This paper examines the Tamil Nadu Electricity Board's (TNEB) long-term financial problems, its impact on the projects and the action plan to circumvent the financial difficulties. Since the State Government has retreated from dispensing long-term loans, the Board has been bolstered by the public and financial institutions with loans and advances. This shift in stance of the State Government has created a short shift in project finance. Also it landed into the high cost of borrowings. In this condition, finding a nearest means at the cheapest rate to tide over the financial stress of the Board is considered imperative. With this aim, the consumers are approached with the following maxim. This is to understand the consumers' mind in supporting the Board. "No Payment of Electricity Bill if you Deposit an Amount Equivalent to 100 Times of your Bimonthly Bill to the Electricity Supplier". Despite the survey being carried in a miniature, the response obtained from the consumers is encouraging. It is expected that the proposal will work well like a mascot to overcome the financial problems of the Board if implemented earnestly. Since the proposal embarks on the commercial principles, the paper strongly urges the TNEB and other Boards as well to implement this plan.
Electricity is necessary for industries to produce goods and services, for commercial establishments to sell or deal with goods and services, to homes for house hold purposes, to agriculturalists to bail out water from the wells for farming and so on. In the daily humdrum electricity has become indispensable. The economic, commercial and social activities nowadays very much depend on the availability of quality power supply.
Since 1957, the Tamil Nadu Electricity Board, (TNEB) has been providing electricity to different categories of consumers. The Board has been growing under the shore and subvention of the State Government. The Board has achieved many laurels over the years, one of its achievements being 100% electricity connection to rural areas. But all India statistics say that the general economic condition has left 55% of the villagers inaccessible to electricity (Chennai, The Hindu, March 29, 04, p. 18). Due to the Board's unflagging effort the per capita power consumption of the state has reached 567 kwh per annum, (2001-02). |
