I personally like the melee how it is. It's a good equalizer when the enemy has rockets, muatators, strength, or full armor. You can turn the tide of those battles with melee, whereas you would just get stomped out over and over without it. It also forces people to keep a 'standard fighting distance' and if they get closer you would almost know they were going to melee at which point you can easily dodge it. It's also necessary when you are wielding weapons with splash damage, since you don't want to shoot yourself when that close to people.
Electro is a good weapon in close/mid range fights, but Mortar is devastating if you have a height advantage. I'd rather Electro over Mortar in most cases, but both sides should get the same weapon regardless. It makes no sense for one side to get different weapons. Despite whether Electro is better than Mortar or not, it is clearly an imbalance.