Upto 20 per cent hike in power tariff likely

The move comes after the DERC received a copy of an order from the APTEL directing it to determine the PPAC for two quarters together.

PALAKKAD, KERALA, 07/04/2015: Sunset through an electric power transition tower in Palakkad on April 07, 2015. As the temperature increased in Palakkad another parts of Kerala, power consumption during nights is on the decline. Though power consumption went over 70 million units during last week of March, consumption has come down to 60 MU during the first week of April. Kerala is expected to survive the summer without load shedding’s or power cuts. During March, average daily consumption had stood at 64.11 MU. As on Saturday, the hydel reservoirs have water to generate 7029 MU according to KSEB. Power minister Aryadan Mohammed announced that there would be no load – shedding this year. Photo: K. K. Mustafah

A double shock is in store for Delhiites as power tariffs here might be increased twice in a span of just over two months.

The Delhi Electricity Regulatory Commission (DERC) on Tuesday initiated the process of passing the quarterly power purchase adjustment costs (PPAC). Sources in the power regulator suggested the hike may be announced by June 5. The increase in power tariffs could be anywhere between five per cent to 20 per cent, sources added.

The move comes after the DERC on Tuesday received a copy of an order from the Appellate Tribunal for Electricity Limited (APTEL) directing it to determine the PPAC for two quarters together in three week’s time.

The APTEL also lashed out at the Commission for its “slackness” and “arbitrariness” in passing the quarterly power purchase adjustments.

It is pertinent to note that the hike will be in addition to the annual tariff revision, which is expected by July end. “We received the order today [on Tuesday] and have already started analysing the petitions of the discoms for the same. APTEL is the supreme authority and we cannot defy its rulings. A decision on how much hike will be allowed to adjust the PPAC will be taken shortly,” said DERC Chairman P.D. Sudhakar.

After hearing the case, APTEL said in its order: “We direct the Delhi Commission to determine the PPAC for the above said third and fourth quarter within three weeks from today [Tuesday], otherwise face the consequences and action will be taken by this Tribunal in terms of our directions contained in order dated 11.11.2011 in OP No.1 of 2011.”

The DERC in the past three quarters — July 2014 to March 2015 — had not implemented the mandatory PPAC due to which the discom catering supply to North Delhi, TPDDL had filed a petition in the APTEL. The DERC, which in November 2014 had first allowed the PPAC to discoms, had withdrawn its order just the next day citing non-furnishing of complete details pertaining to fuel bills of generators.

APTEL also pulled up the Commission saying: “In the hierarchy of courts, there is a committing of discipline. Such discipline should be maintained by all, otherwise that would lead to chaos in the whole country particularly, in the power sector if such trend of slackness or arbitrariness is allowed to the State Commission like DERC in the present case.”

Sources in the power regulator suggested the hike may be announced by

June 5 and could

be anywhere

between five per cent to 20 per cent