The Hindu : Karnataka / Bangalore News : Ceiling: Government to appeal to KERC

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Tuesday, Dec 14, 2010
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Karnataka

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Ceiling: Government to appeal to KERC

Special Correspondent

Bangalore: The State Government has decided to appeal to the Karnataka Electricity Regulatory Commission (KERC) to reconsider its order fixing a ceiling on the cost of purchase of power at Rs. 4 a unit since it is significantly lower than the prevailing market rates.

‘Out of the question'

Addressing presspersons here on Monday, Minister for Energy Shobha Karandlaje said selling power at that rate was out of the question. An agreement for power purchase with the Chhattisgarh government is fixed at Rs. 4.60 a unit, while producers such as Jindal are selling at Rs. 6 a unit. “I will hold talks with KERC on the matter after elections to local bodies,” she said.

Last summer, the Government had bought power at around Rs. 13 a unit.

She said after the elections to taluk and zilla panchayats, the Government would appeal to the KERC to reduce the proposed power tariff hike in the interest of consumers. The authority has approved a hike in transmission tariff, from the existing Rs. 26.67 paise a unit to Rs 27.10 paise a unit.

Power plants in Bellary and Raichur have been generating power without any break for the past few days. All Escoms have been supplying single phase power for 11 hours and three-phase power for six hours for rural parts of the State.

Elections

On the elections, she said the BJP is confident of winning 22 to 24 ZP seats.

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