In a move which could result in increasing power tariffs in the national Capital, three private discoms have submitted to the Delhi Electricity Regulatory Commission (DERC) that they are facing a revenue gap between their income and expenditure to the tune of about Rs2,200 crore.
The three distribution firms — BSES Rajdhani Power ltd (BRPl), BSES Yamuna Power ltd (BYPl) and Tata Power Delhi Distribution ltd (TPDPl) — have reportedly submitted in their petitions related to annual power tariffs for 2016-17 that about 85 per cent of their expenditure was due to power purchase cost incurred by them from electricity generation companies.
It is reliably learnt that the BRPl has registered a revenue gap of about Rs900 crore, BYPl about Rs600 crore and TPDPl about Rs700 crore.
Source said if the DERC accepts the petitions of the distribution firms, there are chances that the power tariffs could go up anything between 10 and 15 per cent. last time the city had witnessed increase in power tariffs in September 2014.
No power hike took place in 2015 as the AAP Government had put up tremendous pressure on the DERC against any such decision.
At present, the DERC, comprising its newly appointed chairperson Krishna Saini and member BP Singh, is going through the petitions of the private firms. The regulatory body’s one post has been lying vacant ever since its member JP Singh left it.
The tariff levels had remained unchanged because the regulator had said no to the revenue increase sought by the distribution firms. The revenue disallowed for BRPl, BSES and TPDPl stood at Rs913 crore, Rs700 crore and Rs912 crore, respectively.
While rejecting the proposal to hike power tariffs, the DERC had said even at the exiting tariff levels there would be a surplus revenue of Rs92 crore, Rs37 crore and Rs323 crore at BRPl, BYPl and TPDPl respectively.
While refusing to effect any hike in power tariffs, the regulator had earlier said as there was surplus revenue for BRPl, BYPl &TPDPl which would additionally liquidate the principal amount of the accumulated revenue gap, a decision has been taken to retain the tariff for FY2015-16 at prevailing levels, with minor structural changes, based on the stakeholders’ suggestions/inputs.
Delhi’s power demand is in the region of around 5,000 megawatts (MW). At present, electricity rates start at Rs4 per unit for consumption of up to 200 units, going up to Rs5.80-5.90 per unit for 200-400 units, Rs7.30 per unit for 400-800 units and higher for more consumption. The exact rates vary according to the electricity provider. The AAP Government also provides 50 per cent subsidy to those households who consume up to 400 units of electricity every months.
The Delhi discoms were privatised in July 2002. The distribution firms are joint ventures with the Delhi Power Co. ltd, which owns 49 per cent stake in each. The other discoms in Delhi are Military Engineering Services (for Delhi Cantonment) and the New Delhi Municipal Corporation.