Tangedco files tariff revision petition with TNERC

No hike in electricity tariff has been proposed for domestic consumers, numbering around 1.5 crore, in the latest tariff revision petition.

Apart from this category of consumers, other categories including industrial units and commercial establishments too have been left untouched.

In short, no segment of consumers will be taxed, going by the Tamil Nadu Generation and Distribution Corporation (Tangedco)’s tariff petition filed with the Tamil Nadu Electricity Regulatory Commission (TNERC) early this week, sources say.

What has been proposed is the increase in the fixed charges for agriculture and hut services, both of which are covered under the State government’s free power supply scheme.

At present, the charges for the two categories are Rs. 1,750 per horse power per year and Rs. 60 per month.

A substantial rise has been proposed and this will eventually result in higher revenue to the Tangedco, the sources say.

As the government provides in its budget for absorbing fully the cost of power supply to the farmers and hut services, the proposed revision is essentially meant to serve the purpose of filing the petition every year along with the Aggregate Revenue Requirement (ARR).

The Tangedco’s revision petition has to be seen in the context of the direction of the Appellate Tribunal for Electricity in November 2011 to State Electricity Regulatory Commissions to ensure that annual performance, true up of past expenses, ARR and tariff determination of the State distribution utilities were conducted “year to year basis.”

Besides, the TNERC, through its letters in January and February this year, advised the power utility to file the ARR and the petition expeditiously.

As the Tangedco was busy with certain immediate work, including that concerning the Financial Restructuring Plan of the Union Government, it could not file the ARR and the petition by November 30, the stipulated deadline.

This was why the Corporation sought condonation of delay of 81 days in filing the petition.

This was allowed by the Commission, which is expected to approve the abridged version of the tariff proposal next week, according to an order of the TNERC issued on Thursday.

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