11 Discoms Directors on Extension Sacked

Hyderabad: The state government on Monday removed from service with immediate effect 11 directors of the two power distribution companies (discoms). The government said only two were appointed following due process while for the rest, the appointments made by the BRS government were in violation of rules.

Those removed from service were TS Southern Power Distribution Company Limited (TSSPDCL) directors J. Srinivas Reddy, T. Srinivas, K. Ramulu, G. Parvatham, Ch Madan Mohan Rao, S. Swamy Reddy and Gampa Gopal. From the Northern Power Distribution Company Limited (TSNPDCL), the government removed from service B. Venkateshwar Rao, P. Mohan Reddy, P. Sandhya Rani, and P. Ganapati.

Only two of those removed as directors, Ramulu from TSSPDCL, chief general manager, and Mohan Reddy from TSNPDCL, a superintending engineer, are still in service and are expected to report to their original posts.

These officials handled operations, projects, commercial, energy audits, purchase and material management, regulatory affairs, investment promotions, and detection and pilferage of energy.

The government said that as per rules, directors are to be appointed for a two-year term which may be extended by a year with a cap of two extensions. The terms of the directors cannot exceed four years in all. However, two of the directors Srinivas (projects) of TSSPDCL, and Venkateshwar Rao of TSNPDCL (HR) were allowed in office for 10 years and five months. Srinivas Reddy of TSSPDCL, who handled operations, continued in his position for nine years and two months.

According to sources, some of the directors were vocal supporters of a power purchase agreement for 1,000 megawatts a year with Chhattisgarh, which opponents of the agreement from within the power utilities had objected to saying that it would place an unnecessary burden of Rs 1,050 crore a year in fixed charges whether Telangana state buys the power or not, totalling Rs 12,600 crore over the contract period of 12 years.

Incidentally, a chief engineer who was vocal in opposing the power purchase agreement with Chhattisgarh was handed a double demotion with his rank reduced to that of an executive engineer.

Principal secretary (energy) S.A.M. Rizvi, in his orders on Monday, said that the chairmen and managing directors of the discoms should make alternative arrangements until new directors are appointed.