JSU opposes leasing out of MeECL distribution circles

Syllad | The Rising MeghalayaJune 7, 2021

SHILLONG, JUN 7: The Jaintia Students’ Union (JSU) has expressed strong opposition against the state government’s move to lease out the two distribution circles of the Meghalaya Energy Corporation Limited (MeECL) to the REC PDCL.

In its letter submitted to the MeECL Chairman-cum-Managing Director Arunkumar Kembhavi on Monday, the JSU said it opposed the move to lease out the distribution circles – the Shillong Central Distribution Circle and Eastern Distribution Circles to REC PDCL for 25 years.

“…since these are the most profit making distribution circles and having the least Aggregate Technical & Commercial (AT&C) losses it will be a huge setback to the sustainability of MeECL,” it said.

JSU also questioned as to why the condition for insertion of additional clause was made to Meghalaya only and not any other state while availing the Atmanirbhar loan.

It said  that  despite having to pay huge interest from the loan grant, the move to bring these circles as distribution franchisees of REC is absurd and is a foul play to help private parties to loot profits from MeECL.

“This sell out plan whereby the REC is able to Sub Contract to Private Companies is unacceptable which will render current employees especially those under contractual appointments to lose their jobs.  Also it would deprive the local youths of their ability for jobs at MeECL since employment will be as per the sole prerogative of REC or the Sub-Contractor,” JSU said.