In a significant decision, Punjab State Electricity Regulatory Commission (PSERC) has disapproved the State Government's proposed move of “adjusting Return on Equity” against power subsidy.
The proposal was turned down on the grounds that it was not in accordance with the law laid down in the Electricity Act, 2003. Besides, the State power regulator has also asked the State Government to pay subsidy in advance monthly installments.
PSERC's order came following a petition filed by retired Superintending Engineer Gurnek Singh Brar who had demanded that State Government's proposal of adjusting RoE against subsidy be declared illegal and further restrain State Government from making similar adjustment in future.