Delhiites will have to pay more for power now

Debabrata Das Updated - March 12, 2018 at 05:21 PM.

Power regulator allows discoms to hike tariff by 8.3%

power

The Delhi Electricity Regulatory Commission has approved a tariff hike of 8.32 per cent for the three private distribution companies (discoms) — BSES Yamuna, BSES Rajdhani and Tata Power Delhi Distribution.

It has also hiked tariffs in the New Delhi Municipal Corporation area by 9.52 per cent.

This will result in a hike of 10 paise per unit for first 0-200 units and 15 paise/unit for 201-400 units in the areas served by the three discoms. For NDMC consumers, the hike will be 25 paise/unit for 200-400 units consumed.

DERC Chairperson PD Sudhakar said that the hike will help offset a revenue gap of ₹1,245 crore for the discoms. The new tariffs will come into effect from Thursday night/Friday.

For the areas served by the three discoms, consumption of 0-200 units after the hike will cost ₹4 a unit, 201-400 units will be charged at ₹5.95/unit, 401-800 units at ₹7.30/unit (which is an increase of 50 paise/unit), 801-1200 units at ₹8.10/unit (up ₹1.10/ unit) and above 1200 units will be charged at ₹8.75 a unit.

For NDMC consumers, the power cost per unit for 200-400 units consumed will be ₹4.60/unit, 401-800 units will be charged at ₹6/unit (a hike of 20 paise per unit), 801-1200 units will be charged at ₹6.75/unit ( a hike of ₹1.75/unit) and over 1,200 units will be charged at ₹8 a unit.

Sudhakar said nearly 70 per cent of domestic users consume a maximum of 400 units a month.

While Delhities have been the given the bitter pill of a tariff increase, the DERC has given some relief by waiving the Power Purchase Adjustment Charge, which is currently levied at 6-8 per cent per consumer depending on their electricity usage.

According to the DERC, the scrapping of PPAC will lower the bill for those using below 800 units of electricity per month.

Power tariffs for all commercial users have also been hiked by 11 per cent. The Commission has also extended the time of day tariff for all consumers (apart from domestic) above 50 kW and, on an optional basis, for 25-50 kW consumers.

Discoms had asked for a hike due to high input costs, especially that of coal.

Ministry statement Meanwhile, the Power Ministry in a statement said “only regulatory commissions are empowered to determine the tariffs and Government should not interfere in this process,” quoting the Delhi High Court judgment of May 23 2011, in the Nand Kishore Garg V/s Govt of NCT & Ors case.

“The DERC is the competent authority under the Electricity Act 2003. The court has expressly barred the Government from interfering in this process...it also held that if anybody (people/government) has grievance against the tariff order, the people or Government can file an appeal before the Applellate Tribunal of Electricity,” the statement added.

Published on July 17, 2014 10:07