Addl surcharge: Discoms file petition

Addl surcharge: Discoms file petition
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Highlights

In order to improve the revenue from the sale of power, the Distribution Companies (Discoms) in the State have filed an appeal before the Telangana State Electricity Regulatory Commission to allow them to collect additional surcharge from the open access consumers.

Hyderabad: In order to improve the revenue from the sale of power, the Distribution Companies (Discoms) in the State have filed an appeal before the Telangana State Electricity Regulatory Commission to allow them to collect additional surcharge from the open access consumers.

The Telangana Southern Power Distribution Company and Northern Power Distribution Company have filed the petitions before the TSERC. The TSERC would hold a public hearing on the issue and pass orders taking into consideration the opinions expressed in them.

The Discoms have asked the ERC to give permission to collect Rs 1.95 per unit from the open access consumers as additional surcharge from the open access consumers. This would ensure additional revenue of about Rs 500 crores to the Discoms.

Open access consumers mean that the organisations which have been purchasing power from electricity suppliers other than the Discoms of Telangana using Discoms transmission and distribution network.

In the petition, they said that for the Financial Year 2017-18, the Licensee or Discoms have tied up considerable quantum of power procurement from various sources in order to provide reliable and quality power supply to all the consumers in the State without any load shedding. The installed capacity of the power procurement from conventional sources was 10,869 MW in FY 2016-17.

The State has made significant capacity addition from renewable sources to utilise renewable energy potential present within the State. In FY 2016-17, total of 1,400 MW capacity would be available from renewable sources.

Thus, the total installed capacity of the State from all kinds of sources (Conventional and Non-Conventional) as of now is 12,269 MW. With recent additions made during this year, the total installed capacity of the State in the Financial Year 2017-18 would be 14,695 MW (including the reduction of 230.75 MW in the capacity of CGS Stations).

The Discoms said that for FY 2016-17, ERC approved sales of 11,558 MUs for HT-I general category at the State level. However, both the TSSPDCL and TSNPDCL have recorded the total sales of 9,151MUs under the aforementioned category with a decrease of 2,406 MUs from the approved level. This decrease is mainly due to open access sales. Similar trend was also observed in FY 2015-16.

In FY 2016-17, a total of 2,135 MUs were procured via open access registering a growth rate of more than 100 per cent. Overall revenue and costs of Discoms are getting adversely affected due to the significant increase in open access sales.

They stand to pay the fixed charges and penalty to the generator even in the event of any reduction in energy dispatch from the generator due to drop in demand from consumers who have contracted power through open access. Hence, the open access sales are affecting the recovery of the costs incurred by the Discoms which may have an impact over the quality of power supply to other consumers.

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