Business

UDAY States have reduced losses by ₹16,762.64 crore in FY17: Power Minister

Aggregate technical and commercial losses also saw 1% reduction

The financial losses of States participating in the UDAY Scheme have reduced from ₹51,589.51 crore in 2015-16 to ₹34,826.87 crore in 2016-17, R.K.Singh, Power Minister, informed the Lok Sabha on Thursday.

States participating in UDAY saw a reduction of 1% in their aggregate technical and commercial (AT&C) losses and a ₹0.17/unit reduction in the gap between the average cost of supply and the average revenue realised in financial year 2017.

“Further, the Minister stated that tariffs are determined by the respective State Electricity Regulatory Commission (SERC)/Joint Electricity Regulatory Commission (JERC), taking into consideration several parameters including cost of debt, power purchase costs, operation and maintenance costs, capital expenditure etc,” according to an official press release.

Higher tariffs

“As per information available, the States of Andhra Pradesh, Assam, Bihar, Chhattisgarh, Haryana, Karnataka, Kerala, Madhya Pradesh, Manipur, Meghalaya, Mizoram, Nagaland, Punjab, Sikkim, Uttar Pradesh and Uttarakhand have increased tariffs in the year 2017-18,” the release said.

According to the government, States have been regularly inviting bids for procuring renewable energy to meet their renewable purchase obligations (RPOs), and several SERCs have invoked penal provisions to ensure RPO compliance.

Monitoring rural feeders

“In a written reply to a separate question on measures taken by government to revamp the monitoring system of rural feeder system to reduce AT&C losses, Shri Singh informed that recognising that feeder monitoring is an important tool for loss reduction, the government has sanctioned an amount of ₹233.03 crore for online monitoring of rural feeders in the country,” the release added.

A letter from the Editor


Dear reader,

We have been keeping you up-to-date with information on the developments in India and the world that have a bearing on our health and wellbeing, our lives and livelihoods, during these difficult times. To enable wide dissemination of news that is in public interest, we have increased the number of articles that can be read free, and extended free trial periods. However, we have a request for those who can afford to subscribe: please do. As we fight disinformation and misinformation, and keep apace with the happenings, we need to commit greater resources to news gathering operations. We promise to deliver quality journalism that stays away from vested interest and political propaganda.

Support Quality Journalism
Recommended for you
This article is closed for comments.
Please Email the Editor

Printable version | Jun 5, 2020 3:00:35 PM | https://www.thehindu.com/business/uday-states-have-reduced-losses-by-1676264-crore-in-fy17-power-minister/article22320139.ece

Next Story