MESCOM: Govt institutions yet to clear huge electricity dues

Team Udayavani, Sep 13, 2024, 9:57 AM IST

Representative image (Source: iStock)

Beltangady: While the government provides free electricity to citizens, local administrative bodies owe significant electricity dues, with Mescom alone facing outstanding dues of Rs 458 crore. MESCOM, which is already facing losses exceeding Rs 280 crore, has now begun recovery efforts from local administrative bodies, following government directives.

Several Gram Panchayats and local bodies owe lakhs of rupees in unpaid electricity bills, resulting in financial losses for electricity supply companies. To address this, the government has issued a directive to MESCOM to recover 100% of the dues each month. Teams have been formed at the sub-divisional, taluk, and district levels to oversee the recovery process.

All 6 Electricity Companies to Take Action

The six major power distribution companies in Karnataka—BESCOM (Bangalore Electricity Supply Company), MESCOM (Mangalore Electricity Supply Company), HESCOM (Hubli Electricity Supply Company), GESCOM (Gulbarga Electricity Supply Company), CESC (Chamundeshwari Electricity Supply Corporation), and HRECS (Hukkeri Rural Electric Co-operative Society)—are all now focused on recovering unpaid dues.

Exemptions have been made for essential public services such as government hospitals, student hostels, drinking water supply, police departments, courts, and taluk offices. However, all other institutions have been given a 7-day notice to pay their dues, failing which, their electricity connections will be cut off.

MESCOM owed Rs 458.97 Crore

In the MESCOM region, covering Dakshina Kannada, Udupi, Shivamogga, and Chikkamagaluru districts, government departments, water supply services, and streetlights owe Rs 458.097 crore across 58,657 accounts. Additionally, 8,107 establishments, including commercial and industrial units, with dues exceeding Rs 5 lakh, owe a total of Rs 8.82 crore. A campaign to recover these dues is already underway.

Rs 6 Crore Outstanding in Beltangady Taluk

In Beltangady and Ujire sub-divisions, a total of Rs 6.82 crore is outstanding from 48 Gram Panchayats for water supply and streetlight services. Some Gram Panchayats owe more than Rs 30 lakh each. This growing burden of dues has placed a significant financial strain on MESCOM.

“Since September 1, special revenue recovery teams have been formed, and the campaign has begun. Mescom pays Rs 40 crore daily for electricity purchases. While the government provides Rs 75,000 per unit under the Ganga Kalyana scheme, the actual cost is Rs 30 lakh per unit. This recovery is essential to balance the financial strain.” — Padmavathi, Managing Director, MESCOM

-Translated version of Kannada article by Chaitresh Ilanthila