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Govt mulls to publicly name major power defaulters in J&K

CM Desk by CM Desk
October 11, 2024
in Jammu & Kashmir, Top News
Reading Time: 2 mins read
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Govt mulls to publicly name major power defaulters in J&K
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Srinagar, Oct 10: In a bid to recover outstanding dues, the Jammu and Kashmir government is considering publicly naming individuals and entities who owe more than Rs 50,000 in unpaid power tariffs.

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The move is part of a broader effort to address the significant revenue shortfall in the region’s power sector.

A senior official stated that the Jammu and Kashmir Power Development Corporation Limited (JKPDCL) has been directed to identify major defaulters and compile a list for submission to the government. This list, which includes businessmen and politicians with long-standing dues, will be made public.

“The government is seriously concerned about the large number of defaulters, some of whom owe lakhs of rupees in unpaid tariffs. These names will be displayed on billboards in our department as well as in the defaulters’ local areas. Additionally, the government plans to publish their names in newspapers,” the official told Kashmir Indepth News Service.

The official further mentioned that power connections for those with overdue payments will be disconnected as part of this initiative. Notices are also being issued to government departments with pending electricity dues.

This move is aimed at curbing power theft and improving tariff collection efficiency in the Union Territory. Over the past decade, Jammu and Kashmir has purchased power worth around Rs 30,000 crore, yet there remains an annual revenue realization gap of Rs 3,500 crore. This shortfall places an immense burden on the state exchequer, exacerbated by the region’s outdated electricity infrastructure, which leads to frequent power disruptions.

Despite having a hydroelectric potential of 20,000 MW, Jammu and Kashmir currently generates only around 3,500 MW through various corporations. To meet consumer demand, the administration is forced to purchase electricity worth hundreds of crores annually from central entities such as the National Hydroelectric Power Corporation (NHPC) and other power corporations.

“The administration collects less than 50 percent of the expected tariffs from consumers, further straining the exchequer,” an official from the JKPDCL said. The revenue realization stands at Rs 3,500 crore, while the cost of power purchases annually reaches Rs 7,500 crore.–(KINS)

Tags: defaultersGovtPower
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