No hike in power tariff, says APERC Chairman

Relief to consumers as minimum charges have been removed

April 01, 2021 04:41 am | Updated 04:41 am IST - VISAKHAPATNAM

Andhra Pradesh Electricity Regulatory Commission Chairman Justice C.V. Nagarjuna Reddy has said that the Retail Supply Tariff Order for 2021-22 was prepared taking into consideration the aspirations of the consumers and the financial requirements of the distribution companies.

He said that there was no hike in tariff and no extra financial burden on all categories of consumers. He said there would be some relief to the consumers as the minimum charges have been removed.

The APERC Chairman released the Retail Supply Tariff Order along with APERC Members P. Rajgopal Reddy and Thakur Ram Singh at the EPDCL Corporate Office here on Wednesday.

Mr. Nagarjuna Reddy said the issues brought up at the virtual public hearing were considered in the preparation of the tariff order. The representations of consumers, various organisations and political parties were analysed and considered in the fixation of tariff.

The APERC Chairman explained that the three distribution licensees (APSPDCL, APEPDCL and APCPDCL) had projected a combined deficit of ₹12,549 crore at current tariff and a deficit of ₹11,741.18 crore at the proposed tariff with tariff hikes to certain categories of consumers and RESCOs. The Commission had determined the net deficit of ₹7,433.80 crore for the three licensees, thereby avoiding a possible burden of ₹4,307.38 crore to the consumers.

While arriving at the revenue gap for 2021-22, the Commission has taken into account the true-up amount of ₹3,013 crore determined for the financial year 2014-15 till 2018-19 and provisional true down of ₹3,373 crore for the 2020-21 fiscal.

The State government had agreed to bear a total amount of ₹9,091.36 crore for the subsidised power supply to be given to various sections like farmers, socially backward classes, free to as subsidies during 2021-22. The subsidies were brought under Section 6 of the Electricity Act. The proposal of the Discoms to bring apartment complexes and group houses under ‘HT’ category was rejected by the Commission.

The tariff for electric vehicles was being continued at ₹6.70 a unit to encourage their use. The licensees have been directed to indicate the per unit details of cost of service, cross-subsidy and government subsidy on the backside of the electricity bills to all categories of customers. The proposal of the Discoms to change the present peak ToD timings from 6 a.m. to 10 a.m. to 4 a.m. to 8 a.m., was rejected as it would reduce off-peak timings by two hours to the industry.

Free power up to 200 units/month would be given to consumers in SC/ST colonies, up to 150 units/month to laundries run by Rajaka community, up to 100 units a month to BPL and Most Backward Communities, up to 100 units/month to BPL professional goldsmiths, up to 150 units/month to BPL Nayee Brahmin community, 100 units/month to handloom weavers and tariff subsidy of ₹2.35 per unit on the cross-subsidised tariff of ₹3.85 a unit to acqua culture consumers. The State government had agreed to bear the subsidy, Mr. Nagarjuna Reddy added.

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