HYC demands Deputy CM to clear doubts over cost of smart meters

Syllad | The Rising MeghalayaJuly 27, 2022

The Hynniewtrep Youth Council (HYC) on Wednesday asked Deputy Chief Minister in-charge Power Prestone Tynsong to come clear on the issue relating to the cost for installation of smart meters in the state.

“In order to clear the doubts in the mind of the public and the citizens of the state we demand that the Deputy Chief Minister Incharge Power to clarify as to how the cost of the project for the installation and Supply of 180000 Nos of Smart Meters is given at a cost of Rs 232 crores when the cost of each meter is only Rs 3750 as per his statement on the floor of the house,” HYC general secretary Roykupar Synrem said in a statement.

The HYC also demanded that justification be given as to how the installation, testing and other services of each smart meter is given at Rs 9191 when the cost of the meter is only Rs 3750.

This was after the then Power Minister James Sangma had stated on the floor of the House on March 11, 2021 that the cost of each smart metre is about Rs 3400 while the Deputy CM on March 17, 2022 had answered that the cost of single phase and three phase smart meters are Rs 3750 and Rs 5120 without GST, respectively for the supply and installation of 180000 meters in the state.

Synrem also informed that as per replies to the information sought through RTI Act, 2005, it was found that the Board of Directors meeting of MPDCL held on February 12, 2021 approved the price offered by JV of Satnam Global for Rs 195,34,84,189 (without Taxes and provisional sum) and Rs 232,96,39,343 with GST and Provisional sum at a derived costing of Rs 9444 per meter with services.

LOA was issued on  February 16, 2021 as per contract price and break up given as: ex works price components Rs 1714842495 which come to about Rs 9526 per meter, GST Component Rs 308671649 which is about Rs 1715 per meter, installation Price Component is Rs 259428135 which comes to about Rs 1441 per meter and GST component on Installation Rs 46697065 which is about Rs 259.

“The total contract is Rs 2329639344 and if you make a simple calculation, the total cost incurred for the supply and Installation of one smart meter is  Rs 12,941, whereby the cost of Installation, testing, commissioning of each smart meter is Rs 12941- 3750 = Rs 9191 which is almost two times it’s procurement cost. (Therefore), it is unclear as to how the ministers concerns provided the answers above when the calculations of the project cost shows the rates of the supply and installation per meter is Rs 12,941 with GST,” he said.

The HYC leader further informed that RTI findings also revealed that the cost of maintenance and sim cards of the smart meters will have to be borne by the consumers at the end of a period of 2 years. “This in our view will create great difficulties to the consumers, particularly the rural consumers,” he said.

Stating that as per RTI the East and West Garo Hills Distribution Circles are two Circles where AT&C Losses is very high at 75.34% and 60.72 %, respectively, Synrem said, “We reiterate our demands as stated in our earlier communication to the state government that smart meters should be implemented in the two Distribution Circles as a pilot project. And if the results are satisfactory, then it may be extended to other Distribution Circles where AT&C Losses are comparatively high.”

“We also demand that the MPDCL should carry out awareness programs on the pros and cons and the future liabilities of the consumers in those Villages where Smart meters will be installed,” he added.