The new retail power supply tariff for 2017-18, although there is no change in charges for domestic, commercial and industrial sectors, will come into effect from September 1 following the issuance of tariff order by the Telangana State Electricity Regulatory Commission (TSERC).
After going through the proposals submitted by the two distribution companies and taking the views of stakeholders through public hearings held in May and June, the regulatory body has approved the aggregate revenue requirement of Rs. 27,296.48 crore for the two distribution entities.
The commission has put the revenue gap at Rs. 4,777.04 crore and another Rs. 20.18 crore, if the government continues Rs. 2 per unit subsidy on supply to poultry farms.
The distribution companies have told the commission that the revenue gap of over Rs. 4,777 crore would be met through the government subsidy commitment and the remaining Rs. 20 crore by improving the internal efficiency.
Although the commission has expressed displeasure over the inordinate delay in filing the retail supply tariff proposals by the two Discoms, the utilities have convinced the regulatory body that it was due to reasons beyond their control – joining the Ujjwal Disom Assurance Yojana (UDAY).
The commission has approved the Discoms proposal to introduce time of day tariff to poultry farms at a higher rate during peak hours of 6 a.m. to 10 a.m. and 6 p.m. to 10 p.m. and at a lower rate during the rest of the day.