Hescom is owed more than Rs 550 crore by various government departments. Hubli News – Times of India

Hubballi: At a time when people are complaining about the high power tariffs set by various government-run power companies across the state, it is ironic that one such power company is facing financial crunch despite hike in tariff. Is. One of the primary reasons Hubballi Electricity Supply Company (HESCOM) is grappling with financial crunch is that bills totaling Rs 556 crore are outstanding by various government departments – many of the outstanding bills date back three years. As a result, Hescom is struggling to clear its dues to the power producers.
The power company owes about Rs 307.7 crore to gram panchayats supplying electricity by Hescom, while urban local bodies including Hubli-Dharwad Municipal Corporation (HDMC) and Belagavi City Corporation owe Rs 129.1 crore. Bharat Sanchar Nigam Limited and other central government agencies owe around Rs 6 crore, while other state government agencies owe Rs 15.9 crore.
Despite several notices served by HESCOM to these departments, they have failed to clear their dues. As a result, HESCOM has had to take strict action by stopping the power supply to these offices.
D Bharti, managing director of Hescom, said, “If government departments fail to clear pending bills, the financial burden of the company will only increase. Hescom will have to pay Rs 4,591 crore for purchasing power.
Hescom has to pay Rs 1,476 crore to central power generating stations, Rs 1,647 to state-run stations and Rs 1,467 to private power companies. Given its fragile financial position, Hescom was forced to take loans to clear its dues to power generating stations. Meanwhile, the public has had to bear the cost of interest on these loans, a source said.
An activist from Hubli, Dr MC Sindhur questioned the government’s failure to act against the wrong agencies dragging their feet in settling the electricity bills. “If the public fails to pay the electricity bill on time, the electricity supply to the houses is immediately cut off. Why is it that the same rules do not apply to government departments? HESCOM should initiate strict action against these departments and ensure that the outstanding bills are paid,” said Dr Sindhoor.

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