PSPCL’s one-time settlement scheme hardly finds takers

Nearly two months after its launch, Punjab State Power Corporation Limited’s (PSPCL) one-time settlement (OTS) scheme has seen a lukewarm response from defaulters.
According to the PSPCL officials, Ludhiana alone has 1,593 defaulters with industrial units making up the bulk (1,293). The remaining defaulters are domestic and commercial consumers.
Official data reveals that the corporation has received 258 applications under the scheme till November 14. Out of them, 92 have been prompted to the process of pre-audit while two cases have already been resolved, clearing a power bill of ₹2.2 crore.
The highest number of 112 applications were submitted in Sunder Nagar, followed by 31 in Janta Nagar. Other divisions like City West and City Central reported 26 and 25 cases, respectively.
Officials said processing each application under the scheme takes about 60 days as a detailed pre-audit is required to calculate the outstanding amount for each applicant.
In all, the total outstanding default amount under the OTS scheme, which includes industrial, domestic and commercial connections whether running or disconnected, stands at nearly ₹14.72 crore. This scheme which will conclude on December 22 aimed to address such pending dues.
Among the divisions, Khanna circle recorded the highest pending amount at ₹5.6 crore, followed by the West Circle with ₹5.36 crore and the East Circle with ₹3.7 crore.
The OTS scheme, launched on September 23 was designed to provide defaulters a chance to settle their dues existing as of September 30. The initiative excluded agricultural and government power connections.
Under the scheme, the PSPCL offered a reduced simple interest rate of 9% on pending amounts, compared to the existing 18% compound interest. For consumers with court cases, the interest rate was set at 10%. Fixed charges were waived for periods under six months, while only six months’ fixed charges applied for longer periods. Additionally, a new provision allowed payments to be made in four easy installments.
Commenting on the sluggish response, Jagdev Singh Hans, chief engineer of the central zone, said, “I appeal to the consumers eligible to opt for this scheme before December 22 as it is beneficial for both consumers and PSPCL.”