Smart meters: TNPDCL unions flag cost burden, oppose wider rollout

CHENNAI: A joint action committee (JAC) of 17 Tamil Nadu power sector trade unions, including the LPF and CITU-affiliated COTEE, has opposed the state government's expanded smart meter rollout, warning that it could add to the financial burden of the debt-ridden power utility.

The latest Budget proposed smart meters for all consumers in Chennai city and 50 lakh industrial and commercial consumers across the rest of the State. Chennai Region, which includes parts of Tiruvallur district, has around 38.80 lakh consumers. The announcement replaces the previous government's proposal to install smart meters for all 3.04 crore consumers in two phases.

In its representation to the TNPDCL Chairman and Managing Director, the JAC said smart meters should instead be limited to high-consumption consumers through the capital expenditure (CAPEX) model.

The unions said around 1.3 crore domestic consumers use less than 200 units, while another 90 lakh use between 200 and 500 units. Around 33 lakh domestic consumers use more than 500 units, and 40 lakh commercial consumers could be covered under smart metering, they said. They also opposed smart meters for around 24 lakh agricultural connections.

The JAC claimed that installing three lakh smart meters under the Total Expenditure (Totex) model would cost around Rs 475 crore, against a Central subsidy of only Rs 52 crore, leaving the utility with an additional Rs 423 crore burden. The same number of meters could be procured, installed and maintained by TNPDCL employees for around Rs 175 crore under the CAPEX model, it said.

The JAC therefore demanded that the blanket rollout be dropped and CAPEX-based smart meters be installed only for high-consumption consumers.

The unions also sought new generation plants, substations and distribution infrastructure, along with the required manpower, to meet the State's growing electricity demand.

They demanded the withdrawal of Board Order No 2 dated April 12, 2022, which requires government approval for extending government employee schemes to power utility staff, citing delays.

The JAC sought immediate implementation of the Rs 25 lakh gratuity ceiling for power utility employees and retrospective enhancement of the FSFS benefit from Rs 3 lakh to Rs 5 lakh from September 1, 2021. The JAC urged the management to resolve the pending demands to maintain industrial peace.