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Bangalore , Dec. 15

THE Karnataka Electricity Regulatory Commission (KERC) on Monday issued its tariff order revising the rates for the consumer categories, while fixing a special incentive rate for high-tension industrial consumers.

HT consumers buying bulk quantity of power would pay Rs 3.80 per unit as an incentive rate as sought by the Karnataka Power Transmission Corporation Ltd (KPTCL)/electricity supply companies (Escoms).

The Commission, however, rejected the state-owned utility's application to pass on the burden of revenue gap of Rs 65.92 crore arising out of the difference in fixed charges payable to Tanir Bavi Power Company to the consumers.

KPTCL/Escoms had filed an application for a tariff revision to raise the revenue by Rs 444 crore. The Commission, however, agreed to approve revisions to fetch only Rs 41 crore for the current financial year.

In its amended order on the filing of KPTCL and Escoms on various issues of tariff, KERC has revised the retail tariff to the consumer categories from 4.19 per cent to 9.08 per cent, which will fetch an additional revenue of Rs 41 crore to the state utility. The average increase in revenue works out to 2.8 per cent per month.

According to the revised order, the tariff has been increased by 20 paise per unit (4.19 increase) for the private professional educational institutions, by 50 paise (8.6 per cent) for commercial and non-commercial lighting, by 20 paise (4.3 per cent) for industrial heating by 20 paise and by 50 paise (9.08 per cent) for commercial power.

KPTCL/Escoms had proposed to recover Rs 77.74 crore to bridge its revenue gap for the 2003 fiscal through the Power Purchase and Other Cost Adjustment formula (POCA). KERC said it would examine the case under proposed POCA formula.

By a majority, the Commission has disallowed KPTCL's plea to revise the tariff to the extent to cover the additional revenue gap of Rs 65.92 crore during the current year arising out of a total arbitration award of Rs 518.96 crore won by Tanir Bavi on account of its claim of difference between fixed charges for the two years 2001-02 and 2003-04.

KPTCL had urged for narrowing the revenue gap arising out of the outgo in two fiscals. It had sought to pass on the burden to the consumers and to carry over the balance amount of Rs 450.10 crore to the next tariff filing.

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