EESL's Challenges and GHMC's Financial Obligations for LED Streetlights in Hyderabad

EESL's Financial Troubles and GHMC's Role

The LED streetlights in Hyderabad, which have brightened the city in recent years, are now threatened by financial instability. The Greater Hyderabad Municipal Corporation (GHMC) has failed to pay its dues to Energy Efficiency Services Limited (EESL), accumulating to a staggering Rs.144.48 crore. This has placed EESL, a joint venture under the Ministry of Power, in a precarious situation, particularly with regular payments totaling Rs. 57.10 crore also overdue.

Commitment to Maintenance Despite Delays

Despite the financial strain, EESL asserts its commitment to keeping the 5.48 lakh LED streetlights in operation. Their contract remains valid until April 2025, yet GHMC is pushing forward with a new tender for 15,000 streetlights costing Rs 3 crore, which has raised concerns amid outstanding dues.

Impact of Non-payment on Services

• The ongoing payment delays are not due to EESL's performance, which has successfully handled 98.9% of the complaints.
• In the past eight months, EESL replaced 44,753 faulty streetlights and installed 3,600 new units.

EESL's Role in Telangana's Energy Efficiency

So far, EESL has installed over 1.723 million streetlights across Telangana, contributing significantly to energy savings and emission reductions. Although the current contract involving 74 municipalities is set to expire, the potential for extension hinges on timely payments and improved financial arrangements.