Arvind Kejriwal gives a Detailed Explanation on the Electicity Scam

Arvind Kejriwal
Arvind Kejriwal has shared has posted the research printed in the Hindustan Times in excerpts and has given his views in the comments below. You can be a non supporter, of the AAP party and might dislike Kejriwal and could believe that he has an hidden agenda, but you cannot disagree from the fact what written below is true and our country is actually worse off than it seem and is running on thin threads which can break anytime and collapse everything.

It seems that the Government of India does not do anything without a scam. I read the following article in Hindustan Times. It is scary. It tells u the reason why your and mine electricity rates are going up. I am quoting excerpts. (Comments in brackets below are my comments) –

“During his visit to India this week, French President Francois Hollande is likely to urge the government to conclude a questionable deal to purchase six nuclear European Pressurised Reactors (EPRs) from the French company Areva for Jaitapur (Maharashtra). Though marketed as “the most advanced” reactor, the EPR is commercially immature; not a single reactor has been commissioned anywhere in the world. Moreover at the construction sites at Olkiluoto (Finland) and Flamanville (France) costs and time have escalated dramatically from the initial projected figures, suggesting that each reactor will cost about Rs. 60,000 crore. So six could cost in excess of Rs. 3.5 lakh crore.”

(This means we are buying a completely untested technology at such a high price. India is being used to test this technology. What if it meets with a nuclear accident? Is the government not trading off our lives?)

“Shockingly, the government agreed to purchase the reactors from Areva without a nominal competitive bidding process. The procurement rules in any branch of the government, including the Department of Atomic Energy (DAE), mandate public tenders for any purchase above Rs. 10 lakh.”

(Contract for Rs 3.5 lamb crore given out without tenders? Obviously there is a huge scam)

“Cables revealed by Wikileaks suggest that this peremptory decision was made in 2007. The government’s rationale was laid out by former DAE secretary Anil Kakodkar. In an article in 2011, Kakodkar wrote: “We also have to keep in mind the commercial interests of foreign countries and of the companies there… America, Russia and France were the countries we made mediators in these efforts to lift sanctions, and hence, for the nurturing of their business interests, we made deals with them for nuclear projects.”

(Are we paying such a huge price to nurture the business interests of other countries? Why? Difficult to swallow this argument. Obviously, huge kickbacks are involved)

“Indian officials are aware that this attitude is costly. In another cable, the general manager of the Nuclear Power Corporation (NPCIL) admitted that India had “paid a ‘high’ price for French reactors from Areva”.

(Price of electricity from these reactors will be extremely high. Electricity produced by these plants would be beyond the reach of the common man. It would be so high, that people won’t be able to directly afford it. Then the government will have to give subsidy. That also will go out from our pockets in the form of higher taxes.)

“To check the veracity of the government’s claims, we recently used the best available public data on fuel prices and capital costs, assumed a substantial markdown to account for lower costs of labour in India and estimated the expected tariff from the EPR reactors……we estimated that if NPCIL were to follow the regulations faithfully, the first-year tariff from the EPR would be about R14 per unit….. Since it cannot pass on such a high tariff on to consumers, the government may absorb the loss and sell electricity at a lower price. However, every rupee of under-recovery will cost the exchequer about Rs. 1,000 crore per year. Just to halve the tariff from the first two reactors down to Rs. 7, the government may need to spend Rs. 14,000 crore per year.”

(It is sickening to see these politicians and parties sell our country every moment like this. Dr Manmohan Singh claims that he is honest. He will meet the French PM this week and perhaps agree to this deal. The groundwork, including the underhand deals, would have already taken place. Only Aam Aadmi can now save this country. U and me will have to come out.)

— Arvind Kejriwal on his Facebook page (https://www.facebook.com/AAPkaArvind)

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