Discoms asked to adjust interest on security deposit in electricity bill

THERE WERE 29,725 CONSUMERS USING POWER LOAD ABOVE 10KW

LUCKNOW Power consumers’ long wait to get the bank interest on their security deposits that they paid to the UP Power Corporation Ltd (UPPCL) while taking an electricity connection seems to be over now.

The UPPCL has finally set in motion the process of feeding the amount of the security deposits in official records and then start paying the same to them, albeit, in a staggered manner.

UPPCL MD Pankaj Kumar has written to all the five stateowned discoms asking them to immediately start feeding consumer’s security deposit amount in computers and start adjusting the same in the electricity bills as per the formula chalked out by the Board of Director on July 29, 2021. As per an estimate, in UP there are around 50 lakh power consumers whose security deposit data is not fed and have never got annual interest payable to them since 2003 when the Electricity Act came into being mandating discoms to pay interest on the security deposit at the prevailing RBI bank rate or more once a year. The UPPCL has not been regular and consistent in paying the interest to other consumers as well. Kumar, in his circular dated October 21, asked the discom MDS to ensure that the data related to amount of security deposit of 12,10,698 consumers who subscribed to an electricity connection prior to 1993 was entered into official records at the division level within next two months. “Discoms will also ensure feeding of the security deposit amount of 37,94,465 consumers having electricity connections of 2kw and below within two months,” he added.

The MD further said there were 29,725 consumers using power load above 10kw. “These are the consumers whose power connection date is fed, but the security deposit amount is not fed. Discoms must see to it that the interest amount is calcul in respect of all such cons ers,” he said, asking discom rectify another 16,028 cons ers’ inflated security dep amount.

Welcoming the UPP move, UP Rajya Vid Upbhokta Parishad, chair Awadhesh Kumar Verma, filed several petitions in th Electricity Regulatory Com sion demanding paymen interest to consumers, said, a good decision that will en lakhs of power consumers t their lawful due.” A year ago consumers’ consolidated s rity deposits which the five coms had together stood a 3,164.03 crore in 2019. The c mission, a few months ago, also passed an order asking UPPCL to pay interest on s rity deposits and warne action in the event of non-c pliance.

Security deposit tha refundable on surrender o power connection is charge the case of domestic consum at the rate of Rs 300per kw. amount is much higher in of commercial and indus consumers.