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Financial crisis : TN power utility cracks whip on default local bodies

- September 1, 2022

Chennai, Sept 1 (BPNS)

With the financial woes for the Tamil Power utility, Tangedco on an ascent, it has directed all the local bodies in the state to pay up the dues with immediate effect. Officials with the financial department of Tangedco told BPNS that an amount of Rs 1800 crore was dues for the power utility from local bodies of the state.

Sources in Tangedco told BPNS that the department has also directed its officials to collect dues not only from local bodies but also from state government run bodies like water authority, school education department, police and municipalities.

Tangedco, according to information is reeling under financial crisis and hence the power utility is pressing its consumers to pay up their dues.

The department has also directed the officials to identify connections to which notices have been sent for non- payment of dues. The department has also directed officials to take up the matter with the revenue officials in the concerned districts including the district collector to get the dues to be paid.

With Tangedco moving ahead with several reforms, the officials in the department told BPNS that without making the base of the utility strong by collecting its long pending dues, the power body will crumble in the long run and hence stringent actions against erring consumers.

A senior official with Tangedco told BPNS that the mounting bills have to be settled on a war footing and the idea is to bring the power utility a debt-free company or a zero-debt company in a few years from now.