Hike in Delhi power tariff to hurt industry further
Updated: Jul 18, 2014 03:56:47pm
New Delhi, Jul 18 (KNN) Delhi Electricity Regulatory Commission’s (DERC) approval of an 8.32 per cent hike in power tariff has been met with displeasure by the industry which feels it would hurt the units and their operations further.
“The Commission has taken a conservative view while approving an average tariff increase of 8.32 per cent for all the 3 DISCOMs (BRPL, BYPL, TPDDL) and 9.52 per cent for NDMC. Since the prevailing tariffs already include a PPAC surcharge varying from 6 per cent to 8 per cent (which will now be subsumed in the revised tariff), there will be no significant increase in current energy bills as a result of revised tariff. The revised tariff will come into effect from 17.07.2014,” a DERC press release said yesterday.
DERC had hiked power tariff for domestic consumers by upto 7.5 per cent yesterday. However, power bills of 80 per cent consumers will come down as the regulator has withdrawn a surcharge of upto 8 per cent for the next 3 months.
As far as commercial consumers are concerned, the power rate was increased by up to 11 per cent.
Expressing disappointment with the move, President of Naraina Industries Association, Ramesh Chander said, “Often the rate quoted by the electricity regulatory body does not commensurate with the reality. It works out to much higher than the specified amount.”
Referring to restrictions and price differentiation, Chander said that power companies have a peak charge. “According to them, peak is when the demand is higher. As a result, our day charges have increased substantially,” he said.
When the industry is already burdened with high interest rates, poor infrastructure, high cost of raw materials, etc, this will hurt the units further, he added. (KNN/ES)
“The Commission has taken a conservative view while approving an average tariff increase of 8.32 per cent for all the 3 DISCOMs (BRPL, BYPL, TPDDL) and 9.52 per cent for NDMC. Since the prevailing tariffs already include a PPAC surcharge varying from 6 per cent to 8 per cent (which will now be subsumed in the revised tariff), there will be no significant increase in current energy bills as a result of revised tariff. The revised tariff will come into effect from 17.07.2014,” a DERC press release said yesterday.
DERC had hiked power tariff for domestic consumers by upto 7.5 per cent yesterday. However, power bills of 80 per cent consumers will come down as the regulator has withdrawn a surcharge of upto 8 per cent for the next 3 months.
As far as commercial consumers are concerned, the power rate was increased by up to 11 per cent.
Expressing disappointment with the move, President of Naraina Industries Association, Ramesh Chander said, “Often the rate quoted by the electricity regulatory body does not commensurate with the reality. It works out to much higher than the specified amount.”
Referring to restrictions and price differentiation, Chander said that power companies have a peak charge. “According to them, peak is when the demand is higher. As a result, our day charges have increased substantially,” he said.
When the industry is already burdened with high interest rates, poor infrastructure, high cost of raw materials, etc, this will hurt the units further, he added. (KNN/ES)
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