The New Nation - Internet Edition

THE Council of Advisers of the Caretaker government has decided to encourage private entrepreneurs to set up power generation plants and distribution lines in some areas of the country. A competitive environment would hopefully be created as a result of this initiative. The consumers of electricity are expected to benefit from this.

The Power Development Board for a long time remained the sole agency for generation of electricity and the distribution thereof. The government has already set up state-owned distribution companies like the Dhaka Power Distribution Company Ltd. the Dhaka Electric Supply Company (DESCO) and the Rural Electrification Board (REB) for reaching power to consumers. But the move of these agencies to meet the increased demand for power turned ineffective due to production shortfall because of the fact that some plants turned outdated and dilapidated. Along with that, the supply of gas and coal for generation of electricity turned uncertain.

Experiences of the consumers at large are quite frustrating. They face frequent load-shedding and stoppage of supply of electricity to their homes, commercial enterprises and factories. As a result sufferings of people at large and the owners of business enterprises and factories have increased. The ultimate effect of such uncertainties of the supply of electricity falls on the economy.

That being so, the people at large may welcome the policy decision of the government to involve private entrepreneurs for generation and distribution of electricity. The private entrepreneurs in the past set examples of effective management of factories and establishments. Facilitation of their full participation in the power sector with safeguards to protect the right of the people to the basic utility service would hopefully give good dividends.