TSNPDCL pegs revenue need for 2017-18 at 9,885.89 cr

TSNPDCL pegs revenue need for 2017-18 at 9,885.89 cr
Highlights

The projection is made in the ARR and tariff proposals for retail supply business for the year 2017-18 submitted to Telangana State Electricity Regulatory Commission by the Chairman and Managing Director of the company, A Gopal Rao.

Warangal: Northern Power Distribution Company of Telangana Limited (TSNPDCL) has projected its aggregate revenue requirement (ARR) for the ensuring financial year at Rs 9885.89 crores.

The projection is made in the ARR and tariff proposals for retail supply business for the year 2017-18 submitted to Telangana State Electricity Regulatory Commission by the Chairman and Managing Director of the company, A Gopal Rao.

It may be noted that there is an increase of Rs 1141.99 crore in the ensuing year’s aggregate as the company’s ARR for the current year is Rs 8743.9 crores.

A major chunk of the revenue requirement goes towards power purchase cost which is put at Rs 7326.43 crores, which is Rs 6601.55 in the current year.

The distribution cost is Rs 1632.93 crore and the transmission cost is Rs 472.27 crores.The NPDCL is required to file the ARR for the entire control period 2014-15 to 2018-19.

However, it sought permission to submit the ARR on yearly basis in view of uncertainties in projection of quantum of power to be purchased and costs, generation availability, demand side uncertainties and others.

Stating that it adopted a modified trend approach for projecting the category-wise sales for the ensuing year, the company expected an increase of about 1490.58 million units in the sales under different categories.

Majority of the sales falls under LT category, the volume of which set at around 9869. 65 million units while the HT category consumption expected to be 3996.01 million units (MU) for the next year, the CMD said.

The company has started supply of nine hours power to agricultural consumers from April this year and would do so in the ensuing year as well. The NPDCL is in the process of releasing around 42,635 new agricultural connections during 2016-17.

Key demand driver for 2017-18 is Water Grid from which a load of 85.37 MW is expected. Based on the data provided by irrigation department, the NPDCL expects a total of 427.77 million units consumption under lift irrigation schemes, Gopal Rao said in the proposals made to the commission.

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