Public outrage erupts over HESCOM losses, consumers oppose burden shift

Hubballi : Strong public anger erupted against the Hubli Electricity Supply Company (HESCOM) during a public hearing held in Hubballi, as consumers opposed any move to shift the company’s financial losses onto electricity users. The hearing was conducted by the Karnataka Electricity Regulatory Commission (KERC) following HESCOM’s request to address its mounting revenue deficit.

HESCOM, which supplies electricity to seven districts including Dharwad, Haveri, Bagalkot, Vijayapura, Belagavi and Uttara Kannada, has reported a revenue deficit of ₹188 crore for the financial year 2024–25. The company had initially estimated its losses at ₹604 crore but later revised the figure after adjustments.

Despite collecting electricity bills regularly from domestic consumers, farmers, industries and commercial establishments, the utility has struggled financially. HESCOM recently approached the regulatory commission seeking approval for measures to compensate for its losses.

During the public consultation meeting chaired by KERC chairman P Ravikumar, consumers from multiple districts strongly objected to any attempt to pass the burden onto the public. Several participants accused HESCOM of financial mismanagement, corruption in infrastructure projects and inefficiencies in revenue collection.

Consumer representative Aravind Pai alleged that the company’s internal inefficiencies were responsible for the losses. He stated that authorities must address corruption, prevent revenue leakages and improve operational accountability instead of penalising consumers.

Farmers and rural consumers also voiced concerns over poor service quality. They complained of irregular power supply to irrigation pump sets, frequent transformer failures and delays in repairs, which severely impact agricultural activities. Many questioned why consumers should pay more when basic electricity services remain unreliable.

Responding to the concerns, KERC chairman P Ravikumar clarified that the hearing was not organised to approve a tariff hike. He assured participants that electricity tariffs had already been revised last year and no immediate increase was under consideration.

He stated that the purpose of the hearing was to gather public feedback on HESCOM’s financial situation and submit a report to the government. “We are here to listen to the people. Their concerns will be taken seriously before any decision is made,” he said.

Experts noted that financial leakages, operational inefficiencies and administrative lapses have significantly contributed to HESCOM’s losses. They stressed that strengthening governance, improving billing efficiency and preventing corruption are essential to restore the company’s financial stability without burdening consumers.

The public hearing highlighted growing frustration among electricity consumers, who demanded accountability, better service delivery and transparency from the power utility.