In view of the ongoing coronavirus pandemic, the Delhi Electricity Regulatory Commission (DERC) has announced relief from fixed charges on electricity being levied upon industries and commercial units.
The fixed charge as per the commission has been reduced by 50 per cent for the unutilized capacity of these consumers for this period of April 2020 and May 2020. The DERC in its order on Monday said, “The Commission observed that during the lockdown period till May 30, majority of non-domestic and industrial consumers did not use their system to the contracted capacity. However, the fixed charges at the applicable rate have been billed to them based on the billing demand as per DERC (Supply Code and Performance Standards) Regulations, 2017”
The Commission is of the view that in order to avoid hardships being faced by the stakeholders including electricity consumers of Delhi due to outbreak of COVID-19, the fixed charges for the unutilized capacity (Contract Demand - Maximum Demand) during April 2020 and May 2020 for eligible industrial and non-domestic (Commercial etc) consumers may be billed at reduced rate of Rs.125/kVA/month as against existing rate of Rs 250/ kVA/ month.
Delhi's power minister Satyendar Jain said, "This will be a huge relief for the non-domestic and commercial users. The expected impact of the said waiver is around Rs. 160 Crore. This will benefit around 44,000 Industrial consumers and around 10 Lakh Non-Domestic/commercial consumers."
Following the decision, Delhi Chief Minister Arvind Kejriwal tweeted “Delhi govt stands with the people of Delhi in this hour of crisis. This relief in fixed charges will help lakhs of people to face hardships caused by Corona”.
The regulator further said that the tariff schedule for FY 2019-20 applicable up to August 31and the tariff schedule for FY 2020-21 issued on August 28 applicable w.e.f. September 1 inter alia, provides that for all categories other than domestic one, fixed charges are to be levied based on billing demand per kW/kVA or part thereof.
The order further said that the distribution licensees are directed to adjust the fixed charges of April 2020 and May 2020 for such consumers in subsequent two billing cycles from the issuance of this order.
The announcement came days after the Delhi Chief Minister assured the traders and industrial associations that the government will provide relief from fixed charges on electricity being levied upon industries and commercial units.
