Discoms seek 20% hike in power tariffhttps://indianexpress.com/article/cities/delhi/discoms-seek-20-hike-in-power-tariff/

Discoms seek 20% hike in power tariff

The DERC is in the process of finalising the tariff for 2015-16 and is likely to announce the new rates by the end of August 2015.

Discoms, Power tariff, DERC, BSES discoms, Reliance, Tata Power, Discoms power hike, Nation news, india news
The Reliance-owned BSES discoms have asked the DERC for up to 19 per cent hike, while Tata Power Delhi Distribution Ltd (TPDDL) has demanded an increase of 20 per cent.

Power distribution companies (discoms) in the capital have asked the power regulator to raise electricity tariff by as much as 20 per cent, citing widening revenue gap of around Rs 28,000 crore. In their petition to the Delhi Electricity Regulatory Commission (DERC), the discoms have cited financial crunch owing to an increase in the power-purchase cost.

The Reliance-owned BSES discoms have asked the DERC for up to 19 per cent hike, while Tata Power Delhi Distribution Ltd (TPDDL) has demanded an increase of 20 per cent.

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The DERC is in the process of finalising the tariff for 2015-16 and is likely to announce the new rates by the end of August after taking into account the views of various stakeholders, including consumers.

Arguing for a further hike in tariff, the discoms have submitted that their combined revenue gap due to the absence of a cost-reflective tariff has gone up to Rs 28,000 crore. The total under-recoveries of BSES Rajdhani Power Ltd and BSES Yamuna Power Ltd have risen to Rs 20,000 crore while for TPDDL, it has been estimated at Rs 8,000 crore, the discoms said.

In its last tariff hike, the DERC on June 12 had raised the surcharge component by up to six per cent to compensate the discoms for rise in power-purchase cost.