and 70 % of the IGRC have been put in place.
Referring to a question on Restructuring of the Department, from Mr. _ Sailo, Secretary, MCU, the Chairman requested Er. Jolly Newman, Joint Secretary, P&E Department, Government of Mizoram to explain briefly how the process for Restructuring of the Department is progressing.
The Joint Secretary, P&E Department, informed the Committee that the Government of Mizoram is seriously considering the importance of converting the present Department into a Corporation and making itself a sustained one as done by other States. The Administrative Staff College of India, Hydrabad was engaged to carry out a detailed study and work out a sensible modality with which the conversion could be expedited by the Government without much financial difficulty. The Report has been received and it is under examination in different Departments of the Government.
The Joint Secretary further added that a total amount of about ` 600 cr. would be required by the Government if the burden for payment of high wages and depreciation on huge assets is to be removed from the new Corporation on the day one itself and the Government is finding difficulties in making arrangement of the requisite amount.
The Chairman then drew the attention of the Committee to the recommendations of the 9th Meeting of the State Advisory Committee, Mizoram.
Er. C. Lianlunga SE(SLDC) opined that, the consumers are to bear the additional burden raised by CERC in the form of supplementary bills. The E-in-C has however informed the Committee that the amounts involved in the supplementary bills are not loaded on the tariff as the Government of Mizoram is providing adequate tariff subsidy.
On employment of the power sector the Department has not moved for any separate policy. It was felt necessary that employment cost should be reduced gradually in proportion to reduce subsidy component in the tariff. About the collection of more revenue, the committee observed that achievements of revenue collection by 73% during the year 2010-11 and 92% during 2011-2012 are good and showing improvement.
As per the report furnished by the P&E Department on the point (4) of the recommendations, all kinds of effort are on to eliminate the theft of power cases and reduce commercial loss. The Committee applauded the Department for taking the right initiatives.
Coming to the last point of the recommendations, the E-in-C apprised the Committee that the total hydro power potential available in the State is of the order of 5000 MW and also expressed belief that about 2400 MW of power out of the above total would be successfully tapped in another 8-9 years time. It is reported that Government of Mizoram has taken all possible initiatives to complete early the hydro power projects in the pipeline.
Agenda 3. Present Power Supply Scenario & Consumers’ Satisfaction
The Chairman then initiated discussion on the next Agenda. Referring to the power supply scenario in the proper Aizawl, the Chairman expressed the view that the situation in this part of the State is comparatively good and requested the Members to apprise the Committee of the scenario in other districts of the State. As per the information furnished by the P&E Department, the duration of the load shedding in all the 8 Districts of Mizoram is about 3 hours a day. The Committee members considered the present power supply as good.
The E-in-C was however quick to inform the Committee that the districts which are located far from the main sub-stations have been suffering because of unavoidable technical reasons and added that the Department is making all out effort to tide over the situation as early as possible.
Prof. H. Lalramnghinglova, Department of Environmental Sciences, MZU observed that the street lamps of many parts of Aizawl are not working. The E-in-C clarified that maintenance of the street lamps would be done with the funds to be deposited by the owners i.e. the municipalities and these street lamp owners have not done it so far.
Mr. _ Sailo, Secretary, MCU expressed reservation over the correction of the grievance redressal figures furnished by the Department.
The Chairman, however, intervened by saying that in the absence of another comparable figure from other source, it may not be possible to verify the data/ information received from the Department and therefore sought co-operation from the Members in this regard.
Agenda 4. Power Generation Policy of Mizoram
The Chairman then drew the attention of the Members to the Hydro Electric Power Policy of Mizoram, 2010 – framed & published by the Government of Mizoram with a view to harnessing the huge hydro power potential available in the rivers of the State.
Participating in the discussion, Mr. C. Lalrambuatsaiha, President, Mizoram Journalists’ Association, observed that the lease period of 99 years seems to be very long and also wanted to know the names of the proposed projects and their locations. The E-in-C read out the list of the projects and further clarified that the period is reduced to 50 years only.
Sharing his views and expressing concern over the alarming degradation of forest in Mizoram, Prof. H. Lalramnghinglova, Department of Environmental Sciences, MZU wanted that adequate care as envisaged by the Environment & Forest Protection Act, may be taken to protect the forest from further degradation following construction of hydro power projects. The Professor also stated that the data on the forest area and the land use pattern given in the policy, are required to be updated.
The Professor further suggested that the authority may be moved to increase the free power allocation to the host State based on the internationally accepted norms for protection of other indigenous people. Citing previous experience on the implementation of hydro power projects, the Professor also informed the Committee that he cannot buy the view that a few projects would be completed within 8-9 years. Chairman expressed his views that increase in the free power in the policy may distract prospective investors. He, however, stated that free power could be increased if it is a bidding criteria in the process of the project allotment.
Mr. _ Sailo, Secretary, MCU suggested that efforts of the Government shall have its focus only on a few projects of a larger scale instead of SHPs. While supporting this view, Mr. C. Lalrambuatsaiha, President Mizoram Journalists Association also suggested for prioritization of all the viable Hydro Power Projects in the State.
Reacting to the proposals of the Members, the E-in-C stated that the vital statistics may be updated according to the latest assessment available in the concerned Department, however certain statutory conditions cannot be changed by the State Government. The E-in-C also cited the advantages of taking up of SHPs in the State as the smaller projects (up to 25 MW) are provided with adequate financial support by the Ministry of New and Renewable Energy, Government of India and the State has the technical capability to implement it.
The Chairman pointed out the following issues for discussion:
(i) Each policy is normally associated with a target. However, that kind of target is missing in the policy.
(ii) A few more projects need to be identified by the State Government to include in the National Action Plan for development of hydro power resources and it may be a part of the policy.
(iiii) The State Transmission Utility (STU) and Central Transmission Utilities are responsible for planning and development of Transmission networks as per National Hydro Policy. Arrangement for the “Evacuation of Power” from any generating station shall not be left to the developer alone. Clause 16 of the State Policy stipulates that “It is the duty of the Developer to arrange evacuation system”.
- Allotment of projects of 100 MW above capacity must be done through “Competitive Bidding” process as per National Policy. Clause 9 of the State Policy permits allocation of projects above 100 MW through MOU route.
After deliberation the Members unanimously decided to recommend for placing the following points to the State Government for consideration and amendment of the policy.
- Prioritization of Hydro Power Projects.
- Inclusion of a target at the end of the 14th five year plan in the State’s Hydro Power Policy.
- Review of the clause 16, Power Evacuation, of the Hydro Electric Power Policy of Mizoram 2010.
- Review of the clause 9, Allotment of projects above 100 MW through MOU route, in line with the National Hydro Power Policy.
Agenda 5. Renewable Energy Development in Mizoram
The Zoram Energy Development Agency (ZEDA) arranged a power point presentation for the Members on the Renewable Energy Development in the State. All the schemes were taken up under beneficiary programme. However, energy accounting in terms of percentage of contribution to the total energy requirement of the State was not done.
The Meeting ended with vote of thanks to the Chair.
Sd/- H. BIHARI SINGH
State Advisory Committee
Memo No.H.11019/27/12-JERC : Dated Aizawl, the 12th October, 2012.
- P.S to Hon’ble Chief Minister, i/c P&E Department, Govt. of Mizoram for kind information to the Hon’ble Chief Minister.
- PS to Secretary, P&E Department, Govt. of Mizoram for kind information to the Secretary and for taking necessary action on the Minutes of the Meeting.
- All Members / Special Invitee / Invitees of the State Advisory Committee for kind information and for taking necessary action on the Minutes of the Meeting.
- Guard File.