The Hindu : Andhra Pradesh / Hyderabad News : Only APERC can decide power tariff: CPI (M)

Online edition of India's National Newspaper
Wednesday, Nov 15, 2006
ePaper

Andhra Pradesh

Andhra Pradesh - Hyderabad

Only APERC can decide power tariff: CPI (M)

Special Correspondent

State urged to intervene in petitions filed in Apex court

HYDERABAD: The CPI (M) has urged the State Government to intervene in the petitions filed by the power utilities in the Supreme Court challenging the Appellate Tribunal's judgment on fixation of tariff to be paid to non-conventional energy (NCE) projects.

In a letter addressed to Energy Minister Mohd. Ali Shabbir on Tuesday, CPI (M) State secretary B.V. Raghavulu said that the tribunal upheld the contention of some developers of NCE projects about the authority of the regulatory commission in fixation of tariffs. This resulted in additional burden of Rs. 132 crores to the power utilities thus far and Rs. 8 crores a month from the date of the tribunal's judgment on long-term basis.

Adverse effect

The tribunal held that AP Electricity Regulatory Commission was bound by the policies declared by the State Government that actually lapsed in December 2000.

However, the developers of NCE projects were claiming the benefits that were likely to adversely affect the interests of 1.79 crore consumers.

Quoting the Andhra Pradesh Electricity Reform Act 1998 and Electricity Act 2003, he said the legislations vested exclusive power in the regulatory commission to determine the tariff and the Supreme Court had also made it clear that the commission was the sole authority in fixation of tariff.

While the NCE developers were demanding higher tariffs, the regulatory commission had made it clear that tariffs it had fixed were upper limits and Transco and Discoms could pay tariffs with those limits.

Printer friendly page
Send this article to Friends by E-Mail

Andhra Pradesh