THIRUVANANTHAPURAM: With the government's decision to take almost 10 per cent of the electricity duty charge from KSEB to state coffers, the subsidy benefit availed by 66 lakh poor families will come to an end. The pension benefit of 40000 retired employees of KSEB will also be affected. This is the second such shocking blow after the outrageous move to increase the electricity tariff last week.
Out of Rs 1200 crore received as electricity duty every year, Rs 800 crore was used for the pension benefit of KSEB retirees and Rs 400 crore was used to subsidize electricity bills for the poor. The electricity duty amount belongs to the government. Hitherto, the government never claimed the money and allowed it to be used to meet other demands of KSEB. However now, with the government going back from their usually held stance, the total system involving the subsidy payment has gone into shambles.
A notification released on Friday asked to pay the full amount of electricity duty charge to the government. The notification proposes to take one per cent of the duty collected as a collection charge and pay the remaining amount to the government. It was already announced in the budget that the current system will end on October 31.
Losing subsidies and the hike in electricity tariff announced by the Regulatory Commission was a double blow to the poor people in the state. The government should allow KSEB to function back in old ways or else there is fear looming about electricity charges breaking the roof in the coming months.
People who were appointed in KSEB, after it turned an independent company in 2013, will get NPS pensions. Those appointed till 2013 will also get a statutory pension. A master trust was created to make money to meet all demands. Rs 800 crores collected as electricity duty was given to KSEB itself.
People who got subsidies in electricity bills: