Departmental
Circular No.326
Statement
for Guide-lines
Following
are the guidelines to settle issues relating to arrears
and concessions to sick LIS (both HT & LT) with a
view to either revive them or close and avoid further
losses to the Board. The Guide- lines are based on Board
resolution No.1363 of 14-12-1978 and as notified vide
Departmental Circular (Com) No.PR-3-LIS/2809 dated 16-1-1979.
1.
L.I.S. which want to-revive:
1)
No D.P.C. and no interest on D.P.C. to be levied.
2)
Interest at 18% to be levied on the power bill (instead
of 24% wherever
applied).
3)
Actual energy charges to be paid at least 25% in cash
before availing the supply and the balance 75% to be paid
within the period of two years in suitable monthly/quarterly
or half-yearly instalments. These instalments may be granted
by Zonal C.Es.
4)
No minimum to be recovered for the period of closure i.e.
total amount of the bills towards minimum charges, interest,
D.P.C., meter rent to be waived for such period.
5) The period of agreement be extended corresponding to
the period of closure. In other words, the consumer would
be bound to operate the LIS for a total period of 7 years
and accordingly the period of agreement be extended.
6)
During the extended period of agreement the 15% of the
capital cost, tariff minimum or actual energy charges
billed, whichever is higher will apply.
7) In case of default in payment on rescheduled dates
(instalments) interest @ 24% (penal rate) should be recovered
from the consumer.
8) The above would apply even in case of L.T. scheme which
have not availed of supply at all from the beginning.
Even such LIS would be treated as sick for the purpose
of these guide-lines.
L.I.S
. which do not want to revive:
1)
Wherever the distribution fine is not at all used bo revive
within a month, and does not agree to the instalments
prescribed by the Board for payments of arrears, the line
will be dismantled at their risk and cost. If there is
no reply, supply to be disconneted and the line to be
dismantled and material to be removed for use on other
works.
2) The final amount of the outstanding dues to be worked
out taking into account the cost of dismantling also.
3) After working the above amount, it should be ascertained
whether the LIS has any assets from which cost could be
recovered in case the Board seek and obtain a court decree.
4) In the light of the above data, legal opinion to be
obtained as to the cost of court litigation and whether
it is worthwhile proceeding against the LIS in the court
of law.
5) Where it is considered not worthwhile or desirable
to go to court, discussions to be held with LIS to find
out to maximum possible recovery of dues. In working out
the amount the depreciation and the dismantling cost of
the line should at least be recovered.
6) Where even this is not possible, steps to write off
the amount of the outstanding be taken, within the delegation
of power of the Zonal Chief Engineers themselves. In the
remaining cases self contained note be submitted to the
C.E (RE & Com) who would take action as per the existing
delegation of powers to get the outstanding written off.
III. LIS in State Sector belonging to IDCOM:
The
Board should offer the same package deal of incentives
(as in case of I & II above) provided the State Govt.
agrees to treat the whole amount of Rs. 148 lakhs given
earlier to the Board as a non-refundable grant.
IV.
All LIS belonging to Zilla Parishad to be treated as non-
IDCOM, except that in the case of closed units, the entire
amount is recoverable and the question of negotiating
the issue should not arise.
V. Wherever any LIS requests for reduction in Connected
Load /Contract Demand and where it is agreed to by the
competent authority, the same should be given effect to,
from the date of the application from the concerned LIS.
The
modifed guide-lines are communicated vide Circular issued
under PR-3/LIS/2809 dt. 16-1-1979.
The
Board further directed that a quarterly report should
be submitted by the Zonal Chief Engineers to the Chief
Engineer (RE & Com) who would submit consolidated
report for all Zones to the Board showing the details
of the number of cases decided under their scheme.
