: The Kerala State Electricity Regulatory Commission (KSERC) has disallowed Kerala State Electricity Board's (KSEB) plea to impose a surcharge on electricity towards additional expenses incurred due to increase in the fuel cost during the second half of 2009-10.

The commission, after hearing the KSEB and consumer groups, had come to the conclusion that the KSEB had incurred an additional expense of Rs.265.85 crore during the period, against the submitted claim for Rs.285.05 crore.

However, in its earlier order on KSEB's annual financial proposals, the commission had found that the KSEB would have a revenue surplus of Rs.350.57 crore in the year.

The commission, in its order on Wednesday, asked the KSEB to adjust the additional expense incurred due to fuel cost increase against this revenue surplus. It would have required the imposition of a surcharge of Rs.0.35 for six months on each unit of electricity for all categories of consumers to recover the additional expenses the KSEB had incurred due to fuel price increase during the second half of last financial year.

An order issued on Tuesday said the commission arrived at a ‘considered view' that there was no requirement for imposition of fuel surcharge at present. The ruling implies that consumers will be spared a surcharge of almost 35 paise a unit for the six-month period.

More In: Today's Paper