DeshGujarat

Ahmedabad, 2 June 2012

A new tariff order for The Torrent Power Limited (TPL) has exempted BPL and agricultural consumers totally while residential consumers for the first 50 units of monthly consumption from the hike of 10 paise per unit.

The Torrent Power Limited (TPL) filed petitions for its Ahmedabad Generation, Ahmedabad distribution and Surat distribution businesses before the Gujarat Electricity Regulary Commission (GERC) for truing-up of FY 2010-11under the Multi-Year Tariff (MYT) framework.

The GERC examined the petitions by following the procedure prescribed for the purpose in the Electricity Act, 2003. An elaborate exercise was undertaken by inviting comments/suggestions from the general public and stakeholders. The commission held public hearing on 20th and 31st March, 2012. Various stakeholders including individuals and organizations participated in the hearing.

The Commission (comprising Dr. P. K. Mishra, Chairman, Shri Pravinbhai Patel, Member and Dr. M. K. Iyer, Member) issued its Orders on these petitions on 2nd June, 2012.

In the Multi-Year Tariff (MYT) order, the Commission has approved distribution losses of 6% for Surat distribution area and 10% of Ahmedabad-Gandhinagar distribution area. However, the actual distribution losses achieved by TPL are 4.64% in Surat area and 8.18% in Ahmedabad-Gandhinagar area for the FY 2010-11.

The actual sale in Ahmedabad-Gandhinagar area was 5444 MU as against 5731 MU estimated in MYT Order. Similarly, the sale in Surat distribution area for FY 2010-11 was 3085 MU as against estimated sale of 3647 MU.

Based on the segregated audited accounts of the FY 2010-11, the Commission has revised Aggregate Revenue Requirement (ARR) for FY 2010-11 of Ahmedabad-Gandhinagar distribution area and Surat Distribution area. The overall gap of TPL is estimated to be Rs. 116 crore.

However, considering the increases in FPPPA charges during the last year, the Commission has decided to increase the energy charges by 10 paise for all consumers except BPL consumers, for the first 50 units of monthly consumption of residential consumers and for agricultural consumers.(means there’s 10 paise increase for residential consumers after first 50 units per month and 10 paise increase for total consumption for industrial consumers) The additional revenue is projected at Rs. 89 crore, which works out as a tariff hike of 1.91%. The revised rates will be effective from 1st June, 2012

Looking to the current fuel charges, it is expected that the FPPPA charges will be reduced from the current level, and hence, effectively there will be reduction in the electricity bill of the consumers even after a moderate revision in energy rates.

-No increase in power tariff for BPL consumers.

-No increase in tariff rates for the first 50 units of monthly consumers. BUT INCREASE IN RATES AFTER FIRST 50 UNITS MONTHLY

-No increase in tariff for Agricultural consumers.

-ENERGY CHARGES INCREASED BY 10 PAISE PER UNIT FOR OTHER CATEGORIES.

-FPPPA charges expected to be reduced by 20 paise per unit for the quarter starting from July’2012, reduction in the electricity bill of the consumers. consumption of all Residential hence effectively there will be reduction in the electricity bill of the consumers.