Govt asks MeECL to improve its revenue generation

Syllad | The Rising MeghalayaDecember 29, 2021

Deputy Chief Minister in-charge Power Prestone Tynsong has asked the Meghalaya Energy Corporation Limited (MeECL) to improve its revenue generation. 

He was reacting to the recent demand of the Coordination Committee of Registered MeECL (Employees) Associations and Unions (CCORMAU) that the state government should release at least Rs 20 crore per month as terminal benefits (corpus fund) to the MeECL pensioners.

Tynsong said that the state government is trying its best to address the problem. 

“They (CCORMAU) have met me also but I told them it is not easy for the government to bail out everything because you (MeECL) also need to generate your own revenue. If you have your own revenue, I am telling you tomorrow itself we will release it,” he stated. 

“But right now see government has to even bail out the regulation and the outstanding which we need to pay to different power supplying company…that is what I am saying that they also need to understand, they need to work hard. Let minus becomes plus so once you become plus, then you don’t have to come to the state government you can pay your outstanding then and there itself,” he added. 

Tynsong said the state government has to intervene to make sure that the MeECL becomes a profitable organization.

In a letter to the Chief Minister Conrad K Sangma earlier this month, CCORMAU president PK Shullet had said said, “It is understood that payment of the whole corpus fund in lumpsum may be difficult, hence it is requested that the state government may arrange for budgetary provision from FY 2022-23 onwards and may release minimum amount of at least 20 crores per month, commencing from April-2022.”

This was pertaining to the terminal benefits (corpus fund) of over Rs 840 crore to be funded by the state government to the MeECL.

Shullet had also reminded the discussions during a meeting held on February 12, 2020 where it was proposed that there would be budgetary support for the corpus fund. However, it is regretted to say that there has not been any positive move on this matter.

He had pointed out that due to non-receipt of the corpus fund from the state government, the MeECL has had to shoulder the burden of servicing the cost of various payments to pensioners.

“This has a negative impact upon the corporation which was and still is under severe financial stress,” Shullet said while informing that considering loss of interest in the interim period, the total amount of corpus fund as on date would range between Rs 1800 to Rs 2000 crores.

It may be mentioned that since 2016, the retired pensioners have not been paid their terminal benefits such as Gratuity, LEB etc which is a contravention of applicable laws.

“This has subjected the pensioners of MeECL to undue hardship and stress,” Shullet said even as he urged the chief minister to intervene into the matter as it involves the lives of many pensioners as well as the future of all concerned employees of the corporation.