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Another power shock
Another Power Shock, Hike Proposal to APERC, Shock to Electricity Consumers. For the commercial sector, the Discoms proposed to increase energy charges by Rs 2.16 (from Rs 9.04 to Rs 11.20 per unit).
- Discoms submit power tariff hike proposal to APERC
- Addl burden of Rs 9,339 crore on the consumers for 2014-15
- 50 paise hike on power consumption of less than 150 units and Re 1 hike for above 150 units; steep hike in commercial rates
- Relief for agriculture and poultry sectors from tariff hike
Hyderabad: Giving a shocker to 2.5 crore electricity consumers, State power utilities on Wednesday submitted power tariff hike proposals to APERC (AP Electricity Regulatory Commission) seeking permission to impose Rs 9,339 crore additional tariff amount from consumers for the year 2014-15. The four Discoms (APCPDCL, SPDCL, EPDCL and NPDCL), in its Annual Revenue Requirement (ARR), proposed to increase the power tariff for domestic sector by 50 paise per unit for those who consume below 150 units and Re 1 hike for those who consume above 150 units.
Giving relief to agriculture sector, which includes continuing seven-hour power supply to farming and poultry sector, from tariff increase, the Discoms said that the average tariff hike for the domestic sector would be Rs 1.20 by increasing the charges per unit from the present Rs 3.88 to Rs 5.08.
For the commercial sector, the Discoms proposed to increase energy charges by Rs 2.16 (from Rs 9.04 to Rs 11.20 per unit).
In high tension (HT) commercial category, the increase would be Rs 10.83 from Rs 8.92. In the industrial sector, the utilities have proposed hike in tariff to Rs 9 from the present Rs 6.86. For railway tractions, the tariff hike would be Rs 7.71 from Rs 6.38 and Rs 8.17 from Rs 6.62 for HT and streetlights, the energy charges has been proposed to increase to Rs 6.75 from the present Rs 5.46 per consumed unit.
In the HT category, the average increase of the tariff would be 23.9 per cent helping the utilities to collect Rs 5,027 crore and in LT category, it would be 28.2 per cent increase with a collection of Rs 4,312 crore totalling Rs 9,339 crore burden on the consumers in the next financial year.
The power officials said that the reasons for hiking energy charges was the increased prices of power purchase, network cost due to pay revision and inflated transportation and coal cost this year.
The power purchase at higher prices in the peak months of April, May and June had put heavy financial burden on Discoms this year.
The average cost of supply of a unit power was Rs 6.32 which was an increase of Rs 1.07 per unit over last year. The average revenue realisation was only Rs 4.36 per unit. The revenue gap between supply cost and tariff collection was Rs 1.97 per unit.
Submitting the ARR to the APERC Chairman V Bhaskar at the latter’s chambers, APCPDCL director (Commercial) G Raghuma Reddy said that the ARR of the four Discoms had been put at Rs 52,753.
The projected total revenue from the current tariff is Rs 36,345 crore leaving the utilities Rs 16,409 crore revenue deficit.
The APERC officials said that a final decision on increasing power tariff would be taken after holding public hearing on the Discoms proposals in January 2014.
