In a significant move, Mescom, a power distribution company, has launched a massive campaign to recover ₹458 crore in outstanding electricity bills from local government bodies within its jurisdiction. This comes despite the state government’s decision to provide free electricity to the people.
Mescom, which has already incurred losses of over ₹280 crore, has been directed by the government to form department-specific teams at the sub-division, taluk, and district levels to facilitate the collection of dues. All six major power distribution companies in the state, including Mescom, are seeking to recover these arrears from local government bodies.
While essential services like public hospitals, government student dormitories, drinking water supply, police departments, courts, and taluk offices have been exempted, all other institutions have been issued a 7-day notice to settle their dues. Failure to comply will result in the disconnection of their electricity supply.
Mescom is owed ₹458.097 crore by 58,657 plants, which include water supply and street lighting facilities, across four districts under its jurisdiction. In addition, ₹5.88 crore is pending from 8,107 plants, including commercial industries, in the same regions.
In particular, the Belthangadi and Ujire sub-divisions have an outstanding amount of ₹6.82 crore related to drinking water and street lighting. Some Gram Panchayats owe over ₹30 lakh, placing a significant financial burden on Mescom.
Padmavathy, the Managing Director of Mescom, stressed the importance of this action, pointing out that the company spends ₹40 crore daily on electricity purchases and pays ₹7.5 per unit under the Ganga Kalyan Yojana, which is considerably lower than the actual cost of ₹30 per unit. The special revenue collection team has been actively working since January 1 to recover the outstanding bills.
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