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Press release dated 03-09-03
 

PRESS RELEASE

The Vth conference of electricity employees federation of India was held in Anpara, a big power generating centre in Sonbhandra district, Uttar Pradesh from 30th August to 1st September, 2003. This conference was preceded with an exhibition at Lucknow in which the story of power development in India has been depicted with pictures and graphs attracted big public attention.

The conference began with a well-attended public rally at Anpara on 30th evening in which Com. Mohd. Ameen, Minister for Labour (Govt. of WB), M.K. Pandhe (GS, CITU), Basudev Acharya (M.P.) and Jibon Roy (M.P.) besides Com. E. Balanandan, President of EEFI participated. Com. Bhagvan Mishra, Chairman, Reception Committee (Secretary, UPBBEU) welcomed the gathering.

Second day from 10 AM –12 noon there was the open session. Com Bagwan Mishra welcomed the gathering. Com. E. Balanandan delivered his presidential address in which he has drawn the attention of the delegates about the nature of ongoing imperialist offensive and the dangerous consequences of the policies being pursued by the government of India under imperialist led globalization. The session was concluded after the greetings from the fraternal delegates. Then delegate session was started with the participation of 301 delegates from 15 states and one union territory and 31 unions besides 33 observers. Com. M.K. Pandhe in his inaugural address narrated the difficulties being confronted by the Indian working class including the electricity workers as a result of the government policies. General Secretary, Com. B.S. Meel introduced his report detailing the activities conducted by the federation after the 4th conference and drawn the attention of the delegates to task ahead. The discussion on the report in which 36 comrades had participated on 31st and 1st September’03 in which they have explained the problems being faced in each state because of the attempt of privatisation being resorted to by the state government and their activities.

In the evening of 31st August’03 there was a seminar on "The Impact of Indian Power sector Reforms" which was inaugurated by Mrinal Banerjee, Power Minister of West Bengal and the power expert Com. P. Purkayastha Delhi Science Forum among others. Com. Shyamal Chakravorty presided.

On 1st of September’03 by 4.00PM the session was concluded after adopting seven resolutions, general secretary’s reply and the election of the new leadership with the concluding remarks of the president besides adopting a campaign programme.

A twenty member office-bearers besides fifty eight working committee members elected. E. Balanandan, President, B.S. Meel, General Secretary.

Among the resolution adopted one was protesting against the retrenchment proposal of Calcutta Electric Supply Corporation Limited through VRS 50% of the permanent compliment of the (12899) workers and the resolution demanding change in the Electricity Act 2003. The full text of the resolution demanding change in the Electricity Act 2003 is reproduced below. The conference was a success which generated enthusiasm among the delegates.

SCRAP ELECTRICITY ACT, 2003

Electricity Act 2003 has come into force with effect from June 10th 2003. If any state government desires, the repealed laws can be kept in force for another six months, by using the provision of the act itself. The existing Electricity Boards can continue only upto June 10th of 2004.

This enactment is made to provide a legal framework for the total privatization of the Electricity Industry and as a prelude to unbundle the Electricity Boards and subsequent shift into the deregulation and market driven pricing of power. The provision for open access to transmission system, de-licensing of generation, allowing multiple players in transmission and distribution, removing social control of power industry are the clear cut path of the notorious Enron founded American model of the Power industry.

The Act leads to the following among other things:

The abundant water resources in the country can be exploited for minting profit by any private investor who gets statutory clearance from the concerned government department, which is easy for private capital in the present system.

The assets of electricity Boards will be handed over to private capital at a very concessional price as we have seen in DVB privatization.

Further rural electrification will be in doll-drums. As this is a loss making business, no company will take up this task. 2/3rd of the households in India are still to be electrified. (In Sonabhadra district of UP where this conference is held and in the adjacent area of MP 7129 MW are generated which is about 7% of the total generation of India while half of the villages in this districts are still to be electrified where the majority of the people living are poor agricultural workers).

The issue of the transmission licenses will lead to fragmented transmission system, instead of integrated transmission system which will lead to opening up of anarchy in transmission system and may further lead to massive power failure as we saw in USA and Canada on August 15th.

There will be Regulatory Commissions both in the center and state which are neither accountable to Parliament nor Legislative Assembly, with enormous powers.

By elimination of the subsidy, cost of power will become unaffordable to majority of Indian population, covering the lower middle class in urban and rural areas, public utility services like schools, colleges, transport, hospitals, sports complexes etc, agricultural sector and small-scale industry. The cost of agricultural production including food crops will go high and consequently the whole population will be affected. An illusion is created by the apostles of privatization that as a result of introducing competition among multiple players in the power generation, transmission, distribution and trade, the tariff will come down. It is a false notion. The National and International experience negates this propaganda. Only a small section of the people i.e., the affluent class get the advantage of it.

The definition of the captive power as per the provisions of the act enables those who can pay surcharge for providing supply, to escape from paying the surcharge and utilize the existing transmission system for bringing power from anywhere they like.

The service conditions of the employees will be affected both in public and private sector. Utilizing this opportunity, 50% of the staff reduction proposed by CESC management is a typical example in private sector.

In order to manipulate the cost of installation to fetch higher tariff approved by the regulatory commission the private companies will be importing plant and machinery thereby creating adverse effect on the self-reliance of the country.

So the new enactment is to safeguard the interest of the big private capital both Indian and Foreign contrary to the dreams and vision of the freedom fighters and Nation builders. The Chairmen, Parliamentary Standing Committee on Energy and a few of the chief ministers of the country brought many of the above criticisms.

Even though in letter and spirit the intentions of Electricity Act 2003 are the above, there are some provisions in the act itself which can be used in the present federal setup of the country to keep the erstwhile Electricity Board as a single entity.

The 5th Conference of EEFI demands that the Electricity Act 2003 be repealed/replaced and a new law should be brought to uphold the dominant role of CEA to suit the federal set up of the country, SEBs and CPSUs in the interest of our National objectives "Power for all, Quality Power on demand and power at affordable rates". The Electricity Boards should be kept intact as a single entity company/corporation till then to obviate the difficulties to the consumers, employees and the nation. The conference also demands that sufficient budgetary support should be provided by GOI for power development to the state to achieve planned balanced development of the country. This conference calls upon all the electricity employees of the country to involve in a massive campaigns and agitations exposing the evils of Electricity Act 2003 and fight back joining with the people at large including the peasantry to achieve the above goals.

(B.S. MEEL)

General Secretary
 

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