New Delhi Electricity Tariff Ordinance 2021-22 Delayed More Than 3 Months
The announcement of Delhi’s electricity tariff order for 2021-2022 has been delayed for more than three months even as the unrest in the city has raised a request to the power regulator DERC for a tariff increase in due to the COVID-19 pandemic.
The reason for the delay is mainly the second wave of COVID-19 in the city and a lockdown imposed because of it, Delhi Electricity Regulatory Commission (DERC) Justice (retd) SS Chauhan chairman told PTI.
“In addition, we also had to implement some court orders. Our goal is to issue the tariff order as quickly as possible,” said Chauhan, who completed his term as DERC chairman on July 4.
He was appointed to this post on July 5, 2018. The Delhi government has already set up a selection committee to find Mr. Chauhan’s replacement.
Late and insufficient tariff revisions weigh on consumers with interest charges, sources said.
“If the tariff decree is not announced before the president leaves, the process will be delayed. While a single-member commission can also perform all of its functions, much of the tariff process will have to be re-executed. “said a source. mentionned.
DERC is a three-member panel.
Electricity distribution companies, including TPDDL, and BSES discoms BYPL and BRPL, submitted their tariff requests in December 2020. They submitted other requests to the DERC in order to take into account the impact of the second wave and the possibility of a third.
BSES discoms, in their revised petitions, increased their expected income gap from Rs 1,703 crore to Rs 3,577 crore (BRPL) and from Rs 1,148 crore to Rs 1,945 crore, for 2021-2022.
The Tata Power Delhi Distribution Limited (TPDDL) also fears, according to it, a drop in its revenues for the current fiscal year.
Sources said the delay in publishing tariffs went against the recommendations of the 2016 national tariff policy and instructions from the Energy Ministry to state electricity regulators.
“The timely issuance of tariff decrees and full pass-through of tariff costs are important preconditions for ensuring the sustainability of the electricity sector and are also in the interest of electricity consumers,” the Minister said. ministry in a communication to electricity regulators in April.
The tariff order for a financial year, in the normal course, should have been announced before April 1. However, over the past five years, announcements of electricity tariffs in the nation’s capital have been delayed by four to twelve months, according to sources.
(Except for the title, this story was not edited by NDTV staff and is posted from a syndicated feed.)