Power tariff hike likely despite discoms' negative demand

Published on: 

Even as the power discoms in Delhi have not demanded a tariff hike this year, it is no guarantee that the power tariff will not go up in the city. The Delhi Electricity Regulatory Commission (DERC), responsible for fixing power tariffs in the Capital, has indicated that a negative demand from the discoms for a tariff hike does not rule out the possibility of another hike.

“There are many factors which have to be considered while revising power. The fact that a discom has not demanded a hike in tariff is just one part. There is a huge accumulated deficit, and then there is the power purchase cost. If there is any further change in fuel prices that also will be taken into account. All the petitions have to be thoroughly analyzed, therefore it cannot be said whether there will be a hike or not,” said PD Sudhakar, Chairman, DERC. The three discoms have already submitted their petitions for the tariff revision of 2014-15. The power regulator is set to begin reviewing the petitions Monday onwards.

The three discoms had submitted their Annual Revenue Receipt (ARR) before the DERC wherein they had asked for no hike in tariffs for the coming financial year. While the quarterly power purchase adjustment cost (PPAC) is likely to stay, the DERC in the coming days will review the eight per cent surcharge levied on consumers to recover the past regulatory assets of discoms.   

Daily Pioneer
dailypioneer.com