DERC chief hints at power tariff hike
There were city-wide protests over the worsening scarcity of water and power in the city. — ASIAN AGE
For a third time in last 10 months, the power tariffs in the national capital are set to burn a hole in consumer’s pocket again.
The Delhi Electricity Regulatory Authority (DERC) chairman, P.D. Sudhakar, on Tuesday hinted of a power tariff hike from the first week of July.
Citing the losses of the private power companies (discoms), Mr Sudhakar said that the demands made by the discoms are being reviewed and a result will be out by the end of the this month.
“The BSES Yamuna has demanded the maximum hike of 27.8 per cent, BSES Rajdhani has demanded a hike of 19.8 per cent and Tata Power Limited (former NDPL) has sought a hike of 19.7 per cent in the power tariffs. These companies are suffering losses as the price of coal is going up and power purchase price is higher than the distribution price. Some of these companies has even taken loans to survive,” Mr Sudhakar said.
He further said that the demands of these private power companies will be reviewed in this month and a new revised tariff plan may come out by July.
A massive hike of 22 per cent was witnessed in the power tariffs in September 2011; and again in February 2012 a hike of five per cent was declared. The situation worsened as the private discoms sought bailout packages from the government claiming that they are facing huge losses due to the low distribution tariff and higher purchase price.
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