Delhi govt requests DERC to review order to hike power tariff

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Delhi government has written to the Delhi Electricity Regulatory Commission requesting it to reconsider it decision to hike power tariff on June 12, 2015.

A three page letter written by the power secretary in Delhi government, Sukesh Kumar Jain, signs off with a request that ” I’m directed to request the DERC to kindly review its order dated 12.06.2015 and withdraw PPAC (Purchase Cost Adjustment Charge) adjustment in public interest.”

The power tariff in the national capital was hiked by up to six per cent by the DERC as it restored a surcharge to compensate the private electricity distribution companies for rise in power purchase cost.

DERC chairman P D Sudhakar had told a news agency that the Power Purchase Adjustment Cost (PPAC) surcharge has been restored following a directive from the Appellate Tribunal for Electricity (APTEL).

He said the surcharge will be to the tune of six per cent for consumers of BSES Yamuna Power Ltd and BSES Rajdhani Power Ltd while it will be four 4 per cent for those getting power supply from Tata Power Delhi Distribution Ltd.

The Delhi government’s latest letter says that the DERC’s order is not “in accordance with section 62 (4) of the Electricity Act 2003 which allows amendment of Tarrif only once in a financial year except in respect of any changes expressly permitted under the terms of any fuel surcharge formula.”

Providing cheaper electricity to Delhiites has been one of the major poll promises Aam Aadmi Party had made to Delhi voters in the February’s assembly elections earlier this year. Soon after it came to office, the AAP led government had slashed power tariff by 50 percent.

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