Rajasthan Energy Minister: No Increase in Electricity Rates

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Rajasthan Energy Minister: No Increase in Electricity Rates

Synopsis

Rajasthan Energy Minister Heeralal Nagar reassured the public that the state government does not plan to privatize power companies. He addressed employee concerns and emphasized the importance of maintaining electricity rates amidst ongoing protests related to the Chhabra Thermal Power Plant.

Key Takeaways

  • No privatization of power companies in Rajasthan.
  • Collaboration with NTPC aims to improve energy management.
  • Employee service conditions will remain unchanged.
  • Electricity rates will not increase.
  • Focus on solar and renewable energy to lower costs.

Jaipur, April 5 (NationPress) In light of the ongoing demonstrations opposing the privatization of power companies and issues surrounding the Chhabra Thermal Power Plant, Rajasthan Energy Minister Heeralal Nagar addressed the media on Friday, asserting that the state government does not plan to privatize.

He mentioned that the collaboration with NTPC and other central enterprises is a strategic move aimed at fulfilling the state's energy requirements and enhancing financial management.

The Energy Minister reassured that the concerns of employees regarding their working conditions have been alleviated.

The government has firmly stated that there will be no detrimental impact on employee rights in any joint venture.

He remarked, "We have engaged in discussions with the employees and guaranteed them that neither their positions will be compromised nor will there be modifications to promotion or service conditions. For this purpose, we have instructed the CMDs of Discoms and Generation Corporations to provide written guarantees."

Addressing the ongoing disagreement regarding the process of establishing the Chhabra Thermal Power Plant as a joint venture with NTPC on a 50-50 basis and the electricity rates, the Rajasthan Energy Minister commented: "We have explicitly informed the company that they should concur on the same rate at which RVUNL is currently operating. If we must procure electricity at a higher rate, then why not utilize our own enterprises?"

He clarified that only resources are being allocated to NTPC, and no decisions will be made that would elevate operational costs. We will not permit an increase in electricity prices. We have conveyed to the company that the operational costs must remain unchanged.

He stated: "Should electricity become costly, it would be futile. The impact of renewable energy will be observable in two years."

The Energy Minister revealed that the government aims to lower electricity costs through various initiatives.

"We are concentrating on solar and renewable energy. This will manifest its effects in the upcoming two years, allowing the residents of the state to access electricity at reduced rates."

He indicated that there is a strategy to deliver affordable and local solar energy under the hybrid annuity model, which will benefit the discoms and diminish losses. He also noted that systematic efforts are being made to reinforce the transmission and distribution system. The Energy Minister affirmed that all queries from employees concerning the joint venture and MoU in the production sector have been addressed.

This is the first instance where the Energy Minister has elaborated the government's position to the media regarding the agitation of electricity workers and the issues related to the Chhabra plant.