OERC listening to on tariff, discoms search income rationalisation

By Express News Service
BHUBANESWAR: As the Odisha Electricity Regulatory Commission (OERC) is all set to begin public listening to for willpower of energy tariff for 2021-22 from Friday, the Tata Power-owned 4 distribution utilities have demanded income rationalisation to get better prices.

Projecting a income requirement of Rs 7,893.94 crore, a bulk of it (Rs 5,721.94 crore) going in direction of energy buy, the discoms have computed a income hole of Rs 1,310.24 crore on the prevailing tariff.

Taking the power consumption sample in the previous couple of years, the distribution utilities have projected a development of 8.24 per cent (computer) in power demand from 25,140.13 million unit (revised estimate) in 2020-21 to 27,211.92 million unit in 2021-22.

​Tata Power Central Odisha Distribution Ltd (TPCODL) has projected 8.31 computer sale development on 2020-21 gross sales knowledge for the following 12 months. The complete income based mostly on the present tariffs relevant for the projected gross sales is estimated at Rs 3,532 crore (TPCODL), Rs 2,338.51 crore (TPNODL), Rs 3,398.31 crore (TPWODL) and Rs 1,470.21 crore (TPSODL). 

The energy buy price of those utilities embody distribution loss which is 24.63 per cent for central Odisha, 19.05 per cent for northern Odisha, 21.27 per cent for western Odisha and 24.50 per cent for southern Odisha. In the annual income requirement utility, TPCODL stated it would have a income hole of Rs 623.33 crore on the present tariff whereas erstwhile Nesco, Wesco and Southco have estimated income shortfall of Rs 313.31 crore, Rs 256.9 crore and Rs 116.7 crore respectively.

Having large excellent towards LT class shoppers and most of them try to get new connection by placing the outdated connection below completely disconnected shoppers (PDC) to keep away from fee of arrears, the distribution licensees have requested the Commission to approve an arrear assortment scheme for LT non-industrial class of shoppers consistent with one-time settlement (OTS) scheme earlier permitted for 2011-12 12 months.

They have urged to permit the defaulting shoppers to pay their dues in six to 12 month-to-month instalments relying upon the excellent and paying capability, advantage of withdrawal of DPS and sure proportion of waiver on excellent quantity.

The discoms have requested the OERC to approve the mixture income requirement as projected of their utility and bridge the income hole for 2021-22 by discount in bulk provide tariff and grant of subsidy from the State authorities as per Section 65 of the Electricity Act, 2003.

The Commission had made a mid-year tariff revision by growing the tariff by 20 paise per unit with impact from September, 2019.