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This is an archive article published on November 10, 2009

Power tariff hike: BJP climbs down,says committee will take decision on rollback

<i>A two-member committee is looking into a host of issues,including power subsidy</i> After tough posturing with its alliance partner,the state BJP appears to have softened its stand on the issue of power tariff hike in the state.

A two-member committee is looking into a host of issues,including power subsidy

After tough posturing with its alliance partner,the state BJP appears to have softened its stand on the issue of power tariff hike in the state. Even as electricity consumers continue to be billed as per the hiked tariff order,the saffron party is now willing to wait for any “rollback” in the bill order until the two-member committee set up to review subsidy decides on various issues,including the subsidy recently announced by the alliance.

Till recently,the state BJP held that the subsidy announcement — this time to cost the cash-strapped state a whopping Rs 1,300 crore — should be made a reality without waiting for the committee’s recommendation. Some of BJP’s senior leaders,including former minister Balramji Dass Tandon,had made their annoyance public because of the delay in giving relief to consumers,essentially the ones in domestic and industrial categories. BJP state president Rajinder Bhandari,talking to The Indian Express on Monday,said,“The issue will soon be resolved. The two-member committee is looking into the matter. Once they give their recommendation,the relief will come through.”

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Within days of the power regulator announcing the new tariff order,the BJP mounted pressure on the government to ensure another power subsidy. The saffron party succeeded in its attempt. But the decision has not been implemented yet. Now that it is left for the two-member committee to look into it in totality,the process may take long before any visible signs of relief are seen,said sources. The committee,comprising Deputy CM Sukhbir Badal and Industry Minister Manoranjan Kalia,has met once. The next meeting will take place shortly,Kalia said.

Senior BJP leader Balramji Dass Tandon has said the delay could strain the relationship between the two alliance partners. The veteran leader said the state government had the powers,vested under the electricity act,to direct the Punjab State Electricity Board (PSEB) to ensure that there was no hike.

The problem,sources say,is that the state does not have the finances to bear this huge subsidy burden.

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